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Mexico Articles, Research, & Resource Guides

If you’re here to learn about Mexico, you’ve found the right place! We’ve written dozens of articles and guides about investing and living in Mexico.

Whether you’re interested in learning about the different cities in Mexico, residency or investment laws, we’ve got you covered. There isn’t much about Mexico that you won’t find here.

Recent Mexico Articles

Mexico Real Estate

If you’re looking for property in Mexico to buy or rent, head over to our Mexico Real Estate page.

Mexico is great for expat families looking for a destination that combines a good work-life balance, along with close proximity to the U.S., and a chance to immerse themselves in a culture that is both new and somewhat familiar. The welcoming environment is further enhanced by the number of long-established expat communities in a wide variety of locations throughout the country.

With a favorable exchange rate, currently about $0.05 U.S. to $1.00 Mexican peso, it is very easy to get more for your dollars south of the border. With the large number of multi-national corporations that maintain operations in Mexico, there is also a growing number of employment opportunities for expats looking to take their careers in a new direction.

mexico is great for expat families

Many Choices for Your Home in Mexico

A major concern for those moving abroad is finding the right place to live. One of the main reasons that Mexico is great for expat families is the wide variety of homes that can be purchased or rented.

Non-residents can own property in their own name throughout much of Mexico; direct ownership in the “restricted zone,” areas within 64 miles of international borders or 32 miles of the coastline, is prohibited except through something called fideicomiso, or a bank trust. Under this system, the bank is the actual title holder with the purchaser being the beneficiary of the trust, with full rights of ownership.

With favorable property prices to match the exchange rate, finding the perfect casa for your family is easier than you might imagine. Whether you are seeking an urban villa, a beachfront hacienda, or a pastoral setting, Mexico has a place for you and your family.

Survey Says: Mexico Is Great for Expat Families!

For expats with children, there are many additional factors to be considered in making a decision to move abroad. In addition to financial and logistical concerns, there’s also education, health care, and other family-friendly services that play an important role.

A recent survey conducted by InterNations, the largest global network of expats, explored 43 life aspects that factor into the decision to move abroad. On one important component, the Family Life Index, Mexico was the only country in the Americas to rank in the top 20. With a great work-life balance and family-friendly attitude, Mexico is a great place for expat families to live and grow.

mexico is great for expat families

Living Day to Day As an Expat Family in Mexico

One of the greatest things about living as an expat family in Mexico is the wide variety of settings in which you can choose to live. No matter what your interests or desired pace of life, there’s something for everyone in Mexico.

Urban Comfort

Many expat families, especially those who move to Mexico for employment, are drawn to the major metropolitan areas like Mexico City, Acapulco, Monterrey, and Guadalajara. The modern amenities, educational choices, and lifestyles in these locales are the ones that most closely mirror major U.S. cities.

Additionally, the number of English speakers and expat-centric communities is also greater. However, these pluses do often come with a higher price tag on things like housing, utilities, food, and other essentials that families need to sustain their lifestyle.

Tourist Central

For those expats fortunate enough to be able to work remotely, beach and tourist locations such as Puerto Vallarta, Cancun, and Rivera Maya may be desirable. In addition to the wide variety of leisure activities, these destinations have established expat communities that make fitting in much easier. As might be expected, however, the cost of living in these areas is also higher than less developed parts of the country.

Rural and Rustic

Though not for everyone, Mexico is great for expat families seeking to immerse themselves in a new and foreign culture. Smaller towns and villages afford the opportunity for children to be exposed to a lifestyle far different than that which they had back in the U.S.

The lower cost of living can offset the fact that many modern amenities may not be as readily available. Being able to truly live an authentic Mexican lifestyle can provide an unparalleled experience that expat children can carry with them as they grow and develop.

mexico is great for expat families

Things to Consider

While Mexico is great for expat families, there are some important considerations that should be factored in to making the decision to move. Understanding the pluses and minuses involved in such a decision can provide a good assessment of whether moving to Mexico is the right choice for you and your family.

Crime and Safety

Unless you’ve been living under a rock, you know that Mexico has certainly made its share of headlines with its problems with various drug cartels and other criminal activities. The good news is that, while certain areas appear to be hotspots for these types of incidents, the majority of the country is largely unaffected.

Prior to moving to any new location, make sure you do your research on its safety. Actually visiting prospective choices (preferably more than once) can help you decide if these are the kind of places you want to raise your family in.

Education and Language

It is important to remember that, in spite of the large number of English speakers present, Spanish is still the principal language in Mexico. Living in the country can provide an excellent opportunity – especially for children – to learn a second language, but it can also make navigating daily life rather difficult.

While there are a number of school options in Mexico, the overall public education system still needs improvement. Rural schools, in particular, seem to lag behind the rest of the country. In a recent study, the Organisation for Economic Co-operation and Development (OECD) ranked the public system as below average in mathematics, science, and reading.

There are a growing number of international schools that offer alternatives to the public system. Home schooling and parochial schools are other alternatives that may be considered to provide educational options for children.

Immigration Changes

The election of 2016 appears to mark a dramatic shift in immigration laws that will impact both the U.S. and Mexico. As a result, there is a growing uncertainty about how these shifts will impact expats seeking to move to and work in Mexico. Keeping abreast of all current developments and changes in the laws is a necessary step in making the decision to move south of the border.

Is Mexico Right for Your Family?

There are many reasons that Mexico is great for expat families. Its affordability, relaxed pace of life, abundance of leisure-time activities, and close proximity to friends and family “back home” are all positive elements.

There is no better way to begin the discussion about moving than for you and your family to visit places in Mexico that may appeal to you. Seeing firsthand the places you could call home and seeing how your family interacts is the best barometer for measuring the success of such a life-changing decision.

San Miguel de Allende has remained one of the most popular expat and retiree destinations through the Latin Tropics. Rising almost phoenix-like from near obscurity, this colonial city has metamorphosed from silver mining center to a Bohemian/artistic colony to a 21st century expat magnet.

The combination of a rich colonial past and an urban cosmopolitan present make living in this mountain community a rewarding experience. In contrast to much of the rest of Mexico, San Miguel de Allende has developed into a unique hybrid of Mexican and American culture.

Expats in Mexico

Expats in Mexico photo by Jack Newton

San Miguel de Allende-An Historic, Cultural And Artistic Treasure

The story of San Miguel de Allende is really a tale with two parts. The original colonial settlement was established in 1551 moved to its current location four years later as a result of continued conflict with the indigenous tribes in the area.

The discovery of silver in the region in the mid-sixteenth century increased the prominence of San Miguel, given its strategic location between the silver mines and Mexico City. The city would continue to thrive through the mid-1700s and actually had a population larger than either Boston or New York.

The War of Mexican Independence impacted San Miguel’s prominence. The end of mining, the shrinking of the population, reduced the city to near “ghost town” status with Baroque and Neoclassical architectural structures empty as a memory of a bygone era.

Part II-Rebirth And Resurgence

In 1926, the Mexican government declared San Miguel de Allende a ‘historic and protected town” dedicated to preserving its colonial essence. The town would remain frozen in time until the Mexican opera star, José Mojica, rediscovered it and encouraged his friends in the arts to join him in establishing an artists’ commune; ultimately this lead to the creation of renown Bellas Artes Institute.

Touted by Life Magazine as a “GI paradise”, veterans from WWII looking for new opportunities, artists of all disciplines seeking to study, and those looking for new horizons all flocked to this mountain mecca. This early group of foreign arrivals has grown from a trickle to the well-established expat community of today.

San Miguel de Allende

J Wang

San Miguel de Allende Remains A Solid Investment Option

Although the international financial crisis of 2008-2010 took a toll on San Miguel de Allende’s real estate market, the result was dramatic increase in lower priced properties. Whether you are looking for a colonial structure that you can restore, new construction, or something in between, there is a wide selection of properties that can meet your needs.

