What types of property exist in Mexico?
In Mexico, there are two main types of property ownership: "Ejido" land and "Privately Owned" land. "Ejido" land refers to communal land owned by an agricultural community, governed by specific rules and regulations. Conversely, "Privately Owned" land is owned by an individual or entity and can be freely bought, sold, or transferred. These distinctions are crucial when considering property rights and investment in Mexico.
Agrarian, also known as social, belongs to several agrarian groups and is subdivided into two categories: ejidal property and communal property. Since 1992, with the enactment of the Agrarian Law, the voluntary transition to full ownership has been allowed, which means that through a certification process, it can become private property and, therefore, be susceptible to sale. The key distinction in social property is based on the origin of land ownership.
The ejido arose as a result of the allocation of land by the State to a group of farmers who lacked land and needed it for their subsistence. On the other hand, the agrarian community has its origin in the recognition by the State of lands that belonged to a group of peasants since ancient times or in the restitution of lands if they had been dispossessed of them in the past. This difference is fundamental since the ejido is created as a measure to distribute land to those who need it, while the agrarian community recognizes the historical rights of a group of peasants over the land they have occupied and worked for generations.
The two concepts reflect different approaches to land policy and its history in Mexico. Public refers to the buildings and territories under the jurisdiction of the entities and agencies of the different levels of government (Federal, State and Municipal). These properties are subject to the regulations established by the General Law of National Assets of the federal government and by the heritage or heritage laws of the federal entities. Access and use of these public spaces is restricted and regulated, meaning that to use a public space it is necessary to obtain a concession, and individuals can only access public property through these concessions.
Several types of taxes involve property in Mexico. These include acquisition tax, annual property tax, rental income tax, value added tax, capital gains tax and income tax. The acquisition tax is paid for any property purchased; Tax levels differ, but can range from 2% to 4.5% of the value of the property at the time of purchase (Ortega, 2023).
Who is the government regulator of Mexico of property?
Different authorities and regulators There are a few different regulators and authorities that are involved with various types of properties in Mexico. For example, the registration of titles is administered by the Public Property Registry, and this is responsible for maintaining the official records and legal status of real estate (Real Property Law).
The National Agrarian Registry is a communal property that keeps a record of agricultural and livestock purposes, with the addition of an internal administration and surveillance board (History of the National Agrarian Registry). These different authorities and regulators are because real estate transactions are governed by a local civil code and other jurisdiction laws apply depending on the location of the property. Land is a very important asset for Mexico, therefore maintaining proper documentation and ownership requires several different authorities and regulations to be in accordance with the Mexican Constitution.
How as a foreigner can you own land and properties in the ejido structure of ownership? NATI
Can a foreigner own land in the coastline of Mexico? WIKIPEDIA