Frequently Asked Questions
Answers about buying and investing in Los Cabos.
With deep experience as a renowned luxury property agency, Ramar offers the resources and guidance to help you buy and invest in Los Cabos with confidence. Below are the questions we hear most often.
What taxes do I pay in Mexico when I buy a property, and at what percentage?
The applicable percentages vary by transaction. Your advisor will provide the full breakdown of taxes and rates for the specific property and operation you are considering.
How long does it take to receive the property I choose and to make the first payments?
The estimated time to receive the property can vary depending on the speed of the parties involved — notary, public registry, ministry of foreign affairs, escrow and closing company, and others. It typically ranges between 1 and 4 months, depending on each operation.
Can I pay for a house in cash?
Payment is made into escrow through a bank transfer, since there must be a clear record of the deposit made into the escrow account.
Do I or the seller pay the taxes?
All taxes are paid by the buyer, with the exception of the ISR (income tax), which is paid by the seller.
How profitable are properties in Los Cabos?
Cabo enjoys strong capital appreciation and is a destination in constant growth and development. A property's profitability will depend on its characteristics and location. As one of the top 10 tourist destinations in the world, where rents can be charged in pesos or dollars, returns through platforms such as Airbnb — as well as medium- and long-term rentals — are very viable in Cabo.
When can I start building on a plot of land I bought within a development?
To build a house, you first need the land. After completing the deed and the transfer of title, you will need an architect or engineer to draw up the plans for the property. A typical timeline looks like this: preliminary studies, 1–2 months; basic and execution project, 5–6 months; license approval, from 1 week to 1 year; contractor search, 1–2 months; construction works, 6–10 months; and final procedures and documentation, 1–2 months.
How long does it take for the notary to sign the sale?
A typical closing timeline runs as follows: Day 1, offer accepted; Days 2 to 15, processing period; Day 15, initial deposit; Days 16 to 60, transfer of title; Days 60 to 65, final procedures and closing.
Once we sign at the notary, how soon can I move into my new home?
Once the deed is signed before a notary, the seller hands over the keys to the property to the new owner.
If the house has defects, do I or the seller pay to fix them?
A home inspection is carried out, paid for by the buyer. If defects are found, the repairs can be negotiated through an addendum between buyer and seller. Once both parties agree, the document is signed and the terms set out in the negotiation must be honored.
If I cannot attend the notary to sign, can someone else sign even though the money comes from my account?
Yes. This can be done through a Power of Attorney, in accordance with the Ministry of Foreign Affairs. It is a document issued before a notary public through which you authorize a person you trust to act on your behalf in various administrative and legal procedures in Mexico — such as buying, selling, deeding or managing properties; withdrawing money and managing bank accounts; registering minors; and participating in legal proceedings, among others.