There are no restrictions to foreigners owning property in Mexico except in what is known as the restricted zone designated as being 100km from a border and 50km from the coast.  Since foreigners cannot hold title in their own names in those areas, a real estate trust has to be set up to hold the title.

An attractive feature for US residents considering moving the area is that you can get title insurance from some American title insurance carriers-some of which have been writing policies for Mexican properties since the mid nineties.  This is especially important since, under Mexican law, there is no requirement for sellers to disclose potential problems.

San Miguel de Allende

J Brewer

The Expat Explosion In San Miguel de Allende

The increase in the expat population in San Miguel de Allende was largely fueled by veterans from WWII looking to move their young families south to escape the scourge of the polio epidemic that was ravaging the US. Combined with the many artists and other creative types who had discovered the cultural environment that had grown up in this mountain city, the current expat population is estimated to be roughly 10,000-12,000; this number does not include those who have settled in the surrounding villages or developments.

Of that number of expats, roughly 70% are American which is why San Miguel de Allende is viewed by many people as an “American town. However, that is still a small percentage of the roughly 80,000 residents who are estimated to live within the community itself.

Too Much Of A Good Thing?

Having that many American expats has become a kind of mixed blessing for San Miguel de Allende. While the presence of a large English speaking population makes it an easy transition for those not fluent in Spanish, there is a sense of entitlement (and even arrogance) that many Mexicans (and expats as well), find distasteful.

The growing number of high-end gated communities also furthers this impression that these transplants from the North have no interest in becoming part of the unique cultural and historical essence of the area. This situation may be off-putting for those who want to immerse themselves in the local culture rather than just living in an Americanized enclave in another country.

Not surprisingly, prices in this well-developed area are higher than in more rustic locations. In a real sense, though, living here is a true example of the old saying:  “you get what you pay for”.

San Miguel de Allende

San Miguel de Allende

The Benefits Of An Established Expat Presence

While there are some facets of the growing number of seniors, retirees and expats who continue to make their way to San Miguel de Allende that can be challenging, it is precisely the development and foreign investment that has enhanced the standard of living and value of property in the region. Having a well developed infrastructure, numerous social and entertainment options, and a growing number of stores with American products are all elements that make buying property here a good choice for a return on investment dollars in the future.

The close proximity to the US also is a compelling reason to consider San Miguel de Allende as a retirement destination. Being able to visit family and friends north of the border, while still enjoying the less frantic pace of this artistic colonial town, offers another attractive reason to make this a second or retirement home.

In addition to the well-developed infrastructure, San Miguel de Allende has become an international arts center filled with shops, boutiques, galleries and craft vendors. In addition, there is a thriving nightlife and gourmet restaurants that cater to the large number of tourists as well as the local population.

Local festivals, such as Fiestas de San Miguel de Allende (the feast of the patron saint, Michael) held during the last week in September provide a cultural ambiance that enhance the expat experience. There are also a number of events celebrating the arts throughout the year.

To Expat Or Not-That Is The Question

San Miguel de Allende is a unique option for those considering a move from the US to a tropical destination. It has one of the most established expat communities anywhere-a scenario that has both positive and negative features. Ultimately, the best way to decide if San Miguel is for you is to visit it for yourself and experience what all it has to offer first hand.

 

For many seniors moving abroad, learning the truth about assisted living in the tropics can be an important first step in the decision process. In fact, it may come as a pleasant surprise that retiring abroad and living in a community that provides care and assistance are not necessarily choices that exclude one another.

Nearly one million Americans of retirement age have moved beyond the borders of the United States. As more and more “baby boomers” reach that life milestone, the demand for facilities and communities that can offer the services required by an aging population will also increase.

the truth about assisted living in the tropics

Kristopher Schultz

Assisted Living in Paradise Is a Viable Option

With rising medical costs, a volatile market, and general uncertainty about the future, it comes as no surprise that more and more Americans of retirement age are choosing the Latin American tropics as their preferred destination. With many countries actively promoting programs that can benefit seniors, the truth about assisted living in the tropics is that it is a viable choice for both retirees and their aging parents.

There are a number of compelling reasons to make such a move. The lower overall cost of living, improved access to high quality medical care, and the more relaxed lifestyle are just some of the features that should make the expat option a strong consideration as a way to spend your senior years.

the truth about assisted living in the tropics

Danny Kim

Latin Locations That Offer Assisted Living

Below are examples of four countries that offer high-quality assisted living in the tropics. Each of these locations provides the opportunity for a full and vibrant retirement combined with the individualized care some seniors need.

Mexico

Mexico has been a retirement destination for Americans for many years. With the median cost of long-term care in the U.S. averaging over $43,000 per year, it is not surprising that may retirees are exploring the options that the land south of the border can provide for retirees and their aging parents.

One of the most popular regions is the Lake Chapala area. As one of the largest expat communities in the world, there are a number of facilities that cost half (or less) what similar residences in the U.S. cost.

Seniors would find the Lake Chapala locations very similar to high-end retirement settings in the U.S. Offering clean, comfortable residences, amenities like swimming pools, access to medical professionals and even hospice services at a fraction of the cost, it is little wonder that baby boomers are looking to the region as a long-term option for themselves and their aging parents.

With close proximity to the United States, a familiarity with the culture, plus fresh food and quality medical care, the potential that Mexico has for seniors is undeniable.

Costa Rica

Costa Rica was the first Central American country to initiate programs geared towards attracting retirees. Once qualified as a “pensionado,” retirees can sign up for the country’s social security program, which includes full coverage for things like hospitalization and prescriptions.

As the Central and Pacific zones of Costa Rica become more developed, the rising number of expats also will increase the demand for retirement centers that can provide a high quality of life at a more affordable rate. Seniors will be pleasantly surprised to discover that living “la Pura Vida” is more than just an unreachable dream.

Many visitors to the country ultimately decide to relocate there upon retirement. Whether your choice is an independent living center or a community where 24-hour onsite assistance is available, the cost is still far less than equivalent operations in the States.

the truth about assisted living in the tropics

Fran001

Guatemala

Interest in Guatemala as a retirement option has grown dramatically recently. The area around Lake Atitlan has seen the development of modern assisted living communities where the lower price tag is not reflected in the high quality of the residences there.

The term “assisted living” has a somewhat different meaning in Guatemala. Instead of a dedicated community, assisted living means, literally, hiring someone, or a number of people, to clean, cook, and care for a person.

This cost for one full-time care provider may run as little as $150 to $300 per month. Even on a fixed income of $1200 per month, for example, this can allow a senior who needs assisted care to still enjoy life in a tropical paradise.

Panama

Panama is rapidly overtaking Costa Rica as the premier retirement destination in Central America. First world amenities, greatly improved infrastructure, and many discounts available for seniors have proven to be a magnet for older Americans looking to find a tropical retirement location.

While there are a number of options for retirees who are independent and looking for communities that cater to that population, the number of assisted living facilities is still quite small. However, with the continued influx of foreign investment, the potential for growth in this area is promising.

Is Tropical Assisted Living for You?

Discovering the truth about assisted living in the tropics opens the doors to infinite possibilities. Moving to paradise may just be the best way to make those golden years truly golden.

San Cristobal de las Casas, Mexico may just be one of the best kept secrets among top locations for expats and investors today. Located in the central highlands state of Chiapas, in southern Mexico, this mountain community truly embraces the essence of its name – Jovel: a place in the clouds (in the native tongue of the indigenous Tzotzil and Tzeltal people).

