Notary costs and deed registration: what you pay and why

Notary costs in Mexico combine taxes, fees and professional charges. ISAI (real estate acquisition tax) is paid by the buyer and varies by state: in Nuevo León it's around 2% to 3%, in Mexico City it uses a progressive table, in Yucatán it's 2%. ISR applies to the seller and depends on whether the property was a primary residence with proven residency or a second home; the notary withholds it and remits it to the SAT.

Registration fees in the Public Property Registry are a fixed fee or percentage depending on the state. Lien-free, property-tax no-debt and water no-debt certificates have an independent cost. Notary fees are the negotiable component: rates vary by notary office but usually fall between 1% and 2% of the transaction value, with a minimum floor. Request a written quote from at least two notary offices before choosing.

The mortgage adds an origination fee (between 0.5% and 2% of the loan), bank appraisal, investigation costs, insurance premiums (life and property) and, occasionally, a monthly servicing fee. The buyer can request an amortization table with all costs prorated to compare the total annual cost (CAT) between banks before signing.

Key points

• Budget ISAI, fees, certificates and notary charges separately
• ISR is paid by the seller but the notary withholds it
• Compare notary quotes in writing
• The CAT lets you compare the real cost of several loans