2026 Guide
Buying a home in the U.S. as a Mexican
Everything you need to know before you sign, in one place. This guide gathers the answers we've been giving on the phone for 20 years.
First things first: yes, you can buy
U.S. law does not restrict real estate purchases by foreign nationals. You can buy on a tourist visa, with permanent residency or with dual citizenship. What changes from one case to another isn't the right to buy, but the financing terms and the tax structure that suits you.
The process
The 7 steps of the process
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Define your real budget.
Not the price of the house: the price plus closing costs (2–5%) plus the reserves the lender will require.
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Pre-qualify the loan.
Before viewing homes. An offer without a pre-qualification letter is rarely taken seriously.
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Decide the legal structure.
Personal name, LLC or trust. With an accountant and attorney, before you offer.
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Choose an area.
Budget, schools, distance to the border and whether you'll live there or rent it out.
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Search and offer.
With a comparables analysis so you don't overpay.
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Due diligence.
Inspection, appraisal, title review and, if applicable, review of the condo rules.
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Closing.
Escrow, signing and keys. 45 to 60 days with financing.
The money
What you'll pay out
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Down payment
30–40% as a foreign national with no credit history.
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Closing costs
2–5% of the price: escrow, title, inspection, appraisal, lender fees and property-tax proration.
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Reserves
Several months of payments still available after closing.
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Annual property tax
Around 1.1% of the purchase value.
Tax ID
The ITIN
The Individual Taxpayer Identification Number is the tax number the IRS issues to those who don't qualify for a Social Security Number.
It isn't required to buy, but it makes better loan terms easier to access and you'll need it if you rent the property and have to report the income. We help you obtain it.
Photo: Dietmar Rabich · CC BY-SA 4.0 · cropped
Photo: Ryuch · CC BY-SA 4.0 · croppedDowntown San Diego and the Chula Vista bayfront.
Taxes
Taxes you should know
- Property tax: about 1.1% per year of the purchase value in California.
- Income tax: if you rent it out, you must report the income to the IRS.
- FIRPTA: when you sell, a percentage of the sale price is withheld if the seller is a foreign national. There are mechanisms to reduce or recover that withholding, but they must be planned for.
- Double taxation: the Mexico–U.S. treaty prevents paying twice on the same income, but it requires filing correctly on both sides.
Avoid these
Costly mistakes we've seen
- Buying without deciding the legal structure, then discovering that changing it resets the property tax.
- Not planning for FIRPTA and getting a surprise at sale.
- Underestimating closing costs and coming up short on signing day.
- Buying a condo without reading the rules, then finding out short-term rentals are prohibited.
Keep going
Tools and answers
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Mortgage calculator
Try combinations of price, down payment, rate and term and see the monthly payment.
Open the calculator -
Mortgage financing
How loans for foreign nationals work, what they require and how long they take.
See the process
Photo: Gregg M. Erickson · CC BY 3.0 · cropped