Long valued as a tourist destination, the recent influx of expats has dramatically increased the investment potential, both in the town itself and in the surrounding area. One look at the properties on the real estate market provides a dramatic example of the possibilities that San Cristobal presents both now and in the foreseeable future.

san cristobal de las casas

Adrian Gallop

3 Things That Make San Cristobal de las Casas a Great Retirement And Investment Destination

This mountain town has a number of characteristics that expats need to know that demonstrate why San Cristobal de las Casas is so desirable. Whether you are considering a place to retire, a “Mexican hideaway,” or a place with high investment potential, the following items are important factors in making a life-changing decision.

San Cristobal Has a Unique Blend of Modern Infrastructure, Mayan Tradition, and Spanish Colonial Influence

  • Ancient Traditions. The area in and around San Cristobal contains one of the largest indigenous Mayan populations in Mexico. The Tzotzil and Tzeltal villages around the city proper bring the rich Mayan traditions to life; for those seeking to truly immerse in a distinct, local culture San Cristobal is the perfect place to settle.
  • Colonial Wonders. The stunning examples of Spanish Colonial architecture are a prime reason why the city has long been a desirable tourist destination. With facades that exhibit Moorish, Baroque, and Neoclassical influences, walking the cobblestone streets of the historical district is very much like entering a time machine and being transported to the time of Spanish influence and power.  By many estimates, San Cristobal may be one of the best preserved examples of the Spanish Colonial influence in Latin America. Lovers of architectural beauty, history buffs, and others looking for that someplace special will not be disappointed by the offerings of this highland community.
  • Timeless Yet Modern. Though steeped in history and ancient traditions, San Cristobal de las Casas is very much a modern location with the amenities one would hope to find in a developed city. Essential utility services (electricity, water, sewer, trash pickup, cable, and internet) are readily accessible in the central part of the municipality; over 96% of the homes in the greater San Cristobal area have electricity and over 86% have running water. With over 80 hotels and 2000 rooms, the infrastructure will continue to improve, attracting more visitors, expats, and foreign investors.
san cristobal de las casas

Rativitaki

San Cristobal de las Casas Has a Comfortable Climate and Exceptional Location

  • Comfortable and Cool. One big advantage that San Cristobal has over other parts of Mexico is the climate.  With daytime temperatures in the high 60s to low 70s and nighttime temperatures in the high 40s to low 50s, outdoor activities are much more enjoyable and the sleeping weather at night is near perfect. Ironically, you might use a jacket or sweater far more than your air conditioner. This is also a significant value-added feature that translates into lower energy costs, an important consideration for retirees on fixed incomes.
  • Natural Wonders Equals Natural Beauty. There are a number of ecological attractions in the San Cristobal area that add to the natural beauty of its mountain location. The Rancho Nuevo, for example, is a cave system that has a single path leading 750 meters into the interior, which is illuminated in various colors.  There are also a number of campsites and horseback rides offered to really get a hands-on feel for the mountain environment. Additionally, the two ecological reserves, Cerro Huitepec Private Reserve and the Rancho Nuevo Ecological Conservation Zone in the area are just the kind of place that nature lovers will definitely enjoy.

Now Is the Time to Stake Your Claim in the Sky

As San Cristobal de las Casas continues to grow and transition from a tourist location to expat destination, the potential for growth in the real estate market will continue to increase. At the same time, the inventory of available properties will decrease.

There are a number of options that prospective buyers can consider in this Spanish colonial city. One of the most desirable is to find an historical property that can be restored. This may be the perfect choice for an investor looking for properties that can promise a high return on initial cash outlay. The historical district is an ideal location to find these colonial diamonds in the rough.

Like other municipalities that are enjoying the influx of expats and foreign investors, there are new construction projects that promise modern living with the rich cultural and historical backdrop that is so desirable in much of “old Mexico.” Individuals who want a turnkey ready residence would be drawn to these developments.

Lastly, the surrounding Mayan villages may be exactly right for someone who is seeking to truly immerse themselves in a traditional lifestyle while, at the same time, helping the local community by volunteering in any number of the social action projects that are run by various non-profit groups. Definitely far more rustic, nonetheless, properties here are less expensive; the trade-off for amenities is the opportunity to truly become a part of a traditional indigenous culture.

san cristobal de las casas

Karolina Lubryczynska

Getting There Can Be an Adventure Itself

Ironically, one of San Cristobal de las Casa’s main features, the remote location, is also one of the bigger drawbacks to life there. There are no direct passenger flights into the city; even the closest airport, Tuxtla Gutierrez, (located roughly an hour and fifteen minutes away) has no direct international service. The only option is to fly into Mexico City, take a domestic carrier to Tuxtla and then take one of the buses or taxis to arrive in San Cristobal.

A related problem is that being able to obtain certain items, such as electronics, computers, etc. may require a trip to one of the larger cities. The obvious work around is to bring these items back from the U.S. when visiting although attention should be paid to customs and import duties.

So What Comes Next

Learning about Mexico, its history, cultures, and regions is a great place to start your research. After that, there is absolutely no substitute for experiencing San Cristobal de las Casas for yourself. Go there, learn things, and discover the potential that this vibrant highland location has as a place to live and an opportunity to invest – both near and long term.

Playa del Carmen, Mexico has become a favorite destination for expats seeking a Eurocentric atmosphere on the shores of the Caribbean. The strong European, Canadian, and Argentinean influences of this beachside location have made it the fasting growing community on Mexico’s Rivera Maya.

With such a cosmopolitan vibe, it’s little wonder that the number of new residential units and high-end resort properties is growing throughout the metropolitan area. Being able to choose between a modern condominium unit with state-of the art amenities, luxury resort living, or restoring one on the older properties near the center of town makes shopping for real estate an enjoyable task.

playa del carmen mexico

Sharon Hahn Darlin

Six Important Tips for Enjoying Life in Playa del Carmen, Mexico

With its unique ambiance, living in Playa del Carmen, Mexico can truly be a life-changing adventure. Here are some tips to maximize your experience.

Embrace the Cultural Blend

Nowhere else in Latin America is the influence of old world European style expressed as strongly as in Playa del Carmen. Often compared to continental resort communities, such as Nice, Playa is becoming a place to see and be seen. For those seeking the best of Euro-chic style and Mexican spice, Playa del Carmen is the place to be.

The central hub of activity is Quinta Avenida, literally translated as Fifth Avenue. With popular stores such as Louis Vuitton, H&M, and Christian Dior, it is little wonder that this former sleepy fishing village is on track to becoming both a cultural and economic magnet for the entire Yucatan peninsula.  Despite all its growth, Playa still retains its charm as a small Mexican town and artist colony.  One important step that was taken to achieve this was to limit building height within the town center to five stories.

Appreciate the Location

Playa del Carmen, while technically part of the Riviera Maya, is certainly off the normal “tourist track.” Being able to enjoy a more cosmopolitan, less frenetic pace while still being close enough to the action truly provides a style of life that embraces the best of both worlds.

Don’t Worry About Getting There

With its close proximity to Cancún and Cozumel, transportation to Playa del Carmen, Mexico is easy to arrange. The international airport in Cancún has many regularly scheduled flights from most major U.S. cities. Once there, it is just a relaxing one-hour drive along the coast to reach Playa.

A second option is to fly into Cozumel and take the twelve mile ferry ride across the bay. The ferry service offers regular airport transfers making this another option for reaching your destination.

No Spanish? No Problem

One feature of Playa that will definitely appeal to those who are concerned about navigating in a foreign language is that English is widely spoken. As the expat community continues to grow, finding English speakers is increasingly easier.

For those seeking a more rustic Mexican experience the smaller pueblos outside of the metropolitan area still provide a window into the culture of Yucatan. Here Spanish is the dominant language, and English speakers are far less common.

playa del carmen mexico

Grand Velas Riviera Maya

Play and Explore

Playa has a number of great opportunities to relax, explore, and enjoy all that this Caribbean beach town has to offer. The growing number of luxury resorts in the area offers the kind of recreational options that one would expect to find on the European coastline.

