Has anyone bought a non-resort timeshare/fractional condo in Mexico?

[Khanfuzed1]

Hey guys looking to see if anyone has gone the non-resort route for like a timeshare-esque ownership arrangement for a nice apartment or condo in the center of town. Maybe Playa Del Carmen or Tulum?

I'm very curious what your experience was like

 

[Passepartout]

You should be aware that property ownership by foreigners in Mexico has special requirements. When I considered it and did some looking into it, the foreigner has to set up a trust in a Mexican bank, which actually holds the deed and the foreigner pays the bank. Before entering into such an agreement, you should consult with a Mexican law firm that specializes in such transactions.

 

[Khanfuzed1]

You should be aware that property ownership by foreigners in Mexico has special requirements. When I considered it and did some looking into it, the foreigner has to set up a trust in a Mexican bank, which actually holds the deed and the foreigner pays the bank. Before entering into such an agreement, you should consult with a Mexican law firm that specializes in such transactions.

Thanks for the heads up and totally agree. It's called fideicomiso (the bank trust needed for property within 100mile of coastline). It's a fairly straightforward process legit realtors/RE attorneys deal with. You can also own interest in a business as a foreigner that holds property, which changes that relationship a bit.

 

[bjones9942]

No. No. No. No. No.

The restricted zone in México is: within 50 KILOMETERS of a coast, or 100 KILOMETERS of a border. Non-citizens CAN own property freely outside that area without a fideicomiso. If you don't want a fideicomiso you can create a corporation in México (with you as the owner) and have the company own the property. This will create annual filing requirements and possible tax obligations - so it's not as convenient as people make it sound. Fideicomiso's are issued for a term of 50 years, and are renewable. The bank is owner in name only and has no rights to the property as long as you're current on your fees. YOU, on the other hand, have free reign over what you can do with the property. And when you die, it will go to whomever you named in your documents - and they can renew the fideicomiso as well.

Also recognize that México has absolutely no requirement for real estate agents to be trained or licensed. Notaries on the other hand are part of the legal structure and do much more here than their counterparts in the USA.