How to buy land in Mexico as an American

Mexico is popular for foreigners looking to build their own homes abroad. It’s full of beautiful beachfront views and affordable land plots, with a vibrant culture for Americans moving overseas.

But can US citizens buy land in Mexico? We’ll take a look at everything you need to know, including tax implications, getting financing, and how to buy a piece of land in Mexico.

We’ll also look at Wise – your international transfer alternative. Send and spend your money across the globe with just the touch of a button. Let’s dive in!

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Table of contents
Can Americans buy land in Mexico? How much is an acre of land in Mexico? Taxes and costs to own land in Mexico Buying property abroad? Send money the hassle-free way with Wise How to find plots of land for sale in Mexico How to buy land in Mexico: step-by-step Financing options for buying land in Mexico

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Can Americans buy land in Mexico?

US citizens can buy land in Mexico, but there are some legal and financial nuances to understand before you get started.

🚨 The Mexican government doesn’t let foreigners own land within 50km of the coastline or 100km of an international border. However, you can still own land in these restricted areas by getting a fideicomiso.

This is a trust arrangement with a Mexican bank. Technically, the bank will hold the legal title to the land on your behalf, but you’ll still maintain use of it.¹

If you want to build on your land, you’ll also need to consider any local building regulations. For example, land near protected environmental areas may need additional permits before you can go ahead with your purchase.²

You can also buy property in Mexico as an American. However, if you want to live in the country, you’ll need to apply for a visa. There are a range of different visas for foreigners, including work visas, retirement visas, and study visas.³

Does buying land in Mexico make you a citizen?

No, buying land or property doesn’t automatically grant you residency or citizenship rights in Mexico. You won’t need a resident visa to buy land in Mexico, but you’ll need one to live in the country.⁴

If you want to move to Mexico permanently, you may be able to qualify for citizenship by naturalization once you’ve lived in the country for at least 5 years.

You’ll also need to take a naturalization exam to prove your knowledge of Mexican culture and test your Spanish language skills.

You can qualify for dual citizenship in Mexico. This means you may not have to give up your US citizenship rights to get Mexican citizenship.⁵

How much is an acre of land in Mexico?

So, how much is land in Mexico? Land prices in Mexico can depend on location, local infrastructure, and the type of land you want to buy.

Here’s a look at some popular locations:

Location	Cost of land²
Puerto Escondido	30,000 USD to 100,000 USD per acre
Mazatlán	40,000 USD to 120,000 USD per acre
Yucatan State	Up to 150,000 USD per acre

Coastal land is typically more expensive than inland locations. This is because the land is in high demand – and popular tourist destinations are pricey for foreign investors.

For example, Yucatan State is a coastal location popular with Americans who want to retire in Mexico, making it a pricier option.²

Taxes and costs to own land in Mexico

You may need to pay a few fees and taxes for your purchase, including Mexican property taxes and trust charges.

If you want to buy restricted land in Mexico, you’ll need to pay for a Mexican bank trust. A fideicomiso typically costs up to 1500 USD per year.⁶ Most trusts are in place for 50 years, so these costs can really add up over time.¹

You may also need to pay property taxes for your Mexican land purchase. Known as predial, these taxes are levied annually based on the value of your property¹ – and the rate tends to range from 0.1% to 1%.⁶

If you don’t want to open a bank account in Mexico, you’ll need to consider how much it costs to convert from USD to MXN for your land purchase.

Most US banks will add a markup to the standard ‘fair’ mid-market exchange rate for foreign currency transfers. This means you may end up paying more than expected for your Mexican land plot.

How much does it cost to build on Mexican land?

If you want to build a home in Mexico, you’ll also need to consider building costs, construction materials, labor costs, and consulting fees.

The cost of your home may depend on where you want to buy your land. For example, building a home in a big city like Mexico City may cost 70,000 USD to 150,000 USD.⁷

In comparison, building costs in smaller towns or villages may be closer to 50,000 USD to 100,000 USD.⁷

You may also want to work with a local building contractor or solicitor to build your home. Permit fees can range from 1000 USD to 5000 USD.⁷ You’ll need to add all these costs to your budget.

Buying property abroad? Send money the hassle-free way with Wise

Now that we covered some of the basics, the only question left is: how to send money to pay for your property overseas?

Wise offers you a quick, secure and transparent way of sending money to Mexico. You get the mid-market exchange rate for your payments and see how much it’s charged for the transfer before sending the money from your bank.

