Frequently Asked Questions

Why invest in real estate?

The answer is simple. One word: control. There is no other investment opportunity that offers control over the aspects involved to make money and keep it.

Many people believe that investing is risky because you have no control over the assets in which they invest. There is very little control over savings, stocks, bonds, and mutual funds.


People are concerned about job security because they have no control over their use. Few employees exercise control over the property of the company; how many pay taxes or the future of their employment.

In addition to control, real estate offers many other advantages. With adequate property purchase price and funding, if the property is in a good location and is well managed, the following advantages of real estate can be found.

  1. Cash Flow: cash is received each month.
  2. Leverage: banks lining up to lend money to be investing in properties.
  3. Amortization: tenants pay the debt.
  4. Depreciation: the government offers tax shelters because the bin roots lose value. However this is not common. Actually, the reason that the government provides incentives for depreciation is that real estate investors provide housing.
  5. Creativity: the value of the property increases thanks to creativity. For example, if you buy a plot of land, you can change the zoning classification; or if you buy an old house you can remodel; or you can buy an apartment and sell it as individual condos.
  6. Expansion: when learning to buy individual houses start by buying housing units.
  7. Prediction: it takes about a year to stabilize an apartment complex after buying it. After that year, management can get rid of bad tenants, keep good tenants who wish to make renovations, and slowly raise the rent. Once the property is stabilized, checks start coming in like clockwork. This is certainly better than the vagaries of the stock market: feel good when prices rise and bad when they fall.
  8. Deferred Taxes: One of the greatest advantages of real estate are deferred taxes. There are many ways a real estate investor can legally avoid paying taxes indefinitely, where money can be reinvested without paying taxes.

They key to success in real estate is good administration in stocks, bonds, and mutual funds.

At SILMEXICO, with our investment plan, we have a wide range of properties and professionals in our portfolio which allows us to advise and provide the best services to our clients.

Because good governance is the key to success in real estate, some of the best opportunities arise to buy properties whose owners were bad managers.

The ability to defer taxes is not available to those who invest in stocks, bonds and mutual funds. You’d be surprised how fast you can get rich if you do not pay taxes.

How can I get my ideal house?



What do I need to know before building my house?

Having your own house is a dream many people share, but in most cases we are inexperienced people with no clue on how to start or what we need to do in order to build a house that reflects exactly what we want.

We should always consider that the advice of a professional is vital before starting.

Additionally, it is important to keep the following in mind:

The advice of the experienced professional will help you realize the goals, costs, time that the construction will take, and most importantly, the quality of the structures. It is important to mention that the orography of the lot (where you will build) should be studied in detail in order to secure the project.

It is also important to acknowledge the necessities of the family, so we ask all family members involved what they want in order to avoid any delays and/or extra costs. As a result, you will have the number of rooms required, the locations of the rooms, and who will use them.

You will be able to know all the details by answering the 10 following questions:

  1. – What is our budget?

Answer: ________________________________________________

Note: Prioritize the budget and the basic needs for the house. Unless you have an unlimited budget and space, there will be several adjustments along the way. Furthermore, you should consider a limit on the budget. You should always try to avoid the maximum budget whenever possible.

  1. – Which kind of lot do you like the most?

Answer: __________________________________________________

Note: Select the lot or property and afterwards the part where you want to build. This decision will help you define what kind of house you want, the amount of space you have, and the approximate budget to build it.

  1. – What are the costs of the infrastructure?

Answer: _________________________________________________

Note: The lot could have nearby utilities such as: water, sewage system, and electricity which will keep the cost low for the infrastructure.

  1. – Do you have a draft of your ideal house?

Answer: __________________________________________________

Note: Creating a draft of the house exterior will make the project much easier. The draft doesn’t have to be exact; it will simply give you perspective.Keep in mind that sometimes in order to fix a problem, a simple adjustment in the right place will help solve the problems. These sub-questions will help you:

  1. A)  How many family members will live in the house?

Answer: ______________________________________________

  1. B)  What will be the distribution of the bedrooms?

Answer: ______________________________________________

  1. C)  What will be the distribution of the bathrooms?

Answer: ______________________________________________

  1. D)  What kind of kitchen do you want?

Answer: ______________________________________________

  1. E)   What kind of living room do you want?

Answer: ______________________________________________

  1. F)   What kind of dining room satisfies your needs?

Answer: ______________________________________________

  1. G)  What kind of special areas would you like to have?

Answer: ______________________________________________

Note: terrace, pool, hot tub, etc.

