14 May Reasons To Invest In Foreign Real Estate
Do you want to Invest In Foreign Real Estate? Investing is always a good idea, and for the most part, investing in real estate is a good idea too. But, unlike investing in stocks, investing in real estate can serve multiple purposes. It is a place to call home, or to rent out. Moreover, in the best of circumstances, it is a dream come true. And that last one becomes all the more likely when investing in foreign real estate. Here are three reasons to invest abroad
You can buy beach front property
Unless you have $500,000 or more to spend, beach front property isn’t a possibility in the states. Yet did you know that in countries like Nicaragua, beach front property can still be bought for less than $100,000? And I don’t have to tell you that beach front properties also have a higher rate of return than those that don’t front the water.
You can retire there
Once it’s time to retire, you get to choose where you want to go. Typically this equation involves a balance between affordability (how long your savings will last when factoring in cost of living) and desirability (do you really want to shovel snow when you are pushing 70?). My guess is most people would like to retire on a sunny beach where the cost of living is also affordable. Does that place actually exist? In places like Honduras, Costa Rica, and Nicaragua, it does. According to Money.com, average cost of living in these three countries is $1000 a month.
Even a cursory glance at American investing history provides one glaring fact: diversity matters. When all your eggs are in one basket (like invested with Bernie Madoff), you are at the mercy of that basket. Yet investing in a foreign country allows you to keep your investment diversified, and not at the mercy of the US economy, or fully dependent on the fate of the U.S. dollar.