reveal real estate

Introducing the “Choose Belize” Developers

February 5th, 2010

You don’t need to be a genius to master real estate investing in Belize, you just need to know where to look.

Over the past few months a select group of developers have come together to showcase a broad palette of real estate options under a unified banner - “Choose Belize”.  The group has been convened by Coldwell Banker Belize and we can say, in all good conscience, that this group represents the very best Belize has to offer.

That is not a glib marketing statement - these market leaders represent the top properties and investment opportunities across the country as a whole at a time when it’s more important than ever to focus on value.

Coldwell Banker Belize has done the homework on the ground, leveraged their first hand experience and networks, triangulated their offerings against “four pillars of international real estate success” and enlisted the help of our database to track down the really great deals in this buyer’s market.  Then, they designed a three day property tour to showcase what they had found.

Look out for the Recommended Real Estate Tour Member badge

choose-belize-tour-member1We’ve added a “badge” to the listing page of developments in our database being showcased on the Choose Belize Tour.   Here is a selection of what you’ll see on tour:

Full details on the property tour.

No question, a real estate tour, where you get to see a choice of property options, selected by in-country experts, is a prudent way to make the decision if Belize is right for you.  Learn more.

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From Reveal Real Estate - charting international real estate trends in Central America.

After the storm: Pessimists vs. Optimists

February 1st, 2010

financial-crisis-international-real-estate-Central-America

The global financial crisis and its impact on international real estate is still discussion topic #1 among investment analysts, real estate agents and developers in Central America. Everyone agrees that 2009 was a difficult year. The tricky part is that the arguments being presented paint quite different scenarios for the future.

On the one hand, large-scale real estate projects, especially if heavily leveraged, have proven vulnerable. The suspension of the St. Regis project in Costa Rica in the wake of the Lehman Brothers collapse was the first high profile example. Other project closures and suspensions followed in 2009 including the Rosewood at Costa Carmel (Costa Rica), La Punta Papagayo (Costa Rica), Marea Alta (Nicaragua), and Orchid Residences (Panama City), to name a few.

But perhaps more important than the direct impact of the international financial crisis, the property pessimists argue, was the indirect effect of tighter lines of credit in North America - the main source of buyers for international real estate in the region. No longer is the market being carried by North American buyers flush with equity and easy credit. It’s easy to point to low sales volumes and falling prices to make this point.

Any bright spots? Counter trends?

One can overdo the gloom.  The optimists point to sticker prices on the downside in Central America relative to more mature markets. The relatively low levels of lender mediated activity across the region meant that the market did not suffer the kind of foreclosure crisis we’ve become used to reading about in the US.

Second, international real estate markets, and Central America included, are increasingly being seen as tax-friendly, safe haven investments. The kind of places investors and retirees seek to shield themselves from the US financial system.

Added to this, is a new wave of lifestyle buyers looking for areas where the real estate is cheaper and, crucially, the cost of living more affordable. We included examples of developers, such as Montecristo Beach & Golf Resort in Nicaragua, Grand Baymen in Belize and Valle Escondido in Panama, successfully marketing to these buyers in a recent article for the International Property Journal.

The upshot?

The impact of the financial crisis has been mixed both within and between countries. Developers are having to adapt quickly to a new market.  Those that understand the mindset of the post-crisis real estate investor are best placed to succeed.

Investment activity is trending towards well-planned developments with good locations, quality products and a master plan that delivers against end-user requirements. Pre-construction offerings in weak locations face an uphill battle.

The property pessimists are right that the boom years are over for international real estate in Central America.  It’s a different market now, with buyers firmly in the driving seat. Welcome to the ‘new normal’.

From Reveal Real Estate - charting international real estate trends in Central America.

The emergence of the post-crisis international real estate investor

January 12th, 2010

well-beingWell, 2009 has been an interesting year. The big headline was, of course, the global financial crisis and its aftershocks. Now, as we enter 2010, a sense of stability and predictability (a ‘new normal’?) is returning to the international real estate sector.

