Closing Costs When Buying Property in Puerto Vallarta: Complete 2026 Guide
If you're planning to buy a condo or home in Puerto Vallarta or Riviera Nayarit, closing costs are one of the most important — and least publicized — aspects of the buying process. This guide explains exactly what's included, how much they represent, and how to calculate them before closing your transaction.
What are closing costs when buying property in Mexico?
Closing costs are all the additional costs beyond the purchase price paid when legally transferring property title. In Mexico, this process is conducted before a Notario Público (Public Notary) — a government-designated official with authority to certify and formalize real estate transactions.
Unlike in many countries, the Notary in Mexico is not just a witness: they are legally responsible for verifying that the property carries no liens, that the seller has a legitimate right to sell, and that all taxes are current. Without the Notary's intervention, no valid property transfer exists in Mexico.
How much are closing costs in Puerto Vallarta?
Closing costs in Puerto Vallarta and Riviera Nayarit represent between 5% and 8% of the purchase price. On a $500,000 USD property, this means an additional $25,000 to $40,000 USD you need to have ready at closing.
Detailed cost breakdown by item
- ISABI (Property Acquisition Tax): 2%–2.5% of the cadastral value, varies by state
- Notary fees: 1.5%–2.5% of the transaction value, regulated by state tariff
- Public Registry of Property fees: 0.5%–1% of the property value
- Property appraisal: Approximately $300–$600 USD depending on property type
- Fideicomiso setup fee (foreigners): $1,500–$2,500 USD one-time cost
- Annual Fideicomiso maintenance fee: $500–$700 USD per year
Use our Closing Costs Calculator to get an exact breakdown based on your property price and state.
Jalisco vs. Nayarit: an important difference in closing costs
A key distinction many buyers miss: properties north of Puerto Vallarta International Airport belong to the state of Nayarit (Bucerías, La Cruz de Huanacaxtle, Punta Mita, Sayulita), while properties to the south (downtown Puerto Vallarta, Romantic Zone, Versalles, Marina Vallarta) belong to the state of Jalisco.
This matters because ISABI rates differ by state. Nayarit rates are generally slightly lower, which can represent savings of $2,000–$4,000 USD on comparable properties.
On a $400,000 USD property in Bucerías (Nayarit) versus Puerto Vallarta (Jalisco), the difference in closing costs can be $2,000–$4,000 USD at closing.
The Fideicomiso bank trust: what foreign buyers need to know
As a foreign citizen (American, Canadian, European, or other), you cannot directly own property within Mexico's restricted zone (50 km from the coast). Instead, you must use a Fideicomiso (bank trust), which works as follows:
- A Mexican bank acts as trustee and holds the legal title to the property
- You are the beneficiary with full rights to use, rent, modify, mortgage, and sell
- You can designate substitute beneficiaries (heirs) without any probate process
- The Fideicomiso is now indefinite following the 2022 legal reform — it no longer expires automatically
The most commonly used banks for Fideicomisos in Puerto Vallarta are Scotiabank, BBVA, and Banorte. HOMIA coordinates the Fideicomiso opening with your preferred banking institution throughout the purchase process.
Are notary fees negotiable in Mexico?
Notary Public fees are regulated by state tariff and are not negotiable. However, many pre-construction developers offer to absorb part or all of the closing costs as a sales incentive — especially for cash buyers or early-stage purchasers.
HOMIA negotiates these conditions on behalf of our clients in every transaction. In our current developments like Nalua and Naarena, the developer covers a significant portion of closing costs.
According to Mexican government regulations, notaries are required to provide an itemized cost estimate before any signing.
Pre-construction vs. resale closing costs
When buying pre-construction, the title transfer happens at delivery (typically 12–24 months after signing). The costs are similar to resale, with two key differences:
- The ISABI calculation base may be the commercial value at delivery, not the original pre-sale price
- Many developers absorb closing costs as part of pre-construction purchase benefits
For a resale purchase, costs apply immediately and the closing process typically takes 30–60 days from accepted offer.
Are closing costs tax-deductible in Mexico?
Yes, partially. ISABI and certain notary fees can be added to the property's tax cost basis (costo fiscal). This means when you sell in the future, these costs reduce the taxable base for calculating capital gains tax (ISR).
If you rent the property through platforms like Airbnb, the annual Fideicomiso maintenance fee and certain notary expenses may be deductible as operating costs. We recommend working with a tax specialist experienced in Mexican real estate investment.
Closing day checklist
- ☑ Notary budget signed and reviewed with the Notary
- ☑ Funds available to cover purchase price + 6–8% closing costs
- ☑ Fideicomiso bank trust open with designated trustee
- ☑ Valid government-issued ID (passport for foreigners)
- ☑ RFC tax ID (optional but recommended for foreign buyers)
- ☑ Property tax, HOA fees, and utilities confirmed current
How much should you budget?
As a rule, budget between 6% and 8% of the purchase price for closing costs in Puerto Vallarta and Riviera Nayarit. On a $300,000 USD property, that's an additional $18,000 to $24,000 USD you need ready at closing.
To calculate your exact breakdown, use our free closing costs calculator or schedule a no-cost consultation with our AMPI-certified bilingual advisors.
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