Current law stops 80% of real estate sales: in Mexico

Cancun, Qroo. Eight out of 10 real estate transactions in coastal areas is frustrated because the constitutional precept that prevents foreigners from owning properties in more than 11,500 kilometers of coastline around the country, said the outgoing leader of the Mexican Association of Real Estate Professionals (AMPI) of Cancun, Juan Pablo Pizarro Mirabent.

Therefore, said the approval in particular and in general in the House of Representatives to the amendment of Article 27 of the Constitution that would allow foreigners to own property in border areas and beaches, is a historic breakthrough that "integrates" to Mexico to modernity and creates certainty in a basic right of every human being as it is the patrimonial property.

He said although traditionally have sought legal loopholes that through a trust foreigners could purchase goods in these restricted areas, uncertainty about asset ownership always persisted and shattered long huge investments.

With the possible approval in the full House Floor of this reform, opens up a whole range of business opportunities, therefore considered reform but merely give certainty only in residential properties, there is a large market for pensioners and retirees United States as well as companies specializing in second homes to develop this segment that will maximize this new possibility, offering mainly equity certainty.

BC EXPECTED 400% INCREASE IN SALES HOUSES 


Meanwhile, real estate entrepreneurs Baja California estimated that this would quadruple sales of houses and condominiums.

According to Victor Loza Bazan, president of the Realtors Association of Rosarito and member of State Council of Realtors of Baja California, the amendments to Article 27 sales reps in the state, which today are in low levels.

"Yes it was allowed them to buy property, but they had to request permission from the Ministry of Foreign Affairs and form a trust that is managed by a bank," said the leader.

"It's a cumbersome, bureaucratic and slow, so we see with good eyes is approved (as amended), as it is a proposal that did the same property."

Thus, predicted that sales of homes and condos in the coastal area, which is a favorite haunt of foreigners, increase from 50 to 250 and 300 units per month.

Victor Loza said that 80% of retired U.S. foreign customers, and 20% are Canadian, Russian, Indian and Japanese.