AUZEN · BAJA CALIFORNIA

Own Property in Baja California.

Legally. Safely. With Full Protection.

A complete guide for U.S. citizens — from ownership structures and closing costs to financing options and step-by-step process.

OWNERSHIP RIGHTS

Yes. Americans Can Own Property in Mexico.

U.S. citizens can legally own real estate in Mexico. The process is more straightforward than most buyers expect — but it requires understanding how ownership works in what Mexico calls the "Restricted Zone."

The Restricted Zone covers any land within 50km of a coastline or 100km of an international border. Baja California falls entirely within this zone — which means ALL Baja properties require a specific ownership structure.

This does not restrict your rights. You retain full ownership: the right to sell, lease, improve, renovate, and pass the property to your heirs. The structure simply determines how that ownership is held.

WHAT YOU NEED TO KNOW

  • 100% legal for U.S. citizens
  • Full ownership rights — sell, lease, inherit
  • Two ownership structures available
  • Notario Público protects every transaction
Baja California is one of the most popular destinations for U.S. buyers — with a thriving expat community in Ensenada, Rosarito, and Valle de Guadalupe.

OWNERSHIP STRUCTURES

Two Ways to Own Property in Mexico

The right structure depends on your goals. For most residential buyers, the answer is clear.

Fideicomiso
Bank Trust
RECOMMENDED

A Mexican bank holds the title as trustee while you retain all beneficial ownership rights. The trust is valid for 50 years and is fully renewable.

  • Full rights to sell, lease, renovate, inherit
  • Beneficiary designation for heirs
  • Renewable every 50 years
  • Required for Restricted Zone residential

COMPARE TRUST BANKS

Scotiabank México
Setup: ~$750 USD · Annual: ~$650 USD/yr
Most used
BBVA México
Setup: ~$900 USD · Annual: ~$700 USD/yr
Citibanamex
Setup: ~$800 USD · Annual: ~$650 USD/yr
Intercam Banco
Setup: ~$700 USD · Annual: ~$600 USD/yr
Best pricing
HSBC México
Setup: ~$850 USD · Annual: ~$700 USD/yr

Approximate figures. Actual fees vary by property value and negotiation.

Auzen works directly with Scotiabank and Intercam. We can introduce you to the right contact to streamline your trust setup.

Mexican Corporation
S.A. de C.V.
FOR INVESTORS

A Mexican company holds title. Used primarily for investment portfolios, commercial properties, or buyers acquiring multiple properties.

  • → Best for investors and developers
  • → Allows multiple properties under one entity
  • → More complex tax obligations
  • → Not recommended for individual residential
If you're buying a home, condo, or vacation property for personal use — the Fideicomiso is almost always the better choice. Ask an Auzen advisor which structure fits your specific situation.

FINANCING

How U.S. Buyers Pay for Property in Mexico

Most U.S. buyers have more options than they realize. Here are the four main paths.

MOST COMMON
Cash Purchase

The fastest path to closing (30–60 days). Gives you the strongest negotiating position and often unlocks seller discounts of 10–15%.

Closing timeline: 30–60 days

AVAILABLE ON SELECT AUZEN PROPERTIES
Developer Financing

Finance directly with the developer — no bank, no credit check, no qualification.

  • 20% DOWN PAYMENT
  • UP TO 60 MONTHLY INSTALLMENTS
  • 15% DISCOUNT FOR CASH PAYMENT
MOST EFFICIENT FOR U.S. BUYERS
U.S. Home Equity

Use equity in your U.S. home to purchase in Mexico with cash. Keep financing in USD with a lender you already know.

Recommended: CrossBorder Mortgage, InterNations, or your existing U.S. bank

NOT RECOMMENDED
Mexican Mortgage

Available but complex for foreign buyers. Requires Mexican credit history, rates of 9–12% in MXN, and lengthy approval.

