The rental housing market in Mexico is undergoing a structural transformation driven by new regulations that limit rent increases, mandate contract registration, and strengthen tenant protection. These measures, combined with stricter enforcement, are redefining operations for landlords, who now face greater legal and tax requirements. Rent Caps and Greater Digital Control During the webinar 'Fiscal Guide for Landlords: Avoid Errors and Optimize Your RESICO Regime', Diego Llano, COO of the proptech MoradaUno, stated that one of the most significant changes is the imposition of rent caps, now linked to inflation, which reduces landlords' ability to adjust to market conditions. Furthermore, the obligation to register contracts on digital platforms in Mexico City within 30 days of their signing introduces greater transparency into operations. According to specialists, this mechanism allows rental income to be visible to tax authorities, reducing informalities. Greater Protection for Tenants The reforms also strengthen the position of tenants by limiting arbitrary evictions, eliminating abusive clauses, and prohibiting discriminatory practices in accessing housing. This new legal framework changes market dynamics, where regulatory compliance becomes a competitive factor for landlords. Tax Pressure and Penalties In parallel, tax compliance becomes a central element of the business, with the obligation to issue tax receipts, declare income, and meet monthly obligations. Penalties for non-compliance can exceed 97,000 pesos, in addition to possible closures, increasing the risk for those operating outside the regulations. Myths about the Tax Burden Despite the perception of a high tax burden, specialists note that the real impact may be lower if structured correctly. According to sector analysis, the income tax for landlords can be at low levels when the tax regime is properly complied with. Experts agree that the rental market is becoming institutionalized, moving away from informal schemes and forcing landlords to professionalize their operations. This process redefines the balance between landlords and tenants and marks a new stage in the real estate sector in Mexico.
