The most popular way is by far also the best way. Non-Mexican nationals prefer to own Baja real estate using the highest form of ownership that is possible for them. They use an instrument called a fideicomiso to do this.

Where are all these non-Mexican nationals coming from who are buying up all this Baja Real Estate?

Many of the buyers of Baja real estate come from all over the United States, Canada, Japan, many European countries, England, and beyond.

What is the first thing I should do before I make an offer on a Baja home or land?

Check to see that the sellers are the owners. The sellers should be able to produce either an escritura publica, or a fideicomiso.

What are the different ways to control land in Baja California, Mexico?

You can control land using a fideicomiso or escritura publica, corporation, or lease.

What is the 99 year thing that we have always heard about but never understood?

There is no 99 year lease. It is a myth. The only way to control a property for that long is using a fideicomiso, escritura publica, or corporation. Even a lease is limited to 10 years. All lease agreement greater then 10 years are invalid and non enforceable.

Why would I want to use a corporation to buy Baja real estate?

Investors use Mexican corporations to acquire Baja real estate when they don’t plan on using the property for their own personal enjoyment. These investors use a Mexican corporation to be able to deduct expenses against their gains. Also a Mexican Corporation has the advantage the it can hold title to many properties at once, which can be a savings over having multiple fideicomisos.

Many developers are offering to put my unit in their rental pool if I buy from them. They say that the vacation rental money that I earn through their rental program will cover the monthly payment. Is that true?

Most likely not. You might get vacation rental revenue to cover your mortgage payment during the high season months, but not the whole year. Some developments are in position to do better as a vacation rental then others.

What is the land lease property situation like in Baja California?

Land leases are not for everyone, but for some casual visitors to Baja, the fit might be right. You don’t own the land, you lease the land for 1 to 10 years, and then you put up whatever it is that you want to live in when you visit. At the end of the lease, you hope you get the lease renewed, and generally, land owners are renewing their leases. You can also sell your house and transfer the remaining time on the lease, depending on the terms with the landowner.