I’ll be honest with you, Mexico can get a bit complex with its legal system. First off, its civil law, compared to the common law system of the United States, so its less flexible in interpretation and this can of course lead to some issues during translation, but fret not! That’s what these blogs are for, making things a little bit easier for you, a little bit more accessible and what better way to do so than by giving you a quick run through one of the key elements involved in any real estate investment in Mexico, the Notario.
Difference between a Public Notary and a Notario
Otherwise known as notario publico, you should know right off the bat that it’s not the same as a public notary (contrary to what logic dictates). In the U.S. anyone can post a bond, pay a fee and become a public notary. In Mexico however, the notario needs to practice the law 5 years at least (and pass a difficult exam) before doing so. A rough entry point no doubt, in fact, there’s only 17 notarios total in Baja California—as of time of writing.
What’s a Notario and why do I need one?
The notario’s coveted certification allows them to give authenticity to legal acts and documents, like contracts for example. They can give advice to parties on how to comply with the Mexican law for whatever it is they try to do (real estate and otherwise) and close real estate transactions, as well as many other legal transactions, including the forming of corporations in Mexican soil.
Notarios investigate all aspects of property-orders appraisals (city and state), make sure the title is clear, draw all the documents for transaction and calculates taxes based on appraisals. They also draw up the official contract, not the buyer. Not the seller and definitely not the agents, only the notario can do this. The buyer does get a certified copy of the title though.
In layman’s terms a notario is the mix of a real estate lawyer and tax collector, quite an important mix as you have noticed. You can’t really think about investing in Mexican real estate (or investing in Mexico in general) without a notario. It’s that important.
Where do I find a Notario?
First off, you need to remember, the notario represents the Mexican government, not you. You may hire the notario and the notario will help you out, but you need your own real estate agent and/or lawyer for your own personal representation during the deal.
After getting your own representation, you could start searching online for whatever notarias (notario workplaces) there are at your area. Yes, you could, but I would recommend you take a different approach. Get to know people that invest in real estate, make friends that invest in real estate and soon you’ll start to know the best notarios around through word of mouth. Because, as hard as it is to become a notario, not all of them are made equal.
After that, you’re pretty much good to go. Get in line with the best of the best and start rolling in those big real estate investments!
Until next time!