This Mexican notary glossary explains common legal and real estate terms foreign buyers may encounter when purchasing property in Mexico. Understanding these concepts can make it easier to follow the notarial process, review documents and communicate with the professionals involved in the transaction.
Notario Público — Mexican Notary Public
A Notario Público in Mexico is a legal professional authorized to formalize certain legal acts and transactions. In real estate operations, the notary participates in the preparation and formalization of the corresponding deed and performs legal and tax-related duties required by the transaction.
Escritura — Deed
An escritura is the public instrument in which a legal act, such as a real estate purchase, is formalized before a notary. Once the applicable procedures are completed, it may be registered with the corresponding Public Property Registry.
Fideicomiso — Bank Trust
A fideicomiso is a trust structure commonly used by foreign buyers acquiring residential property within Mexico’s restricted zone. The process involves a fiduciary institution and requires the corresponding authorization when applicable.
Avalúo — Property Appraisal
An avalúo determines the value of a property according to the purpose and requirements of the transaction. It may be relevant for tax, cadastral or notarial procedures.
Registro Público de la Propiedad — Public Property Registry
The Registro Público de la Propiedad records legal acts affecting real estate, providing public notice of rights and transactions involving a property.
Predial — Property Tax
Predial is the municipal property tax associated with real estate. In Mérida, the municipality provides services for consulting and paying this tax based on cadastral information.
ISR — Income Tax
ISR (Impuesto Sobre la Renta) may apply when real estate is sold. In certain transactions involving individuals, the notary calculates and pays the corresponding ISR as part of the formalization process.
ISAI — Real Estate Acquisition Tax
ISAI (Impuesto Sobre Adquisición de Inmuebles) is associated with the acquisition of real estate. Its application and amount depend on the municipality and the specific transaction. Yucatán municipalities provide procedures to determine whether an acquisition is subject to payment or exemption.
Foreign buyers do not need to navigate these concepts alone. Notaría Pública 129 de Yucatán can explain the terminology involved in each transaction and provide guidance throughout the notarial process.