Nicaragua real estate today is growing attractive to investors in much the same way that real estate in Costa Rica became popular. First, political stability was achieved with a focus on improving the economy and infrastructure. Then, its wealth of spectacular beaches attracted tourists in record numbers…followed by retirees and real estate developers.
Follow the tourists
You know how it goes. You go on holiday, you find a charming little fishing village and spend two glorious weeks relaxing and enjoying the lifestyle. On one of your last days, you glance in a realtor’s window and start looking at property.
Find out where tourism is growing because real estate prices will likely follow.
Don’t be fooled by hype
Claim up to $26,000 per W2 Employee
- Billions of dollars in funding available
- Funds are available to U.S. Businesses NOW
- This is not a loan. These tax credits do not need to be repaid
In most developed countries what you read is, by law, what you get. In Nicaragua, you need to find advisers whom you can trust. Investment decisions should never be based simply on one piece of information, whether it is a realtor’s recommendation, the opinion of an analyst or a glossy report. To make a good decision, you need the “hard” facts covering economic and political issues, tourism trends, infrastructure upgrades, airline routes as well as more qualitative "softer" factors like the feel of a location and its reputation. There is no comeback if you’re taken in by the hype and exaggeration. Check your information and triangulate it from as many sources as you can.
Consider taking a structured real estate tour
Searching for good real estate opportunities in an emerging market where there is no Multiple Listing Service can be a very time consuming and frustrating process. It also doesn’t help if you cant speak the local language. A structured real estate tour led by professionals with in-depth knowledge of the country can be the best way for time-pressed individuals to research the real estate market in an efficient manner. Have a look, for example, at the Choose Nicaragua tours that are running in 2008.
Buy what you see
Don’t factor in the “new bridge” the “new airport” the “new branded hotel” into the price. Certainly not if you are investing for the short term. We have a network of lawyers, project managers, master planners and investment analysts who have a long track record of advising investors on real estate acquisition and development in Central America—these are independent third parties who can provide un-emotive grounded advice.
Make title insurance non negotiable
This will ensure that your attorney follows a set of criteria for the due diligence process. Make sure you seek out well-established title insurance companies with good local track records and where claims are settled out of the country. If you are buying raw land parcels outside of a development, rather than a property within a defined real estate development, your due diligence list needs to be longer.
Give something back
Remember that you are buying into a community. If the community around you prospers and grows, so too will your investment. Give your time, resources or skills, its up to you. We support Community Refund. It’s our way of ensuring that the local community benefits directly from the massive growth in real estate investment and development in Nicaragua. It’s a win-win cycle, that we are proud to be a part of.
