Acquisition of Real Estate Tax

In Yucatán, when buying real estate, your attorney will outline closing costs, including the Acquisition of Real Estate Tax (ISAI).

This tax is determined as a percentage of the property's sales price, which may differ depending on its location. The rate typically ranges from 2% to 5%. In Merida, for example, the typical rate is 2.5%. The ISAI is paid at closing to fulfill all legal and fiscal requirements before the transfer of ownership.

The calculation of the ISAI tax involves multiplying the property value by the applicable tax rate. For instance, if a property is sold for MXN 1,000,000 with an ISAI tax rate of 2.5%, the resulting tax payable would be MXN 25,000.

The responsibility for payment of the ISAI tax rests with the buyer, representing an essential requirement in the real estate acquisition process in Yucatán.

You will pay the ISAI tax at the notary's office when you are there to sign your fideicomiso and deed.

When buying real estate in Mexico, particularly new construction, a sales tax (IVA) is usually added. IVA applies to most new developments except lower-income housing, and it is possible that it may not be included in the listed price.

The sales tax is determined based on the sale price and may increase the overall cost. It is advisable to check with the developer whether the sales tax is included in the sale price. This information can help you in making an informed decision about purchasing the property or considering other options.

Acquisition Real Estate Tax – Per city

Mérida – 2.5%

Progreso – 4%

Sisal – 3%

Telchac Puerto – 3%