Fourth Quarter Newsletter
Dear Own Nicaragua Real Estate subscribers,
Years ago, when I was starting out in business, a wise many told me two things, the only permanent thing in life was change, and land is the only thing that they cant make more of
Hi, my name is Michael Martinez. I have lived, worked, and invested in Central America for the last 10 years. Throughout my time here, I have many different types of investors, but mainly I have met many wealthy individuals from every major financial center of the world.
And after meeting these people, I ask myself, what are these people doing here? And why are they here, in Central America? And I answer myself; these people are on the forefront of the population inversion
Way back when, it was all about acquiring beach front property, today it has all changed. It is virtually impossible to read any financial newsletter, be it pertaining to real estate or financial investments in general that does not mention, the new green gold, farmland.
For the record, farmland is not a new asset class, it is actually an old one, actually it is the world’s oldest asset. However, it has become very attractive over the past several years, and will become even more attractive over the coming decades, especially as the world’s population continues to explode. It is projected that by mid century, the world’s population will be in excess of nine billion people. This signals that there will be a global race for farmland, which will force some countries to put foreigners who want to invest in this farmland
The view amongst real estate people presumed to be in the know is that buying beachfront property is the real play because they are not making any more of it. But there is also a limited supply of farmland, and a very fast growing demand for it. Farmland therefore is and will continue to be the world’s best possible stored value.
My world consists of central and south America. I don’t need to go to eastern Europe or Africa to find paradise. The old saying is the grass is greener on the other side. I have my own saying, the grass is greener in your own backyard, why go to the other side of the world when everything is happening here
Nicaragua, case in point, is my personal choice. Prior to coming here, I started in Costa Rica, then went to panama and am now here and plan on spending the rest of my days here. I came here with no blood relatives and started from scratch my conclusions are based on my own due diligence of central America. Most of the land in this country is farmable. With 18 volcanoes and the largest aquifer know in north America, this area is rich in fertile soil.
Foreign and local investors are treated the same in Nicaragua, and there are no restrictions on foreign ownership or use of land. Nor are there any exchange controls or currency restrictions Nicaragua is a foreigner-friendly, investor-friendly place and, as a result, has enjoyed a huge increase in foreign direct investment over the past three years.
Nicaragua, with five separate climate zones enjoys six months of rainy season and six months dry season, plus the country has two of the largest lakes in the region . The climate is warm year round with many areas farmers can raise two crops per year without irrigation.
What could you produce? Almost anything you could imagine, from agricultural crops (soybeans, wheat, rice, etc.) to cattle or sheep for dairy, forestry (eucalyptus, pine teak cedar), the newest crop to Nicaragua is vineyards… The list goes on and on We have Cotton, Bamboo, Exotic Fruits, World Class Coffee, and grass fed beef.
If you’re buying for investment, You could buy 10 acres to thousands of acres. One of the unique things about farmland investing in this country is that there are brokers with access to available farm investment opportunities across the country. All things considered, a farm in Nicaragua is one of the most turn-key, user-friendly land purchases you could make anywhere in the world.
What would you do with your land once you have purchased it ? You could either rent it out or hire a farm manager. A farm manager is like a property manager for a rental property. He is the key to your success. In Nicaragua, there are many professional farm management companies, meaning, again, your options are turn-key.
Prices for farmland in Nicaragua range from $1,000 to $4,000 an acre ($2,500 to $10,000 per hectare). Again, this is tied to the productivity rating. Buy as much of the most highly productive land you can (as opposed to more of lesser rated land) with the budget you have. The better rated land will hold its value. Your return will depend on what type of product you instruct your management company to farm. Agriculture will return 4% to 9% per year; cattle 3% to 6% per year; forestry 6% to 10% per year.
The safest option would hire a farm management company for the greater yield. Farm management companies charge 5% of gross sales or 10% of net income.
These returns don’t include appreciation. Farmland in Nicaragua has been appreciating at a rate of 10% per year and this should continue.
Farmland in Nicaragua can be both an investment and a lifestyle, even a retirement plan. You could buy a small working farm (say 10 to 15 acres) with a small house (say 1,500 square feet) for US$100,000. Engage a farm management company to maximize the return from whatever crop you decide to farm while keeping perhaps some small field for your own hobby use.
