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Buyer's Guide · Updated October 2026

Buying in Todos Santos: the complete guide

How foreigners own property on the coast, what it costs to buy, own and sell, how residency works, and what to check before you sign — in Todos Santos, El Pescadero and Cerritos.

Read — 22 min read
Homes on the Pacific, inside the restricted coastal zone
Homes on the Pacific, inside the restricted coastal zone
Coastal ownership
Bank trust · 50 years, renewable
Acquisition tax (La Paz)
3% · since Jan 2026
Buyer closing costs
≈ 5–8% of price
Property tax
0.2–0.25% of cadastral value
Offer to deed
45–90 business days
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Contents

General information, not legal or tax advice. Figures checked October 3, 2026 against current law and official sources, listed at the end. Laws, fees and exchange rates change: confirm every number with a Mexican notary before you sign.

The short version

  • Todos Santos, El Pescadero and Cerritos are inside Mexico's restricted zone, the 50 km strip along the coast. A foreigner cannot hold title there directly; a homebuyer holds it through a bank trust (fideicomiso) that lasts 50 years and can be extended.
  • The three towns belong to the Municipality of La Paz. Since January 1, 2026, its acquisition tax is 3%. With notary, appraisal, registration, escrow and the trust, budget roughly 5 to 8% of the price on top of it.
  • Pay through escrow or the notary, never directly to a seller or agent, and have the title, liens and land history checked before you sign.
  • Owning is inexpensive: property tax is about 0.2 to 0.25% of the cadastral value a year, plus the trust fee and services.
  • When you sell, a non-resident pays income tax of 25% of the price or 35% of the gain; a Mexican tax resident selling a home may be exempt up to 700,000 UDIs.
  • To live here, a temporary or permanent residence visa starts at a Mexican consulate in your country.

Owning on the coast: the fideicomiso

Article 27 of the Constitution says foreigners may not own land directly within 100 km of the borders or 50 km of the coast. All of Todos Santos, El Pescadero and Cerritos is inside that strip. The Foreign Investment Law (articles 10 to 14) gives two ways to own anyway.

1. A bank trust, for a home

A Mexican bank holds title as trustee, with a permit from the Ministry of Foreign Affairs (SRE). You are the beneficiary, with the right to use and enjoy the property, rent it and keep the income, sell it, and name who inherits it. The trust lasts up to 50 years and can be extended at your request. When you sell, the buyer takes over your trust or opens a new one.

CostAmountNote
SRE permitMXN 21,648.83One time. Ley Federal de Derechos, art. 25 (2026 text; updated yearly for inflation)
SRE application reviewMXN 596.29One time
Bank setupAbout US$500–4,000Banks do not publish fees; ask for written quotes
Bank annual feeAbout US$400–800Every year while the trust exists

The law gives SRE 5 business days (30 at its state offices) to answer. SRE has suspended that deadline while it repairs its online system, so permits are taking longer. In 2025 the trust business of CIBanco moved to Multiva after US Treasury action against CIBanco and Intercam: if you buy a property that is already in a trust, confirm which bank holds it today.

2. A Mexican company, for a business

A Mexican corporation with foreign shareholders can hold title directly, but only for non-residential use — rentals run as a business, a hotel, a development — and it must notify SRE. It costs more to keep each year (accounting and tax filings), so it is rarely the right choice for a home.

The purchase, step by step

  1. Offer and promise to purchase. Price, deposit, dates and conditions are set in a contrato de promesa de compraventa.
  2. Escrow. The deposit, usually 5 to 10%, goes into escrow. Title and escrow companies such as Secure Title Latin America, Fidelity National Title and Stewart Title work in Baja California Sur.
  3. Due diligence. Title, liens, land history, permits, water and access (see Before you sign).
  4. Trust permit and bank. The bank requests the SRE permit and runs its own know-your-client review.
  5. Appraisal. An appraiser authorized by the municipality values the property; the appraisal is valid for 90 days.
  6. Signing before the notary. The notario público is a senior lawyer appointed by the state who drafts the deed, checks the documents, calculates and collects the taxes, and pays them.
  7. Registration. The deed is recorded at the Public Registry in La Paz. The trust deed usually reaches you two to three months after closing.