With the Wise Account you can also hold 40+ currencies, spend money in 150+ countries, and receive like a local in 9 different currencies.

Get started with Wise

Please see Terms of Use for your region or visit Wise Fees & Pricing for the most up-to-date pricing and fee information

How to find plots of land for sale in Mexico

There are a few different types of land in Mexico – and you’ll need to choose the right plot for you.

If you want to build a vacation home, coastal locations like Cancun may be best. However, this land can be more expensive as it’s very popular with tourists.

If you’re looking for an investment opportunity, somewhere like Mazatlán may be a better choice, as this area has recently experienced a lot of government investment.²

Tips to find land for sale in Mexico:

• Search for plot listings online
• Attend auctions for land parcels
• Take a drive around your dream location to look for available plots
• Work with a Mexican real estate agent who specializes in land purchases
• Ask local communities for advice and support

Resources like Global Listings® and Land Hub® can help you find plots of land or properties for sale in Mexico.

How to buy land in Mexico: step-by-step

Mexico is a beautiful country full of culture, history, and exciting job opportunities for American citizens.

Let’s take a look at exactly how to buy land in Mexico as an American – your step-by-step guide.

1. Find your land plot

First, you’ll need to find your Mexican land plot. Think about exactly what you’re looking for. Do you want to build a property for retirement? Do you want to invest in a local community? Do you want to use your land for farming?

You may want to work with a real estate agent in Mexico to find the right land for you. Your agent can also help you navigate the purchase process.

2. Identify if your land is restricted

You’ll need to identify if your land is in a restricted zone, namely land within 50km of the coastline or 100km of an international border.

Foreigners aren’t allowed to buy land in these areas, but you can use a bank trust to complete your land purchase. Known as a fideicomiso, the bank will act as the trustee for your land.

You can still use or sell your land plot, but this route ensures you don’t break the law. These trusts tend to have a fixed term of up to 50 years. You should be able to renew your trust or transfer it to another beneficiary at any time.¹

If your land isn’t in a restricted area, you won’t need a trust. However, you may want to work with a real estate agent, solicitor, and notary to ensure you meet any legal requirements.¹

3. Conduct a land appraisal

Before going ahead with your land purchase, you’ll need to do your due diligence. Conduct a land appraisal to flag any problems, such as soil damage or environmental concerns.

If you plan to build on your land, make sure you have access to basic facilities like water, gas, and electricity.

You’ll also need to do a full title search for your land. This can help you verify who owns the land – and you can follow the correct legal procedures to buy it.

🚨 Look out for ejido land. This is land owned by local Mexican communities – and foreigners can’t typically buy it. Conduct title verification for your land to ensure it’s available to buy.²

4. Speak to a solicitor

You’ll need to speak to a solicitor before completing your Mexican land purchase. A legal professional can ensure you have all the correct documentation – and they can help you comply with the law.

You or your legal support may need to register your land acquisition before the Registro Público de la Propiedad. Each state in Mexico has different regulations about how to officially register your purchase.⁸

Financing options for buying land in Mexico

Some banks and lenders may offer a mortgage to finance your land purchase. However, you’ll need to confirm exactly how you can spend your money, as some loans may only cover the cost of building property.

Not all lenders offer land mortgages, so make sure to do a bit of research before going ahead with your Mexican land purchase. You may also be able to access a local grant for your land investment.

You can pay for your plot outright if you have the money saved up. This is a good option if you’re buying land in an affordable location or if you don’t plan to build on your plot.

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Mexico is an appealing destination for Americans who want to build their own vacation homes or try out a new way of life.

However, you’ll need to follow the correct procedures to complete your Mexican land purchase. You’ll also need to look into any fees, taxes, and costs for your plot – and it’s important to factor in exchange rate charges.

To explore your low-fee global spending, check out Wise.

Sources

1. Riviera Maya Cozy - Can an American buy and own land in Mexico?
2. Mexico Living - How much does 1 acre of land cost in Mexico?
3. Visa Guide - Mexico visa types
4. Tao Mexico - If I purchase a property in Mexico, do I need a temporary resident visa to live in the country?
5. Get Golden Visa - How to get dual citizenship in Mexico
6. Mex Home - Buying a property in Mexico
7. Mexico Living - How much does it cost to build a 3-bedroom house in Mexico?
8. CMS Law - Real estate finance law in Mexico

Sources checked 02/18/2025