One of the most telling aspects of the new normal is the retreat of the speculator buying for quick re-sale profit. The speculator has been replaced by a new type of international real estate investor - a ‘post crisis’ investor - with a different mindset and goals.

14 characteristics of the post crisis international real estate investor:

  • More informed and will demand better service from the industry
  • Will not make decisions based on thin slices of information but will demand openness and transparency
  • Skeptical of promises made by developers on their websites and brochures
  • Wary of pre-construction properties, preferring to purchase completed real estate with amenities they can enjoy right now.
  • Will want to understanding the financial health of the community before they invest
  • Will expect substantial discounts on the market highs of 2007
  • Will haggle, even when it comes to high-end properties
  • Will be drawn to real estate that is a bit low key
  • Interested in properties that generate revenue in the short term.
  • Motivated by lifestyle factors (not just financial gain)
  • Focused on regions with a low cost of living, good health care and safe streets
  • Will avoid areas with over-supply risk and copy-cat developments
  • Will seek safe haven investments and tax friendly environments
  • Interested in contributions to larger concerns such as environmental preservation, the local community and sustainable approaches to building, water, and energy

With change comes opportunity

In order to succeed in 2010, developers will need to innovate their products and their marketing to embrace the mindset of the post crisis real estate investor. Those that do will earn their way out of trouble. Those that don’t will suffer.

Tourism and retirement as a business model for international real estate in Central America is not broken, it has just shifted.  Yes the over-leveraging of the North American and European consumer has come to a halt and the debt in finances will have lingering consequences. But as retirees and investors take stock of their situations and consider their options, many will still be looking for a more affordable life overseas and safe, tax-friendly places to plant their money.

We’re looking forward to a healthier, more sustainable market for international real estate in Central America. One that is more open and transparent and less reliant on the rampant speculation of the past … 

…but it may take all of 2010 to get there.

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From Reveal Real Estate - charting international real estate trends in Central America.

What’s the cheapest real estate you can find in a master planned community in Central America?

December 20th, 2009

central-america-international-real-estate-price-rank-2009

2009 has been a tough year for real estate sellers in Central America. Sales volumes are down, buyers are more risk adverse and financing is tight. The one bright spot is a growing group of ‘lifestyle buyers’ looking for cheap properties and a low cost of living. Many see Central America as an affordable safe haven and a way to side-step the worst effects of an economic downturn at home.

As it’s cheap real estate these lifestyle buyers are after, we thought we’d offer up a resource that highlights the lowest priced real estate in the four countries we follow: Belize, Costa Rica, Panama and Nicaragua.

Not surprisingly, the most affordable way into the market is by purchasing a lot or homesite. Our analysis looks at master planned communities targeting the international buyer. This means that a lot purchase comes with access to community amenities. Swimming pools, clubhouses and fitness centers are the most common. In some of the larger, resort-style communities, you’ll find golf courses, restaurants, shopping centers, racket courts, hotels and marinas.

So what’s the starting price point for lots in master planned communities?

We’ve built a ranking table to answer this question, giving the results in overall price and price/sqft for 2009. The table complements the earlier PriceRank we prepared for single family houses and condos. The columns are sortable letting you organize the list in different ways. If you want to know what amenities are offered by each real estate development, click through to the individual page for the answer. You’ll also see if the amenities are planned or completed.

A quick glance at the table shows two broad themes:

  • Real estate developments located in Nicaragua tend to rank lower (ie are lower in price) than those in Costa Rica, with Belize and Panama falling somewhere in between. This pattern mirrors the level of maturity of the real estate markets - from emerging (Nicaragua) to middle markets (Panama and Belize) to the most mature (Costa Rica). We’ve analysed this before by plotting ‘development curves’ to show the relative levels of each of the markets.
  • Generally speaking ocean property has a premium over other locations. Master planned communities on the ocean rank higher for the most part than lake/river and pastoral locations.

