Paso a Paso Baja

Buying and building in Los Cabos (Cabo San Lucas and San José del Cabo)

Includes Cabo San Lucas, San José del Cabo and the East Cape south of La Ribera. Construction usually costs more here.

What's specific to Los Cabos (Cabo San Lucas and San José del Cabo)

Purchase tax (ISABI): 3% statutory rate (as of 2026-01-01). How it's calculated
Local cost ranges: not available yet. Ranges appear in the app only after at least 5 people report the same item, and they're always estimates.

Offices (Los Cabos (Cabo San Lucas and San José del Cabo))

Buying steps

  1. Is it communal land (ejido) or private property?
    Finding out whether the land is private property (propiedad privada, recorded at the state public registry, the RPPC) or ejido land (tierra ejidal, a communal agrarian regime recorded at…
  2. Title search (estudio de títulos / búsqueda registral)
    A review of the chain of ownership, any annotations, and the seller's right to sell, done from the RPPC folio (the folio real, the registry's file for the property).
  3. No-lien certificate (certificado de libertad de gravámenes)
    An official RPPC certificate stating whether the property has mortgages, liens, embargoes or lawsuit annotations.
  4. Property tax and land-record check (predial y catastro)
    Confirming that property tax (predial) is paid and that Catastro's record matches the deed: owner, surface area and boundaries.
  5. Water
    Confirming how the property will get water: a municipal network, trucked water to a cistern, or a well.
  6. Utilities by town: water, power, sewer and internet before you buy
    Confirm in writing which services reach the lot and what it costs to connect. Water comes from the municipal water utility (OOMSAPAS) where there's a network, or from trucks (pipas), wells…
  7. The public notario (notario público)
    A state-appointed lawyer who drafts and certifies the deed, verifies identities, calculates and collects taxes, and sends the deed to be recorded.
  8. Choose the trustee bank (fiduciaria)
    A Mexican bank acts as trustee: it holds legal title. You are the beneficiary (fideicomisario) with full rights to use, rent, sell and bequeath the property.
  9. Appraisal and purchase tax
    The municipal tax the buyer pays on acquiring property (Impuesto Sobre Adquisición de Bienes Inmuebles). The notario calculates it from an appraisal (avalúo).
  10. Closing costs by municipality (all five)
    Closing costs in BCS are mostly the acquisition tax (ISABI) set by each municipality, notario fees, the appraisal, registry fees, the trust setup and the SRE permit. The structure is the…
  11. Sign the deed (escritura)
    Signing the public deed in which the seller transfers the property to the bank as trustee for your benefit, and the trust contract is formalized.
  12. Sign up for property tax (predial) in your municipality and set up payments
    After closing, make sure the municipal cadastral record (catastro) shows the trust or you as owner, get your account number (clave catastral), and choose how to pay each year: online where…

Building steps

  1. Hire the architect, licensed site engineer (DRO), permit runner (gestor) and contractors
    Architect: designs the house. DRO (Director Responsable de Obra): a licensed professional who signs plans and takes legal responsibility for the work, plus co-responsible specialists where…
  2. Bank's permission for permits (the bank holds title in a trust)
    The bank, not you, holds title, so licenses and permits are issued in the fiduciaria's name. The bank either signs each application or grants a power of attorney (poder) to you or your…
  3. City land-use approval (uso de suelo)
    Formal municipal authorization that a single-family home is allowed on the lot, under the zoning plan's rules. It comes after the state dictamen (step 4.10).
  4. Water, well and septic
    Securing water and wastewater: a network connection, or a cistern plus trucked water, or a licensed well; and a septic system where there's no sewer.
  5. Street alignment and official address (alineamiento y número oficial)
    Alineamiento: the official line between the lot and the street, plus any setbacks or road widening. Número oficial: the official street number.
  6. Electricity hookup (CFE)
    An electrical feasibility request, a construction or temporary supply, and later the permanent contract (step 4.29). If you add solar, there's an interconnection contract too.
  7. Building permit (licencia de construcción)
    The municipal building permit, also called the building license.
  8. Water and sewer connection (OOMSAPAS)
    The water utility's contract and connection (toma) with a meter for the finished house, after the water feasibility (step 4.14).
  9. Building permits by municipality: where to go in each of the five
    Each municipality's urban development office (Desarrollo Urbano) issues land use, street alignment and building licenses under the state construction regulations and its own rules. The…

Common questions

Can a foreigner own property in Baja California Sur?

Yes. In the restricted zone, which covers nearly all of BCS, you hold residential property through a bank trust (fideicomiso) as beneficiary, with rights to use, rent, sell and bequeath it.

How much are closing costs?

Estimates commonly range around 4%–7% of the price in BCS, including ISABI, notario, appraisal, registry, trust and permit fees. Ask the notario for an itemized estimate.

What is ISABI?

The municipal acquisition tax paid by the buyer, set by each municipality's revenue law. It's commonly a few percent of the higher of price or appraisal.

Is ISABI the same in every municipality?

No. La Paz, Los Cabos, Comondú, Loreto and Mulegé each set their own rate and rules every year.

Why does the appraisal matter?

ISABI is charged on the higher of the price or the appraisal, and the appraisal also supports your cost basis.

All questions

Other places

Don't see your town? The app covers all five municipalities of Baja California Sur.

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