Your Guide to Buying Property in Mexico's Restricted Zone

If you’re a foreign buyer considering investing in property in San Carlos, Sonora, Mexico, you might have questions about the process—especially when it comes to buying within Mexico’s restricted zone. Don’t worry! This guide breaks down everything you need to know to make your property purchase smooth and stress-free.

What is the Restricted Zone?

The restricted zone in Mexico refers to areas within 50 kilometers (about 31 miles) of the coast and 100 kilometers (about 62 miles) of an international border. Foreigners cannot hold direct title to property in these zones. However, Mexico has created a secure and straightforward solution called the Fideicomiso (Bank Trust).

What is a Fideicomiso?

A fideicomiso is a legal trust agreement that allows foreigners to acquire residential properties in the restricted zone while retaining full rights to use, sell, or lease the property. Here’s how it works:

1. Bank as trustee: A Mexican bank holds the title to the property in trust on your behalf. You, as the beneficiary, have complete control over the property.
2. 50-Year Term: The trust is valid for an initial 50 years and can be renewed indefinitely.
3. Rights included: You can remodel, rent or sell the property just like any other owner.

Steps to Buying Property in Mexico’s Restricted Zone

1. Choose the right real estate agent

Work with a reputable agent experienced in helping foreign buyers. At RE/MAX First Choice Realty, we specialize in guiding international clients through the process seamlessly.

2. Find Your Dream Property

Once you’ve found the perfect home, you’ll make an offer. Your agent will help negotiate and ensure your interests are protected.

3. Set up the Fideicomiso

• The bank trust is set up through a Mexican bank. This process involves documentation and legal approvals, which your agent and a notary public will help facilitate.
• The fideicomiso fees include installation costs and an annual maintenance fee, which are generally reasonable.

4. Complete the legal requirements

In Mexico, a notary public is a highly trained legal professional, akin to a lawyer in the U.S., who will review all documentation to ensure compliance with Mexican law. Their responsibilities include overseeing property transfers, verifying contracts, and ensuring all legal requirements are met. This step also includes paying closing costs and taxes.

5. Sign and take possession

Once all steps are complete, you’ll officially own your property through the fideicomiso. Time to celebrate!

Why Buy in San Carlos?

San Carlos offers stunning natural beauty, a welcoming expat community, and excellent investment opportunities. Whether you’re looking for a vacation home, rental property, or your forever home by the Sea of Cortez, San Carlos has something for everyone.

FAQs About Buying in the Restricted Zone

1. Is a fideicomiso safe?

Yes! The fideicomiso is a secure, government-sanctioned process that has allowed foreign ownership for decades.

2. How long does the process take?

From making an offer to closing, the process typically takes 30-60 days, depending on the property and paperwork.

Can I leave the property to my heirs?

Absolutely! The fideicomiso allows you to designate heirs who will inherit the property seamlessly.

Ready to Start Your Journey?

At RE/MAX First Choice Realty, we’re here to make your property-buying experience in San Carlos smooth and enjoyable.Contact us at today +52 622-226-1800 to find the home of your dreams in Mexico's restricted zone!