From accepted offer to signing, plan on 45 to 90 business days.

Closing costs

The acquisition tax (Impuesto sobre Adquisición de Bienes Inmuebles, ISABI) is set by each municipality. Decree 3263, published in the state's Boletín Oficial No. 88 on December 24, 2025, raised it in La Paz from 2% to 3% from January 1, 2026. For a lot with a house used as a home, the 3% applies after deducting five times the annual UMA (about MXN 214,000 in 2026). The tax is charged on the highest of the contract price, the cadastral value and the appraisal. Many guides written before 2026 still say 2%.

ItemTypicalWho sets it
Acquisition tax (ISABI)3%Municipality of La Paz, by law
Notary feesAbout 1–1.5%The notary; no public schedule
Appraisal, registration, certificatesVariesMunicipal and state fees
EscrowAbout US$1,000–3,500The escrow company
Trust permit and setupSee aboveSRE and the bank
Total, usually≈ 5–8% of priceThe notary gives the exact figure before closing

Before you sign

  • Title and liens. The current deed and a certificado de libertad de gravámenes from the Public Registry of Baja California Sur.
  • Ejido history. Some land around Todos Santos was communal ejido land. It can be sold only after the ejido assembly granted full ownership (dominio pleno), the parcel left the National Agrarian Registry (RAN) and a title was recorded at the Public Registry (Ley Agraria, arts. 81–82). On the first sale after that, relatives, workers, ejidatarios and the ejido have a 30-day right of first refusal; a sale without that notice can be annulled (art. 84). Ask for a separate search at the RAN.
  • Taxes and services paid. Receipts or certificates of no debt for property tax (predial) and water.
  • Water. Municipal connection, a well with a CONAGUA concession, a shared well, or delivery by truck. Since the December 2025 reform of the National Waters Law, water concessions are no longer transferred with the property: CONAGUA reassigns them under a new title. Read our note on water in Todos Santos.
  • Access. That the road to the property is a legal access, not a neighbour's courtesy.
  • Beachfront. The first 20 m of firm land next to the beach is federal (ZOFEMAT). Using it — a deck, a palapa — needs a federal concession.
  • Permits. Building licence and completion for any house; zoning for any lot (see Building).
  • Money. Funds go to escrow or the notary, never directly to a seller or agent before closing.

What it costs to own

CostAmountNote
Property tax (predial)0.2% a year of the cadastral value for your own home; 0.25% for other usesLey de Hacienda de La Paz, art. 31. 10% discount for paying the year in January–February. Vacant urban lots pay more (1.1%, rising each year until built on)
Trust annual feeAbout US$400–800The bank
HOAVariesOnly in developments
Electricity (CFE)Depends on useHomes above the regional limit go to the high-consumption tariff (DAC); it takes 12 months below the limit to come back
WaterMunicipal account, well fees or truck deliveriesSupply in La Paz municipality is scheduled, not continuous: houses have a cistern
Short-term rentals50% of the daily UMA per rental per dayNew in 2026 (Decree 3263), including stays booked through apps

As an example, a cadastral value of MXN 3,000,000 at 0.25% is MXN 7,500 a year. Cadastral values are usually below market value.

Selling later

  • Non-resident seller (Ley del ISR, art. 160): income tax of 25% of the gross price, with no deductions, or 35% of the gain. When the sale is made by public deed, the 35% option does not require a legal representative in Mexico. The notary calculates and pays the tax.
  • Mexican tax resident selling a home (art. 93): exempt up to 700,000 UDIs of the price (about MXN 6.2 million in October 2026), once every three years, if the sale is made before a notary.
  • VAT: land and homes are exempt; the construction of a property not used as a home (a hotel, for instance) pays 16% VAT on the building portion.

Keep every invoice for improvements: with the gain-based option they reduce the tax.

Residency

  • Visitor: up to 180 days per entry; the immigration officer decides how many.
  • Temporary resident: 1 to 4 years, renewable within that period.
  • Permanent resident: after four years as a temporary resident, or directly as a retiree with a pension.