For more information on making a productive land investment in this country, Contact me at michael@ownnicaraguarealestate.com
Here’s a good article on people moving abroad….
Michael A. Martinez
Own Nicaragua Real Estate
011-505-8481-3469 from the U.S.
Direct in Nicaragua 8481-3469
michael@ownnicaraguarealestate.com
http://www.ownnicaraguarealestate.com
Skype michael.a.martinez
Population Inversion
This is a great read posted by Carter Clews at Caribbean Life Club
Population Inversion
With 78 million Americans now in the process of retiring from the work-a-day world — and the cost of living in the U.S. out of control and getting worse — the Western Hemisphere may well be on the verge of the greatest “population inversion” in modern history.
We all know that tens of millions of Latin Americans have moved north. But, what may surprise many is that well over a million Americans have already moved south. And the retirees’ trek to their place in the sun – to “the good life at a great price” — has very likely only just begun.
The imperative question, then, is: Who’s going to make the move south early enough to get the best buys on the choice properties – and who’s going to be left behind struggling to subsist in what increasingly appears to be a society in decline?
For many Americans, of course, the very thought of migrating to Central or South America raises the specter of the old admonition “Be careful now, the grass is always greener on the other side of the fence.”
But, what if it turns out that not only is the grass greener, but the sky is bluer, the weather is warmer, the lifestyle is far more relaxed and rewarding, and the cost of living is a mere fraction of what it is on the north side of the great divide?
That’s a quandary now facing nearly 10,000 Baby Boomer retirees a day as they leave the confines of the office suite, watch their savings dwindle by the day — and look south to the warmer climes and welcoming embrace of Latin America. And the answer they are increasingly giving is: Where do I sign and when do we leave?
The exact number of Americans now living in Latin America is almost impossible to ascertain. But, one thing is certain: if you do make the move, you won’t be alone.
The U.S. government’s last serious attempt to take a head count was in 1999. And it has simply refused even to try ever since. Said Elizabeth Grieco, chief of immigration statistics at the U.S. Census bureau, “We don’t count U.S. Citizens living abroad.” And that’s that.
Still, the 1999 trial count yielded some significant results – especially when one factors in that in the near-decade since that count, American’s awareness and appreciation of the Caribbean lifestyle has grown considerably.
In 1999, the U.S. Census Bureau estimated that approximately 1.2 million Americans were living in Latin America; that’s out of a total of some 4 million living abroad. Of the 1.2 million, approximately one million had taken up residence in Mexico. The next highest number, some 40,000, lived in Brazil, followed by Colombia with 30,000 and Venezuela, Costa Rica and Panama with between 20,000 and 30,000 each.
Here are the remainder of the countries, in alphabetical order, with the American population in parentheses: Belize (2700), Bolivia (3000), Chile (12,000), Ecuador (8,000), El Salvador (10,000), Guatemala (10,000), Honduras (10,000), Nicaragua (5,000), Paraguay (2500), and Peru (14,000), Uruguay (3500).
Looking at these figures, however, you need to keep three key points prominently in mind. First, the figures are clearly skewed low because a significant number of old-style expats – many of whom are rugged individualists who left the U.S. in order to be left alone – simply don’t care to register. The governments try, they refuse. And that’s all there is to it.
Secondly, many of the Latin American countries had an exponential increase in U.S. immigrants in the Nineties that likely presaged an incipient immigration explosion. For example, between 1990 and 2000, Mexico saw an estimated 57.6 percent increase in the number of U.S.-born individuals. And in Panama, the increase was nearly identical at 57.8 percent.
If that remarkable growth pattern has continued throughout the first decade of the Twenty-First Century – and there is no reason to think otherwise – the population of U.S.-born individuals in those two countries may easily be one-third (or more) higher. And the remaining Latin American countries are likely not far behind.
And, finally, keep in mind that North Americans are not the only immigrants who have discovered life anew in Latin America. Canadians and Europeans long ago succumbed to the distinctive allure of the region. And when you walk down the street in a city like San Jose, Costa Rica, the continental flavor is hard to miss.
The bottom line: with the strong presence of North Americans and Europeans manifesting itself throughout Central and South America, today’s retirees will invariably find a familiar environment that, for many, will come as a welcome surprise. Then, as they congregate in Euro-American enclaves, often insulated, though not isolated, from the rich traditions of the indigenous populations, they will enjoy the best of both worlds.
