What Do Smart Investors Know About Investing In Nicaragua Real Estate?
Despite its troubled past, Nicaragua is slowly emerging onto the Central American tourism and real estate investment map. In 2010 the country surpassed 1 million tourist visitors for the very first time and the property market is rebounding well following the recent global downturn. As more investors arrive lured by the affordable real estate prices, low cost of living and beautiful landscapes, it makes sense to set out some of the lessons that smart investors have learned from doing business in the country.
1) Smart investors know that it's hard to get hold of reliable data on the Nicaragua real estate market. They realize that the only way to really understand whether a deal is a good one is to compare it with other properties for sale. That means booking property viewings with every agent active in their target location. As there is no Multiple Listing System, each agent effectively manages their own listings database. Some market data is available online, have a look at what is offered by RevealRealEstate for example but a centralized, official source of information is still lacking.
2) Smart investors know that they need to hire a competent, English speaking attorney to represent them. They know to choose from firms who can assist them in getting title insurance on their purchases. Major US title insurance companies such as First American and Struat provide policies in Nicaragua and across Central America.
3) Smart investors only buy what they can see and touch. They don't take into account future infrastructure or amenities when negotiating on price. They also prefer not to purchase pre-construction or off plan property unless the developer is very advanced on the roll out of their master plan.
4) Smart investors know that it's currently a buyers market for real estate in Nciaragua and that sellers (for the most part) are motivated. They know that now is a perfect time to negotiate deep discounts and incentives.
5) Smart investors know that the only way they can really know if Nciaragua is right for them is to book an airplane and experience the place for themselves.