Legal Consultancy for Foreign Investment in Mexico

 Our lawyers have years of experience in Mexican law. Offering our clients an individualized and cost effective service.

 Located in Puerto Vallarta, made up of bilingual lawyers who work under the strictest international standards of ethics and professionalism.

 The firm's mission is to provide foreign investors with a comprehensive legal solution when they are looking to do business in Mexico.

 OUR MAIN OBJECTIVE is to help our clients protect their investments throughout a Real Estate transaction with peace of mind.

 Discover the experiences of real estate professionals and clients who have benefitted from Grupo Nar's exceptional services. These testimonials reflect our dedication to delivering seamless transactions, navigating the complexities of the Mexican real estate market, and ensuring client satisfaction at every step of their property buying journey.

 A third party (escrow company) collects the funds from the buyer, verifies and confirms the buyer’s identity, holds these funds in a protected and insured account, and will release them only as both parties agree. The escrow agreement governs legally binding contractual commitments for each party, including conditions for release of funds.

 Sellers often fear that they won’t get paid until the transaction is complete. An escrow account is a tool that addresses this concern.

 When you’re buying a property in Mexico, one of the biggest concerns for sellers is that they won’t get paid until the transaction is complete. In other words, they fear that you might back out or disappear with their money. An escrow account is a tool that addresses this concern.

 Escrow accounts are banks or financial institutions that are appointed by both parties in a transaction (the buyer and seller) to hold funds on behalf of both parties until certain conditions are met according to an agreed-upon contract. The funds can be released only as both parties agree.

 A third party (escrow company) collects the funds from the buyer, verifies and confirms the buyer’s identity, holds these funds in a protected and insured account, and will release them only as both parties agree.

 An escrow account (sometimes referred to as a trust account) is a third party that holds the money until all conditions are met. In this case, it’s the buyer who deposits their funds and the seller who receives them.

 After receiving these funds from the buyer, they will then verify his or her identity as well as other important details before sending them to an international escrow company for safekeeping until all conditions have been met by both parties. Once this is done, you’ll instruct us on how much money should be released from the protected account to your client upon full payment of their home purchase – no matter where they live in the world!

 The escrow company can also verify that all items on the checklist for closing are completed before releasing funds to the seller.

 An escrow agreement is a contract between the buyer, seller and escrow company. It sets out the terms of the transaction and specifies when and how funds will be released. If any party breaches their obligations under an escrow agreement, it may be able to recover its losses through damages or injunctive relief.

 When you use an escrow account you will know exactly what is happening with your money at every step along the way, who has it, and when it can be released to whom.

 When you use an escrow account you will know exactly what is happening with your money at every step along the way, who has it, and when it can be released to whom.

 When each party involved in a real estate transaction holds their funds in escrow accounts, they can be confident that their interests will be protected throughout the process. Escrows are especially useful for buyers because they provide a safe place for funds until certain conditions have been met and all parties agree on payment arrangements before releasing any money from escrow accounts.

 Foreign buyers have good reasons to be wary of property transactions in Mexico where large sums of money are involved so an escrow account will provide comfort in knowing that your funds cannot be accessed without your permission by anybody else!

 If you’re a foreign buyer, escrow accounts provide comfort in knowing that your funds cannot be accessed without your permission by anybody else!

Mexican Real Estate Law

 The escrow company will hold the funds until the agreed upon conditions are met: The property has been delivered, its condition is satisfactory, and all payments have cleared.

 If you’re planning to buy, sell or lease a property in Mexico think about using an escrow account.

 When it comes to real estate purchases in Mexico, one of the most exciting markets is undeniably its majestic and world-renowned coastal regions. However, as a foreigner, buying property in these restricted zones (within 50 kilometers of the coastline and 100 kilometers from international borders) can appear to be a complex and somewhat daunting task due to Mexico’s federal laws. Fortunately, there’s a solution designed to ensure a smooth and secure property acquisition process for foreigners in these coveted areas — The Fideicomiso, also known as the Mexican Bank Trust.

 A Fideicomiso is a real estate trust that a Mexican bank (the Trustee) holds on behalf of a foreign buyer (the Trust Beneficiary). This trust arrangement was established by the Mexican government in 1973, as a way to encourage foreign investment while still adhering to the restrictions imposed by Mexico’s constitution.

 The foreign buyer is the beneficiary of the trust, and although the bank holds the title, it’s the buyer who holds all property rights, including the right to sell, rent, renovate, or pass it on to heirs. This arrangement effectively gives the foreign buyer control over the property, while the Mexican government ensures the constitution’s rules are observed.

 The process of acquiring a Fideicomiso comprises several steps, each carefully designed to ensure legality and security for the foreign buyer. Below is a more detailed overview of this process:

 Choose Your Property and Agree on Terms: The first step, of course, is to find a property you wish to purchase and agree on the terms of sale with the seller. This part of the process may involve negotiation and inspection of the property.

 Choose Your Property and Agree on Terms: The first step, of course, is to find a property you wish to purchase and agree on the terms of sale with the seller. This part of the process may involve negotiation and inspection of the property.

 Apply for a Permit: After the purchase agreement, the buyer needs to secure a permit from Mexico’s Ministry of Foreign Affairs (Secretaría de Relaciones Exteriores). This is a formal recognition of a foreigner’s intention to acquire Mexican property in the restricted zone and is necessary for the bank trust setup.

 Select a Trustee: The buyer must select a Mexican bank to act as the trustee. The trustee is responsible for holding the property on behalf of the buyer, ensuring compliance with Mexican law.

 Establish the Trust: Once the permit is obtained, the bank, the buyer, and the seller enter into a trust agreement. This involves the seller transferring the property’s title to the bank, which then holds it in trust for the foreign buyer.

 Define the Beneficiaries and Substitute Beneficiaries: The trust agreement will name the buyer as the primary beneficiary, who controls the property and benefits from its use or sale. It will also include substitute beneficiaries who would become the primary beneficiaries upon the death of the original buyer. These substitute beneficiaries are typically heirs, avoiding the need for probate.

 Manage the Trust: The Fideicomiso allows the buyer to manage the property as they see fit, whether that means making improvements, renting it out, or even selling the property. The bank’s role in day-to-day management is minimal.

 Renew the Trust: Fideicomiso lasts for 50 years but can be renewed indefinitely. The beneficiary should begin the renewal process well ahead of the expiration date to avoid potential legal issues.

 In essence, the Fideicomiso allows a foreign buyer to exercise all the rights of property ownership in Mexico’s restricted zones without violating the provisions of the Mexican constitution. This trust structure offers a secure and legal framework for foreigners who wish to enjoy the beauty and investment potential of Mexican real estate.

 Property Rights: As the trust beneficiary, you hold all the rights to the property. This includes the ability to sell, lease, mortgage, or pass the property to your heirs.

 Asset Protection: The property held in a Fideicomiso is not considered an asset of the bank. If the bank faces financial trouble, your property is safe.