  1. H)  What kind of service areas would you like to have in order to keep the property’s cleaning and maintenance functional?

Answer: ______________________________________________

Note: Service rooms for maids are less recommended nowadays, but it is important to have at least a laundry room.

  1. I)   How many cars do you have?

Answer: ______________________________________________

  1. J)   Do you need a storage room?

Answer: ______________________________________________

  1. – Do you have a scaled floor plan?

Answer: _____________________________________________

Note: It is a good idea to have a floor plan with the furniture you would like in order to see what works and what doesn’t.

  1. – Do you have roof and foundation plans?

Answer: _____________________________________________

Note: Try to play with different kind of roofs in order to find the one that fits the best. The size of the house, the kind of soil, and the area will determine which foundation will work the best for your home.

  1. – Do you have in mind any special lighting, hydraulic distribution, or mechanic systems to have in your house?

Answer: ______________________________________________

Note: Keep the plumbing and wiring connections as simple as possible and make sure that they don’t overlap, nor is there any interfere between them.

  1. – Do you have any kind of decoration in mind for the house?

Answer: ______________________________________________

Note: Pick the decoration (type of doors, finishes, floor, tiles, walls, windows, etc.)

These are the ten basic questions for your home project in order to obtain a product in which you are satisfied with. Calculate the total cost of the construction. Double checking the project and progress is crucial so that the end product will fulfill your expectations. Make sure that the estimated cost is inside your budget. We hope that these questions can assist you in creating the foundation of your house project!

What is flipping?

Buy low, sell high.

As the dollar loses value, real estate tends to increase their value. As the population increases, so does demand, which in turn raises prices.

Many investors invest for capital gains. In the stock market, most try to buy low and sell high. This is to invest for capital gains. In real estate, these investors are known as flippers.

In real estate it is better to invest money flow of capital gains because the tax laws favor the investor in cash flow.

What do I need to invest in Mexico?

You need a special visa in order to carry out business in Mexico. The General Population Act and its regulations govern this matter throughout the country. You can consult it at:

House of Representatives

Official Gazette of the Federation

International Migration

To do this, you must apply at the National Migration Institute. You will receive an answer within 35 calendar days.

Mexico has endless possibilities for both investment and living.

For more information, visit:

Immigration Procedures Manual of the National Migration Institute

As a foreigner, what do I need to open a business in Mexico?

Welcome to Mexico: the perfect country to invest in. To open a business, you will need:

1 – To have either of the Migratory Forms (FM, Spanish initials) FM2 or FM3, or apply for one at the National Migration Institute.

2 – If you invest as an individual, you must go to the Tax Administration Service (SAT, Spanish initials) offices and sign up in the Federal Taxpayers Registry (RFC, Spanish initials). To do this, you will be asked to submit your immigration document and the proof of address where your business or office will be located. This could be a monthly bill for electricity, water, or television and may not be over 4 months old.

3 – If you invest as a legal entity, you must establish your company before a notary public and process your Federal Taxpayers Registry number (RFC), presenting the documentation described in no. 2, in addition to your incorporation papers. The notary will register the trading company in the Public Registry of Property and Commerce and you will keep a copy.

4 – If you invest in a beach or border area in the country, you can do so through a trust that is processed at the Secretariat of Foreign Affairs (SRE, Spanish initial).

5 – You can invest in Mexico and travel abroad when you need to if you meet your tax obligations and your immigration document is valid.

For more information, visit these pages:

National Migration Institute

Secretariat of Foreign Affairs

Tax Administration Service

Secretariat of Economy

National Register of Foreign Investments

National Association of Mexican Notaries

What do I need to live in Mexico as a student, worker or resident?

Mexico has many opportunities for those who wish to migrate permanently or temporarily to study or work.

To apply for temporary residence (i.e., a stay of more than 180 days but less than four years), go to any Mexican consulate with your passport, a photo, and a certificate proving lawful residential status in your home country. You must also include the following supporting documents as applicable: proof of financial solvency, a letter of invitation, proof of completion of scientific studies in jurisdictional waters, family ties to a Mexican or to a person with temporary residence, or proof of real estate in Mexico or investment within the country.

To find out about the requirements for becoming a permanent resident, go to:

National Migration Institute

What documents do I need to enter Mexico?

When you arrive in Mexico, you only need to show your current passport and the Multiple Migratory Form, provided free by travel agencies and airlines as well as at point of entry. The maximum legal stay for tourists is 180 days from the date of entry and is not extendable.

