TITLE & BANK TRUST
Presta Nombres & Bank Trust ( fideicomiso ) |
The first one is illegal, actually a federal criminal offence and we can only speculate why that is. It could well be to ‘scare’ people into a bank trust. First you need a title, banks will not accept ejido land or property. The only good thing about the fideicomiso is that you can borrow money against it or arrange for a mortgage, but if you look at the interest rates and general conditions here, you may want to think about it twice. On the downside you need to know that you do not own the property, the bank does. Fideicomisos are expensive. You cannot really make any changes to that property without their permission. If there is any legal action involving the property they will not defend it, you need to ‘ buy ‘ the permission from them so you can hire a lawyer to defend the property legally. Tenacatita is a good example, a friend of ours, whose property was in a Bank Trust had to pay a lot of money to get such ‘permission’ . Then another item is TRUST, do you really want to trust a Mexican Bank ? In the eighties, the same political party was in power as now, they confiscated all banks and their fideicomiso properties without any compensation, at least not for the properties and their “trusting” original titleholders.
Now, a lot of people know that a law has past that allows foreigners to own their own house or property right here on the coast. However that law is not yet in force, that may take another few months. The government is working on the mechanics and procedures how these transfers are going to be handled. It seems that it is going to be complicated, I am enrolled in a one month fulltime seminar to learn the respective rules and procedures.
It may be prudent at this stage just to wait for that law to go into effect.
Lic. Margarita Schiffmacher
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