Ejido land offers some great real estate investment opportunities in Mexico. It is communal agricultural land owned by the federal government but used by local communities for agriculture.

Foreigners that take care to understand the legal process can buy this land from members of the ejidos ("ejidatarios").

Ejido members are permitted and required to use and work the land, but could not sell, lease or use the land for collateral until January 27th, 1992, when a new Agrarian Law was passed allowing the privatization and sale of ejido land.

Every day more people are hearing about ejidos and are getting familiar with ejido processes and formalities. In fact, ejidos represent a very interesting topic for investors in real estate and tourism because a considerable amount of land in Mexico belongs to ejidos, and an important amount of these ejidos are located in coastal areas.

Even some of the land that will be used for the new Tulum airport was originally ejido land.

The right to use this type of land can be purchased, but is sometimes a risky deal, so it is important to understand that ejido titles can only be sold or transferred to other members of the ejido community.

Individual ejido members must obtain a full title through the "Domino Pleno" process before the title can be transferred to a foreign buyer. If this doesn't happen any ejido land you buy will not be your property, you will only be allowed to use it.

Ejido members can acquire ownership to the land they hold via a process called PROCEDE (Procedimiento de Certificación de Derechos Ejidales / Procedure for Certification of Ejido Rights).

By means of PROCEDE each part of ejido land is surveyed then numbered and assigned to each ejido member via titles or certificates. They can then start the second part of the process called Dominio Pleno.

Ejido members have the land title after this two part process is complete and can then transfer the land to anyone including foreigners.

Benefits of PROCEDE to ejido members include being able to: Assign their rights between members of ejido; Inherit their ejido rights; Enter into long term (30 years, renewable) association agreements with third parties; and acquire full ownership and title to solares (lots) and transfer them to any third party without restrictions.

Contact us now if you are interested in finding out more about Mexico land and ejidos.