If you decided to buy property in Nicaragua, right now, it’s a good time to buy. The political stability of Nicaragua has settled down and has been this way now for years, since 1990. They have a democratic electoral system and Nicaragua has opened up for tourism realizing its economic potential for the country. Economically, Nicaragua is one of the poorest countries in Central America but it’s a fast emerging new economy. Tourism is one of the major growing industries in Nicaragua and it is unlikely that anyone will want to upset the apple cart now.
However, consider the fact the political stability could possibly change with Daniel Ortega perhaps wanting to stay in power forever. He based his political platform on respect for private property. But if you’ve been watching the news lately, you’ll notice that people around the world want democracy and the right to vote and achieve prosperity more than having any one particular leader in power.
On a more positive note, the government of Nicaragua is making it very easy for foreigners, retirees and investors to come live and invest in Nicaragua. If you have a pension of $600 US per month as a retiree, you qualify for a residency permit. There is another type of resident visa called the Residente Rentista which qualifies you for residency in Nicaragua if you have over $750 US monthly income which comes from outside of Nicaragua.
It’s a good time to buy real estate in Nicaragua now because the real estate market bubble has burst and prices are lower than they have ever been. The prices are certainly much lower than real estate prices in Panama or Costa Rica and reflect the cost of living in Nicaragua somewhat. Investors and speculators haven’t yet “moved” into Nicaragua and for the individual buying a home here, it’s a great opportunity. However, be warned, once the investors and speculators get here in droves, the prices will, no doubt, shoot up dramatically just as they have done so in Costa Rica and Panama.
Property prices rose from 1995 to 2005 and then with the world wide recession, dropped dramatically around 2008 to 2009. But prices for real estate all around the world showed the same sort of patterns. If you are here for the long term, happy to live in Nicaragua, then this shouldn’t be too much of a concern.
Consider the fact that when you buy property in Nicaragua, there are different housing types than is typical of North America. There are many Colonial adobe style houses and small concrete block houses in cities such as Managua. You will find less of the high rise condominiums mainly because of earth quake risk. Kitchens and bathrooms are not as modern as those in North America and if you live off the beaten path, water may not be treated and will come from a well. In such cities as Granada, Managua, San Juan del Sur and Leon, there is a municipal water system. But beyond these cities, the municipality may not have yet built the water supply system and the water will come from a well or a tank. However, day by day, Nicaragua is modernizing itself as Nicaraguans are demanding modern amenities. If you want all the modern amenities of life in North America, you will probably have to have them shipped to you.
If you are still interested in buying property in Nicaragua and love what the country will bring to you in the way of friendly people, a dynamic latin American culture, splendid scenery and beaches and much, much more, then you are going to make the correct decision for you and your life buying a house in Nicaragua.