After witnessing the changes in the infrastructure and increased area development in the Bavaro-Punta Cana area during the past 5 years, James and Eileen Foster were confident this would be the right place -and the right time- to invest in their future retirement property.
All this, and the current market conditions, they knew this would be the perfect time to make the move. They wanted a property that would generate rental income to offset all expenses, in a quiet and gated community with hotel styled amenities.
Having traveled the world, looking for that special place, they chose Bavaro – Punta Cana- the perfect place away from the hustle and bustle of their home back in the States. After two days of reviewing the best properties on the market, we found the perfect property to suit their needs. At us$240,000, the Fosters settled on a spacious (143.6m2 / 1550 sq feet) 2 bedroom condo with panoramic Golf views at Las Quintas del Hoyo 8.
Las Quintas del Hoyo 8 is located at the Palma Real Villas community, built among the Cocotal Golf & Country Club in Bavaro. A residential apartment complex is made up of 2 and 3 bedroom units with garden and golf views, it features marble flooring, treated wood trims and excellent quality for the value. Their efficient on-site staff takes care of all maintenance issues and repairs, while enrolled in their profitable “Rental Pool” program.
Ownership at Las Quintas del Hoyo 8, provides exclusive beach access through the Melia Hotels, located just across the golf course. Owners enjoy access to the hotels and discounts on day and night all-inclusive passes, and an opportunity to learn to play Golf at a discount!
A smart move!
Lately, I’ve had more and more clients looking for a home for future retirement, despite the fact that there is no wrinkle or gray hair in sigh! What’s going on?
These 40-somethings are planning ahead. Buying a second home now may not only help them duck against future higher real estate values but perhaps more importantly, they are building an equity cushion for their retirement years.
Here’s how it works. The buyer purchases a property now that can be rented out for an amount that will cover the mortgage, property taxes, insurance and any other assumed costs of owning the property.
Buying a Vacation Home & Future Retirement Home
Buying a vacation home that doubles as a future retirement home requires thorough investigation. You may want to settle on a desired location and then look for the least expensive house in the best possible area -but buying a future retirement property demands additional consideration, especially in Bavaro – Punta Cana.
Since the purchase of Vacation & Future Retirement Home may be one of the most important and financial rewarding decisions you make, simply, the decision comes down to establishing a conservative financial boundary, drawing up a wish list and employing a real estate agency to find a property that will serve your needs now and in years to come.
Agency: Consider an honest and knowledgeable agency. The area is full of properties that have no titles and have no effective, on-site management- some have poor quality and construction. You need a reputable company to help you through and avoid a future financial nightmare.
Rental Income: A factor to consider is whether your vacation property can provide rental income before it becomes your full-time retirement home. If so, you would be able to deduct a portion of your mortgage interest payments, taxes and maintenance costs against the rental income. In other words, it is a great way to build equity and create additional cash flow. It should come as no surprise that an increasing number of people have taken advantage of this strategy. Take a look at our Property Management information.
Wish List: After defining your financial boundaries, it’s time now to come up with your wish list.
• What do you want in a home?
• How many bedrooms and baths?
• Do you want to live in a private gated community or out in the country?
• Does it have potential as a rental property?
In addition, the right location should be established to ensure that all aspects of your vacation home experience are amenable to your current and future retirement lifestyle. For example,
• Are there reliable property management services to protect your investment while you are away?
• What about local conveniences such as transportation, shopping
• Healthcare facilities?
• Beach and Golf Access?
Remember, this is your vacation and future retirement home.
With a bit of good luck, buying a vacation and retirement home can yield some interesting financial benefits including long term capital appreciation and additional cash flows. Thorough planning can help mitigate future uncertainties and make the property buying process into a truly rewarding experience.
At the time of making any investment decision, also get well informed about all the risks factors associated with it. See Guzman Ariza Attorneys at Law’s web page at www.drlawyer.com for important information on taxes and the buying process in the Dominican Republic.
Jocelyn Hernandez Irizarry
Sales, Rentals and Property Management
Punta Cana Lifestyle Real Estate, S.R.L.
Office: (809) 552 0421 | USA: (305) 600 4852 | Skype: puntacanalifestyles
Fax: (305) 428 2722 | Email: email@example.com | Web: www.puntacanalife.com