Ejido Land in Mexico: Why Foreigners Should Be Careful

After the Mexican Revolution, the government granted land to rural communities under agrarian reform. These communities are called ejidos, and their members are ejidatarios. Ejido land usually has three parts:

• Parcels (parcelas) that individual ejidatarios farm or use.
• Common-use land (tierras de uso común) shared by the community.
• The human settlement area (asentamiento humano), where village houses stand.

Ejido members hold use rights, not ordinary private title. A 1992 constitutional reform and the new Agrarian Law allowed ejidos to convert parcels to full private ownership, called dominio pleno, through a formal process. Many parcels have been converted; many have not.

Indigenous communal lands (comunidades) follow similar protective rules.

• Foreigners cannot become ejidatarios. The law limits sales of parcel rights to other ejido members or recognized local residents of that ejido. A foreigner who "buys" ejido rights does not become the owner.
• Common-use land cannot be sold to individuals.
• Informal contracts do not transfer ownership. Documents called cesión de derechos (assignment of rights) or private sale agreements for unconverted ejido land may not protect you in a dispute.
• Community decisions matter. The ejido assembly, not only the person selling, has a role in many decisions about the land.
• Disputes can surface years later, for example from heirs, other ejidatarios or the ejido itself.

Some sellers promise to convert the land "later". Paying before conversion is complete puts your money at risk.

The general path to dominio pleno is:

1. The ejido's land is measured and certified, and parcel rights are recorded with the National Agrarian Registry (RAN).
2. The ejido assembly votes, with the required quorum and majority, to allow dominio pleno.
3. The ejidatario applies to the RAN, which cancels the agrarian certificate and issues a property title.
4. The title is registered in the state Public Registry of Property. From then on, the land is private property under civil law.

On the first sale after conversion, certain people (such as family members and other ejidatarios) have a legal right of first refusal. The notario should confirm it was respected.

Only after this process is complete can a foreigner buy the land, using a fideicomiso if it is in the restricted zone. See buying property in Mexico.

• Ask for the property title and its registration data in the Public Registry of Property, not just an agrarian certificate.
• Confirm the conversion with the RAN: the ejido assembly act and the title issued for the parcel.
• Get a lien certificate (certificado de libertad de gravámenes) through the notario.
• Check the boundaries with a survey that matches the registered title.
• Use a notario público for the sale, and consider your own lawyer with agrarian law experience.
• Be wary of prices far below market, pressure to pay cash, or requests to sign only a private contract.

The Procuraduría Agraria, a federal agency, advises on agrarian matters and can explain the status of ejido land.

Ejido land exists in every state, but foreign buyers most often meet it on the edges of fast-growing towns and along the coast, where farmland is being turned into lots and homes. Buyers looking at land in Baja California Sur, Quintana Roo, Oaxaca and the Pacific coast should be especially careful with cheap lots sold by individuals rather than through a notario.

A finished condo in an established building is rarely ejido land, but the same checks still apply. Scams using fake titles or land the seller does not own also exist; see protecting yourself from scams. If you are buying to qualify for residency or as an investment, read investing in Mexico first.

• Federal beach zone. A strip of land along the ocean (the federal maritime land zone, known as ZOFEMAT) belongs to the nation. Using it requires a federal concession, even if you own the land behind it.
• Water and access. Rural land may lack legal road access or water rights. Check both.
• Long-term use agreements. The Agrarian Law lets ejidatarios grant use of their parcels by contract for a limited term. This can be legal, but it gives you use, not ownership.

If a deal involves ejido land, a prior dispute, or unclear title, talk to a Mexican lawyer with agrarian experience before signing. For renting instead of buying, see renting in Mexico.