Would you like to learn more about real estate companies in Mexico? In general, real estate companies worldwide employ individuals to sell properties and find properties for prospective homebuyers and sellers.
In 2023, real estate agents in Mexico are an important part of the country’s economy as the real estate industry is booming. Also called realtors, real estate agents in Mexico perform the job of connecting buyers and sellers of properties for sale.
They oversee many processes and paperwork that is required so that each real estate transaction is completed correctly. Do you dream of buying real estate in Mexico? If you do, you aren’t alone because many expats are investing in vacation homes and second homes in the country.
In the meantime, keep reading more below about real estate companies in Mexico.
Real Estate Companies in Mexico
Over the last few years, the real estate market in Mexico has been really booming. Currently, the real estate forecast for Mexico in 2023 estimates that 13.93 billion dollars will be spent this year on property transactions.
Likewise, that figure is expected to reach 17.07 billion dollars in 5 years which would be a growth of 4.14% from 2023 to 2028. Are you curious why the real estate market is doing so well in Mexico right now? In general, the hot market is driven by the high demand for housing from new residents including nationals and expats who have moved to Mexico.
In fact, prices for new houses make up 40% of Mexico’s total housing market and rose 12.8% in the last year. In addition, Mexico’s largest real estate developers raised their average house prices during 2022, some raising prices by as much as 30%.
Get To Know Villa La Estancia Cabo.
How Can I Find a Good Realtor in Mexico?
Are you thinking, how can I find a good realtor in Mexico? It’s always best to do your research and work directly with an agent or company with a good opinion.
In addition, you can use a reputable property developer that has in-house staff that will assist homebuyers in the purchase process such as Villa La Estancia. Referrals from a friend or family member who has purchased property in Mexico are also helpful.
If you can make sure you hire a professional and trustworthy realtor, the overall home-buying experience will be much better.
Did you know that it is safe to buy property in Mexico for foreigners? While there are a few special rules that need to be followed when buying property, they can legally buy and sell property in Mexico by using a bank trust which we’ll discuss more below.
Lastly, Mexican real estate has a great deal of upside potential and is expected to increase in value over time, especially beachfront real estate.
Check out When to Buy Real Estate in Mexico.
Mexican Real Estate Websites
Mexico does have some real estate websites that are useful tools when searching for property. In terms of real estate websites, some websites in Mexico that are similar to Zillow and Realtor.com from the States include Caribe Luxury Homes, Point2Homes Mexico, and Inmuebles24 México.
Each website has various features that can be adjusted to meet specific buyer preferences and needs. Out of the three, inmuebles24.com ranked number 1 as the most visited Real Estate website in Mexico in May 2023. Vivanuncios.com.mx and lamudi.com.mx are additional popular real estate websites in Mexico, too.
Likewise, there is an MLS system in Mexico, but it does not have all the available listings usually found on sites like Zillow or Realtor.com in the States.
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Bank Trust Info for Foreigners
In order to legally own property in Mexico that is at the beach or close to a border, foreigners must set up a bank trust to hold title to their property. Also known as a fideicomiso, the legal life of the faith is for 50 years and can be renewed.
Typically, Fideicomisos cost about $1600 dollars to set up, and around $600 dollars a year to maintain. In terms of realtor fees, Mexican realty agents tend to charge between 5% and 8% of the home’s sale price for their commission.
In addition to realtor fees, a Mexican sales tax (IVA) of 16% will also be charged to the total amount. For example, if the agent’s commission is 5%, the total tax-inclusive payment will be 5.80% of the final sales price.
As far as real estate taxes in Mexico, a Property Acquisition Tax (ISAI) must also be paid when buying property. While these tax rates vary by Mexican state, the cost ranges from 2% to 5% of the total property value.
We hope you enjoyed this article about real estate in Mexico. If you want to buy a home of your own, check out properties in top coastal destinations such as Puerto Vallarta and Cabo San Lucas. We are happy to offer homebuyers a unique hotel-condo concept property known as Villa La Estancia.
Our solidly constructed development is an award-winning resort and also has a limited number of private beachfront residences for sale, too. Homeowners love having their very own home at the beach, along with access to world-class resort amenities and services.
We have multiple pools, jacuzzis, a spa, a fitness center, delicious onsite restaurants, room service, and so much more.
Contact us today to schedule a property tour with our in-house realty team if you are in the market for a vacation home at the beach. Your dream home in paradise is only missing you!