The full range of beach activities (scuba, snorkeling, flyboarding, etc.) provides a variety of ways to enjoy the Caribbean waters. For those who enjoy the opportunity to catch their dinner, fishing charters will help anglers hook the big one. After the catch, finding a local restaurant to cook your fish is easy and inexpensive as well.

Less strenuous but equally enjoyable are a number of catamaran and sunset cruises that are readily available beachside. Appreciating the sunset while floating on the warm waters of the Caribbean Sea is a great way to finish off a day in paradise.

Eco-tours to the special reserves of Sian Ka’an Biosphere and Ria Lagartos give nature lovers the opportunity to get up close and personal with the flora and fauna of the region. For those who desire a more adrenaline-fueled natural encounter, summertime cruises near Isla Mujeres give adventurers the chance to swim with Whale Sharks and Manta Rays.

The nearby Mayan ruins of Chichen Itza and Tulum (among others) are just a short distance away from Playa. These once in a lifetime experiences are perfect for anyone who wants to discover the mysteries and heritage of the ancient Mayan culture that existed in the area.

Understand That All These Elements Make Owning Now Irresistible

Playa del Carmen, Mexico has a tremendous upside for both expats seeking a unique beach location and investors looking for growth potential. The rich, “Eurocentric” atmosphere blended with the relaxed Mexican vibe makes property ownership both desirable and profitable.

The continued increase in the tourist trade (with cruise lines adding Playa del Carmen as a port of call) and the growing number of expats seeking to settle outside the more heavily trafficked areas of Cancun and the Cozumel districts have resulted in new construction of residential units as well as resorts.

Playacar, a planned tourist and residential center, is a prime example of the development that is going on. For investors, the purchasing of lots or finished units here has a strong potential for a good return on investment. For those seeking to make Playa their home, the well-developed infrastructure can support a cosmopolitan lifestyle while keeping the distinctive cultural aspect of the region.

playa del carmen mexico

Michael Muraz

The Most Important Tip of All

Mexico has a number of opportunities that investors and expats may not be aware of. Playa del Carmen is one of the special places that combines the potential of a strong investment return with a special ambiance that retirees, expats, and tourists will all be drawn to.

The best way to appreciate what life would be like in Playa is to go there. Walk the beaches, browse the shops along Quinta Avenida, and immerse yourself in the Euro-Mexican cultural atmosphere. There is no better way to start your Mexican experience.

When Tulum, Mexico is mentioned, the first images are often of impressive Mayan ruins, stunning beaches, and the vibrant party scene of nearby Riviera Maya. However, the best of Tulum encompasses much more, which is why investors and other expats are flocking to this Yucatan destination.

Well known as a popular tourist destination, this small seaside town is rapidly become a growth center for those looking to find alternatives to the more populated, tourist-centric locations nearby. With property prices still quite affordable, finding options in this beach town (yes, Tulum  is a beach community) may be as easy as a click of a mouse.

tulum mexico

Megan

How To Discover The Best Of Tulum For Yourself

The Tulum area has steadily been gaining attention as an up and coming expat destination. Publications like USA Today have called it “the fastest growing town in Latin America”; similarly, the Wall Street Journal recently noted that the area has become “the hottest section of Mexico.”

Knowing where and how to look for those gems that are the best of Tulum involves being open to new experiences and adventures.  Below are some pointers that can make your search more successful and enjoyable.

Learn About The Geography And Climate

Located just 45 minutes south of Playa del Carmern, Tulum sits on Mexico’s Caribbean coast and is part of what has been called, “Mexico’s Rivera.” One of the oldest towns in Mexico, Tulum itself can actually be divided into three separate districts.

Tulum Pueblo

The pueblo is the actual town and is where the greater majority of supermarkets, retail stores, the bus stations, smaller hotels, hostels and inns are located.  The town reflects the more of the local atmosphere than some of the more modern and developed areas nearby. This rustic vibe may be preferable for those seeking to find a quieter, less “touristy” place to live.

Tulum Playa 

Though known primarily for its archeological treasures, Tulum is very much a beach town as well. Tulum Playa is bordered by the Sian Ka’an Biosphere (an ecological reserve) and white sand beaches to the east, as well as a wetlands and mango reserve to the south.

Not surprisingly this dynamic combination of natural beauty and pristine beaches has been a key factor in the growth of Tulum Playa as a preferred location for the development of new residential properties, higher-end resorts, and spas. Boutique properties dedicated to ecology are also a growing commodity here.

Tulum Ruinas

The Mayan ruins, some of the best preserved in Mexico, are unique due to their seaside location. In addition to the main set of ruins, there are twenty-three additional sites in the the Sian Ka’an Biosphere.  While there are fewer residential options here (for obvious reasons), the close proximity of these symbols of a bygone era and culture are a powerful drawing card for foreigners who want to live close to history.

Learn About The Climate In Tulum

Tulum is an up-and-coming area. One of the major reasons is the climate, which is ideal for those whose love of the beach is irresistible.

The warm, tropical temperatures of the Gulf of Mexico, a dry season that matches perfectly with winter in the US, and a large expat presence make this the prime area for anyone wanting to live by the sea.

Learn The Easiest Ways To Get There

One aspect that belongs in any list of the best of Tulum is how accessible the village is from the US. The number of regularly scheduled flights into the international airport in Cancun leaves adventurers with only a ninety minute drive to Tulum.

Whether you choose to do the driving yourself or use one of the many buses, shuttles and taxis, the transfer from airport to Tulum is uncomplicated. Local taxis or shared vans, known as collectives, can help visitors get to and from their lodging to the beach area, the pueblo proper, and the ruins.

Tulum mexico

Wikipedia

The Investment Potential Is Definitely Part Of The Best Of Tulum

Unlike nearby locations such as Cancun and Playa del Carmen, Tulum is still largely undeveloped. As such, being able to purchase lots for investment projects becomes much more affordable and can bring a higher return on cash outlay.

The Mexican Trust has made it possible for foreigners to own property within the 30 mile coastal zone. Having beach access is another value-added feature of buying in Tulum.

There are a number of projects that are in various stages of completion that could provide rental income as well as an ultimate retirement palace. Tulum 20-12, Eden Zama, and Zama Village are examples of these developments that offer modern condo living, with state-of-the-art amenities, and the desirability of the Rivera Maya location.

There are half-acre beachfront lots located on the other side of Peninsulafor as little as $79,000. There are also plenty of other opportunities in this fast moving market that be may the perfect choice for your expat investment plans.

tulum mexico

Gianni Maestri

Become Part Of The Best Of Tulum

With all the positives that Tulum offers, there is one remaining element that should be added to the best of Tulum-YOU!!  Make plans to visit this ancient Mayan location and learn, firsthand, how moving here can be a great way to build for the future, while investing in the present.

Mexico: A State of  Mind.

How’s your state of mind? Feeling confident and resilient? Flexible and fluid? Are you poised for adventure south of the border?

Freedom and opportunity reign in Mexico. And that’s why expats love it!

living in mexico

Chris Martino

Living in Mexico: What’s Not to Love?

The vibrant culture, beaches, deserts, mountains, and oceans. World-class surfing and snorkeling. Fresh seafood, Mexican and international cuisine.

Mexico offers outstanding opportunities to start a business, purchase real estate, and invest. Its low home prices and low cost of living afford you a superior quality of life.

You get superb health care facilities and state-of-the-art health care. Mexico’s modern infrastructure is solid. And high-speed communication makes your work and personal life easy.

