Puerto Vallarta, Mexico STR

[Jonathan Lauren Montgomery]

Hello--I have an interesting opportunity to get my hands on a STR in Puerto Vallarta Mexico, however the seller is looking for all cash. What is the most tax-efficient and cost-effective way to make a cash purchase of a home in Mexico, with minimal tax implications and low interest rates on any type of loan? I have about half available liquid. I would appreciate any advice or insights from those with experience in the Mexican real estate market.

[Mike Lambert]

Hello Jonathan,

The taxes you're going to have to pay are the same whichever way you pay for the property. You can't get a low interest rate loan in Mexico. The exception would be developer or seller financing, which aren't very common and not applicable here.