Although not new to Mexico, Title Insurance is now being made available to the thousands of property buyers in Mexico. Our focus is on making Title Policies available to the foreign investors in Mexico; however, we also hope to educate the local purchasers of the benefit of insuring their Real Estate Transactions.

Title Insurance exists to "Insure" the buyer, or lender against Title related issues when they purchase real property. Yes, the Mexican system of transferring property is a very good one, however, problems can exist which are impossible to see during the closing process. Just like in the United States, where there is also a very good system of recording transactions, Title Insurance is used on almost every transaction. Many buyers are lead to believe that because they are getting a bank trust or because they use a "Notario" to finalize the transaction that there cannot be any problems with the title. This concept is incorrect. The Notario's job is to do his/her due diligence to verify that all of the documents that are presented at the time of closing are accurate. If one of the parties has committed fraud in the transaction then the Notario would not have any way of knowing this so they would not be liable in the transaction. In that case, an Insurance Policy would cover the insured party up to the amount of the policy. Typically, the Title Company will defend the insured at their own expense and if they are not able to win a favorable result for their client, they will pay the amount of the damage up to a maximum of the amount listed on their policy.

Another mistake made by Buyers in Mexico, is thinking that because they are purchasing on a property that has a Master Title Policy, they do not need to purchase their own individual policy. This is a huge mistake. The Master Title Policy only insures the Developer and does not insure the new buyers in any way. If a developer has a Master Policy on their project it lets the new buyer know that the developer is serious about insuring that their project is in good standings regarding the Title. Once they have the policy in place, they normally begin to construct their project. If the developer puts any liens on the development, or does not pay one of the subcontractors, a new lien can be placed upon the project. This could turn into a problem to the new buyer if they are not properly insured.

First Title Services does not issue Title Insurance; instead, we work with the companies that are offering to insure property in Mexico. We find out which company offers the best policies, the best prices and the best service and this is the company that we will recommend to our customers. Once our customers decide on the company to use, we will help by expediting the process. There is a shortage of trained, experienced sales representatives in Mexico and we make sure that you as the customer do not get forgotten about. We assist with the Master Policies for developers and the Buyer's Policies for the "Sale Outs" as well as individual Buyers Policies on Resale transactions.