Mexico has a number of International Airports that service flights from around the world. And good roads that make it easy to traverse the country for both business and pleasure.

Okay, I get it. Why not move your life to Mexico?

But, if you want to love living in Mexico, there are a few facts you need to know before you go.

living in mexico

Christopher William Adach

Living in Mexico: Your 5-Item Checklist (Before You Go)

1.  Learn What It’s Like to Live in Mexico: Read Books, Blogs, and Forums.

Explore the realities of daily life through stories of ordinary expats. Read books like San Miguel de Allende: A Place In The Heart. This is a collection of stories about true expats.

Novels about Mexico can also provide unique insights about Mexico. You may know John Scherber’s popular Murder in Mexico mystery series. The Girl From Veracruz is his latest release.

The good news is, you can find these books (and pretty much everything else you need to know) on the MexConnect blog-style magazine site.

The website covers everything from articles about living in Mexico, to travel and food. Culture and arts, history, and business. And the best part is, you can join one of Mexconnect’s many forums.

Tune in for timely advice and share with other forum members. You’ll absorb copious amounts of information from experienced expats living in Mexico.

2. Learn Spanish: It’s Your Key to Thriving in Mexico.

Don’t just speak Spanish. Live and celebrate life in Spanish. There is nothing more influential in the outcome of your expat transition to Mexico.

There are many language learning options. Choose from a number of reputable self-paced programs. Rosetta Stone, Pimsleur, and Duolingo are all popular. You can also download apps for your mobile devices.

However, if you’re a procrastinator, a self-paced approach may not work. You may be better served by registering for Spanish classes at a local venue.

Your absolute best option is to enroll in Spanish Immersion in Mexico. This style of learning ensures you will fully engage in Mexico’s language and culture.

The Spanish Institute of Puebla and Instituto Cultural Oaxaca are two highly regarded Spanish language and culture schools in Mexico.

3. Understand Mexico’s Immigration Policies: Which Visa Is Right for You?

There are many kinds of Mexico Visas. Like many expats, you may not think twice about operating long-term on your Mexico Tourist Visa. But you may be missing out on real benefits with a Residency Visa.

Do you plan to live in Mexico six months a year (or more?) If so, you should consider the benefits of holding a temporary Visa versus a permanent Visa.

There are different ways to go about obtaining a Visa. So you may want to consider hiring an immigration lawyer who knows the immigration system well. It could save you money and hassle in the long run.

Make sure you understand the apostille process. You’re required to have a certified or notarized document (apostille) for any legal action (Visas included). This process alone is arduous. You will need birth certificates, marriage certificates, death certificates, and divorce decrees.

And there may be more. An immigration attorney or an experienced apostille service can ensure you have the correct documents. And that you navigate the process as quickly (and as stress-free) as possible.

4. Understand Mexico’s Banking System

Mexico’s banking system has a volatile history. But it survived the global financial crisis and recent financial reform. The banking system emerged more stable and profitable.

Opening the market to foreign banks with new customer service technologies, employee training, and management programs positively influenced Mexico’s banking system.

But you still need to be on your toes when banking in Mexico. Watch for high multi-layered charges and commissions. Expect high borrowing rates and low deposit rates. And not-so-good customer service.

You’re still likely to experience long lines at the counter, so you may want to do most of your banking online.

5. Learn How to Shop Smart and Save Money.

Markets and trade are deeply rooted in Mexico culture. Smart shopping is buying local. Scope out local food markets and stores where locals shop. You’ll definitely pay less than if you buy name brands.

Stay away from supermarkets and imported items whenever possible. You’ll find your best deals on staples like breads, meats, veggies, and fruits at local family markets and mobile street vendors. Get to know the local butcher. Think “fresh.” And avoid mass-produced pre-packaged foods.

Avoid shopping malls, department stores and mega stores. Shop for clothing and shoes with local shop owners and market traders. They’re usually open to negotiation. They may be inclined to make a special price just for you.

Shop local crafters for home furnishings as well. Local artisans’ handmade furnishings are crafted from local woods, recycled, and other local materials. If they’re not obvious, use your best Spanish to ask locals where you can find a local furniture maker.

living in mexico

Christopher William Adach

Living in Mexico: What to Research Next

This checklist gets you off to a good start. And learning is simply a part of the journey. Here are four more items you may want to research next.

  • Long-term living costs in Mexico
  • How to prepare your budget
  • How are Mexico properties valued?
  • Mexico’s tax structure

Be patient and flexible. Be adventurous. And make the most of living in Mexico.

Thinking about investing in a second home? Retiring or going expat? Why not consider six spectacular places to live in Latin America?

places to live in latin america

Ingrid Khadijah

Why Should You Choose a Place to Live in Latin America?

For all the same simple reasons full-time expats and retirees flock to this part of the world. Simpler life. Tropical climate. Azure waters and gorgeous beaches. Jungle and mountains of unparalleled biodiversity. And growing numbers of flights from around the world.

You must be thinking, “Aside from the obvious, what else lures real estate investors to Latin America?”

Rich cultural heritage, pure beauty of nature, and simple lifestyle are truly magnificent. But Panama, Belize, Honduras, Ecuador, Costa Rica and Mexico have other ideal investment factors.

Why Do Investors Love Latin America?

These top emerging markets have healthy, growing economies. Construction and reconstruction are on the rise. Tourism, retirees, and expat numbers are steadily increasing. As a result, there are many fresh business opportunities. Generally speakingthere’s a robust need for rental properties.

Infrastructure improvements are a top priority. Internet access is typically a given. World-class hospitals and other modern medical facilities are available. Public transportation is solid.

New international airports are being built. Airline routes are growing. And visas and passports are easy to obtain.

Home prices are a real bargain. You can get a bigger house, a great location, and better views for so much less money compared to most other countries. You can find a modern two-story 3-bedroom/3-bath home with high-end finishes for $115,000.

The costs of living are low. In many places, a mere $2.50 will buy dinner at a local restaurant, and a couple can live really well on less than $2,000 per month.

Taxes, insurance, and utilities are low. And retiree incentives for expats are quite excellent.

So check out these six spectacular places to live in the Latin Tropics.

places to live in latin america

Cariberry

1. Ambergris Caye, Belize

“Best island in the world!” That’s what Trip Advisor readers said two years in a row. Ambergris Caye strikes a perfect balance between quaint and modern. High-rise buildings and traffic lights are non-existent. Locals, Latin immigrants, and expats from all over the globe traverse the island’s sandy roads barefoot or in a golf cart.

You’ll love exploring the diverse ecosystems around the island. From palm-lined beaches to mangroves, jungles, and reefs, you’ll never run out of things to do. Ambergris Caye is situated less than a mile from the second largest barrier reef in the world (Belize Barrier Reef). And one of the world’s top diving sites (Great Blue Hole). Scuba diving and snorkeling can’t get any better.

Can you imagine yourself sailing to the nearby cayes? Caye Caulker is a popular neighboring destination.

places to live in latin america

John Colby

2. Roatán, Honduras

Lonely Planet termed Roatán “pitch perfect.” The well-developed tropical setting offers an active lifestyle in a tranquil setting. Picture thirty miles of Carribean paradise with its own international airport, Juan Manuel Gálvez International Airport. Take your guests for a swim with the dolphins and sea turtles in Roatán’s warm Carribean waters.

Go sport fishing or kayaking. Explore shipwrecks, seawalls and Mayan artifacts. Scuba dive and snorkel in the nearby Belize Barrier Reef. And ferry to the mainland port of La Cieba in only an hour.

Take your land lover guests zip lining or ATV riding through the jungle.

places to live in latin america

Casey

3. Cuenca, Ecuador

Expats of all ages and from around the globe flock to Cuenca for its beautiful Andes mountain location. They’re lured there by Cuenca’s natural beauty, captivating colonial architecture, and 70-degree temperatures year-round.