The immigration officer at the point of entry may ask you to prove economic solvency and to show your return ticket home.

To find out more, consult this page:

Secretariat of Tourism

With which countries does Mexico have trade agreements?

Mexico has signed ten free trade agreements involving 45 countries, providing it access to over one billion consumers and a great opportunity for entering new trade relations. To further understand the importance of these agreements, the nations in question account for 60% of the world Gross Domestic Product or (GDP). In other words, Mexico’s trading partners comprise over half of the economy in the world.

The North American Free Trade Agreement (NAFTA) is the most relevant and through NAFTA, nearly 65% of Mexico’s foreign trade is generated. Other regions such as Europe and Latin America have earned participation as well.

An important point for attracting investments and producing long-term relationships involves the 30 agreements for investment promotion and reciprocal protection which ensures negotiations with the country.

In its consolidation stage, the Trans-Pacific Partnership Agreement (TPP), will allow greater access to other markets and with it international trade diversification.

To find out more, check out these links:

Secretariat of Economy

What are Mexico’s strongest industries?

Within the economy’s secondary activities, the manufacturing sector is the most important, contributing close to 17% of the GDP (at market prices).

Within the manufacturing sector, the largest contribution is in the food industry at 22.7% of the Manufacturing GDP, followed by transportation equipment (production of cars and car parts) at 17.9%, the chemical industry at 11.9%, basic metal mechanics at 5.8%, and beverages and the tobacco industry at 5.5%.

Overall, this is a key sector in generating added value to the GDP, which according to the World Bank, the industry in Mexico contributes 35%.

To find out more, click on the following links:

National Institute of Statistics and Geography

World Bank

What are Mexico’s main exports?

Cars, machinery, and electrical equipment make up the largest volume of exports from Mexico. Mechanical equipment such as boilers, fuels, and medical instruments account for 70% of the value of exports.

Mexico is the largest exporter of flat screens, the leading producer of organic coffee, and a frontline participant in smartphone production. Recently the country has made its mark in the export of components for the automotive and aerospace industries.

In the agro industrial area, Mexico is the leading exporter of malt beer and, of course, tequila. The country is not only the largest marketer of tomatoes and avocados, it plays a leading role in the export of melons and limes.

For more information:

Trade & Logistics Innovation Center

Which products have tariffs to enter Mexico?

Mexico has excellent bilateral trade relationships with nations from the five continents, having signed several agreements.

Thus, almost any type of product is available in the country.

Among the products with tariffs to enter the country are meats, grains, dairy, beverages and tobacco, live animals, bird eggs, natural honey, and live plants among others.

The institution that regulates the entry of goods into Mexico is the Secretariat of Foreign Affairs (SRE, Spanish initials) through the General Rules on Foreign Trade. Implementation of the regulation is handled by the Customs Offices of the Tax Administration Service (SAT, Spanish initials) under the Secretariat of Finance and Public Credit (SHCP, Spanish initials).

For more information, check out:

Secretariat of Foreign Affairs

Secretariat of Economy, Undersecretariat of Foreign Trade

Rules of the SAT

Rules of the SE

What is good will?

In real estate terminology, good will is the intangible personal property that is a part of a business. This includes marketplace presence, a base of customers, good reputation, staff, and management. These things help the business to generate reliable income. Good will is measured by the price difference between the physical property someone pays for and the money that exceeds the cost of the physical property.

What is title?

What is title?

Title is the legal evidence that the owner has lawful possession and ownership of the land.

What is title insurance?

Title insurance protects real estate owners and lenders against any property loss or damage they might experience because of liens, encumbrances, or defects in the title to the property. Each title insurance policy is subject to specific terms and conditions.

What does it cover?

Only an Owner’s Policy fully protects the buyer should a covered title problem arise with the title that was not found during the title search. Armor policy can effectively protect you in the event of:

