The Cabo Closing Timeline: Day by Day from Accepted Offer to Keys in Hand

45 to 75 Days: What Actually Happens

Every buyer asks the same question: "How long will this take?" And every time, I give the same honest answer: 45 to 75 days if everything goes smoothly, 90 to 120 days if something stalls. The biggest variable is the fideicomiso — the bank trust that allows foreigners to own coastal property in Mexico. Getting a bank to move is the most common source of delays.

Days 1-5: Offer and Acceptance

This phase looks familiar if you have bought real estate anywhere. You make an offer, the seller counters (usually), and you reach agreement. What is different in Mexico:

• The purchase agreement (contrato de compraventa) is the binding document. It specifies the price, deposit amount, closing timeline, conditions, and consequences of non-performance. Have a Mexican attorney review it before you sign — not after.
• Earnest money deposit: Typically 5-10% of the purchase price, held in an escrow account managed by either a title company or the notario. I always recommend a US-based escrow or title company with Mexico experience — it keeps your deposit in a US-regulated account until closing.
• Conditions: Standard conditions include satisfactory home inspection, clear title, successful fideicomiso establishment, and financing (if applicable). Build in a 15-day inspection period.

For a deep dive on purchase agreements, read our purchase agreement guide.

Days 5-20: Due Diligence

This is where the real work happens — and where corners get cut if you are not paying attention.

Title Search (Days 5-15)

Your attorney or the notario conducts a title search at the Public Registry of Property in La Paz (the BCS state capital). The search verifies:

• The seller has clear title to the property
• No liens, encumbrances, or outstanding mortgages
• The property boundaries match the description in the deed
• Property taxes (predial) are current
• No pending legal actions against the property

Consider title insurance — an additional cost of 0.5-1% of purchase price, but it protects against defects the title search misses.

Home Inspection (Days 5-15)

Mexico does not require home inspections, and many buyers skip them. Do not skip it. A certified inspector in Cabo costs $400-$800 and can save you from structural, electrical, plumbing, or waterproofing issues that are expensive to fix.

Our home inspection guide covers what to look for and how to find a qualified inspector in Los Cabos.

Appraisal / Avalúo (Days 10-20)

The notario orders a formal appraisal (avalúo) from a certified appraiser. This appraisal establishes the cadastral value used to calculate the acquisition tax (ISAI) and notario fees. The avalúo is usually lower than the sale price — which is normal and legal in Mexico. The notario uses the higher of the sale price or the avalúo for tax calculations.

Days 15-45: Fideicomiso Setup

This is the phase that tests your patience. The fideicomiso bank trust is the legal mechanism that allows foreigners to own property in Mexico's restricted coastal zone. Two scenarios:

Scenario A: New Fideicomiso (15-30 Days)

If the seller held property through a different structure, or if this is a new development purchase, you need to establish a new fideicomiso. The steps:

1. Choose a bank. BBVA, Santander, Scotiabank, and Banorte all offer fideicomisos. Your attorney or notario will recommend one — but compare fees. Setup costs range from $500 to $1,000 plus annual fees of $500 to $1,000.
2. Submit application and documentation. Passport, proof of address, Mexican tax ID (RFC), and a copy of the purchase agreement. The bank reviews and approves.
3. SRE permit. The bank applies to the Secretaría de Relaciones Exteriores for a permit allowing foreign ownership. This is a formality — permits are rarely denied — but it takes 5-15 business days.
4. Trust agreement execution. The bank prepares the fideicomiso contract, which is signed before the notario alongside the escritura.

Scenario B: Transfer Existing Fideicomiso (10-20 Days)

If the seller already holds the property through a fideicomiso (most common for resale properties), you can assume or transfer the trust. This is usually faster because the SRE permit already exists. The bank substitutes you as the beneficiary, which requires bank approval and documentation but skips the SRE application.

Days 40-60: Notario Preparation

Once the fideicomiso is approved and due diligence is complete, the notario publico prepares the closing. The notario is not your attorney — they are a government-appointed legal official responsible for verifying the transaction, calculating taxes, and registering the transfer. Key tasks:

• Tax calculations: The notario calculates the seller's capital gains tax (ISR), the buyer's acquisition tax (ISAI, 2% in BCS), and their own fees
• Escritura preparation: The public deed of sale, which is the formal legal document transferring ownership
• Fund collection: The notario collects the purchase price and closing costs, either directly or through the escrow company
• Disbursement schedule: The notario prepares the allocation — how much goes to the seller, how much to taxes, how much to fees

Days 55-75: Escritura Signing and Registration

The escritura signing is the closing. All parties (or their representatives with power of attorney) sign the deed before the notario. The notario reads the key terms aloud (yes, out loud — it is a legal requirement), collects the funds, and distributes them according to the schedule.

After signing, the notario registers the escritura with the Public Registry of Property in La Paz. Registration takes 2-4 weeks. You receive a certified copy of the registered escritura, which is your proof of ownership.

Closing Day Checklist

1. Verify the escritura matches the purchase agreement terms
2. Confirm the fideicomiso trust number and your name as beneficiary
3. Verify the property description matches the title search
4. Confirm all taxes and fees match the notario's advance estimates
5. Receive keys, remotes, and access credentials
6. Get the seller's contact information for utility transfers
7. Schedule utility transfers: CFE (electricity), water, internet, cable

For the post-closing checklist — banking, utilities, internet, insurance — see our post-closing setup guide. For the complete closing cost breakdown, read our closing costs guide.

How to Avoid the Most Common Delays

Delay Cause	Typical Impact	How to Prevent
Bank fideicomiso processing	+10-20 days	Start application day 1; choose an experienced bank; follow up weekly
Missing seller documents	+5-15 days	Request full document package in the purchase agreement
Notario backlog (peak season)	+10-15 days	Select notario early; avoid January-March if possible
Wire transfer delays	+3-7 days	Wire funds 5+ business days before scheduled closing
Title defect discovered	+15-60 days	Order title search immediately; get title insurance

The best thing you can do to keep your closing on track: start the fideicomiso application the day the purchase agreement is signed. Do not wait for due diligence to finish. The two processes can run in parallel, and the fideicomiso is almost always the longer one.

For the full legal framework, see our escrow process guide. And for choosing the right notario, read our notario guide.