Enganche (Down Payment)en-GAN-cheh
Enganche is the down payment or initial portion of the purchase price a buyer pays upfront when acquiring real property in Mexico, with the balance financed or paid at closing. The term is widely used in Mexican real estate transactions but is not defined by federal law.
By Daniel Ortega · Last reviewed 10 November 2026
How it works
In Mexico, enganche typically ranges from 10 to 30 percent of the property price, though the exact amount depends on the purchase structure. For resale properties with bank financing, Mexican buyers typically pay 20 to 30 percent down, while foreign buyers often face higher requirements of 30 to 50 percent due to stricter lending criteria. For pre-construction properties with developer financing, enganche usually runs 10 to 30 percent, with 15 percent being the most common rate among developers who publish their terms. In cash transactions, buyers often place a smaller earnest deposit (5 to 10 percent) to reserve the property and pay the balance at closing. Beyond the enganche, buyers should budget 4 to 7 percent of the property value for closing costs. The enganche reduces the amount financed, lowers monthly payments and establishes initial equity in the property. In pre-construction deals, the enganche is typically divided into an initial apartado (1 to 3 percent) and monthly payments during construction.