FAQOwnership & Legal
Ownership & Legal

Can I buy property in Mexico with a US LLC or corporation?

Quick Answer

Not directly for residential property in the restricted zone. A US LLC cannot hold a fideicomiso. However, you can form a Mexican corporation (SA de CV or S de RL) to hold commercial property. For residential purchases in Los Cabos, the fideicomiso trust in your personal name is the standard and preferred approach.

Detailed Answer

A US LLC or corporation cannot directly hold a fideicomiso for residential property in Mexico's restricted zone. The fideicomiso trust system is designed for individual beneficiaries — natural persons — and Mexican law does not recognize foreign entities as eligible trust beneficiaries for residential coastal property. This is a critical distinction that catches some buyers off guard, and it is something our team clarifies early in the buying process.

For commercial property in the restricted zone, the approach is different. A Mexican corporation (SA de CV or S de RL) can hold direct title to commercial real estate without a fideicomiso. This structure is used for hotels, restaurants, retail spaces, and mixed-use developments. Setting up a Mexican corporation takes 2-4 weeks and requires a Mexican tax ID (RFC), articles of incorporation, and registered agent services.

For residential purchases in Los Cabos — whether a vacation condo, beachfront home, or investment property — the fideicomiso in your personal name remains the standard, most cost-effective, and legally preferred approach. Your attorney can advise on the best structure for your specific situation. Contact our team or explore our community guides to start your search.

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