How Do I Sell My Property in Cabo? A Step-by-Step Guide
Karla and Erick Cabo Realty
Last update: 2026-10-20
Karla and Erick Cabo Realty
Last update: 2026-10-20
Selling a home in Los Cabos is not like selling in California, Texas or Arizona. Your property is almost certainly held in a bank trust (fideicomiso), a Mexican notary runs the closing, and the tax is calculated in pesos and paid before you receive your money.
We help U.S. owners sell homes, condos and lots in Cabo San Lucas, San José del Cabo and the Tourist Corridor, many of them without ever flying down. This guide walks you through the 8 steps, with the real rules that decide how much you keep.
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| 50 km from the coast: the restricted zone, which covers all of Los Cabos |
25% of the total sale price: ISR for non-residents, no deductions |
35% of the gain: the other option for non-residents |
| 15 days for the notary to pay the tax after the sale is signed |
Pesos the currency your gain is calculated in, so the exchange rate matters |
8 steps from pricing to closing |
Everything starts with how you own the property. Because Los Cabos is inside Mexico's restricted zone (50 km from the coast), foreigners own through a fideicomiso. When you sell, the bank transfers your rights in the trust to the buyer, or the trust is cancelled if the buyer is Mexican.
Locate your fideicomiso contract or deed (escritura), and the original purchase deed. You will need it to prove what you paid.
| Document | Why it matters |
| Fideicomiso contract or escritura | Proves you own the property and can sell it |
| Original purchase deed | Sets your cost, which lowers the taxable gain |
| Facturas for improvements | Only improvements with official Mexican invoices can be deducted |
| Property tax (predial) and water no-debt letters | The property must be current before closing |
| HOA no-debt letter | Required in gated and golf communities |
| Passport and marital status documents | If you are married, your spouse may need to sign. See real estate and divorce in Mexico |
Ask the notary for an ISR estimate first, so you know your net, not just the price. This is the step most U.S. sellers skip, and it is where the surprises come from.
| Your situation | How ISR is applied |
| Not a Mexican tax resident (most U.S. sellers) | 25% of the total sale price with no deductions, or 35% of the gain if the sale is done by public deed and the conditions of the law are met |
| Mexican tax resident | Progressive rates on the gain after deductions, and a possible primary-home exemption if you can prove it was your home |
The gain is calculated in pesos, from your purchase price adjusted for inflation. If you inherited the property, the rules change: read Selling Inherited Property and Tax Implications in Mexico.
Price against closed sales in your community, not only against what is listed. Overpriced listings in Cabo sit, and buyers notice. Learn how in How to Determine the Market Value of Your Los Cabos Property.
Fix what a buyer will see on the first visit, and make sure the home photographs well with the ocean or golf view. Timing matters too: read When Is the Best Time to Sell Property in Cabo?
Most buyers in our communities come from the U.S. and search online before they fly down. Your listing needs the MLS, professional photos and video, and a clear story about the community: golf, beach, privacy or walking to town.
Look beyond price: deposit, closing date, what furniture is included, and who pays which closing costs. Once agreed, both sides sign a promissory agreement and the deposit is usually held in escrow.
The notary checks the title, the no-debt letters and the trust, calculates your tax and pays it to the SAT within 15 days of signing. You receive your net after tax.
Never accept a lower price on the deed to pay less tax. It is illegal and can create bigger problems for you and the buyer.
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Yes. Foreigners who own through a fideicomiso can sell. The bank transfers the trust rights to the buyer, or cancels the trust if the buyer is Mexican.
If you are not a Mexican tax resident, ISR is 25% of the total sale price with no deductions, or 35% of the gain if the conditions are met. The notary calculates both.
Yes, if you have official Mexican invoices (facturas) for real improvements, like an addition or a pool. Regular maintenance and furniture don't count.
Yes. Many sellers close with a power of attorney and never travel. Ask us before you plan a trip.
The Mexican notary. It is calculated and paid at closing, so you receive your money net of tax.
Thinking about selling your Cabo property?
Tell us where your property is and how it is titled. As MLS members, we will show you real closed sales in your community, estimate your net and market it to buyers from California, Texas and Arizona.
Source: Mexican Income Tax Law (Ley del ISR), article 160; Mexican Ministry of Foreign Affairs (SRE), restricted zone and fideicomiso rules; and our local experience. This article is general information, not legal or tax advice. Confirm the numbers with your notary and tax advisor.
Disclaimer: Karla & Erick | Cabo Realty provides educational content about real estate in Los Cabos. We help buyers and sellers, mainly from the United States, buy and sell homes, condos and lots in the region. We are MLS members and operate under the brokerage Century 21 Paradise Properties. We are not lawyers, notaries or tax advisors.
Karla & Erick | Cabo Realty | Century 21 Paradise Properties
Your home in Los Cabos, with people who live here.
Karla Andreu and Erick Flores are MLS members with Century 21 Paradise Properties, focused on luxury golf and oceanfront communities: Querencia, Palmilla, Pedregal, Quivira, Diamante, Cabo del Sol, Cabo Real, Club Campestre and Puerto Los Cabos.
Most of our clients come from California, Texas and Arizona. We help them buy, sell and relocate with real market data, honest advice and one clear plan from the first video call to closing day.
No pressure. No surprises. Just the right home for the way you want to live.
What Happens to Real Estate During a Divorce in Mexico? – A Cabo Realty Legal Breakdown
Legal breakdown of what happens to real estate during divorce in Mexico, focused on Los Cabos, Baja California Sur: marital regimes, ownership structures (escritura/fideicomiso), key documents, and practical next steps—updated for 2026.
When Is the Best Time to Sell Property in Cabo?
When is the best time to sell property in Cabo? This guide explains seasonality, pricing strategy, and timing for U.S. sellers in Los Cabos to help maximize exposure and results.
Selling Inherited Property and Tax Implications in Mexico
Inherited a home in Los Cabos? Mexico has no inheritance tax, but selling triggers ISR. This guide explains how the gain is calculated, what U.S. heirs pay, and the steps to sell.
