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Everything you need to know about buying and selling real estate in Mexico, Puerto Vallarta, and the Banderas Bay region

How Mexico Compares to US & Canada

Buying Pre-Construction: Cash vs Mortgage

Thinking of buying a pre-construction condo in Puerto Vallarta or Riviera Nayarit? As Mexico real estate is largely a cash market, here’s what you should know about the financing of new development projects in Mexico as compared to the US and Canada.

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Condominium Ownership in Mexico

9 Tips for Successful Condo Living

For most of you who have owned single-family homes, buying a condominium is a new experience.  This type of ownership gives all owners the opportunity to influence core decisions and procedures in managing a joint asset. There are differences in how people respond to owning and sharing the responsibility of joint ownership. The value of your condominium is affected by not only its physical attributes, but by the stability and maturity of your condominium association.

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Owning a Vacation Rental Property in Mexico

Taxes Owed for Rental Income Continued

The law has not changed.  Both residents and non-residents must declare their full income and enforcement will most likely be stricter than ever.  For the non-resident, a Mexican person or entity must be appointed to collect, declare and pay taxes. No RFC is required. The tax is fixed, on the gross, it is a definite tax and no annual declarations need be made. Evasion of tax is a criminal offense. Articles 150 to 178 of the Fiscal Code provide for imprisonment of up to six years for evasion of taxes.  Not only is it a criminal offense but the taxpayer must pay the past due taxes and very substantial interest penalties which amount to 1.3% per month, compounded. 

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Foreign Owners and Income Property

Paying Rental Taxes in Mexico

The ability to pocket undeclared income in Mexico is going away. Tax changes in 2020 have been announced by the government. The press and social media groups are circulating this important information to the expat community. The problem of foreigners who are renting their homes or condominiums and failing to pay Mexican taxes has existed for a long time. NO LONGER. Not declaring income and paying taxes is a violation of Mexican tax law with severe penalties if discovered.

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