Modern facilities and solid infrastructure make living here a charm. Among the breathtaking skylines, you’ll have the modern conveniences of pedestrian walkways, bike paths, underground parking facilities, and an excellent light-rail system.

State-of-the-art medical facilities combined with highly qualified medical professionals are added bonuses. And shopping malls, grocery and hardware stores, restaurants, and bars are plentiful in Cuenca.

places to live in latin america

Viva Tropical

4. Boca Chica, Panama

The Boca Chica economy is about to explode. Expansion at Enrique Malek International Airport (in David, Panama) will, for the first time, receive flights from major airlines around the world. A scenic 30-minute drive from the airport lands you in the serene little fishing village of Boca Chica. Picture rolling hills and secluded beaches. Sapphire waters and “emerald islands.”  A so-called secret “tropical fantasy!”

How cool would it be to take a 10-minute boat ride to your home on Boca Chica Island? You’ll feel like you’re hours away from civilization. And you might even forget what day it is. But the truth is, it’s incredibly easy to get to.

There are no tourist traps on Boca Chica Island. Just unspoiled prehistoric nature.  A place where locals and like-minded expats can still own a piece of heaven for a bargain.

places to live in latin america

Viva Tropical

5. Nosara, Costa Rica

Lonely Planet compared Nosara with Malibu and Oahu’s North Shore. Nosara’s surf-friendly beaches are some of the most beautiful in Costa Rica. Imagine dramatic rocky cliffs, tropical palm trees, and big expansive sand shores.

Internationally-recognized Nosara Yoga Institute made Nosara a popular travel destination with an enthusiastic health-conscious culture. Health food stores and organic markets are plentiful.

International schools with excellent academic and cultural programs make it ideal for raising a family.

places to live in latin america

Sean Savage

6. San Miguel de Allende, Mexico:

San Miguel is a UNESCO World Heritage Site. This interior city emerged from agriculture and industry to tourism and expat commerce. Although it has no beaches or blue waters, visitors fall in love with San Miguel’s cobblestone streets, rich history, and diverse culture.

The preserved colonial and Spanish architecture is truly breathtaking. And the “eternal spring” climate, combined with moderate costs of living and walkability, seals the deal.

You’ll enjoy roaming the vibrant art community and eclectic shopping venues.

Need you look further than these six spectacular places to live in Latin America?

Latin America provides an ideal lifestyle and perfect conditions for second-home investors, retirees and expats. Property bargains, benefits and amenities make your transition easy.

Take a trip down to see for yourself.

One of the many benefits that has made Mexico a long-time expat destination is the diversity of climates. Ranging from the tropical wetness found on both coasts to the arid desert of the interior, the seven variations of the climate in Mexico are a veritable bounty for expats to choose from.

Much like the various regions in Mexico, each micro-climate has distinct characteristics that can influence where you might want to retire or invest. The properties in Mexico also reflect these climatic differences and provide a wide range of prices and amenities for potential buyers to examine.

climate mexico

Veracruz – Lucy Nieto

Climates in Mexico – From Very Wet to Very Dry

Mexico is unique among Latin American countries in that it has seven distinct micro-climates within its borders. These micro-climates can be grouped into three categories: tropical, dry, and temperate.

  • Southern Veracruz, Gulf Coast Plain, Tabasco, Oaxaca, and Chiapas highlands are tropical and wet with average temperatures over 64° F and at least 2.4 inches of rain every month.
  • The Pacific Coastline as well as central and northern Veracruz are tropical wet and dry, with less than one inch of rain during the dry season; usually from November to May. This pronounced “dry season” is one reason why the Yucatan Peninsula is popular with expats.
  • Baja California (which is actually in Mexico) and Western Sonara have a dry, desert climate similar to the Sahara Desert with less than 10 inches of rain a year. The Sierra Mountain Range, in the center of this Mexican state, is the heart of Mexico’s wine producing region. Temperatures are still moderate with highs in the high 70s and nighttime in the low 50s.
  • Central Plateau, northern Yucatan Peninsula and the western Sierra Madre have slightly more rain (10-30 inches per year). The southern part of this region also has higher temperatures than the northern area.
  • Tijuana’s climate actually resembles the Mediterranean coast with dry summers and rain only during the winter months.
  • Guadalajara is the quintessential example of a temperate climate with the best combination of mild temperatures, low humidity, dry winters, and low summer rainfall. It is little wonder that this former pueblo town is one of the fastest growing metropolitan areas in Mexico and a prime investment option.
  • Eastern Sierra Madre is considered a temperate climate, although the humid, subtropical weather here is closer to the tropical zones with higher humidity and rain throughout the year.
climate mexico

Merida – UBELONG Volunteer Abroad

With So Many Choices, Which Climate in Mexico Is Right for Me?

Deciding which climate in Mexico fits your lifestyle, health, and long-term vision for retirement and/or investment opportunities involves some soul-searching. What is your definition of a Latin American paradise? Rural or cosmopolitan, beach or jungle, multi-unit or standalone? Applying that first “filter” can help you narrow your focus on the location that best suits you. Here are some areas expats have been focusing on in recent years.

Puerto Vallarta and Guadalajara

Puerto Vallarta is one of the most established expat communities, not only in Mexico, but throughout Latin America. Nestled along the Pacific Coast, its tropical vibe, a comfortable dry season, and modern infrastructure all contribute to its continued status as a prime retirement location.

Guadalajara, with its moderate temperatures, lower humidity, and less rain, is rapidly gaining ground as a place to retire or invest. The growth of the city itself has also led to improvements in infrastructure and more residential options being available.

Merida and Cancun/Riviera Maya

For those whose love of the beach is irresistible, the area around Cancun and Riviera Maya has long been a drawing card for investors and expats alike. The warm, tropical temperatures of the Gulf of Mexico, a dry season that matches perfectly with winter in the U.S., and a large expat presence, make this the prime area for anyone wanting to live by the sea.

An up and coming location, also in the Yucatan Peninsula, is the town of Merida. Lying along the trade wind belt close to the Tropic of Cancer, it has a similar tropical wet and dry climate, although its average daily temperature – around 91°F – is warmer than the coastal areas.

Acapulco

In the southern Mexican state of Guerrero, lies one of Mexico’s oldest tourist destinations, Acapulco.  Long favored by Hollywood royalty, such as Elizabeth Taylor and Frank Sinatra, this city is seeing revitalization after the difficulties of the early part of the 21st century. Although technically having a tropical wet and dry climate, Acapulco’s temperatures are more moderate than the resort areas in the Yucatan with the average daily temperatures running in the low to mid 80s.

The Tropic of Cancer

Mexico also has the distinction of having the Tropic of Cancer run right through the heart of the country. This is the northernmost latitude when the sun can appear directly overhead on the Summer Solstice. It is no surprise, then, that sun lovers have been choosing Mexico as the best place to retire and prosper.

mexico climate

Acapulco – Martin Garcia

Starting the Journey

If you’ve never been to Mexico, now is the best time to go. Visit the country, immerse yourself in Mexican culture, and learn where you seem to fit in best. Keep in mind that the seasons in Mexico are likely to be far different than those where you live.

Talking to people who have relocated there, whether permanently or as “snow birds,” is another good way of discovering where the best places to relocate might be. Don’t be afraid to ask questions; the answers you receive can be invaluable.

Lastly, keep in mind that the “climate” in Mexico is also a state of mind as well as meteorology. Knowing what you want, and where to find it, is the key to opening the door of your Mexican destination.

Viva Tropical Radio

Viva Tropical Radio

Maya scholar Dave Schaefer drops by to discuss the Mayan calendar and the Mayan creation book Popol Vuh. He speaks about his favorite ruins and how he got started studying Mayan hieroglyphs in Guatemala.

