Buying property in San Juan del Sur / Buying property in Nicaragua
Purchasing land, houses, villas, or luxury residences in San Juan del Sur, Nicaragua, has many advantages. In Nicaragua, foreigners can lawfully own land. Recent years have seen foreign property buyers flocking to Nicaragua because of its outstanding surfing conditions, extensive beaches of golden sand, and relatively cheap real estate, mainly in San Juan del Sur, Nicaragua. For this reason, Nicaragua’s government encourages foreign investment in the country and makes it simple for foreigners to become Nicaraguan residents. Real estate investment in San Juan del Sur is booming, with a wide range of options available. Depending on your budget, you can acquire a lot or several plots of land to turn into a community. Many houses, villas, casitas, and luxury properties are available for sale in San Juan del Sur. Some of them are already constructed, while others are in the planning stages of construction.
Because more people are becoming aware of the benefits of investing in Nicaraguan real estate, many individuals are asking, “How do I buy property in San Juan del Sur?” Here’s a detailed guide to buying a property in San Juan del Sur.
- Who can buy?
- Property ownership:
- Where to buy:
- Retiree residency:
- Investor residency:
- Finding the perfect property:
San Juan del Sur, Nicaragua Real Estate Market
Nicaragua, the biggest country in Central America, is blessed with kilometres of beaches along the Caribbean Sea and Pacific Ocean coasts. The country is home to many lakes and volcanoes and has a tropical climate and scenery that ranges from lush lowlands to tropical jungles. Until now, Nicaragua has been one of Central America’s best-kept secrets, but the lid has been blown off thanks to new media outlets. CNN named the country one of the “World’s Fastest-Growing Tourist Destinations in 2017.” Around 1.5 million tourists visited Nicaragua that year.
While the upcoming launch of a new generation of high-end resorts on Nicaragua’s Pacific Coast is expected to enhance its luxury credentials, the country’s real estate industry is still regarded as being in its early stages. Property prices in Nicaragua are now lower than in neighbouring Belize, Costa Rica, and Panama, indicating that it is primarily a buyer’s market. North American buyers are particularly interested in Nicaraguan real estate, which includes everything from newly built luxury apartments overlooking sculpted golf courses to finished beachfront homes. Retirees and investors are looking forward to taking advantage of the profitable real estate market.
Why Do People Invest in San Juan del Sur, Nicaragua?
It is a new real estate market with relatively cheap pricing. It is also a fast-developing tourist destination that is regarded as one of the world’s “greatest under-the-radar places.” San Juan del Sur, Nicaragua, provides appealing retiree benefits such as duty-free importation of home items, cars, and construction supplies.
Furthermore, it is a relatively unknown, unspoiled environment with gorgeous sands and rainforest-covered highlands. Needless to say, San Juan del Sur is a world-class surfing location. Direct flights from North, South, and Central America and Europe make this nation easily accessible. Nicaragua is a remote vacation with intriguing colonial villages and pre-Columbian monuments to discover.
Buying a property in San Juan del Sur has many benefits, from it’s natural beauty to affordable prices. Do you want to purchase?
Buying Property in San Juan del Sur, Nicaragua
Who can buy:
In most nations, it is the general rule that to own property, you must be a citizen or a resident. Nicaragua, on the other hand, is a whole other story! The land is available to citizens of Nicaragua or anybody else who may legally own property in Nicaragua, even if you’re not a resident. Many individuals from the United States, Latin America, Canada, and Europe own property in Nicaragua despite being not native to the country and do not reside there full-time.
With a fee simple title, you may purchase property in Nicaragua entirely under your name almost everywhere in the nation. You can buy the property as an individual or through a Nicaraguan company, or through a foreign organisation. Everybody around the globe has the same right to own a home in Nicaragua as a Nicaraguan citizen does.
Where to buy:
There is just one limitation on non-citizens purchasing property in Nicaragua. They are not permitted to purchase property within five kilometres of the Honduran or Costa Rican borders.
According to the Law on Resident Pensioners and Retirees, anybody over the age of 45, having a monthly income equal to at least $600 from Social Security or a pension, is eligible to be a resident of Nicaragua for a term of five years if they meet the requirements. The Residency’s tax advantages include no tax on out-of-country earnings, freedom from tax on importing up to US $20,000 worth of home items and a car valued at less than $25,000, and no tax on foreign investment income.
