ISR deductions, depreciation, solar incentives, IMMEX, free trade zones. Tax strategies for property investors in Mexico.
A Recrea Construction project
Services
ISR deductions, depreciation, solar incentives, IMMEX, free trade zones. Tax strategies for property investors in Mexico. We handle everything from design to completion, including all permits and inspections.
Costs
Contact us for a detailed quote tailored to your project. Free consultation and estimate within 24 hours.
Depreciation deduction: 5% annual on buildings (20-year schedule). Construction costs are capitalized and depreciated. Equipment inside the building: 10–20% annual depreciation. If building through a corporation (SA de CV), all construction costs, permits, and professional fees are deductible against rental income.
Annual predial: 0.1–0.3% of government-assessed value (valor catastral) — which is typically 30–50% below market value. A $5M MXN home pays $5,000–$15,000/year in predial. Early payment (January) gets 10–15% discount. This is dramatically lower than US/Canada/Europe property taxes.
Capital gains tax (ISR): 25–35% of profit. Calculated on: sale price minus original purchase price minus documented improvements minus inflation adjustment. Holding 5+ years and documenting all construction costs significantly reduces taxable gain. Primary residence exemption available for Mexican tax residents.
If building 2+ properties for rental income: probably yes. SA de CV benefits: deduct ALL expenses (construction, maintenance, management, utilities, depreciation), VAT recovery on construction (16%), professional image for investors. Costs: setup $2,000–$5,000 USD, annual accounting $3,000–$8,000 USD.
Construction services charge 16% IVA. If you build through an SA de CV that rents properties, you can recover this IVA as a tax credit. On a $3M MXN construction project, that's $480,000 MXN in recoverable IVA. Individual fideicomiso owners cannot recover IVA — it's a cost.
We Build Across the Riviera Maya
Playa del Carmen
Our home base. Playacar, Ejidal, Centro, Colosio, Coralina — we know every colonia.
Tulum & Aldea Zamá
Eco-builds, boutique hotels, jungle villas. Full SEMA permit handling.
Puerto Aventuras
Marina-front villas, canal homes, gated community renovations since 2010.
Cancún & Hotel Zone
Commercial builds, restaurant fit-outs, condo renovations in Zona Hotelera.
Akumal & Puerto Morelos
Beachfront construction, eco-resorts, residential builds in protected zones.
Bacalar & Felipe Carrillo Puerto
Emerging market — boutique hotels, eco-lodges on the Lagoon of Seven Colors.
Free: Construction Cost Guide 2026
Real prices per m², land costs, permits, hidden fees. PDF from 196+ projects in the Riviera Maya.
Construction Costs by Location — 2026 Updated
Location
Cost/m² (MXN)
Cost/m² (USD)
Key Notes
Playa del Carmen
$12,000–$25,000
$650–$1,400
Best infrastructure, fastest permits, most suppliers
Tulum
$14,000–$30,000
$780–$1,670
Eco-regulations add 10–20%, SEMA required for all builds
Puerto Aventuras
$15,000–$28,000
$830–$1,560
Gated marina community, premium finishes, HOA rules
Cancún
$12,000–$24,000
$650–$1,330
Zona Hotelera premium, suburbs affordable, best supplier access
Akumal
$14,000–$28,000
$780–$1,560
Protected marine zone, special environmental permits
Puerto Morelos
$12,000–$22,000
$650–$1,220
Quiet beach town, growing expat demand, good value
