Plan on 6-9% on top of the purchase price to close on Mexican property. On a $480,000 USD Tulum condo that’s roughly $29,000 USD to $43,000 USD in fees, taxes, and FX losses. Brokers usually quote “6 to 8 percent.” Here are the line items behind it.
The full receipt
| Line | Amount (USD) | Notes |
|---|---|---|
| Acquisition tax (ISAI) | $14,400 USD | 3% of price; Quintana Roo state rate |
| Notario fees | $7,200 USD | ~1.5% of price; partially negotiable |
| Fideicomiso setup | $2,500 USD | One-time bank trust setup |
| SRE permit | $1,400 USD | Foreign-affairs ministry permit |
| Public registry fee | $2,400 USD | ~0.5% of price |
| Title search and due diligence | $1,200 USD | Independent legal review |
| Survey and appraisal | $900 USD | Required by most banks |
| Currency conversion spread | $5,400 USD | ~1.1% on a $480K wire |
| Bank wire fees | $150 USD | $50 outgoing, $100 incoming |
| Closing services | $800 USD | Escrow / coordination |
| Total | $36,350 USD | 7.6% of purchase price |
That’s the closing column. It does not include annual carry: fideicomiso renewal ($650 USD/year), property tax (predial, roughly $300 USD to $1,200 USD/year depending on assessed value), HOA fees if applicable ($150 USD to $500 USD/month for condos), or insurance ($800 USD to $2,400 USD/year for hurricane-zone coverage).[SHCP / SAT, Predial y contribuciones inmobiliarias, 2026-04]
What moves the number up
A few line items move the most. Acquisition tax (ISAI) varies 2.0-4.5% by state. Jalisco runs around 2.0% and Quintana Roo and Mexico City are closer to 3.0-4.5%.[SAT, Régimen del ISAI por entidad federativa, 2026-04] Notario fees have meaningful negotiability on properties above $400,000 USD, so get two quotes. The currency spread on a forex broker (Wise, OFX) versus a US bank wire is often the largest single saving, because banks routinely take 2.5-3.5% on a $400,000 USD+ wire while specialist forex brokers take 0.3-0.5%.[Banco de México, Sistema de Información Económica, 2026-04]
The fideicomiso setup ($2,500 USD) typically runs $1,500 USD to $2,500 USD depending on bank, with annual trustee fees of $500 USD to $700 USD.[Secretaría de Relaciones Exteriores, Permisos para extranjeros, 2026-04] The SRE permit ($1,400 USD) and public registry fee are relatively fixed. Survey and appraisal can be skipped on cash purchases and many buyers do, but the $900 USD is cheap insurance against survey discrepancies that show up later as boundary disputes.
What’s not on the receipt
Travel costs to inspect, broker side-payments (illegal but they happen, refuse them), and the cost of your time on the ground for closing. Most buyers underestimate the trip-cost line by about half. Two trips to Mexico for closing is the realistic minimum; three is common. Title insurance is optional in Mexico and runs roughly 0.5-0.7% of price if you choose to add it. Condo HOA reserves and special assessments aren’t itemized in your closing statement but can hit in year one.
Hidden cost: ISR at exit
When you sell, Mexican income tax (ISR) on the gain is 25% of gross sale price or 35% of net gain, whichever you choose.[SAT, Impuesto sobre la Renta - Enajenación de bienes inmuebles, 2026-04] Residency status, a primary-home exemption (up to ~700,000 UDIs), and proper invoicing of improvements all change the math, so factor exit cost into the entry-day model.
The currency spread is the under-discussed cost
On a $480,000 USD wire from a US bank, the spread between the bank’s quoted FX rate and the Banxico mid-market rate is typically 2.5-3.5%. That’s $12,000 USD to $17,000 USD you don’t see itemized; it’s baked into the conversion. A specialist forex broker brings that spread down to 0.3-0.5%, saving $10,000 USD to $15,000 USD on a single transaction.[Banco de México, Tipo de cambio, 2026-04]
The mechanics: open a forex broker account before you’re ready to close. Fund in USD via ACH. Convert at the broker’s mid-market-plus-fee rate. Wire pesos directly to the notario’s escrow account. Two-day settlement, fully traceable, half the spread.
The honest 2026 number
For a $480,000 USD Tulum condo, budget about 7.5% in closing costs ($36,000 USD), with the currency spread being the single biggest variable. Cash buyers using a forex broker land closer to 6.5%; bank-wire buyers land closer to 8.5%. That’s the real range. The “6 to 8 percent” answer brokers give is the right average for the wrong reasons.
Next steps
If you’re modeling a specific deal, start with the Mexico fideicomiso guide for the trust mechanics and the closing costs breakdown for state-by-state ISAI rates. The /newsletter drops a fresh state-rate refresh each quarter. Country overview lives at /mexico/.