Feb. 17, 2009
Panama City, Panama
- Yields Are The Name Of The Game Right Now…Here’s Another Yield-producing Recession Deal That Won’t Last Long…
- Six Days In Panama? Here’s How To Spend Them…
- Europe’s “Sleeping Beauty”…Discover The Secret Continental Pleasures Of Part-time Retirement In Istria…
Dear Overseas Opportunity Letter Reader,
Two weeks ago, I told you about the best bona-fide recession sale to come across my desk to date. It was a euro-property investment opportunity that amounted to a chance to own next-to-free in one of Europe’s most proven rental markets.
This very close to no-money-down deal in Portugal’s Algarve also came with a guaranteed rental yield for the first year.
It was an extraordinary offer–so good, in fact, that all available units were reserved within 48 hours of my writing.
Euro-Correspondent Luis da Silva, who brought the opportunity to my attention, wrote to report yesterday that two of those reservations are not proceeding. Meaning that you have a second chance to act. You can review full details of the deal (in short to purchase a fully furnished one- or two-bedroom property at a 22% discount off list price, furniture package included at no cost, no money down, guaranteed financing from a leading bank, and, again, a one-year guaranteed rental yield of 5%) here.
“What else have you got?” I asked Luis last night. “Euro-markets being what they are right now, there have got to be other super-appealing recession deals emerging.”
Luis did not disappoint. He has sourced a second no-money-down property investment opportunity, this time in one of the Algarve’s top championship golf resorts.
In this case, you’re buying a two-bedroom unit only meters from the golf course at a 15% discount to the developer’s list price. All closing costs are covered, and the turn-key furniture package is included as no charge. Every unit has a golf view.
What’s more, every investor is granted lifetime membership in the golf club. This is a 30,000 euro value.
The development, which is located 15 kilometers west and 10 kilometers east of the historic towns of Lagos and Sagres, respectively, is less than 2 kilometers from the beach, within walking distance of a supermarket and a local town with cafes and restaurants, and minutes by car from one of the region’s most popular fishing villages.
On-site are a spa, several pool complexes, including a children’s pool, tennis courts, restaurants, and cafes (where owners enjoy special discounts), as well as property and rental management.
Each unit features a fully fitted kitchen with DeDietrich appliances, fully integrated Internet, satellite television, air conditioning, and, again, the full furniture package at no additional cost.
This is as turn-key as it gets.
Here’s how the deal breaks down:
You will be required under Portuguese law to pay the stamp duty, notary fees, and some other associated costs prior to closing. However, at closing, all these costs will be fully refunded to you by the developer.
You’re buying for 15% off the list price (this is a discount of about 60,000 euro). Purchase price to you is 337,875 euro. But, again, your purchase can be fully financed.
“Please note here,” Luis explains, “that developers right now are very nervous, because of the current increase in defaults. They are running a real risk with a no-money-down deal like this one.”
In fact, Luis explains, this is why the two previous reservations are not proceeding–because the buyers were not able to show income.
“Would you please make the point, therefore, Kathleen,” Luis continues, “that, as a trade-off for not having to put any money down to get in on this deal, the banks want to make sure that the buyer can pay. They can’t lend to a buyer with no money down and no proven income.”
The kicker in this golf development deal, as in the first one that Luis brought to our attention a couple of weeks ago, is the guaranteed yield from rental. In this case, that guarantee continues for two years.
And, as with the first opportunity that Luis sourced for us two weeks ago, these units will go fast. Get in touch here now for more information.
Retiring overseas comes with big upsides and advantages, especially in the current financial climate.
Still, maybe you’re not prepared for full-time retirement to another country.
Or, maybe you’re ready to make the break and move abroad indefinitely…but you’re not interested in settling in any one particular place long-term.
Become a PT–a part-time retiree…or a perpetual traveler in retirement.
Lief and I haven’t been able to settle on any one overseas retirement haven. In fact, we couldn’t agree on two. We’re planning to divide our retirement living among four places we most enjoy: Paris, where we invested in an apartment that we rent out when we’re elsewhere; Buenos Aires, where, again, our someday part-time retirement digs are currently occupied by long-tem renters; the western Azuero coast of Panama, where we’ll begin building our eventual retirement beach house later this year; and, finally, Istria, Croatia.
We discovered the charms of Europe’s “Sleeping Beauty,” as our editor Roseanna Keats describes Istria, about four years ago. We visited, fell in love, and couldn’t resist establishing a long-term connection. We bought a tumbledown stone house on the side of a mountain overlooking a valley of olive groves and grapevines…with the thought that we’d renovate it into a family country retreat…a place where we could gather with our children and, someday, with their children to soak up the best of Continental country pleasures.
This still largely undiscovered region of Croatia is not only extraordinarily beautiful, charming, and historic, it’s also highly affordable. Its people are friendly, and its cities are safe. In many regards, it’s an ideal choice for retirement living.
And, no question, it’s a perfect choice for part-time retirement living. Roseanna gives the full story in the current issue of the Overseas Retirement Letter, out this week. Subscribers, watch your e-mailbox. If you’re not a subscriber,become one here now.
“I am a recent subscriber, and I am heading to Panama in March for a look-see at property and the country in general. Could you provide an itinerary for a stay of about six days? I want to travel west from Panama City to the AzueroPeninsula and on to David and Boquete. I am mostly interested in upcoming and or reasonably priced new developments. I don’t want to buy an existing home.”
— Greg S., United States
Depending what time of day your flight into Panama City arrives, I’d say you should head straight from the airport to Azuero. You could spend a half-day, say, in Panama City, just to get the lay of the land, but, as you know you aren’t interested in buying a house or an apartment, Panama City isn’t your market.
Azuero is the place in this country to be shopping right now for undeveloped land. It’s two markets–one on the east coast (right side of the peninsula) and a second, less developed, earlier-in market on the west coast (left side of the peninsula).
Start on the east coast. This is the Las Tablas/Pedasi side of Azuero. There’s more to see and do on this side of the peninsula. You could easily spend two full days here. I recommend you make time to visit the Azueros development, in many ways the most impressive development property in the country to date, home to the Hotel Villa Camilla, my favorite hotel in all Panama.
Then move on to see the other side of Azuero. This will mean driving back up to the top of the peninsula, over to Santiago, and then down again. There’s no road from one coast of this emerging peninsula to the other.
You can see what you need to see on the Veraguas side of the Azuero Peninsula in a day. Prices along this coast are much lower than on the other coast right now, but they’re beginning to move quickly. During our most recent visit to this part of the country, last weekend, we identified no fewer than six developers at work bringing inventory to market.
There are reasons this region is attracting so much attention. You’ll understand when you visit.
(We’ll detail the emerging opportunities in this part of the country in full during our Live and Invest in Panama Conference.)
From the Veraguas (west) coast of Azuero, you could travel over to Santa Fe, the best place in this country to invest in mountain property right now, in my opinion. Spend a half-day here.
Then move on for a day in Boquete and Volcan and a day at the beach areas around David.
In short, the emerging opportunities are on the Azuero Peninsula…the established expat communities are in and around Boquete and Volcan.
Again, we’ll review the pluses and the minuses of each of these areas (along with all the others of interest in Panama today) during our Panama conference in May. More details here.