Rank Real estate development Country Location Location type Median price ($) Median price/sqft
1 Camino Del Rio Belize Belmopan Lake/river 20,000 2
2 Lomas de Santa Rosa Costa Rica Tamarindo Pastoral 21,200 6
3 Club Alegria Nicaragua Granada Pastoral 21,500 2
4 Better in Belize Belize Belmopan Lake/river 23,000 1
5 Prana del Sol Nicaragua Tola Ocean 25,000 3
6 Rancho Las Lomas Costa Rica Parrita Ocean 26,500 4
7 Villa Davina Panama David Lake/river 28,400 3
8 Casa Llanta, Nicaragua Nicaragua South of San Juan del Sur Ocean 30,000 1
9 Congo Hills Nicaragua San Juan del Sur Ocean 30,000 3
10 Rancho Los Suenos Panama Espave Pastoral 31,000 2
11 Waterside Belize Flowers Bank Lake/river 31,730 1
12 Progresso Heights Belize Corozal Lake/river 34,816 3
13 Rancho del Oro Nicaragua San Juan del Sur Ocean 35,000 2
14 El Camino del Sol Nicaragua San Juan del Sur Ocean 38,175 5
15 Apanas Lake Estates Nicaragua Matagalpa and Jinotega Lake/river 39,900 2
16 Rancho Papayal Nicaragua San Juan del Sur Ocean 40,000 2
17 La Vista Nicaragua Nicaragua Tola Ocean 40,000 2
18 Consejo Shores Belize Belize Corozal Ocean 42,500 2
19 Seahorse Tropics Nicaragua San Juan del Sur Ocean 44,200 4
20 Villa Lagos Nicaragua Granada Lake/river 45,240 5
21 Parque Maritimo el Coco Nicaragua South of San Juan del Sur Ocean 48,600 7
22 Las Fincas de Escamequita and Las Haciendas Nicaragua South of San Juan del Sur Ocean 49,000 1
23 Belize Reserve Belize Cayo Pastoral 49,950 2
24 Paraiso de Amelia Nicaragua San Juan del Sur Ocean 50,000 4
25 Tamarindo Beach and Ocean Estates Nicaragua Central Pacific Nicaragua Ocean 50,000 5
26 Bella Mar Nica Nicaragua Tola Ocean 52,561 5
27 Cerros Sands Belize Corozal Ocean 53,500 5
28 Dreamscapes Belize Belize Dangriga Ocean 54,111 5
29 Finca Java Nicaragua Matagalpa and Jinotega Lake/river 55,000 0
30 Selva del Mar Nicaragua Tola Ocean 55,000 5
31 Bella Vista Guasacate, Nicaragua Nicaragua Tola Ocean 59,000 12
32 Altos de Maria Panama Chame Highlands 59,100 3
33 Club Vistalagos Nicaragua Laguna de Apoyo Lake/river 64,000 4
34 Cantamar Playa Yankee Nicaragua South of San Juan del Sur Ocean 65,000 4
35 Montanas de Caldera Panama Boquete Highlands 67,500 4
36 Finca del Mar Nicaragua Central Pacific Nicaragua Ocean 70,500 4
37 Hills of Santa Marta Nicaragua Tola Ocean 72,000 6
38 Turtle Cove Lake and Yacht Club Costa Rica Arenal Lake/river 72,720 4
39 El Encanto del Sur Nicaragua San Juan del Sur Ocean 73,500 4
40 Costa Dulce, Nicaragua Nicaragua South of San Juan del Sur Ocean 82,000 6
41 Starfish Reef Panama Bocas del Toro Ocean 84,000 3
42 Hacienda Los Molinos Panama Boquete Highlands 84,660 6
43 Pacific Marlin, Nicaragua Nicaragua San Juan del Sur Ocean 85,000 7
44 El Club del Mar Nicaragua South of San Juan del Sur Ocean 89,000 7
45 Papagayo Golf Lots Costa Rica Playas del Coco Ocean 90,000 1
46 Remanso Beach Resort, Nicaragua Nicaragua South of San Juan del Sur Ocean 92,792 12
47 olcan Springs Ranch Estates Panama Volcan Highlands 97,250 4
48 Bahia Lomas Estates and Marina Panama Bocas del Toro Ocean 98,499 4
49 Balcones de Majagual Nicaragua Marsella / Maderas Ocean 99,000 6
