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Mexico’s Foreign Investment Law allows foreigners to acquire title to land in the restricted zone by one of two methods: through a Mexican corporation or through a bank trust (Fideicomiso). The Fideicomiso bank trust is mainly used to hold real estate owned by foreign investors and homeowners. Many foreigners wanting to enter the Mexican Real Estate market may find this arrangement somewhat confusing than what they are used to in their home country. With the proper guidance and knowledge, many foreigners find this Mexican requirement to be less of a challenge and more lucrative given the best advice. We work with our clients to understand the local laws and U.S. tax requirements up front before investing in Mexico.
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