Dave and Josh also talk about why and how modern Mayan people aren’t being recognized. If you are interested in Mayan history or just want an introduction to Mesoamerican culture, this show is for you.

Listen to the show

You can listen to the show using the player above or grab it and listen on the go via one of the following options:

React to the Show

We appreciate your reaction to episodes of Viva Tropical Radio and feedback about how we’re doing. Send us your thoughts any time in an email or comment below.

Show Notes

Dave Schaefer’s website for supporting local indigenous projects.

Cracking the Maya Code (documentary on the Maya)

Books to read to learn more

Popol Vuh: Palenque eternal city of the Maya

Mexico has been a favorite expat destination for several decades. For those contemplating moving to Mexico, here are the answers to your top questions about going “south of the border.”

With a rich cultural history, established communities, and many locations to choose from, expat life in Mexico becomes a great option. Understanding some of the basics can make the transition from visitor to resident less complicated.

move to mexico

Bri

1. Is Getting a Visa in Mexico Complicated?

The short answer is: No. However, like other Latin American countries, there are rules concerning the types of visa and residency requirements that you should be aware of.

Non-Immigrant Visas

Perhaps the most common type of visa is the “Visitante” or Visitor visa. This is intended for those who are planning to stay in the country for six months or less. Importantly, it is not renewable.

Known as the FMM (Forma Migratoria Multiple), the form is supplied by airlines prior to landing in Mexico; if entry is by land or sea, the form is available at the Immigration Office at the point of entry. There is a small charge (approximately $20 US) for this visa; this fee is usually included in the price of your airline ticket.

A second type of non-immigrant visa is the FM3 (No Inmigrante) that allows foreigners to live in Mexico longer than six months. This is generally the visa chosen by expats looking to make Mexico their retirement home.

The major stipulation is that you can prove that you have sufficient funds to live there; a general estimate is roughly $1250 US per month plus an addition 50% for each dependent.  Since the amount required is revised on a regular basis and dependent on which location you are applying in, it is important to keep track of any changes.

The FM3 visa is good initially for one year, with an option to renew for an additional four years. The process can subsequently be repeated every five years.

Resident Visas

The FM2 (Inmigrante) is the visa you would apply for if your goal is to ultimately become a Mexican citizen or seek permanent residence. Upon being confirmed for this status, an identification card is issued allowing you to cross Mexico’s border as if you were a citizen.

There are a number of types of FM2 visas that depend on an individual’s situation. Retirees, investors, professionals, artists, and athletes are just some of the categories  that may qualify for permanent residency.  Seeking the advice of a competent immigration attorney is the best to see if your particular situation qualifies.

The Temporary Resident Visa (Visa de Residente Temporal) is similar to the FM3 in that it allows foreigners to live in Mexico longer than six months. The distinction, however, is that it is only renewable for up to a period of four years.

move to mexico

Martintoy

2. Can Expats Own Property in Mexico?

Expats and investors can buy and own property in their own name in the interior of Mexico but, at the current time are prohibited from direct ownership in the “restricted zone. This zone refers to areas within 100 km (64 miles) of international borders or within 50 km (32 miles) from the coastline at high tide.

In 1993, however, the Mexican constitution was amended to permit foreign ownership of property in these areas through a legal mechanism known as “fideicomiso,” or bank trust. Under this system, a bank is the actual title holder and the purchaser is the “beneficiary” with full rights of ownership. These trusts are granted for a 50-year period and renewable for an additional 50 years.

Expats can find a wide variety of properties available at reasonable prices. Whether your idea of the perfect hacienda is a beachfront condo, urban location, or rural retreat, Mexico offers something for every taste and budget.

move to mexico

Joe Runy

3. What Is Life for an Expat Like in Mexico?

Although it borders the U.S., it is important to remember that Mexico is a foreign country with its own cultural make up and lifestyle. Daily life in Mexico varies from location to location – much like everywhere else in the world.

In the larger cities, such as Mexico City and Acapulco, expats can find most, if not all, of the modern amenities of any major U.S. city. With that lifestyle, however, comes a higher cost of living for everything from rent or property prices, food, utilities, etc.

Major tourist locations such as Puerto Vallarta, Cancun, and Rivera Maya are going to have a lot of English speakers (which may be a plus) and the tourist-beach vibe that a lot of expats find attractive. Again, the popularity of these places has made the price tag of living there higher as well.

For those seeking a more relaxed and rustic lifestyle, there are many smaller towns and villages that can make immersing in Mexican culture an easy task. While the cost of living is less, some of these areas may lack some of the cosmopolitan amenities of bigger cities – which is part of the trade off.

Finally, it is important to remember that Spanish is still the language of Mexico. Although many Mexicans understand and speak some English, having some knowledge of their language can make daily life much easier.

move to mexico

mig8447

4. What About Crime?

In recent years, Mexico has made the headlines concerning the ongoing problems with various drug cartels and other criminal activities. With so much attention being given to these high profile incidents, being concerned about the impact of crime, when considering moving to Mexico, is both understandable and realistic.

While there are certain areas that seem to be hotspots for many of the incidents, the majority of the country is largely unaffected.  In a real sense, a comparison could be made to urban centers in many countries that are dealing with similar issues. Doing your own due diligence when looking at a particular location can better inform you of any potential problems before making a move.

5. Is Mexico the Place for Me?

Perhaps the best way to answer that question is to spend some time in various parts of the country. Learn what living in Mexico is like and, even more importantly, see how you feel about the possibility of making it your own. There’s no time like the present to begin the journey.

One of the biggest considerations for expats seeking to buy their retirement or getaway home in Latin America is the taxes on real estate. Comparing property taxes of the most popular destinations for expats is an important step to deciding the best location for your tropical retreat.

Once the decision is made to become an expat, finding a home in paradise will involve some research. Looking at the unique qualities of each country and the properties available is a great way to begin your journey.

Property Taxes

Tropical House in Paradise

Comparing Property Taxes in Latin America Country by Country

Countries in Latin America have widely different approaches as to what real property should be taxed and when. Similarly, the calculations of property taxes can be confusing for expats trying to choose which location might be a good fit for their budget.

What follows is a brief overview, by country, of the tax structure for real property. This comparison will also include any taxes imposed at the time of sale or transfer of title as well as when payment of these assessments are due.

Property Taxes

Anoldent

Belize

Belize has a fairly straightforward approach to property taxes. For residential property, the tax rate will be between 1% and 1.5% of the value as set by the Department of Natural Resources. These are payable each year by April 1st at any Lands Department office. When looking for your Belizean retreat, making this calculation is easy.

Residents in Belize City can take advantage of a 10% discount if taxes are paid by March 31st There is a 25% discount on property taxes for Senior Citizens (over 65) that certainly is a great incentive for expat retirees.

Investors and developers of large plots of undeveloped land (parcels over 300 acres) are subject to a Speculation Tax. This tax is computed based on 5% of the undeveloped value of the property.

When a title is transferred, a transfer tax is collected as part of the buying process. There is no tax for values under $10,000; for values in excess of that amount, the tax is a flat 5%.

Property Taxes

Didier Baertschiger

Costa Rica

For all of the attention and growth that Costa Rica has experienced in the last decade, property taxes still remain as some of the lowest anywhere, including the U.S. The tax rate is 0.25% of the registered property valued as determined by the local governments or municipalities.

Some of the very large and high-end properties have been subject to a luxury tax based on such items as size, custom furnishings, and fixtures. These rates are still surprisingly low; in 2013 it was estimated that that this tax was in the range of 0.1% to .25% of property value.

