Yes. U.S. and Canadian buyers can own property in Cabo through a Fideicomiso (bank trust), which grants full ownership rights including selling, renting, remodeling, and passing the property to heirs.
A Fideicomiso is a renewable 50-year bank trust authorized by the Mexican government that allows foreigners to own property in coastal zones. You are the beneficiary and retain full control of the asset.
No. Residency is not required to purchase property in Cabo, though it can be beneficial for tax planning and long-term stays.
Yes—when you work with qualified real estate advisors, licensed notaries, and conduct proper due diligence, the process is secure and well-established.
The typical process includes:
1. Choosing a trusted advisor
2. Making an offer
3.Due diligence and Fideicomiso setup
4. Closing with a notary/attorney
5. Title registration and deed issuance
Closings typically takes around 90 days, though in some rare cases they may take a bit longer depending on the type of property and the various factors involved.
A trusted Closing Attorney manages the legal process, ensuring full compliance, clear title verification, and proper registration. They work closely with qualified inspectors and other professionals to ensure a smooth and secure transaction.
Buyers should budget 4–6% of the purchase price, which includes:
- Acquisition tax (~2%)
- Notary and legal fees
- Trust setup fees
- Registration costs
No. Annual property taxes (predial) are relatively low compared to the U.S. and Canada.
Yes, but there are strategies to reduce it. Working with a cross-border tax advisor is essential.
Yes, but options are limited. Financing is typically available through private or cross-border lenders, and terms are shorter with higher rates than in the U.S. or Canada.
Most luxury buyers pay cash. Financing is more common in pre-construction purchases, where developers may offer flexible payment terms.
It depends on the community. Some allow short-term rentals, while others restrict them. Always verify rental policies before purchasing.
Yes. Cabo offers strong potential due to:
- High tourism demand
- Luxury rental market growth
- Limited beachfront inventory
- Infrastructure expansion
Key factors include:
- Location (beachfront, marina, golf)
- Community rental rules
- Property management strategy
- Seasonality trends
Options include:
- Beachfront villas
- Ocean-view condos
- Branded residences (Four Seasons, Montage, etc.)
- Pre-construction homesites
HOA fees typically range from $600 to $2,500+ USD/month, depending on amenities and services.
Expect:
- HOA governance
- Club memberships (sometimes mandatory)
- Rental restrictions
- Architectural guidelines
These maintain property value and exclusivity.
Yes. The Fideicomiso allows you to name beneficiaries and transfer ownership without probate
- Gated communities: amenities, security, managed services
- Standalone homes: more flexibility, fewer restrictions
Your choice depends on lifestyle and investment goals.
- Skipping due diligence
- Assuming rental rights
- Underestimating closing costs
- Choosing the wrong agent
- Ignoring post-purchase planning (tax, management, insurance)
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