The Home Ownership Process In Baja
The process in Mexico is different – in a great way
Your offer was accepted! Owning a home in Baja was not only a dream of yours but a well-researched retirement strategy too. But even with all the information you have gathered about ownership in Mexico, you might have been unprepared for how different –and convenient, the process is here. From property taxes to the way the Bank Trust is set, everything works favorably for the homeowner and makes for an easy inheritance process too.
Heirs and beneficiaries
While filling out paperwork for a Bank Trust, one question probably struck you as odd: Beneficiary? Why do I need a beneficiary? It comes as a pleasant surprise to many Americans to know that in Mexico there is no Inheritance Tax (or “Death Tax”, as it´s known in the U.S.). Here, your beneficiaries are written into the Trust. In the event of your passing away, the Trust is transferred straight to these beneficiaries. Your U.S. Last Will and Testament does not have jurisdiction over properties located in Mexico.
In the case of a married couple with both on the title, there is a right of survivorship, where the property will go to the surviving spouse. If both of you pass away, the property goes to your second beneficiary. The process is very simple for the heirs. A Mexican Notary can help through the paperwork (Remember, these Mexican “Notarios” are government-appointed attorneys, and all legal transactions must be signed in front of them.) Be aware that the Notary is also responsible for transferring title from one person to another.