  • Document executed under forged, revoked, or expired powers of attorney.
  • Fraudulent misrepresentation of the legal capacity of the legitimate owner.
  • Concealed heirs.
  • Improperly registered legal documents.
  • Preemptive rights of another person that are not a matter of record and are not revealed through inspection and report.
  • Omission of persons considered necessary in certain legal proceedings.
  • Detective notarization due to an improper or expired attestation by a notary public.
  • Corporate franchise tax as liens on corporate real estate properties.
  • Gaps in the chain of title.
  • Errors and omissions which cause inaccuracies in the title summary.
  • Forgery of deeds, mortgages, wills, mortgage releases, and other instruments.
  • Deeds executed by minors (underage).
  • Deeds that seem to be final but as to which equitable mortgages are eventually declared.
  • Improper legal description.
  • Transfers by concealed divorced spouses.
  • Coercion in the execution of wills, deeds, and title-transfer or title-creation instruments.
  • Questions related to the issuance of title transfer instruments.
  • Deeds and wills executed by persons lacking legal capacity.
  • Liens on state inheritance taxes or gratuitous transfers.
  • Errors in the tax records.
  • Liens on demolished or subnormal buildings.
  • Administration of estates and validation of wills of disappeared persons who are presumed to be dead.

How does it work?

It is purchased for a one-time fee at closing and is valid for as long as the owner or his heirs have an interest in the property, and insures against events that occurred in the past of the real estate property and the people who have owned it. At the mere hint of a claim adverse to your title, you should contact your title insurer who issued your policy. Title insurance includes coverage for legal expenses which may be necessary to investigate, litigate or settle an adverse claim.


Can you really own property in Mexico?


In fact, foreigners are not only allowed to legally purchase property in Mexico — the Mexican government has gone to great lengths to make it safe and simple.

It is legal, 100% secure, and we are here to guide you through each step of the process.

How is it done?

You will own your slice of paradise in one of two ways: either through a fideicomiso, which is a bank-held trust, or through a Mexican corporation.

What is a fideicomiso?

A fideicomiso is a real estate trust held on your behalf by a Mexican bank of your choosing (Scotia Bank, HSBC [largest bank in the world], Banamex [Citigroup], Santander [largest Spanish bank], etc.). The bank acts as the trustee, and you and those you designate are the beneficiaries of the trust. As the beneficiary of the trust, you maintain complete control over it, retaining the use of the property and making all investment decisions. This is not a lease, it is the equivalent to a living trust in the US. A fideicomiso bestows upon the beneficiary of the Trust (you) absolute and irrevocable control over the property: to enjoy, lease, improve, mortgage, sell, inherit and will.

Simply stated, your property is placed in a trust that you own to be administered by a Mexican bank on your behalf.

Why is a fideicomiso necessary?

The purpose of the fideicomiso is to allow foreigners to buy prime Mexico real estate inside the “restricted zone,” and ensure a safe and secure transaction. The “restricted zone” is any land within 31 miles (50 km) of the coastline and 62 miles (100 km) of the borders. The Mexican constitution, when created, was designed to protect their land and prevent the kind of massive land loss they had endured through their history. Rather than amend their constitution, Mexico created and added the fideicomiso to encourage foreign investment in these highly desirable areas, particularly along the coastline. Residential properties outside of the restricted zone can be acquired directly by foreigners without the need for a bank trust, although some buyers decide to use it anyway.

Is the fideicomiso an asset of the bank?

No, your trust is not an asset of the bank; the bank is merely the steward of the trust. You and those you designate are the beneficiaries. The trust to your Mexican real estate property is held by the bank for the beneficiary (you) and is not considered an asset of the bank. Therefore it is not exposed to any legal action that the bank might find itself in. The trust is the beneficiary’s property.

For how long is the fideicomiso good?

The trust is initially established for a period of 50 years and can be renewed at any time with a very simple form and a nominal fee. The trust is set in 50-year increments and is guaranteed renewable for perpetuity. The current cost is about $500 USD.

Can the government take my property?

Foreigners often worry about their land being expropriated by the Mexican government. Under the North American Free Trade Agreement (NAFTA), Mexico may not directly or indirectly expropriate property, except for a public purpose (i.e. building roads). Additionally, only through a legal condemnation proceeding will this be possible. In the rare case where it is necessary to expropriate land, the government will pay swift and fair market compensation to the owner, including accrued interest. This is the same process known as eminent domain in the USA, compulsory purchase in the UK, or expropriation in Canada.

If you have ever heard one of those stories about someone getting their property taken by the Mexican government, it is because the unfortunate person bought Ejido land, which is untitled land that only a Mexican national can legally own. Ejido land is the only land in Mexico that is without title.

Why buy through a corporation?

Many investors choose to purchase property through a corporation if the intent is to conduct the investment as a business. This would be the case in situations such as buying and selling land, renting their property, or when owning more than one property.

What are the types of Mexican corporations?

