A bank trust is used to acquire property here in Mexico only on land that is within the restricted zone, arguably the most desirable amongst buyers. This Restricted Zone, sometimes also called the Prohibitive Zone, is coastal land between 60 feet from the mean high-tide line, up to 31 miles inland from the ocean, and up to 62 miles from international borders.

This land is restricted, because Mexico’s constitution reserved it for Mexico. In 1973, Mexico changed its foreign investment laws to encourage foreign investment in both real estate and corporations using fideicomisos to acquire land, and in 1998, the length of the term was extended from 30 to 50 years.

In the Restricted Zone, Mexican nationals have the option of using either a fideicomiso or an escritura publica to acquire real estate. An escritura publica is a type of deed used by Mexican nationals to acquire land. Foreigners are restricted from acquiring title to land using an escritura publica. However, foreigners are allowed to acquire Mexican coastal real estate using a fideicomiso.

This Restricted Zone is one of the four major types of land that foreigners will encounter when making a real estate purchase in Mexico. The other three types of land are the Federal Zone, the Unrestricted Zone, and Ejido Land. It would be smart to learn about all of them, since here in Baja California, all four types of land are present and common.

There are three parties that all play a part in the creation of a Mexican bank trust, or fideicomiso: the buyer/beneficiary, the seller, and the Mexican bank.

The buyer of the Mexican real estate is the beneficiary of the fideicomiso. The buyer can be a person, a husband and wife or family, any group of people, or a stateside limited liability company, or LLC This buyer/beneficiary will receive all the rights that go with the property.

The seller is the grantor. They sell the real estate involved, and relinquish all the rights that go along with the property.

A Mexican bank serves as the trustee, and has a fiduciary relationship with the buyer, meaning that the Mexican bank is working in good faith for the buyer/beneficiary and in their best interests. The bank holds naked title to the property and carries out duties related to the property that serve the desires of the beneficiary, the buyer.

Now at this point you might be thinking why would a buyer need the Mexican Bank and what is naked title? Having the deed deposited with the bank is all that is needed to satisfy the Mexican constitution in allowing a foreigners to hold title to property in the Restricted Zone. Without the bank trust this would be impossible. It is that simple.

The Mexican bank with naked title simply means that the property deed is deposited with them, but they don’t count it as an asset on their books. The bank can’t sell, depreciate, or receive any benefits from the property because they don’t have control of the property; they only have naked title, meaning title without benefits. If the bank servicing the bank trust goes bankrupt, then the fideicomiso is transferred to another Mexican bank to continue servicing the trust on behalf of the beneficiary.

El fideicomiso es un contrato a través del cual una persona (Fideicomitente) dispone de un inmueble y lo transmite a un Fideicomiso, en el que al Fiduciario se le encomienda detentar la titularidad del mismo, para asegurar el cumplimiento de las obligaciones del Fideicomisario Extranjero conforme”>The trust is a contract through which a person (Trustor) has a property and transmits it to a Trust, in which the Trustee is entrusted with holding the ownership thereof, in order to ensure compliance with the obligations of the Foreign Trustee in accordance with the Constitution of the United Mexican States and / or any other to give, do or not do.

How does it work?


• Transmits the property for its administration, during its life


• Manage

• Delivery to the trustees or the substitute trustees.

• Guarantees obligations

Trustee (s)

• Receives possession and use of goods as agreed in the trust


1. Of the Settlor (seller):

1.1 Physical Person:

Copy of official ID with photo, proof of address, RFC, CURP, marriage certificate, FIEL (in case of being a natural person with business activity).

Fill out and sign “Know Your Customer” format.

1.2 Moral Person:

Copy of the constitutive act, deed in which the powers of its legal representative, RFC, FIEL and proof of domicile are recorded.
Fill out and sign “Know Your Customer” format.
Copy of official identification with photograph of the Legal Representative.

2. Of the Trustee (Buyer-Foreigner):

2.1 Physical Person:

Copy of the passport or documentation issued by the National Institute of Migration that accredits your immigration status, proof of address, equivalent to the RFC.

Fill out and sign the W8 format and “Know Your Customer”.

2.2 Moral Person:

Copy of the deed of incorporation duly apostilled and translated into Spanish by authorized expert, writing in which the powers of the proxies duly apostilled and translated into Spanish by authorized expert, equivalent to the RFC, proof of domicile, complete format W8 and “Know your Client”. Passport of the legal representative.


The full documentation required is furnished to the trustee.
The payment of 50% of the fiduciary fees is made for acceptance of the Trust Agreement in Restricted Zone Plus.
The Trustee draws up the Trust Agreement.
The Trustee sends the contract to the Notary’s office.
The Notary sends the final version for signature to the Trustee.
The payment to the fiduciary of the other 50% of their fees is made.
The fiduciary grants its Good Visa and authorization for the signing of the contract.
The signature of the contract is scheduled at the Notary’s Office.
At the time of signing, a certified copy of the contract signed with your special section must be delivered to the Trustee.

  • Investment


    Investment in MXN

    For the signature and acceptance of the Trust:


    For the annual administration of the trust:


    Registration in the RNIE


    Power of Attorney


    In case of transfer of rights or transmission to a third party of the property:


    If applicable, by contracting credit:

    It will be modified depending on the line of credit

    • Other minor costs may apply in certain situations. Within 40 business days, the Trustee registers the trust in the RNIE


    Total initial investment $ 21,500.00 pesos

    Main Features of the Trust

  • It is formalized in writing by signing a Contract.
  • The ownership or ownership of the immovable property or immovable property is transmitted to the fiduciary.
  • A depository of the real estate / s (Foreign Trustee) is designated.
  • The Trustee is solely empowered for the transmission or sale of the trust assets.
  • The Creditor, in his case registers the Trust as accounting rights.
  • In fulfilling the obligation, additional payment obligations may be guaranteed.