Can Foreigners Buy Property in Los Cabos? Everything You Need to Know

Los Cabos is known for its stunning beaches, luxury lifestyle, and strong real estate market, making it a popular destination for international buyers. A common and important question many buyers ask is: can foreigners legally buy property in Los Cabos?

Yes—foreigners can legally buy property in Los Cabos. While special rules apply due to its coastal location, Mexico has a well-established legal system that allows non-Mexican citizens to own property securely and with full ownership rights.

This guide explains exactly how foreign ownership works, what to expect, and how to buy with confidence.

This article is provided by experienced Los Cabos real estate professionals who have assisted international buyers with property purchases in the region for over 25 years.

Can Foreigners Buy Property in Los Cabos?

Yes. Foreigners can legally purchase property in Los Cabos through a bank trust known as a fideicomiso, which allows full ownership rights within Mexico’s restricted zone.

This structure has been used successfully by thousands of foreign buyers and is the standard method for purchasing coastal property in Mexico.

Understanding Mexico’s Restricted Zone

Mexico’s constitution defines a Restricted Zone, which includes land located within:

• 50 kilometers (about 31 miles) of the coastline

• 100 kilometers (about 62 miles) of international borders

Because Los Cabos lies within this zone, foreigners cannot hold direct title in their own name. However, the fideicomiso provides a secure and legal alternative that offers the same practical ownership rights.

What Is a Fideicomiso?

A fideicomiso is a renewable bank trust established through a Mexican bank that allows foreigners to own property in the Restricted Zone.

Here is how it works:

• The Mexican bank holds the title as trustee

• You, the buyer, are the beneficiary

• You retain full control of the property

As the beneficiary, you can:

• Sell the property at any time

• Rent or lease it

• Remodel or improve it

• Transfer it to heirs

The fideicomiso is issued for 50 years and can be renewed indefinitely, making it a long-term and widely accepted ownership structure.

Step-by-Step: How Foreigners Buy Property in Los Cabos

1. Find the Right Property

Work with a knowledgeable local real estate professional  who understands the Los Cabos market and the fideicomiso process.

2. Establish the Fideicomiso

Your real estate agent and notary will assist in setting up the bank trust. You will select the bank, and the trust will be customized for your purchase.

3. Conduct Due Diligence

A thorough title review ensures the property is free of liens, debts, or legal issues. This is one of the most important steps in the process.

4. Sign and Close

Once due diligence is complete, you will sign the fideicomiso documents and finalize the purchase through a Mexican notary. At closing, you officially become the beneficiary of the trust.

Can Foreigners Own Beachfront Property in Los Cabos?

Yes. Foreigners can own beachfront and oceanfront property in Los Cabos through a fideicomiso. Ownership rights are the same as with any other residential property, including the ability to sell, rent, or pass the property on to heirs.

Alternative Option: Purchasing Through a Mexican Corporation

Some buyers—particularly those purchasing for commercial or investment purposes—choose to buy property through a Mexican corporation. This option comes with different legal, accounting, and tax considerations and should be evaluated with the guidance of a qualified attorney and accountant.

Why Los Cabos Is a Popular Choice for Foreign Buyers

Beyond the legal framework, Los Cabos continues to attract international buyers because of:

• A stable and transparent real estate system

• Strong demand for luxury and vacation properties

• High-quality infrastructure and services

• An established market for short- and long-term rentals

• Easy access from the United States and Canada

Whether buyers are looking for a vacation home, investment property, or full-time residence, Los Cabos offers a compelling combination of lifestyle and value.

Final Thoughts

Buying property in Los Cabos as a foreigner is not only possible—it is common and well supported by Mexico’s legal system. Understanding the fideicomiso process and working with experienced local professionals are the keys to a smooth and secure transaction.

With the right guidance, owning property in Los Cabos can be a straightforward and rewarding experience.

For more than 25 years, Cabo4Sale Real Estate has assisted U.S. and Canadian buyers with purchasing homes, condos, and luxury properties throughout Los Cabos.