🇲🇽 Buying a Vacation Property in Mexico: What Canadians Need to Know

Why Mexico? More Than Sunshine

Mexico is a perennial favourite for Canadian second-home buyers, and for good reason. Beyond the beaches, Mexico offers:

• Easy accessibility: With direct flights from major Canadian cities, and now over 30+ direct flights to Tulum’s brand-new international airport, travel is faster and easier than ever.
  
  

• Lower cost of living: Stretch your retirement dollars with affordable luxury.
  
  

• Cultural richness: Food, music, wellness, and ancient traditions come together in a vibrant lifestyle.
  
  

• Warm climate year-round: Say goodbye to Toronto winters.
  
  

• Appreciation potential: With top-tier hotel brands like SOHO House, SLS, NOBU, and Ritz Carlton opening in Tulum, demand is skyrocketing.

This article is the first in our Mexico Property Guide.

We’ll be spotlighting additional destinations like Cabo San Lucas, Puerto Vallarta, Playa del Carmen, and San Miguel de Allende in future posts—each with unique ownership rules, lifestyle considerations, and real estate dynamics.

🏝️ Spotlight: Tulum & Selva Estates

Tulum has quickly evolved from a sleepy backpacker haven into a global destination for luxury living. With its vibrant wellness culture, high-end beach clubs, bohemian-chic lifestyle, and new international airport, Tulum offers a unique blend of natural beauty and upscale convenience.

Tulum appeals to Canadians who value:

• Eco-luxury and design-forward architecture

• Easy rental returns from consistent tourist demand

• A walkable and bike-friendly lifestyle

• Access to yoga, boutique dining, holistic wellness, and art-driven events

However, it’s important to know:

• Infrastructure in Tulum is inconsistent outside gated communities

• Internet, water, and electricity may be unreliable in some developments

• Beachfront ownership is extremely limited, and many areas have development restrictions

That’s where Selva Estates comes in.

✨ Why Selva Estates?

Located in Losantos, the most prestigious part of Aldea Zama, Selva Estates is a boutique Mediterranean-inspired collection of just 18 architecturally unique residences, setting a new standard for elegance and space in Tulum.

• Each unit has private pools—most 2 and 3-bedrooms include two plunge pools

• Residences are named after iconic Mediterranean locales: Capri, Amalfi, Monaco, Ibiza, etc.

• Expansive layouts: from 1,100 sq ft to 3,400+ sq ft

• Exclusive beach club access to Amansala, Gitano, UMI & more

• Pre-launch discounts: $15K–$50K off select units

• $391/sq ft vs. $600+/sq ft in comparable developments

• Fully equipped with premium appliances & curated furniture packages

• Amenities: padel courts, gym, yoga palapa, amphitheatre, on-site dining, 24/7 security, concierge

• Developer: Las Piedras

• Representative Brokerage: Engel & Völkers Tulum

With Tulum’s continued rise as a luxury destination, early investors in Selva Estates are positioned for both strong lifestyle returns and long-term appreciation.

✅ Step 1: Foreign Ownership Rules & Fideicomiso

What You Need to Know:

• Mexico restricts direct foreign ownership within 50km of the coast. Tulum is in this “restricted zone.”

• Use a fideicomiso, a bank trust that gives you full ownership rights.

• The fideicomiso lasts 50 years and is renewable indefinitely.

• Set-up cost is approx. $2,000 USD, with annual maintenance of $700–$1,000 USD.

At Selva Estates, all purchases are processed via secure fideicomiso bank trusts with reputable institutions. Our local representatives will help you with this process.

✅ Step 2: Due Diligence & Legal Steps

What You Need to Know:

• Conduct a full title search (escritura pública)

• Use a Mexican notario público, a government-appointed official

• Hire a cross-border attorney familiar with Canadian/Mexican transactions

• Use escrow services to hold funds securely until closing

• Ensure building permits and zoning compliance

At Selva Estates:

• Title-cleared land inside a gated community with paved roads and full infrastructure

• Dedicated team for due diligence support that ensures all necessary team members are in place to legally protect you throughout the process

• Buyer protection through developer guarantees and legal vetting

  
  

✅ Step 3: Closing Costs & Tax Considerations

What You Need to Know:

• Closing costs = Approximately 6% of the purchase price

  • Includes legal fees, trust setup, notary, transfer taxes, registration

• Annual property taxes in Mexico are low compared to Canada

• Capital gains tax on resale ranges from 25–30%, but exemptions/credits may apply

At Selva Estates:

• Buyers receive a full breakdown of expected closing costs upfront

• Estimated HOA Fees: ~$400/month (1-bed), ~$500 (2-bed), ~$600 (3-bed)

• In-house accountant support available to assist with ownership and exit planning

  
  

✅ Step 4: Financing Options

What You Need to Know:

• Most Canadians purchase cash or use HELOCs back home

• Developer financing available with flexible terms

• Cross-border mortgages exist but often require 20%+ down and higher interest rates

At Selva Estates:

• Three-tier deposit schedules (30/40/30, 50/30/20, 90/10) with up to 2% purchase discounts

• We can coordinate with your Canadian mortgage advisor to explore options

  
  

✅ Step 5: Insurance, Infrastructure & Safety

What You Need to Know:

• Get hurricane and earthquake insurance through a local provider

• Confirm power, water, sewage, fibre internet are in place (they often aren’t in Tulum!)

• Work with properties that have good legal standing and infrastructure

At Selva Estates:

• Located in Losantos, one of Tulum’s few areas with paved roads, lighting, sewer & water

• Insurance estimates provided during purchase process

• 24/7 security, gated entry, and on-site concierge staff

  
  

✅ Step 6: Residency, Banking & Currency

What You Need to Know:

• Temporary Resident Visa (TRV) recommended for longer stays or opening a Mexican bank account

• Use currency transfer platforms (Wise, KnightsbridgeFX, etc.) to get better rates

• You can open a bank account without residency but with more restrictions

At Selva Estates:

• Clients receive full support with banking, visa applications, and residency planning

• Preferred banking partners offer easier application pathways

• All contracts and pricing clearly stated in USD to avoid FX confusion

  
  

✅ Step 7: Rental Income & Management

What You Need to Know:

• Non-resident income tax: ~25% (but deductions may apply)

• Ensure your property has vacation rental licensing & strong management

• Consider platform marketing, concierge, cleaning & maintenance services

At Selva Estates:

• Jungle Luxe offers turnkey rental & property management

• Listings on Airbnb, VRBO, Marriott Bonvoy, Google Vacation Rentals

• Services include guest communications, cleanings, concierge, repairs

• Estimated PM Fee: 23% of nightly base rate

  
  

✅ Step 8: Lifestyle, Safety & Community

What You Need to Know:

• Choose a location with reliable infrastructure & safety

• Look for communities with active ownership, security, and concierge

• Access to healthcare (private clinics, international insurance accepted)

At Selva Estates:

• Gated, 24/7 secured enclave in Aldea Zama’s most elite sub-community

• On-site amenities: pool, yoga palapa, amphitheatre, gym, trails, restaurant

• VIP beach club access + curated neighbourhood map of dining, wellness, retail

Summary at a Glance

✅ Ready to Explore Selva Estates?

Whether you’re just browsing or ready to act, now is the time to explore this rare pre-launch opportunity. Units are already being reserved, and this pricing won’t last long.

📲 DM me “TULUM” on Instagram or click this link to book your free discovery call.

Let’s review your equity, financing options, and timeline.

I’ll connect you with trusted local professionals and walk you through every step—from floor plans to closing.

💬 Stay tuned for our next destination breakdown: Buying in Cabo San Lucas.

Rylie C.