Yes, the laws of Mexico were changed in 1993 and Americans can own real estate in Mexico and you can leave it to your beneficiaries in your Will. There is a distinction between owning beachfront property and owning in-land property. Beach front property can be owned, but there is a different procedure that requires a trust-ownership which must be obtained through a Mexican bank. In-land property does not require a trust. Also, this law was included in the North America Free Trade Agreement (NAFTA). I do vacation in Baja del Norte and stay with American friends who do own their home. I also accompanied my friend through the legal process of acquiring the home. You didn't ask about the safety in Mexico at this time, but it's a large nation and what is happening in some of the border towns is not comparable to all of Mexico. I regularly visit Baja and and stay about 2 1/2 hours south of the Border, just south of San Felipe. I've never encountered any problems and I also take my dogs without any problems. The places to avoid, especially at night, are towns like Juarez and Tijuana.
I'm an attorney in a state that borders Mexico and drive there regularly