There are several different types of Mexican corporations, however the two most common are a limited liability corporation (LLC) and a limited liability partnership (LLP). Choosing which type of corporation to set up is important for tax purposes in both the US and Mexico, and you should speak with an attorney or accountant on both sides of the border to understand the benefits and costs each one entails. Making sure the choice is made correctly from the beginning will save you time and money.

How does buying through a corporation work?

Ownership of property in Mexico is possible through the establishment of a Mexican corporation. As of 1995, foreigners can fully own, operate, and administer Mexican corporations. A foreign corporation in Mexico requires two or more individual investors, who combined, control 100% of the corporation. None of the corporation’s investors can be Mexican. Once your Mexican corporation is formed, it has the legal capacity to acquire property anywhere in Mexico, including the restricted zone. Through a corporation, foreign owners acquire the right of domain, in addition to possession and benefit. The property is owned with the same rights as if it were a Mexican entity. There are no investment restrictions on foreign-owned Mexican corporations aimed at buying and developing property.

What is the cost to set up a corporation?

Typically, an attorney will charge $1,500 USD to set up the corporation. Additionally, there is a fee of approximately $100 USD per month for the accounting of the corporation.

Who represents and protects my interests?

There are 4 parties involved in a Mexican real estate transaction inside the restricted zone. All are helpful in their respective areas, and each serves a purpose in assisting you with your real estate transaction. They are:

  • Real estate company
  • Buyer’s attorney
  • Bank (if buying through a Fideicomiso)
  • Notary

Real estate company

The process of buying property in Mexico will inevitably have differences from what you may be accustomed to. That is why having the right people on your side is so important. Not only will it make all the difference in your experience, having a team of experienced, knowledgeable agents dedicated to guiding you through each step ensures that you buy smart and secure. We at Investment Properties Mexico pride ourselves on the personalized dedication we love to provide our clients. More often than not, we develop great friendships with our clients as we take them through the process of making their dreams a reality.

Why use an attorney?

We recommend using an attorney because we believe it is in your best interest. An attorney will represent you and protect all your legal transactions. The attorney will draw up contracts and review the terms and conditions of the sale. Legally, only a licensed Mexican attorney should provide advice on the laws. Foreign attorneys are not licensed to practice law in Mexico and should not give advice on Mexican law.

Buyers Beware – A common story in Mexico: sometimes well-intentioned, but more likely unscrupulous people, will promise a better deal saying they have a friend or relative who can offer discounted costs and save you money. This is NEVER the case. Allowing inappropriate people to become involved opens the door to improper documentation. Having to go back and fix what was done incorrectly will end up costing you thousands of dollars as opposed to having an attorney represent and protect your interests from the beginning.

What purpose does an attorney serve?

In addition to representing your best interests and protecting your legal transactions, an attorney can be very helpful in saving you money. This is because attorneys are involved in many of the different transactions necessary and have contacts with banks, notaries, and the Mexican government. They are aware of the most competitive costs and fees involved and make sure the buyer is given the best possible prices.

You will also receive your attorney’s advice on legal options to be sure no opportunities are missed, such as tax planning and closing costs that should be paid by the seller and ways of taking title. Very often, one piece of good advice can save buyers thousands of dollars in taxes or other savings when the buyer eventually decides to sell the property.

What is a notary?

A Mexican notary (Notario Publico) is a licensed attorney, certified by the state and Federal government to act as an official and unbiased representative of the government of Mexico. A Mexican notary is very similar to a notary in Canada and has far greater responsibility than a notary in the US. A Mexican notary has passed stringent exams required by the Mexican government and is a government official. They provide strict security of original records and documents and they record the documents with the Public Registry of Property. A notary’s role is taken very seriously in Mexico as the notary could be held liable in both civil and criminal terms.

What purpose does the notary serve?

The notary performs a variety of tasks including the authentication of legal documents, the calculation of capital gains tax, and is responsible for ratifying ALL real estate transactions in Mexico. Any real estate transaction not ratified before a notary and duly recorded in the Public Registry is considered invalid and not enforceable.

In a real estate transaction, the notary is equally responsible to the buyer and the seller, and is ultimately responsible to the Mexican government. Their job is to ensure the legality of the transfer of title, to calculate and retain the seller’s capital gains tax on behalf of the government, collect the purchaser’s acquisition tax and pay it to the Department of Foreign Affairs, coordinate appraisals, provide certificates of no liens and certificates of no debt, and request all corresponding permits. After the closing, the notary must record the transaction at the Public Registry and the Tax (Cadastral) Office.