I started off this Daily Beckoning saying that I believe we are in the midst of a massive “population inversion.” So let me make a prediction for you:
In about a decade (if not sooner) more than a few children of Latin American immigrants are going to turn to their parents and say: “Let me get this straight. You left a place where the weather is perfect, prices are cheap, and taxes are virtually non-existent to come to a place where it gets bitter cold, we can barely make enough to live on, and what we do make the government takes more than half of. Am I missing something?”
Welcome to the right side of the population inversion.
Condominiums – Hotel Xalteva
Condominiums-Hotel Xalteva
Historic Center of Granada
- Totally enclosed with perimeter wall, surveillance cameras, security 24 hours.
- Spanish Colonial style, solid wood and wrought iron, built in 2008.
- Swimming pool with lighted.
- Parking, Rustic bar, laundry, water tank, electric of emergency
- Access to 2 different streets, for people and vehicles (private parking).
- Only are 8 Condominiums =
4 on the ground floor (flat roofs) and 4 on the top floor (roof Colonial).
- Reception, access control, and office; next to the main entrance.
- Luxury development residential (Urbanization)
This has great style, very charming, Garden. This is UNIQUE in Granada.
Discount at 25% = DISCOUNTED $40,000
+ This at the EAST corner of the top floor (ventilated and “cooler”, and better view).
+ Has an area of 117 square meters.
+ It is of authentic Spanish Colonial style, with ceilings up to 6 meters.
+ Private terrace with views at Mombacho Volcano. View of the pool, bar and gardens.
+ Balcony, 2 bedrooms, 3 beds (4 adults), 2 bathrooms, kitchen, breakfast area.
+ Large living room with double long window, overlooking the Cathedral.
+ Fully equipped and furnished with great style and quality. Artisan furniture.
+ Flat screen TV in the Salon, and another TV. Cable TV and Internet.
+ Ceiling fans; in the living room, kitchen and each bedroom.
+ Air conditioners separated, in the living room and in each Bedroom
(Unnecessary, since there is natural ventilation; because that Condo this located in the top corner with large windows).
Equipments and accessories
+ Hot water by SOLAR panels
+ Self-rechargeables batteries, for save of the cuts of power
+ Protective metal mesh “anti-insects” in all windows.
Condo ready for operation and use in TWO parts, with independent entrances; have one bedroom and one bathroom in each part
(You can rent whole or in parts. Or live in one and rent the other).
The administration of Urbanization may be responsible of all services for the leasing and maintenance; making ALSO it an ideal investment for those who will not use the Condo as a permanent home, as it can absent a long time away, no worries, and with obtaining income for lease.
It is the BEST apartment ………… (Corner upstairs)
.. in the BEST urbanization ………………… (No other)
.. of the BEST tourist city, quiet and secure of Central America
Brisas del pacífico
Brisas del Pacifico is located in one of Latin Americas hottest international tourism destination- the perfect waves of San Juan del Sur, Nicaragua . The unique location perched above San Juan Del Sur is a precious gem poised to benefit from skyrocketing property values. Home of some of best surf breaks in Nicaragua.
Brisas del Pacifico is a residential lot development offering spectacular paved road access from San Juan del Sur. There are already several houses completed and many more on the way. The water and electricity is completely installed to each individual lot line.
Brisas del Pacifico panoramic views of the Pacific coast are astounding. San Juan Del Sur and the surrounding areas are quickly becoming known as the new “Hot spot” of Central America.
A residential community set on rolling hillsides and dramatic cliffs rising away from the mighty Pacific Ocean. It is world-class earth that provides amazing ocean, mountain and City views from countless lots that have been strategically plotted for the best views and maximum privacy.
Steps from the beach of San Juan del Sur and only a 5 minute walk to town, you will find this quaint collection of home sites perfect for those looking to own an Ocean View homesite inside the town of San Juan del Sur.
Brisas del Pacifico is a small boutique development with only 25 unique parcels with incredible stunning views and gently rolling slops. A rare collection of lots and condo site.