50 Mansions at Banyan Bay Belize Ambergris Caye Ocean 101,000 15
51 Paradise Dreams Panama Bocas del Toro Ocean 103,333 10
52 Boquete Country Club Panama Boquete Highlands 107,189 5
53 Valle Verde Costa Rica Central Valley Highlands 107,685 1
54 Boquete Plantation Panama Boquete Highlands 110,000 7
55 Rio Oria Estates Panama Azueros Peninsula Ocean 112,000 1
56 Cala Azul Nicaragua San Juan del Sur Ocean 117,000 11
57 Orchid Bay Belize Corozal Ocean 119,000 9
58 Finca las Brisas, Costa Rica Costa Rica Nicoya Ocean 120,750 2
59 Montanas y Mar Costa Rica Quepos/Manuel Antonio Ocean 122,500 1
60 Cheetah Chombo Costa Rica Cahuita Ocean 125,500 1
61 Cerro Grande Estates, Costa Rica Costa Rica Tamarindo Ocean 126,250 1
62 Placencia Yacht Club Belize Placencia Ocean 130,000 18
63 Gran Pacifica Nicaragua Central Pacific Nicaragua Ocean 132,665 21
64 Montecristo Beach and Golf Resort Nicaragua Central Pacific Nicaragua Ocean 133,833 10
65 Rancho Santana Nicaragua Tola Ocean 136,750 5
66 Residencial La Esmeralda, Costa Rica Costa Rica Tamarindo Ocean 137,500 4
67 Hacienda Iguana Nicaragua Tola Ocean 140,417 7
68 Tierra Pacifica Costa Rica Playa Junquillal Ocean 145,000 2
69 Sanctuary Bay Estates Belize Belize Stann Creek Ocean 146,500 3
70 Bosques de Vista Marina, Costa Rica Costa Rica Playas del Coco Ocean 150,000 6
71 Playa Santa Rosa Nicaragua Central Pacific Nicaragua Ocean 155,563 13
72 Costa Paraiso Nicaragua South of San Juan del Sur Ocean 159,000 7
73 Rancho Villa Real, Costa Rica Costa Rica Tamarindo Ocean 171,000 3
74 Portasol Costa Rica Dominical Ocean 180,500 2
75 Sittee Point Belize Hopkins Ocean 193,500 13
76 Lobster Cove Panama Chuchecal Bay Ocean 208,750 8
77 Pura Jungla, Costa Rica Costa Rica Paraiso Ocean 209,275 2
78 Lomas del Mar, Costa Rica Costa Rica Playas del Coco Ocean 212,500 3
79 Brisas del Pacifico, Nicaragua Nicaragua San Juan del Sur Ocean 217,174 9
80 Eagles View, Costa Rica Costa Rica Nosara Ocean 224,900 5
81 Valle Escondido Panama Boquete Highlands 227,140 7
82 La Reserva Camaronal, Costa Rica Costa Rica Samara Ocean 233,475 18
83 San Buena Golf Costa Rica Southern Pacific Ocean 234,400 11
84 Ladera del Mar Costa Rica Playas de Coco Ocean 237,000 4
85 Villas Cabo Vela Costa Rica Playa Grande Ocean 247,000 3
86 Sunset Point Bocas Panama Bocas del Toro Ocean 255,000 10
87 Manuel Antonio Estates Costa Rica Quepos/Manuel Antonio Ocean 284,000 5
88 Cabo Caletas Costa Rica Costa Rica Esterillos Ocean 285,000 18
89 Cocoplum Belize Belize Placencia Ocean 305,250 11
90 Sonidos del Mar, Costa Rica Costa Rica Nosara Ocean 306,667 28
91 Coco Bay Estates Costa Rica Playas del Coco Ocean 311,250 12
92 Balcones del Lago Arenal Costa Rica Arenal Lake/river 315,000 4
93 Rancho Playa Negras Costa Rica Playa Negra Ocean 337,112 22
94 Lora Hills Costa Rica Costa Rica Playa Ostional Ocean 498,877 11
95 Hermosa Heights Costa Rica Playa Hermosa Ocean 565,000 48
96 The Four Seasons Papagayo Peninsula Costa Rica Papagayo Ocean 950,000 31
97 Hacienda Pinilla Costa Rica Tamarindo Ocean 970,983 45
98 Isla Viveros Panama Panama Isla Viveros (Pearl Island) Ocean 993,866 18