The process starts at a Mexican consulate in your country. After entering Mexico you have 30 days to exchange the visa for a residence card at the National Migration Institute (INM). The law sets solvency in days of minimum wage (MXN 315.04 a day in 2026); each consulate publishes its own dollar figures. Examples for 2026:

Temporary residenceLas Vegas consulateNew York consulate
Monthly income, last 6 monthsUS$4,630US$4,200
Or average balance, last 12 monthsUS$78,025US$71,500

Owning property in Mexico worth more than 40,000 days of minimum wage (about MXN 12.6 million in 2026) also qualifies for temporary residence. For permanent residence as a pensioner, the law asks for a pension above 500 days of minimum wage a month (about MXN 157,500) or savings of 20,000 days; check your consulate's current figure. INM card fees in 2026: MXN 11,140.74 for one year of temporary residence, MXN 25,057.82 for four years, and MXN 13,578.96 for permanent residence.

Living here

  • Distances. La Paz is about 80 km (1 h 15) and Cabo San Lucas about 75 km (1 h), both by highway 19; Los Cabos airport (SJD) is about 110 km via Cabo San Lucas (1 h 30), and La Paz airport about 90 km (1 h 15).
  • Health. Todos Santos has a 24-hour public health centre. The nearest hospitals are in La Paz (private: Hospital Fidepaz; public: Hospital Juan María de Salvatierra and IMSS) and Los Cabos (private: H+ Los Cabos, among others). Residents can enrol in IMSS voluntarily (MXN 20,538.59 a year in 2026; some serious pre-existing conditions are excluded); most foreign residents also carry private insurance.
  • Car. No temporary import permit is required while a foreign-plated car stays on the Baja California peninsula; it is required to take the car to mainland Mexico, including on the ferry from La Paz.
  • Weather. Rain is rare most of the year; summer (July to September) is hot and humid, and September is the wettest month. The eastern Pacific hurricane season runs May 15 to November 30, most active from late August to September.
  • Internet. Satellite internet (Starlink) works across the area; fixed-line service depends on the street — ask the seller what the house has.
  • Cost of living. There is no reliable published index for Todos Santos. Budget for summer air conditioning, water storage, health insurance, the trust fee and property tax, and a car: most of life outside the centre is by road.

Building

  • Construction licence. From the Municipality of La Paz, signed by an accredited professional, with property tax up to date. The fee is 0.7% of the construction value.
  • Zoning. The urban development plan for Todos Santos–El Pescadero–Las Playitas (Boletín Oficial No. 40, 2012) sets densities and heights; for example, tourist-residential areas allow 4 homes per hectare on lots of at least 2,000 m², and buildings within 400 m of the coast are limited to two storeys (7.5 m). The municipality is preparing an update: confirm the current rules for your lot before you buy it.
  • Historic centre. Work on or next to a catalogued historic monument needs a permit from INAH.
  • Climate. Salt air and sun shape how a house should be built. Read building in a salt-air climate.

If you file taxes in the US

Real estate held directly or through a fideicomiso is not reported on the FBAR or Form 8938; Mexican bank accounts are, above the thresholds (FBAR: more than US$10,000 in total at any time of the year). Under Revenue Ruling 2013-14 the IRS does not treat a typical fideicomiso as a foreign trust, so Forms 3520 and 3520-A are generally not required. A company that holds the property is reportable. Ask your US tax adviser.

Questions about a property?

TodosSantos.com answers every inquiry and helps you ask the right questions before you decide.

Todos Santos, Baja · Questions

Buyer’s Guide: questions

Can foreigners buy real estate in Todos Santos, Baja?

Yes. Todos Santos is in Mexico's restricted zone, so foreigners hold residential property through a bank trust (fideicomiso) or a Mexican company, with every right to use, rent, sell and inherit.

What are the closing costs in Todos Santos?

The acquisition tax is 3% since January 2026; with notary, appraisal, registration, escrow and the trust, total buyer costs land around 5 to 8% of the price.

What should I ask before the price?

Water: well, municipal connection, cistern or delivery. It changes what you can build and what the property is worth.