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Housing & mortgages

Home loan mortgage process in Mexico

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Updated 24 October 2026.

Buying a home with a mortgage in Mexico follows a fairly predictable order: work out what you can afford, choose the type of loan, find the property, then appraisal and closing. Skipping a step is the most common way to lose months — and a deposit.

This is the general map. It applies to a bank mortgage, an INFONAVIT loan or a co-financed one, and it is meant to get you to an offer knowing what to ask, not to replace the offer itself.

The basics in one table

StageWhat gets decided
1. CapacityWhat you can pay monthly and how much down payment you have.
2. Loan typeBank, INFONAVIT, co-financed or a mix.
3. Pre-qualificationHow much you can borrow and at roughly what rate.
4. ComparisonCAT, term, insurance and conditions.
5. Property and appraisalThat the home is worth the price and is financeable.
6. Signing and deedClosing before a notary and registration.

1. Repayment capacity and down payment

The first number comes from your income, not the price of the house. As a working rule, many banks look for the monthly payment to stay within 30–40% of your net income, but the final test is set by each lender and your other debts.

2. Choose the loan type

TypeWho it suitsWhat to check
BankWorkers with provable income and a credit history.Rate, CAT, term, insurance and fees.
INFONAVITFormal workers with an account and a score.Pre-qualification, programme and the Institute's conditions.
Co-financedBuyers who fall short with one loan.Two rates and two terms: total cost rises.

If you work for the state, also check FOVISSSTE. If you are a foreigner, ask from the start which residency and income documents each lender accepts.

3. Pre-qualification

Pre-qualification is not an approval, but it gives you a borrowing range and an estimated rate. Lenders usually pull your credit report. Check it before applying: errors, accounts you do not recognise or old arrears can change the offer.

Get pre-qualified with two or three lenders, including your current bank. Do not treat a single quote as final.

4. Compare using the CAT, not the monthly payment

Two loans with the same monthly payment can cost very different amounts. Mexico's CAT (Costo Anual Total) bundles rate, fees and insurance into one comparable figure. Always ask for:

5. Property and appraisal

Before paying a deposit, confirm the property is financeable and its paperwork is in order:

The appraisal can come in below the sale price. If it does, the difference comes out of your pocket or is renegotiated with the seller; the bank will not finance the excess.

6. Documents usually requested

7. Signing and deed

Once approved, you sign the loan agreement and the deed before a notary. Closing costs are paid there: notary, land registry, appraisal and, where applicable, fees. The seller is then paid and the monthly payments begin.

Costs that are not the monthly payment

CostWhen it is paid
Down paymentWhen the sale agreement is signed
AppraisalWhen applying for the loan
Notary and deedAt signing
Land registryAfter signing
InsuranceMonthly or annually, per contract

Common mistakes

Frequently asked questions

How much down payment do I need?

It depends on the product and profile; in Mexico it is commonly 10–30% of the value. The specific offer decides, and with INFONAVIT your Housing Sub-account savings count.

Can foreigners buy?

Yes, with residency and documents each lender accepts; in restricted zones a fideicomiso (trust) may be required. Ask before house-hunting.

Does pre-qualification guarantee the loan?

No. It is an estimated range; approval depends on the appraisal, paperwork and final checks.

Can I switch lenders later?

Refinancing or switching is possible but has costs. Compare before signing, not after.

What if the appraisal comes in lower?

You cover the difference or renegotiate the price. That is why the appraisal should come before you commit the down payment.

Sources

This article is informational and is not financial advice.