The headlines said it all in the great recession. Many developed nations saw their markets fall into recession as housing and stocks dip in this challenging climate. The United States saw record drops in housing starts, commodity prices and consumer spending. The situation was not much better in Europe.
With 78 million baby boomers set to retire in the coming years, hedging against inflation is more important than ever. The average Social Security monthly check sent out to retirees is just $1,007, or a meager $12,084 a year. With runaway inflation becoming a real concern, what are the chances these small Social Security payments will increase at the same rate?
When it comes to investment opportunities let’s explore Nicaragua and all it has to offer astute investors.
With the large amounts of federal stimulus money that flooded the United States and similar stimulus programs in many other countries, you must have a powerful inflation protection or you will not be able to live the retirement lifestyle one hopes for. Those hoping to retire in comfort need to accumulate income-producing assets. It is the only way to hedge against the corrosive effects inflation can have on your portfolio. One of the best income producing investments is real estate. When such real estate is located in undervalued but inherently desirable countries, it becomes even better—giving investors the possibility for stratospheric returns.
There is a projected deficit of over 5,000 hotel (guest rooms) in Nicaragua by 2020, which will keep rental demand high and rental returns steady. The growing baby boomer market is expected to exceed 78 million and many of these retirees will be looking for warmer climates and countries where their money goes further. This country fits the bill perfectly. Furthermore, this country has iron clad laws that ensure foreigners can repatriate their profits, which is a crucial part of any sound investment strategy.
Nicaragua is an unpolished gem that is just starting to become known on the world stage and many prominent publications have recently featured stories about the investment opportunity. In the last few years, favorable articles have appeared in the Wall Street Journal, The NY Times, The LA Times, The Chicago Tribune, The Seattle Times, The International Herald Tribute, The BBC News, Newsweek Magazine, Adventure Magazine, and National Geographic Magazine, among others.
Nicaragua has been praised for its impressive safety ratings. In fact, it was rated as having the lowest crime rate in the Americas, according to Interpol, with only 12 crimes for every 100,000 citizens. The Harvard affiliated research group, INCAE, rated it as one the safest country in the Americas. These kinds of safety ratings are a crucial aspect that potential investors look at when choosing a place overseas in which to, own a business, purchase a second home or retire.
Nicaragua has many other attractive features that appeal to investors not only for the future of the country but for the investment portfolios of those who have been wise enough to invest early. It is the largest country in Central America and is closer to the United States than Costa Rica. This country has rare fresh water lakes with volcanoes and freshwater sharks—the only of their kind in the entire world. Among numerous other attractions, this country also has charming and well-preserved colonial towns and expansive and unspoiled beaches that line the Pacific and Atlantic Coasts.
Further adding value to one’s real estate investment portfolio, Nicaragua is one of the most business friendly countries in the region. Nicaragua has implemented highly favorable laws that attract and protect foreign businesses. Nicaragua has also passed some of the most comprehensive and attractive laws to entice tourists and foreign retirees. This bodes well for all investments in the country.
When planning an investment portfolio and deciding invest in, smart investors know that not all investments will return lucrative results.
Nicaragua has redefined itself over the last 20 years so that it is now becoming a destination country for people looking for the next big thing. The numbers of people visiting Nicaragua and the number of people who have invested in the country have been on a dramatic upward trajectory. The New Nicaragua has emerged as the must see destination in Central America.
In uncertain times, people head for shelter. They are attracted to a haven where they can ride out the storm, which in this case is international economic upheaval. Placing resources in a country like Nicaragua places you a world apart, yet convenience and luxury is never far away.
From a global investment vantage point, every indication is that the investment climate in the country is outstanding and continuing to trend upward. The New Nicaragua is emerging on the world scene with a growing and strong economy, fueled by substantial foreign investment and increasing exports. And the steady increase in business travelers and tourists is providing additional exposure to the country and all it has to offer. The result is growing interest in the promising investment opportunities available here now and in the future.