The Mexican notary is capable and legally authorized to carry out the transaction. However, we recommend also using an attorney to represent all your interests and protect your legal transactions.

What can a notary do for me?

In Mexico, the notary public is a law professional, empowered by the Government to give legality to acts and contracts for the security and legal certainty of the interests of the individuals.

The “Corredor Público” in Mexico is an expert in commercial law, authorized by the Federal Government.

The notary can help you with:

  • Bank trust agreements
  • Powers of attorney
  • Sales agreements
  • Creation of Mexican corporations
  • Loan agreement
  • Foreign investment services
  • Appraisals for tax, real estate, and business purposes

What purpose does the bank serve?

The Trustee Bank is the Mexican bank authorized to act as trustee. The Trustee Bank must be a Mexican registered financial institution with an established trust department. As a buyer, you have the right to select any qualified bank (Scotia Bank, HSBC [largest bank in the world], Banamex [Citigroup], Santander [largest Spanish bank], etc.). The bank ensures that the closing is legal and appropriate. They will issue a trust for the real estate for your sole use. The Bank Trustee is prohibited by Mexican law from transferring ownership of the property, changing the beneficiary rights or doing anything regarding the property without your written instructions. Having a major bank looking out for your interest is yet another added layer of protection for the buyer.

Am I protected if something happens to the bank?

Yes, absolutely. Mexican banks have government protection against bankruptcy. The trust is guaranteed indirectly by the government.

Properties that are held in trust are not assets of the bank. In the rare case that the Mexican bank goes into financial difficulty, the property is transferred to another Trustee Bank. The new Trustee Bank will take care of the existing trust. These are federally imposed laws.

Cost of Living in Mexico

SILMEXICO shares with you the list of products by PROFECO where you will be able to verify the prices of products by state.

Profeco Prices by State

What are the total closing costs?

Total closing costs including: taxes, notary fees, setting up the escrow, appraisal fees, origination fee, application, and establishing the trust. Obtaining the SRE permit will cost around 5-7% of the sale price.

If you have been approved for financing and choose to mortgage your property, the closing costs will be closer to 7–10% of the sale price. 95% of real estate transactions in Mexico have typically been purchased with cash, but the option for a Mexico mortgage loan, being a fairly recent addition, has become increasingly popular.

The buyer’s fees include the following:

  • 2% acquisition fee
  • 1% recording fee
  • 1% notary fee
  • $3,000 USD attorney fee

Buying through a trust

  • $1,500 set up fee
  • $500 registration fee
  • $500 annual fee

Buying through a Corporation

  • $1,500 set up fee
  • $100 monthly fee

Peso loans through our Mexican banks

Minimum Down Payment:  20%*

Interest Rates – Initial purchase:  9% to 12%*

Interest Rates – Cash outs and refinance:  10% to 16%*

Here’s the catch: you must have your immigration card AND either income derived in Mexico OR a Mexican bank account with at least 3 to 6 months of seasoned deposits (the longer the better) in an amount roughly 2.5 times the proposed monthly mortgage. Also, you need to establish 2 open lines of credit in Mexico.  This is most easily accomplished by getting a Secured Card through your primary Mexican bank and applying for a department store card at Liverpool, Costco, Home Depot, etc. If you do not have these three things already, then it will be at least 6 to 9 months before you would be seasoned well enough to submit a file to the bank and then another 2 months to close; basically approximately 1 year in total before you would be able to close on a property.

  1. Private money mortgages in US dollars. When the US Banks (GE Money, IMI, Compass, etc) pulled out of the Mexican market in 2012, we at Mexlend put our noses to the grindstone and assembled several sources for private money lending. These loan programs are lo doc, exclusive to Mexlend and are granted largely on the value/caliber of the property being financed.  Also, we can use income, residency, and credit history from your home country. You must put at least 35% down and we can usually close in about 4 weeks. Here’s the catch: Interest rates are between 12% and 16%.
  2.  Our “Mejor Oferta” program is specifically designed for Mexican nationals or dual nationals who reside and earn an income in the US or Canada but wish to purchase property in Mexico.  Down payment requirements are typically 10% to 20% for a 20 year mortgage with interest rates at about 9.5%.

***No Prepayment Penalty on either loan genre

***Interest Paid in Mexico is often tax deductible in the US and Canada

***Many buyers use Option 2 above as an “in” to the property and once closed, immediately begin to lay the groundwork to refinance at better rates and terms through Option 1.

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