v256.0 · real-estate · MX · verified 2026-04
Mexico real-estate market
Real-estate market in Mexico for foreign buyers — ownership rules, residency-by-investment, average prices, mortgage availability, transaction costs, rental yields, top brokerages, recent regulatory changes.
Market size
USD 350B+ residential market (2024)
Currency
MXN
Foreign-buyer access
Foreigners CAN purchase property in most areas directly · Restricted Zone (within 50km of coast, 100km of bor...
Rental yields
Mexico City: 4-6% gross · Tulum: 6-10% (vacation short-term highest) · Puerto Vallarta: 5-8% · Mérida: 5-7...
Ownership rules + RBI pathway
| Foreign-buyer rules | Foreigners CAN purchase property in most areas directly · Restricted Zone (within 50km of coast, 100km of borders) requires Fideicomiso bank trust (50-year renewable) for residential or Mexican corporation for commercial · Notario Público mandatory for transfer |
| Residency-by-investment | Permanent Resident via investment route (real-estate >USD 290,000 / business >USD 290,000) · Temporary Resident via passive income (USD 4,300+/month income or USD 73,000+ savings) — 4 years convertible to PR |
| Regulator | Registro Público de la Propiedad (state-level) · CONDUSEF (financial services) · SHF (housing finance) |
Average prices
| Capital city | Mexico City Polanco/Lomas: USD 4,000-9,000/sqm · Roma/Condesa: USD 3,200-6,500/sqm · Coyoacán/San Ángel: USD 2,800-5,500/sqm |
| Secondary markets | San Miguel de Allende: USD 2,500-5,500/sqm · Puerto Vallarta: USD 3,000-7,500/sqm · Tulum: USD 3,500-9,000/sqm · Mérida (Yucatán): USD 1,500-3,500/sqm · Cabo: USD 4,000-12,000/sqm |
| Rental yields | Mexico City: 4-6% gross · Tulum: 6-10% (vacation short-term highest) · Puerto Vallarta: 5-8% · Mérida: 5-7% · Vacation-rental licensing tightening 2024 |
Mortgage + transaction costs
| Mortgage availability | Foreign-buyer mortgages: BBVA, Banorte, MoneyHerald, Global Mortgage 50-65% LTV (USD-denominated) · Rates 7-10% · Most foreign buyers pay cash |
| Transaction costs | Acquisition tax (ISAI/ISABI) 2-4% state-specific · Notario 1-2% · Lawyer 1% · Trust setup (Fideicomiso) USD 1,500-2,500 + annual USD 500-700 · Registry 0.5-1% · Total ~5-9% |
| Top brokerages | Inmuebles24, Vivanuncios (portals) · Coldwell Banker Mexico, Re/Max Mexico, Century 21 Mexico, Sotheby's, EXP Realty |
Recent changes (2023-2026)
2024-25: Sheinbaum administration (Oct 2024+) housing affordability agenda · Fideicomiso fee transparency rules · Vacation rental licensing tightened in Tulum, Mexico City Roma/Condesa, Cabo · CFE (electric) connection delays in some growth zones · Peso volatility USD/MXN 17-20 range 2024
Strengths
- NAFTA/USMCA proximity to US — strong rental demand from US/Canadian retirees + digital nomads
- Strong short-term rental yields in tourist hubs (6-10%)
- Permanent Resident via real-estate investment USD 290K
- Lower entry price than Sun Belt US
- Mature legal framework (Notario + Registro)
- Property purchase enables relocation visa
Drawbacks
- Restricted Zone Fideicomiso trust 50-year renewable adds USD 500-700/year
- Notario costs 1-2%
- Peso volatility USD/MXN
- Some development areas infrastructure (water, electric) catching up
- Vacation-rental licensing tightening
- Some areas security perception affects resale
Source: official Mexico regulator page · Last verified 2026-04
See also: Mexico country profile · real-estate atlas