The real estate industry is unregulated in Mexico. Anyone can sell real estate and anyone can open a real estate office. Real estate agents are not licensed, are not regulated, and are not monitored. Although there are many professional, well-educated and well-intentioned, real estate agents in the Mexican real estate market, because the real estate industry is so very lucrative, hundreds of people are flocking to the industry without any real understanding of the business, of proper business protocol, or ethical standards. Many good articles have been published on the internet about the hazards of purchasing real estate in an area where the industry is unregulated. We, at Folsom, would encourage you to research those articles before coming to Mexico if you are considering making a real estate purchase. It will be your responsibility to determine which, of the many real estate agents that are available to you, falls into the first category of professionalism, and which merely want to make the sale.
This may or may not be easy to determine. We would encourage you to interview a potential agent rather than choosing the agent based on a particular property that he or she may have. When interviewing the agent ask how long they have been in the business and what type of education or training they have. Get references. Although being new to the industry should not in and of itself disqualify an agent, you should verify his or her statements of law. For example, many agents are taught to tell their clients that the best way to hold Mexican property is in corporate form. If you talk with the agent about that statement, chances are good that you will find they can't fully discuss the matter because they simply do not understand it. Be aware of whether the agent is trying to isolate you from outside sources of information. If the agent does not encourage you to talk to your attorney of choice, or to obtain other verification of their statements of market value and law, we would encourage you to continue looking for the correct agent. Remember, you are not the real estate agent's client. Generally speaking, the agent has an agreement with the seller or developer and will be paid by that person when the transaction closes.
There are thousands of beautiful properties along the Riviera Maya, and all over Mexico. Don't make the mistake of entering into an Offer to Purchase for the first property that you see without first determining whether it is a sound legal transaction.
[Choosing an Agent] Typical Transactions Choosing a Mexican Attorney Ejido Property