Changes to the transfer tax of 1.5% may impact some buyers. While the percentage has stayed the same, the basis for the calculation (property value) cannot be less than the highest recorded fiscal value. Fortunately, this amount will usually be less than the market price of the parcel. With low tax rates, finding your home in the land of Pura Vida is still a great option.

Property Taxes

Casey

Ecuador

Ecuador has some of the lowest property taxes in Latin America. The tax rates are progressive from 0.025% to 0.5% of the value as assessed by municipal officials.

These values are considerably lower than the purchase price – often by as much as 25% to 75%. As a result, it is rare to pay over $400 in annual taxes.

There are also deductions and discounts that can appeal to expats. Homeowners over the age of 65 only have to pay half the amount of the tax assessed.

Additionally, deductions for mortgages to purchase or improve the property are possible. Ranging between 20% and 40%, these must be requested and cannot exceed 50% of the value of the property. Ecuadorian real estate may provide some of the most affordable options in the region.

Property Taxes

Waterways

El Salvador

El Salvador is unique in that there is no property tax assessed for owning real estate. Although there is no annual assessment, when property is transferred, a transfer tax is triggered.

The tax, paid as part of the buying and selling process, equals 3% of the value over $28,571.43 of the purchase price. Non-residents also are subject to a 25% capital gains tax when selling property unless the sale occurs within three years of taking possession of the property.

The El Salvadoran government is considering a tax reform package that would include a tax on property that does not have any productive function except for private leisure or recreation. This “luxury tax” would be assessed at the rate of 1% of the value over $350,000 even if the property has not been developed.

Whether or not this tax will be enacted is uncertain. Regardless, the great majority of expats will not be impacted because of the high dollar threshold of the assessment. Low prices enhance the attractiveness of the selection of properties available.

Property Taxes

Stefano Ravalli

Guatemala

Guatemala uses the cadastral value of real property to calculate the tax owed. The word “cadastral” refers to the extent, value of, or ownership of real property and is used widely throughout Central America.

Taxes are calculated in local currency (the Guatemalan quetzal) by local authorities.  When converted to U.S. dollars, it becomes apparent that these are quite reasonable for the great majority of expat residents. Below is a chart showing the tax rates:

PROPERTY TAX

TAX BASE, GTQ (US$) TAX RATE
Up to 2 million (US$255,428) 0%
2 million – 20 million (US$2,554,278) 0.20%
20 million – 70 million (US$8,939,975) 0.60%
Over 70 million (US$8,939,975) 0.90%
Source: Global Property Guide

As can be seen, there is no property tax owed on properties valued under $255,428. The taxes are due annually and are paid to local municipalities where the property is located. Searching for properties under this dollar amount may be easier than you might imagine.

Property Taxes

Chamo Estudio

Honduras

Honduras has one of the few property tax laws that permit 12 monthly payments instead of just a single annual amount. The tax rate itself is based on value assessed by the municipality and can be calculated at $3.50 per every $1,000 of assessed value.

For example, a property value at $100,000 would have a yearly tax of $350.00. Spread out over twelve monthly payments, each installment would be for $29.16. Buying property in Honduras with the ability to spread out yearly taxes is an attractive prospect.

As a result of new tax reforms that went into effect on January 1, 2014,  property transfers carried out by nonresidents are now subject to an increased 4% (previously 2%) withholding tax over the transfer value to be withheld by the acquiring party.

One important feature of the Honduras tax scheme is the incentive program for projects or plans that would increase tourism to Roatan. Under this program, property taxes may be given a 20 year exemption. This is a powerful incentive for investors looking for a location to develop and build.

Property Taxes

Chris Goldberg

Mexico

Mexico was the first Latin American country to attract expats. The older expat enclaves, such as Puerto Vallarta, have demonstrated the potential for living and investing in Central and South America. Mexico still has a great selection of properties and lots to interest expat buyers.

Property taxes in Mexico vary from state to state. Each state’s tax department sets the assessed value and the tax rate can range from 0.05% to 1.2%, depending on the property location.  Other variables such as whether the lot is improved, if there is poor access, and if it is only used seasonally also factor into the assessment.

The assessment itself is done at the time of sale or transfer and will remain the same until the property is sold again. The taxes are due at the beginning of the year although the tax amounts are not available until mid-January of the year they are due. Since tax bills are not sent out, it is up to the property owner to go to the tax office with a previous bill to obtain the current one.

Payments can be made in six installments during the first ten days of every second month; ( i.e. January, March, May, July, September, and November). Failure to pay the taxes when due can result in steep penalties; in some cases as high as 3% for every month the payment is past due.

Mexico also charges an acquisition tax on every transfer of real property regardless of whether it is through a sale, donation, trust, or other method. The rates can range from 2% to 3.3%, again varying by state and is owed as part of the transfer process.

Property Taxes

Daniel Fajardo Valenti

Nicaragua

Nicaragua has, perhaps, the easiest property tax scheme in Latin America.  The tax is a flat 1% and are calculated at 80% of the cadastral value of the property (land, buildings, and permanent improvements) as assessed by the local office.

In the city of Managua, the calculation is slightly different. There the figure is based on 80% of the cadastral value LESS 40,000 Nicaraguan Cordobas (NIO); roughly equaling $1,624 in U.S. dollars.

Since there is no up-to-date national registry for property values, property taxes are less important than in other locations. With a lack of proper records, many small communities do not even collect the taxes which has led some to view paying them as a voluntary, rather than mandatory, act. Many of these smaller towns and villages have attractive and unique properties that are worth a look.

There is a 30% capital gains tax assessed on property sales. Again, this is based on the land value and not the sale price.

Property Taxes

Bocas Del Toro

Panama

Panama is unique among the countries in the region in that the property taxes are national and are collected by the Ministry of Economics and Finance. The tax rate is a maximum 2.1% and is based on the assessed value – usually the declared value in the original sale documents. Expats are increasingly interested in the homes and lots available here and the possibilities that Panama offers new arrivals.

The calculation is based on the value of the land plus the declared value of any improvements made. If a transaction is made for an amount in excess of this amount, that will automatically increase the value of the property for tax purposes. Payments can be made in three installments: April 30th, August 31st, and December 31st.

Property taxes are graduated depending on the assessed value. Below is a chart showing this breakdown: Value of the property                                     Property Tax Rate US$ 0.00 up to US$ 30K (exempted)                    0% US$ 30K up to US$ 50K                                        1.75% US$ 50K up to US$ 75K                                        1.95% US$ 75K and above                                               2.10%

Condominiums, however, use a slightly different formula:

Property Tax Rate for Condos:

Value of the property                                 Property Tax Rate US$ 0.00 up to US$ 30K (exempted)             0% US$ 30K up to US$ 100K                             0.75% US$ 100K and above                                    1.0%

The 20 year exemption on property taxes that was so attractive to investors ended in 2009. That program has been replaced by a revised set of exemptions:

  • 15 years Up to US$ 100,000.00
  • 10 years From US$ 100,000.00 to US$ 250,000.00
  • 5 years Above US$ 250,000.00
  • Commercial Use/Non-residential improvements have 10 year exoneration regardless of the property value

Lastly, Panama does have a transfer that is the greater of a) 2% of the total sale price or; b) the declared value of the parcel plus the value of improvements plus 5% for each year the property was owned.

A Brief Note on U.S. Property Taxes – Paradise Is Cheaper!!

While the various property tax schemes throughout these tropical locations may seem confusing, there is one important element to keep in mind:  U.S. property taxes are higher!!!

22 of the 50 states have median property taxes in excess of 1%. New Jersey is the highest at 1.89%. When combined with other property-related taxes and fees, the overall cost of property ownership far outstrips most of the Central and South American locations expats desire. In a very real sense, paradise is cheaper and living there is easier now than ever before.

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