Trust Services: Essential requirement for foreigners who acquire a property in Mexico
The theme of the Trust is exclusively for foreigners who want to acquire a property in restricted areas. It is considered restricted zone 50 km to here from the coastal sea, and 100 km down from the border in places with greater tourist attraction, as it is Quintana Roo and especially the Mayan Riviera. This is a restricted area where foreigners can acquire a property but as long as it is through a permit granted by the Secretaría de Relaciones Exteriores (SRE), this of course, to regulate foreign investments. For a foreigner, the only legal way to register your property is with this permit and the only way to be under your name with Trust services.
Today many people sell their services, instead of advising, misguiding their clients when informing them that there are other ways of acquiring a property without the need of a Trust. They recommend to potential buyers to set up a company to avoid making the Trust, which is very risky because, if at any time, they come to seize the company or any other situation, they will immediately take away the property. Instead, if they have the property with a Trust with CAF Mortgage Advisers, the property and its owner will be protected in all legal acts, litigation, claims, etc. So we reiterate that the only legal way to register your property is, so far, the Trust.
The permit lasts for 50 years and is required to pay anual fees for the administration of the property, its transact lasts between 5 and 8 days, and a beneficiary can be designated in the same contract , to whom the property is given without trial in case of owner´s death.
-What if I have my Trust and I´m naturalized as a Mexican?
If you no longer need the Trust then it is extinguished and you are given a new title deed as Mexican. You stop paying annual fees.
-If I buy 5 properties do I have to make 5 Trusts or with one is enough?
You need 5 Trusts, one for each property but you can do in a single title deed for the 5 units.
-What if I sell my house?
The trust is also extinguished. If it is sold to another foreigner then the same permission can be used by making a transfer of rights (renaming).
This process can not be done by anyone, it is exclusive to banks. The importance of doing this with a specialist such as Lic. Azahel Dominguez, Commercial Director of CAF and his team of advisors such as Lic. Nicolás Lara is that the buyer will be supported by a company whose main objective is to work “For a safe heritage”.
– Proof of residence in your country.
– Migratory form.
If you have more doubts, contact us or visit:
FB: CAF Mexico