We’re continuing to sort through the data we collect, looking for the best ways to present and dig out the facts. We’d love to have your ideas and suggestions. They’ll be more price rankings to follow. We also plan a “Master Plan Completion Index” to give a sense of how far along real estate developments are with their master plan - a piece of information that savvy real estate investors should follow with care.

Stay tuned by subscribing to updates.

From Reveal Real Estate - charting international real estate trends in Central America.

Why is it hard to get reliable market comps (and what to do about it)

December 5th, 2009

how-does-international-real-estate-work-in-central-americaThis post is the fourth in a series that explains how the real estate market works in Central America. Here we look at why it’s hard to get reliable market comps (and what to do about it).

Market comparables (or ‘comps’) are the starting point for a buyer looking to cut a deal in any market. By looking at the price of similar properties, in similar condition, in similar locations a buyer can determine what’s good value and what’s not.

Trouble is, unlike in the US, real estate agents in Central America can’t draw on an industry database - such as the Multiple Listing Service - to bring out comps.

The other obstacle to good comps is how property gets recorded at the Public Registry. In the markets we cover it’s common for the recorded sales price to bear little resemblance to the actual sales price paid to the seller.

There are reasons for this and old precedents, but the upshot for buyers, sellers and agents is that it’s practically impossible to get any base data on sales.

Will “revealing” this feature of the market change the course of the real estate industry in Central America? No, probably not. But it’s important for buyers to understand how things work and to know that they have to rely on old-fashioned legwork and good contacts to get the information they need.

Ferreting out the real estate comps in Central America

We plan to write more on the subject of getting hold of comps in the region. (After all, it’s one of the reasons we set up this site and database of master planned communities.) But here are some steps to start with:

  • Begin your research on the Internet. You won’t be able to find out how long properties have been on the market, or actual sales prices, but you will find asking prices. These don’t provide a perfect valuation - they often differ from actual sales prices - but in a world of imperfect data, asking prices are a good place to start.
  • Speak with local real estate agents and market experts. The ones with a close ear to the ground will be able to outline actual sales price points for different property categories (e.g beachfront lots in San Juan del Sur or Ocean view condos in Panama City).
  • Seek out the best-researched international real estate blogs and news websites for insight into how the market is doing.
  • Head on over to Global Property Guide for some great data on global markets.
  • Use this site if you’re interested in purchasing in a master planned community. We deliver the asking price comps. Our pages show the price for different property types compared against the country and regional averages for our sample (see example). We’ve also simplified the data into a 2009 PriceRank for international real estate developments in Central America.

The point is to let the data drive your investment strategy. Only then will you be able to ferret out the best value real estate in the region.

What to know more about how real estate works in Central America?

Here are the other posts in the series:

From Reveal Real Estate - charting international real estate trends in Central America.

Are brokers in Central America playing hard-to-get with their listings?

November 25th, 2009

how-does-international-real-estate-workThis post is the third in a series that explains how the real estate market works in Central America. Here we look at why buyers in Central America may feel that brokers are playing hard to get with their listings.

Imagine this …

You’re searching online for an ocean view condo in Panama and you come across a listing that takes your fancy. It looks like there’s a nice open floor plan and exactly the kind of kitchen you’re looking for. And maybe that’s a surf break you can see out of the bedroom window. Looking good… So you scan the listing to find out where the property is located.

Now here’s where the information gets scant. In fact, you can’t find any location information whatsoever. “Why?” you wonder in frustration, “Is the broker not giving me this crucial detail?”

Is this a real listing?

