In real estate, an Escritura, also known as an Escritura Pública or property deed, is a legal document that transfers ownership of a property from seller to buyer, and it’s typically prepared by a notary public. It’s a crucial document in real estate transactions, especially in Mexico.

Here’s a more detailed explanation:

Formal Document:

The Escritura is a formal document that outlines the details of the property, the names of the buyer and seller, the purchase price, and any conditions of the sale.

Notary’s Role:

In most cases, the escritura must be signed before a Notary Public, who certifies the document and ensures its validity.

Transfer of Ownership:

The Escritura serves as the legal proof of ownership transfer from the seller to the buyer.

Registration:

After being signed and notarized, the Escritura is usually registered with the relevant land registry or public registry to officially record the change of ownership.

Importance:

The Escritura is essential for buyers to legally possess and use the property, and it also protects them against future claims or disputes regarding ownership.

Components:

A typical Escritura includes details about the property (location, size, boundaries), the names of the parties involved, the agreed-upon purchase price, and any encumbrances or conditions.

Different from a Private Contract:

It’s important to distinguish the Escritura from a private contract. The Escritura is a public, notarized document, while a private contract is a less formal agreement.

In Mexico, an Escritura (public deed), which is the equivalent of a property title, is primarily used by Mexican nationals to acquire and own land. However, foreigners can also utilize Escrituras, especially for properties outside of restricted zones or through a Fideicomiso (bank trust) for properties within restricted zones.

Here’s a more detailed explanation:

Mexican nationals:

Mexicans can directly acquire property with an escritura, which grants them full ownership rights.

Foreigners:

While Mexican law restricts foreigners from directly owning property within 100 kilometers of the border or 50 kilometers of the coast (restricted zones), they can still acquire property through a fideicomiso (bank trust).

Fideicomiso:

In a Fideicomiso, a Mexican bank holds the legal title to the property, while the foreigner is the beneficiary, enjoying all the rights of ownership, such as the ability to sell, rent, or transfer the property.

Properties Outside Restricted Zones:

If a property is not located in a restricted zone, foreigners can acquire it directly with an Escritura, similar to Mexican nationals. All properties in San Felipe are in the restricted zone.