Wednesday, August 29, 2007

What is Ejido land?

"Ejido" is a piece of land where a group of people live and work and determine the best use for the land. The concept of ejido land is Pre-Hispanic and the concepts behind the ejido come from democratic communism. In 1917, an article in the Mexican constitution was created and stated that ejido land could not be sold. The article was ammended in 1992 to give ejido owners title to land used for farming and ranching, which allows them to sell their land to private parties, including foreigners.

Much of the confusion about Ejido land stems from the Punta Banda case in Ensenada. Many Americans became nervous about purchasing property in Mexico after they saw news reports about Americans expatriates in Ensenada whose land and homes were "taken away" from them. So what really happened?

  • The Americans were sold land by someone who did not have the legal right to sell the land
  • Purchasers ignored the fact that the land was in litigation when they bought it
  • The deals seemed too good to be true, and in the end, they were

Purchasing property in Mexico can be just as safe as in the U.S. or Canada. Many companies such as First American Title and Stewart Title now offer title insurance for property in Mexico.

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