Why Nicaragua Is a Top Contrarian Real Estate Buy

Today's Financial News - Posted July 31, 2008

“You have to be somewhat of a contrarian to buy real estate in Nicaragua right now,” Jeff Cassel, Club Vistalagos partner and Nicaraguan real estate hound.

by Suzan Haskins

Baltimore — (TFN): We know what he means. Two years ago this country was right up there in the property-buying popularity polls. Hordes of buyers—especially soon-to-be American and Canadian retirees—couldn’t get enough of it. Pristine properties in Nicaragua were plentiful…beachfront, mountaintop, lakeside, and everything in between…and best of all, they were very inexpensive. This was the fabulous frontier, waiting to be explored and settled.

None of that has changed. Nicaragua is still a fabulous frontier. The prices are still well below reasonable. But the hordes of American buyers have called a time out, thanks to the gasping U.S. economy and the election of Daniel Ortega as president of Nicaragua.

According to Jeff Cassel, though, there are still quite a few people out there who are willing to take a chance on Nicaragua. Understandably, it’s not for everyone. It’s not for the timid or for those who are worried about the country’s political uncertainties. But contrarians may win big here, as the potential for gain is great if nearby Costa Rica and Panama are any example.

Jeff is one of the partners in Club Vistalagos, a community overlooking shiny Lake Apoyo between Managua and Granada. A pristine warm-water crater lake, Apoyo is rimmed by beautiful green jungle where monkeys swing, birds sing, and flowers bloom year-round. (By way of full disclosure, my husband and I own a lot at Vistalagos, and on our recent trip to Nicaragua we stopped in to check on the progress of the project.). Read on to learn more about Nicaraguan real estate deals.

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