If the prospect of buying property in the beautiful island nation of Puerto Rico interests you, either for vacation or retirement purposes, then you probably already know that there’s a lot to love about real estate in Puerto Rico. To start, there is the temperate climes and ease of access. Plenty of airlines make direct flights and U.S. citizens don’t even need a passport to travel there. Plus, the country instituted a number of tax breaks to entice foreigners into purchasing property and moving in.
You don’t have to sift through Puerto Rico real estate law in order to spot a good deal when you see one. The unfortunate truth is that Puerto Rico has suffered through the global economic crisis just like many other countries. This has resulted in a wealth of real estate opportunities for those willing to snatch them up. Here’s the latest on the real estate situation in Puerto Rico.
During the Great Recession, an estimated 10% of Puerto Ricans, who are considered U.S. citizens, packed up and moved to the mainland in search of job opportunities. Many abandoned their homes in the process. As a result, banks are still in the process of foreclosing on many properties, dropping prices by 50% or more from highs in 2006.
What does this mean for anyone looking to purchase property? In short, now is a great time to buy in Puerto Rico. As housing prices climb in the U.S., opportunities to purchase vacation, rental, or retirement properties are starting to dry up. This is not the case in Puerto Rico, where there are plenty of steals still to be had.
Homes in gated communities that were selling for over a million dollars just a decade ago are now available for less than half. Even still, they might sit on the market for a while.
However, the situation won’t last forever. Puerto Rico is already starting to attract savvy real estate investors and retirees alike. It’s only a matter of time before the country follows the U.S. market and rebounds.
Property Values in Prime Locations
While beachfront property is always a valuable commodity, buyers may be able to find deals on dream homes with a little help from agents at reputable Vieques real estate firms. Prices for properties in prime locations haven’t dropped as significantly as the rest of the market. However, the right buyer willing to lay down some cash could see an incredible return within the next decade and enjoy a gorgeous property in the meantime.