As a result of the Foreign Promotions Investment Law, people who make a minimum investment of US $30,000 in a Nicaraguan company or real estate are eligible to seek permanent residence in the nation. In order to be considered, applications must be submitted in person in Nicaragua, and applicants must stay in the country for at least 30 days after submitting their application to allow for follow-up visits by immigration authorities.
Individuals who have legally lived in Nicaragua for a period of five years are eligible to seek citizenship in Nicaragua.
Finding the perfect property:
Real estate agents that are acquainted with Nicaragua are needed when buying property in Nicaragua. Specifically, someone in the region where you want to buy the property. It will be easier to purchase the property if you have a realtor familiar with the local real estate market and the local language, traditions, and legal procedures. Searching for homes on the internet may be stressful and time-consuming due to the large amount of information, which is not necessarily reliable or correct. In addition to knowing the real estate in the region, a real estate agent will be familiar with the specifics of buying property in Nicaragua. The key to a good buying experience is choosing the perfect agent.
The Process of Buying Property in San Juan del Sur, Nicaragua
The first step is to find a qualified real estate agent –
Find a real estate agent that is skilled and knowledgeable in order to help you with your property hunt. Do your research and then ask for references to ensure that you are dealing with a realtor that will exceed the limits to assist you with your transition as a new property owner in Nicaragua, both before and during the buying process, as well as after your purchase.
Pay a visit to San Juan del Sur, Nicaragua –
Instead of sending a virtual consultant to Nicaragua to see properties and meet with prospective attorneys, take the trip yourself and meet the lawyer face-to-face to see properties in San Juan del Sur. Spending hours on the internet looking at properties will never be able to match the experience of putting your feet on Nicaraguan land and seeing the properties for yourself. It is suggested that you spend your first few days visiting various neighbourhoods to acquire a sense of the atmosphere before beginning to see properties with your realtor.
Go ahead and submit your offer –
You may come upon a property that you like after looking and viewing many. You may place an offer with the seller after you have found the property you want.
Sign the private sales agreement-
Once the price and terms have been agreed upon, both buyer and seller will sign a Private Sales Agreement. There is no need for any party to be physically present in Nicaragua for the execution of this agreement.
Choosing an Attorney –
To perform thorough research on the property and manage the deal’s legal elements, work with your real estate agent to find a Nicaraguan lawyer that can guide you. A detailed examination of the title and other relevant facts about the property will be conducted by the lawyer and will provide a report showing that the property is in decent legal standing.
Deposit 10% –
Buyer must make a 10% deposit in an escrow account after signing the Private Sales Agreement. This formally removes the property from the market and begins the due diligence process. If substantial and incurable issues are found throughout the due diligence procedure, then this money is refunded.
Conduct Due Diligence and Make Closing Preparations –
A few last stages to the acquisition are once due diligence is done and authorised. The buyer is responsible for transferring the remaining 90% of the money to the escrow account once the purchase is completed. The seller must provide three papers, including a Free of Liens and Encumbrances Certificate, a Municipal Tax Solvency Certificate, and an Approved Cadastral Map.
The closing may take place after all of the money has been received by the escrow account, as well as the seller has submitted all of the required paperwork. At the time of closing, the buyer becomes the legal owner of the property, and the seller receives the money that was previously agreed upon. In most cases, it takes about 30 days from the date of signing of the Private Sales Agreement to the date of closing.
Register the Property –
To register the property in the buyer’s name and pay all relevant taxes, the buyer’s lawyer will carry the title and supporting paperwork to the appropriate government authorities after the sale. It is common for the process to take several months from the time of closing.
Registration of Real Estate is completed –
When the property is registered correctly, a new title is created, indicating that the buyer is now the legally registered owner of the property. Now the buyer will have the option to sell the estate if they want. As the essential document pertaining to your property ownership, it is critical that you keep your original title in a secure location at all times. If you want, your lawyer may usually save the title in their records for future reference. Furthermore, if you ever wish to sell your home, you will need to have this original title on hand.
Buying property in Nicaragua is as simple as that! The wonderful people, amazing scenery, and magnificent properties are just a few of the reasons why you will fall in love and may even end up buying property in San Juan del Sur, Nicaragua.