Most likely you’re looking at an ‘open listing’ or a ‘pocket listing’. As it is ‘open’ any agency can list the property. But only the agency that introduces the buyer earns the commission.

You can see why it makes sense in this scenario for the real estate broker to keep the listing information vague – they want to reduce the chance of competing brokers finding the owner and taking the listing for themselves. For some properties, brokers and agents may take this one step further and not have any information on the listing on their website.

Open listings and inventory hoarding by brokers is common in the region. It’s a factor of not having an MLS system.

What about exclusive listings?

There are exclusive listings in some markets, (they seem to be more common in Belize for example), But again, in the absence of an MLS, exclusives don’t always work very well.

This is because everyone, with the exception of the listing agency, will view the exclusive listing as one that does not pay a full commission, as the listing agency will expect a commission share.

If you’re a broker, why show an exclusive property for a shared commission when you’ve got open listings on your books that pay a full commission? (In US industry terms a full commission comprises both the “listing” side and the “selling” side of the commission, known as “both sides of the transaction”).

Towards better location information

Things are slowly getting better as the online marketplace evolves. On this site for example we plot each master planned community on a Google Map. We also provide an estimate of driving time to the nearest international airport and the nearest town with a decent sized grocery store.  (Here’s an example).  It’s our Central American version of the DriveScore.

Of course we’re still a long way away from arming consumers with the kind of data they have in the US. But the data supply is increasing and transparency is starting to improve.

What to know more about how real estate works in Central America?

Here are other posts in the series:

From Reveal Real Estate - charting international real estate trends in Central America.

Why do you have that niggling feeling: “Have I seen all there is to see?”

November 22nd, 2009

how-does-real-estate-work21This post is the second in a series that explains how the real estate market works in Central America. Here we look at why buyers in Central America are often left wondering if they have seen all the real estate there is to see.

As a buyer in any market, it’s natural that you want to choose between all properties that fit your criteria. Because only then can you make an informed decision.

In the US, this process is relatively simple:

Let’s say you’re looking for a three bedroom house in Phoenix, for under $325,000 with a garage that’s located close to a good school and has a DriveScore of 70 or better. Well, with a few clicks, your agent pulls together a list of properties that fit these criteria. You review the list, maybe check out the Street View for a few of them, whittle the numbers down and go on a viewing.

While you’re out on the property tour you whip out your iPhone, compare the Zestimate against the asking price and organize your viewing experience with the Better Homes and Garden app.

That’s the beauty of the Multiple Listing System and all the IDX websites, apps and widgets that have been built around it.

The MLS is basically a central database of properties. When a seller lists their property with an agency it gets added to this database that in turn gives buyers the most comprehensive set of listings in their area of focus.

You’ve probably guessed where we’re going with this …

Welcome to a world without an MLS

Despite some valiant attempts over the years to start up local MLS-type systems, there’s still no MLS in Costa Rica, Panama, Nicaragua or Belize.

This means that when a seller lists a property with an agency, it doesn’t get added to a central database that other agencies can access, and buyers can’t sift through a full list of property for sale. (Oh and forget comparables, but that’s a topic for another post.)

So if a buyer really wants to see all that is available, they have to go on a property tour with every agent in the area they are interested in. There may be some local market experts or buyers agents who can short cut this process a little, but for the most part it’s a pretty daunting endeavor.

Making things simple

Our aim at Reveal Real Estate is to help simplify things. Of course we can’t claim to be a fully-fledged MLS. But we’re trying to build the next best thing by providing one place where buyers and sellers can access information on real estate developments, master planned communities and condo projects.

Our goal is transparency – to find every real estate development in the region and put this information online.

What to know more about how real estate works in Central America?

Here are the other posts in the series:

From Reveal Real Estate - charting international real estate trends in Central America.

How real estate works in Central America (and why you need to know)

November 22nd, 2009

how-does-real-estate-work-Panama-Nicaragua-Costa-Rica-BelizeThe best investors in Central America know exactly how the real estate market works. They know how property is listed and how local real estate agents operate.  They stay on top of the online real estate marketplace and get hold of as much market data as possible.