THE PROCESS

From Search to Keys: Your Buying Timeline

1

PROPERTY SELECTION · Week 1–2

Tour properties, identify your preferred option. Auzen advisors guide you through available inventory and match properties to your goals.

2

LETTER OF INTENT · Week 2

A non-binding offer is submitted. Price and terms are negotiated between buyer and seller.

3

PURCHASE AGREEMENT · Week 2–3

Binding promissory contract (Promesa de Compraventa) is signed. Deposit of 5–10% of purchase price is paid.

4

DUE DILIGENCE · Week 3–6

Title search, property verification, permit review, and legal audit. Auzen coordinates this process on your behalf.

5

FIDEICOMISO SETUP · Week 4–8

Bank trust is established with your chosen Mexican bank. Runs in parallel with due diligence.

6

CLOSING AT NOTARY · Week 6–10

Final payment is made. Deed is signed before a Notario Público. You receive your keys.

DUE DILIGENCE

What Auzen Verifies On Your Behalf

Every Auzen transaction includes a thorough title and property verification. We coordinate with attorneys, notaries, and government registries — so you don't have to.

The most common risk in Mexico real estate is not fraud at closing — it's purchasing a property with title issues. We eliminate that risk before you commit.

  • Clean title — no liens or encumbrances
  • Registered in Registro Público
  • No unpaid property taxes (predial)
  • HOA fees current (if applicable)
  • Utility accounts in good standing
  • Legal use permits verified
  • Survey matches registered boundaries
  • No ejido land classification conflicts

WHY BAJA

The Case for Buying in Baja California

For Retirees
  • 30–50% lower cost of living vs California
  • 90-minute drive from San Diego
  • Year-round mild Pacific climate
  • Thriving international expat community
  • World-class healthcare in Tijuana & Ensenada
For Investors
  • Short-term rental demand growing year over year
  • Valle de Guadalupe wine tourism exploding
  • USD-denominated property appreciation
  • No capital gains tax on primary residence*
  • Ensenada ranked top emerging market in Baja
For Second-Home Buyers
  • Weekend escape — no flight required
  • Pacific coast lifestyle at Mexican prices
  • Growing U.S. buyer community
  • Strong short-term rental income potential
  • Baja Med cuisine and Valle de Guadalupe wine

* Tax treatment varies. Consult a cross-border tax advisor for your situation.

FAQ

Frequently Asked Questions

COST CALCULATOR

Estimate Your Total Buying Costs

Enter your property details for a personalized breakdown of closing costs, annual expenses, and total cash required.

$200,000
Fideicomiso
Bank Trust · Recommended for residential

SELECT YOUR TRUST BANK

Auzen works directly with Scotiabank and Intercam — we can make introductions.

Mexican Corporation (S.A. de C.V.)
For investors & developers · Setup ~$1,500
Direct Deed
Only outside restricted zone
Cash Purchase
Full payment at closing
Developer Financing
20% down · 60 monthly payments
U.S. Home Equity (HELOC)
Finance through your U.S. property
Mexican Bank Mortgage
9–12% interest in MXN · Complex for foreign nationals

YOUR COST ESTIMATE

$200,000 USD

Fideicomiso (Bank Trust) · Cash Purchase

ONE-TIME CLOSING COSTS

Acquisition Tax (ISAI 2%)$4,000
Notary Fees (~1.2%)$2,400
Appraisal$500
Public Registry$400
Legal / Title Search$1,000
Trust Setup$750
Total Closing Costs$9,050

ANNUAL RECURRING COSTS

Annual Trust Fee$650
Property Tax (predial ~0.1%)$200
Total Annual Costs$850

TOTAL CASH NEEDED TO CLOSE

$209,050

Property $200,000 + Closing $9,050

* All figures are estimates based on Baja California averages as of 2025. Actual costs vary by municipality, property type, and negotiated terms. Auzen advisors will provide exact figures for your specific transaction.

GET STARTED

Talk to an Auzen Advisor

No pressure. No obligation. Just honest guidance from people who know Baja.