Dreams Shattered in Mexico

L A Times ^ | May 10, 2006 | Marla Dickerson

[piceapungens]

This relationship with Mexico seems like a one way street. If they are demanding rights in our country, why aren't we demanding rights in their country?

[Semper Paratus]

LOL! Investing in land in Mexico qualifies as very high risk investment.

[Mikey_1962]

It is against the law for non-mexicans even naturalized immigrants to own property within 50 KM of the coast...

[Hildy]

I really don't have much sympathy for the couple. It's a very well known fact that when you buy land, especially on the water, in Mexico, there's always a chance they'll take it away. In fact, I don't believe you can buy it...you're actually leasing it from the government. So these two should be happy they got to live on the beach for few years for a very low amount of money. Sorry.

[Just another Joe]

I could have the same problem when I move to the Philippines to retire.
Except I'm not having an oceanfront view.
I'm buying farmland to support me in my golden years.

[jazusamo]

They just never imagined that someone would be allowed to drain their ocean like a bathtub and build on land reclaimed from the sea, effectively elbowing them off the waterfront.

They have learned an expensive lesson about Mexico, their laws are written for Mexicans.

[xcamel]

You don't buy the property - you buy a 50 year renewable lease and you get title. The property is "owned" by a Mexican bank trust.

[willyboyishere]

Looks like Ginsburg and Co. are on the Mexican Supreme Court.

[Kirkwood]

"It is against the law for non-mexicans even naturalized immigrants to own property within 50 KM of the coast..."

This doesn't sound right.

[Cecily]

Hey Doug and Dru, I hear there are some good real estate deals to be had in Cuba and Haiti. The governments and legal systems there are pure as the driven snow too, unlike corrupt Mexico.

[MeanWestTexan]

There is a reason people voluntarily walk out of that country with nothing but the clothes on their backs.

[Publius6961]

I really don't have much sympathy for the couple. It's a very well known fact that when you buy land, especially on the water, in Mexico, there's always a chance they'll take it away. In fact, I don't believe you can buy it...you're actually leasing it from the government.

Actually you lease it (long term) from the government through a Mexical legal entity intermediary...
And the restriction for ownership I believe is within two miles of the beach.

Incidentally, most countries south of the border have similar pitfalls, even the most "liberal". "Lost" ownership rights are almost daily miracles down there.

[radar101]

I did not know about the 50 KM rule.
I did know that no non-citizen can only own 48% of any property.

[unixfox]

You think you're buying oceanfront property and then the [Mexican] government lets someone build in front of you."

At least they aren't seizing it to build a Wal-Mart.

[MeanWestTexan]

It used to be the whole country.

You can easily bypass it with a domestic, Mexican, corporation.

[Mikey_1962]

Exactly! Which shows you who's boss. You are in your house as long as they let you.

[Mikey_1962]

50KM from the Coast and 100KM from the border.

My wife is a Mexican National we are looking at an investment in Mexico.

[Doctor Stochastic]

Kind of like owning land in Arlington, TX.

[Cicero]

Some of my inlaws have been spending some time in Mexico. It's fine if you stay away from the outskirts of resort areas, which are haunted by criminals looking for rich Americans to rob or kidnap.

Individual Mexicans are very pleasant to deal with, if you take them on their own terms.

But I agree. It would be foolish to invest in Mexico. If you are inclined that way, I think Costa Rica makes more sense.