Some of this is Real Estate 101, applicable to any real estate market. But when you look closely at how the market operates in Central America, you’ll notice important differences compared with the US.

We’re speaking from experience

When I was first researching the real estate market on Nicaragua’s Pacific coast in 2002, I went on property viewing after property viewing with a host of different real estate agents.  We covered an enormous amount of ground, spending long days touring up and down the coastline.  But despite this effort I was still left with that niggling feeling: “Have I seen all there is?“.

I spent hours on the Internet trying to figure out whether there were properties that fitted my criteria that I hadn’t seen.  Instead of finding re-assurance online, this process confused me even more.

Many of the listings I stumbled across online had vague descriptions and almost no location information.  It was almost as if brokers didn’t want me to see what they had on offer.

Fast forward to today and I know why brokers seem to play hard to get with their listings in Central America and why it’s difficult to get a comprehensive picture of the market.

(As it turns out, I’m happy with the investments that I made.  But had I known more about how the market for real estate in Nicaragua works, the process would have been less fraught and I would have felt more confident about the decisions I was making.)

So how do things work?

We’re writing a series of posts explaining the intricacies of the real estate market in Panama, Costa Rica, Belize and Nicaragua.

We want to go beyond the usual insider tips for international real estate in Central America or the questions to ask the real estate developer. The posts focus on the process of real estate, the mechanisms of the market, the detail of how things work in practice, and what this means to buyers interested in these markets.

It’s the kind of information we wish we’d had when we were researching the market.

We’ll also present how Reveal Real Estate fits into the picture; how we fill some of the information gaps and help buyers make more informed decisions. We’re part of the market and have a passion for making things work better.

Here are the first posts in the series:

From Reveal Real Estate - charting international real estate trends in Central America.

Panama listed in Forbes top 10 retirement havens

November 13th, 2009

panama-retirementPanama joins 9 other countries on the hit-list: Austria, Thailand, Italy, Ireland, Australia, France, Malaysia, Spain and Canada.

Forbes pulled together the list of top 10 retirement havens using a range of criteria from “safety to retiree-friendly visa requirements to decent medical care.”  Quality of life, cost of living and climate for retirees were also factored in.

Sam Taliaferro picked this up over at his Panama Investor Blog where he listed some of the positives for Panama:

“Positives: Panama has almost everything: year-round sun, low taxes, massive discounts for seniors, first-world amenities, quality private hospitals, bird-filled rainforests, a dollar economy and easy flights from the U.S. Panama City is considered safest of all Central American cities, with worldly buzz because of the canal, and a World Heritage Site.”

Of course each country has “assets and liabilities” and much depends on what kind of lifestyle you are looking for.  So the key to a successful retirement as an ex-pat?   Know yourself and do your homework.

Read the full analysis at Forbes.

From Reveal Real Estate - charting international real estate trends in Central America.

Nicaragua real estate snapshot: Tola Riviera and Popoyo

November 12th, 2009

tola-market-snapshot3International real estate in Nicaragua (or any market for that matter) is best analyzed on a granular, market by market and asset-by-asset basis. So to help buyers and sellers get to grips with the market, we’re writing a series of posts looking at the main property purchasing destinations in Central America.

This first post in the series looks at the ‘Tola Riveria and Popoyo’ area in Nicaragua.  We’ve answered 5 questions designed to give you a quick market snapshot of the area.  You’ll find that the post dives straight into the real estate nitty gritty, so if you first want to step back and read a description of the area, then click here. Onto the questions:

1. What real estate is available in the Tola Rivieria & Popoyo area of Nicaragua?

We follow 12 master planned communities in the area. The projects range from large destination style resorts with a host of amenities, ambitious hotel & spa resorts to smaller-scale surf-focused projects and subdivisions offering serviced lots.

The bulk of real estate on offer in the area is serviced lots (or homesites), with buyers choosing between ocean view, golf front, ‘tropical view’ and beach front positions. The larger projects, and those more advanced in their plans (see question 3 on amenities) also offer condos and single family houses for sale.

