Quick Answer
An avaluo is a mandatory property appraisal conducted by a government-certified appraiser. It establishes the property's assessed value for tax purposes and is required for every real estate transaction in Mexico. The cost is $300 to $500 USD. The appraised value determines the acquisition tax (ISAI) and ongoing property tax (predial) amounts.
Detailed Answer
An avaluo is a mandatory property appraisal conducted by a government-certified appraiser (perito valuador) for every real estate transaction in Mexico. It establishes the property's official assessed value, which determines the acquisition tax (ISAI) owed at closing and the ongoing property tax (predial) rate. The cost ranges from $300 to $500 USD and is paid by the buyer as part of closing costs. There is no way to skip or opt out of this step.
The appraised value may differ from the purchase price. If the avaluo comes in lower than the transaction price, taxes are calculated on the higher of the two values. If it comes in higher, the buyer benefits from paying taxes on the actual purchase price. The appraisal also serves as an independent check on property condition and value — useful confirmation that the price you negotiated is fair. The appraiser evaluates the property's location, size, construction quality, finishes, and comparable sales.
Your agent and notario coordinate the avaluo as part of the standard closing timeline. It typically takes 5-7 business days to complete. Our team ensures the appraisal is ordered promptly to avoid any closing delays. Contact us or explore the full buying process for more details.