Club VistaLago
Precio: $29,000 to $89,000
Doorstep with 360 degree views of Apoyo, Granada, Cocibolca and Mombacho… only 3 miles from Granada! Triple-threat lake and view lots an ‘easy’ ten minutes from Granada… At Unbelievable Prices..
Our latest testimonial from International Living:
Marketing Director
International Living
When Peter Sandiford and Jeff Cassel told me about their waterfront lots on Nicaragua’s magnificent Lake Apoyo, I was skeptical. The affable New Zealander and Australian informed me that their project was called Vistalagos, and that their lake front lots were sheltered from the wind, had the smoothest water on the lake in front of them, and were just 10 minutes from downtown Granada, one of Nicaragua’s most beautiful colonial cities.
I didn’t even know of a road from Granada that went to that side of Lake Apoyo, like I said, I was skeptical but Peter and Jeff said I had to see it to appreciate it. At the end of one of Granada’s main boulevards, we took a jog to the left, then a jog to the right. We were then on the widest road that I’ve seen in Nicaragua.
Peter and Jeff had it graded themselves, and they made it 14 meters wide to allow for sufficient drainage work on both sides. At the end of the road we stepped out of the truck and walked up a gentle rise, I didn’t realize it until we reached the top but we were on the rim of the Lake Apoyo crater. The lake stretched out below us like a huge jewel set deep in the mountain top. I turned around, and I could see the steeples and rooftop’s of Granada, and beyond that, vast Lake Nicaragua. When I turned to my right, I could see one of Nicaragua’s most impressive natural wonders, Volcan Mombacho, dominating the skyline. A stunning, triple-threat view. I was gob-smacked!, (as my Irish friends would say), and I hadn’t even been to the lake front lots yet!.
If you are considering the Central America Real Estate market either for a vacation home or your permanent residence for your family, you may want to check out the gorgeous gated communities that the Club Vistalagos offers. Gated Communities in the Nicaragua offer luxury living with an affordable price tag.
A gated community by definition is a neighborhood that is gated off. Some of these communities have a guard booth to ensure that only residences enter the neighborhood while others issue key cards to residents for entry.
Gated Communities in Club Vista Lagos offer safety. Children are able to walk and play without the worry of constant traffic since only residents and guests are allowed to pass through the gates. There is so much offered by a gated community. You will find various recreational activities such as a community pool, tennis, equestrian area and clubhouse to be used by the guests. There are parks for walking and bike trails for riding and even private beaches.
If you are searching for privacy and security in the Central America , Club Vistalagos offer this along with stunningly beautiful homes sites that match your lifestyle.
A private residential development in Laguna Apoyo, Granada, Nicaragua. Club Vistalagos offers a serenity that provides the perfect opportunity for an affordable real estate investment.
Finding a home-site at Club Vistalagos will enhance your lifestyle, set aside in an undiscovered area of Laguna Apoyo , its amenities will include a Club House, Gated Entries, Adult and Children’s pools, , numerous green areas , Recreation Centre, on the lake and 24-hour Security. It provides you the opportunity to be a part of the exciting transformation underway in Nicaragua – an opportunity you cannot afford to miss.
With single-family lots starting as low as $29,000 and lakefront site starting starting at $65,000, and two acre hobby farms at only $39,000. there is no better time invest. Lot sizes range from 10,000 to 80,000 square feet.
Less than a ten minute drive to downtown Granada
Cuatro esquinas (Laguna apoyo)
$25,000 to $50,000
It’s a Lifestyle at Cuatro Esquinas a Non Gated Community Located of the Rim of Laguna Apoyo, Granada Nicaragua.
Private 25 acre community situated on rural country road. Offering very large lots with unobstructed stunning views of the Beautiful Tranquil Laguna Apoyo with newly paved roads , electricity, and water. Half acre lots excellent topography. Create your own Eve’s Garden just about everything grows here. Cuatro Esquinas easy access, million dollar location , good soil and overall lifestyle. Just 20 minutes from downtown Granada and forty minutes to international airport in Managua.
This is an excellent price point, starting at just $ 25,000. Group discounts are available. Please take advantage of the wonderful opportunity. Prices will never be lower. Things are changing rapidly on a global basis and the dollar is in deep trouble. Now is the time to buy a lot at Cautro Esquinas , Laguna Apoyo.
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