How to buy Playa del Carmen Real Estate

Playa del Carmen, located in the state of Quintana Roo on the beautiful Caribbean Coast in the heart of the Mayan Riviera, has experienced a huge population growth in recent years. This seems mainly due to the discovery of the once quiet area by foreigners, mostly Europeans and closely followed by Americans. With its beautiful white Caribbean beaches, clear warm turquoise Caribbean waters, gentle waves and stunning coral reefs. Located 68km (42mi) south of Cancun , the warm sub-tropical temperature and sunny clear days throughout the year, make the lifestyle of Playa del Carmen one of relaxed beachside living. Annual temperatures range from 25 to 35 degrees.

Though, real estate in Playa del Carmen is a very lucrative and good long term real estate investment, many factors have to be considered before buying Real Estate in Mexico .

There is a misconception that non citizens cannot buy real estate in Mexico. This is NOT true! Any foreigner or Mexican National can establish a Fideicomiso , equivalent of an American beneficial trust, through a Mexican bank to purchase real estate in Playa del Carmen or for that matter anywhere in Mexico, including the Restricted Zone. For practical reasons, even in unrestricted zones, many foreigners prefer to hold their property under a Fideicomiso.

To do so, the buyer requests a Mexican bank of his choice to act as a trustee on his behalf. The bank obtains the permit from the Ministry of Foreign Affairs to acquire the chosen property in trust.

The Fideicomiso can be established for a maximum term of 50 years and can be automatically renewed for another 50-year period. During these periods you have the right to transfer the title to any other party, including a member of your family.

The bank becomes the legal owner of the property for the exclusive use of the buyer/beneficiary, who has all the benefits of a direct owner, including the possibility of leasing or transferring his rights to the property to a third party or pre-appointed heir.

The trustee is responsible to the buyer/beneficiary to ensure precise fulfillment of the trust, according to Mexican law, assuming full technical, legal and administrative supervision in order to protect the interests of the buyer/beneficiary. Fideicomisos are not held by the trustee as an asset of the bank.

Another alternative is to purchase non-residential property through a Mexican corporation, which under certain conditions can be 100% foreign-owned, with a provision in its by-laws that the foreigners accept being subject to Mexican laws and agree not to invoke the laws of their own country. Also, they agree that the mexico real estate acquired be registered with the Foreign Affairs Ministry and be used for non-residential activities. In other words, under these conditions foreigners can directly acquire properties destined for tourist, commercial and industrial use.