Capital gains tax (Impuesto Sobre la Renta) is calculated at either 25% of the total declared sale price or up to 35% of the net profit (sale price minus your legally documented capital improvements, original purchase price, and closing fees). Read about capital gains taxes in Mexico here: Capital Gains Taxes
Yes, they are highly recommended. Certified local inspectors carefully assess regional construction dynamics, primarily focusing on the integrity of concrete structures, structural stability against tropical weather, proper waterproofing, electrical grounding, and the efficiency of localized cistern and water pressure pumping systems. Read about property inspections here: The Purchase Process
Yes. Modern transactions safely utilize specialized, US-style third-party escrow companies (such as Armor or Settlement Company). Your earnest money and final balance deposits are held securely in a protected, neutral US-based account and are only disbursed to the seller at the exact moment the final deed is signed before the Notario. Read about Escrow Accounts here: Closing Costs
Yes. Los Cabos operates under a centralized, highly reliable regional MLS. Real estate websites like Cabo Real Estate Services hook directly into this system, refreshing multiple times a day to give buyers completely transparent, real-time access to accurate pricing, changes in status, and new listings across the market.
A standard real estate transaction in Los Cabos generally takes 60 to 90 days to officially close. This timeline allows sufficient time for securing bank trust permissions, conducting thorough title searches, coordinating with the Notario, and gathering the necessary cross-border legal documentation. Read about closing here: Early Possession
A Mexican Notario Público holds a much higher level of legal authority than a traditional notary in the US or Canada. Appointed directly by the state governor, they act as an impartial legal official who reviews all deeds, guarantees title clarity, verifies legal descriptions, calculates and collects transaction taxes, and officially records the final transfer of ownership in the Public Registry. Read about the Notario here: Purchase Process
For personal residential properties and vacation rentals, a Fideicomiso is almost always the preferred route due to its lower setup and maintenance costs, straightforward tax framework, and seamless inheritance benefits. A Mexican Corporation is typically reserved for buyers purchasing commercial property, large tracts of raw land, or individuals looking to operate a high-volume, multi-property real estate business. Read about types of ownership here: Property Ownership in Mexico
Condo prices vary based on size of the unit, location, proximity to the ocean and amenities in the complex. In our market report from April 21, 2025 for Q1 2025, the average condo selling price was $741,539 USD and the median condo selling price was $467,275 USD. The most expensive condo sold in the quarter was $5.4m USD. For more details about the real estate market check out our quarterly market report.
House prices vary based on size of the property and house, location, proximity to the ocean and amenities in the community. In our market report from April 21, 2025 for Q1 2025, the average house selling price was $2,248,102 USD and the median house selling price was $855,000 USD. The most expensive house sold in the quarter was $28m USD. The luxury segment in Cabo has seen substantial growth with sales in the $2m to $5m USD range of $166m USD and 48 properties. For more details about the real estate market check out our quarterly market report..