2. How much does property cost in Tola Riviera and Popoyo?

The table below shows the median price for condos and lots in the main real estate developments.  If you want to see more detail then click through to each development where the prices are split out into additional categories (e.g. beachfront, ocean view, long ocean view and so on).

Name of real estate development in Tola Rivieria & Popoyo Median price/sqft condos and houses* Median price/sqft serviced lots**
Rancho Santana $195 $5
The Village at Aqua $165 _
Iguana Golf Condominiums $142 _
Bella Vista Guasacate, Nicaragua _ $12
La Vista Nicaragua _ $2
Bella Mar Nica _ $5
Hacienda Iguana _ $7
Hills of Santa Marta _ $6
Prana del Sol _ $3
Selva del Mar _ $5
Guacalito no data no data
Los Perros no data no data

* Average of the median asking price for each real estate development. Data collected July to September 2009.

3. What amenities are the developers offering?

Rancho Santana, The Village at Aqua and Hacienda Iguana are the furthest ahead in the completion of their masterplan. Some of the smaller subdivisions that do not plan on-site amenities, intend to make use of memberships offered by the other projects in the area (e.g. corporate membership to the Iguana Golf Club).

Name of real estate development Completed community amenities Planned community amenities
Rancho Santana Clubhouse; Racquet courts; Hotel, Restaurant; Stables/equestrian center; Swimming Pool  
The Village at Aqua Restaurant Spa/yoga center; Gym/fitness center; Hotel
Iguana Golf Condominiums 9-hole golf course; Hotel; Restaurant _
Bella Vista Guasacate, Nicaragua _ _
La Vista Nicaragua _ _
Bella Mar Nica _ _
Hacienda Iguana 9-hole golf course; Restaurant _
Hills of Santa Marta _ _
Prana del Sol _ _
Selva del Mar _ Clubhouse
Guacalito _ Hotel; Clubhouse; 18-hole golf course
Los Perros Clubhouse; Racquet courts; Hotel; Restaurant; Stables/equestrian center _

4. How do prices compare with Nicaragua as a whole and the average for Reveal Real Estate?

For condos and single family homes, median prices in Tola Riviera are similar to the medians for Nicaragua as a whole, but well below the Reveal Real Estate average (which also takes into account property in Costa Rica, Belize and Panama).

For serviced lots the picture is more varied although for the most part the median for Tola is still below country and regional averages. The full chart can be seen on the Tola Riviera page (scroll down and click on the tabs)

5. What’s the year-on-year price trend?

The table below shows the year on year price trend for the area compared with other purchasing destinations in Belize, Costa Rica, Nicaragua and Panama.

Purchasing destination Country Y-O-Y change in price (%) Median price per sq/ft* Rank by price
Tola Riviera and Popoyo Nicaragua 10.00% 168.62 10
Placencia Belize -9.91% 253.98 5
San Juan del Sur Nicaragua -9.90% 203.15 8
Bocas del Toro Panama -9.00% 241.65 6
Tamarindo Costa Rica -6.12% 241.26 7
Boquete Panama -5.13% 110.26 11
Papagayo, hermosa and Coco Costa Rica -4.49% 283.39 2
Jaco Costa Rica -3.41% 287.53 1
Panama City Panama -3.23% 269.21 4
Coronado & San Carlos Panama -2.14% 201.03 9
Ambergris Caye Belize -0.14% 268.57 3

*Data looks at condos and townhouses for sale in international real estate developments

The developments that we follow in Tola showed an overall drop in asking price of 10% year-on-year to September 2009. Although higher than the other property markets we track, the falls are less than those we’ve become used to seeing in the US and other developed world markets.  For more analysis on the trends in the table, check out an article we wrote over at International Property Journal.

That’s it for a quick market snapshot of master planned communities in Tola Riviera & Popoyo. Any questions or comments, please reply below.  We’d love to have your feedback.  And stay tuned for the next one.

From Reveal Real Estate - charting international real estate trends in Central America.

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