Yes, a foreigner can own Real Estate Property in Mexico. A foreigner can buy, sell, lease, develop and even run a business with Real Estate in Mexico. However, if the Real Estate is within 50 kilometers from the coastline (aprox. 31 miles) or 100 kilometers from an international border (aprox. 62 miles), it is in a restriction zone and a foreigner must own it either through a Bank Trust, called a Fideicomiso, or through a company. Nevertheless, the foreign owner has complete ownership rights in either one of these cases.

Owning property in Mexico through a Fideicomiso (Bank Trust) grants foreigners full ownership rights. However, the property title remains in the name of the trustee bank. Typically, real estate trusts for foreigners last 50 years but can be easily renewed. The foreigner can sell, inherit, transfer, or donate the property rights at any time. The trustee bank usually charges a reasonable yearly fee.

No, a foreigner can create a Mexican company that would acquire the property in this location. There are several types of companies that a foreigner can create either for the sole purpose of purchasing Real Estate within the “Restriction Zone” or in order to do business in Mexico. A Mexican company, even if it is created by a foreigner, is a Mexican entity and can purchase Real Estate and do business in Mexico just as a Mexican citizen can. Also, a Mexican company can buy as many properties as it wishes. This is an ideal way to start a business in Mexico.

A Mexican company, even if it is created by foreigners is, for all intents and purposes, a Mexican entity and as such, is subject to the same rights and obligations as any other Mexican company. This means that it may purchase and operate as many properties as it deems convenient, but must also keep accounting records, pay all applicable taxes, and annually report activities to the federal government. However, the company will also be able to deduct applicable operating expenses.

No, a single company can acquire multiple properties in Mexico.

An ejido is an extension of land granted by the federal government to a community for communal use, traditionally intended for agricultural purposes. The ejido is divided into plots assigned to individuals within the ejidal community. The ejido has its own governing body called a “Comisariato Ejidal” and the ejido holds yearly assemblies to decide issues pertaining to or affecting the ejido.