This is the third rewrite of the newsletter for August and I seem to suffer from the opposite of writer’s block…and am having trouble prioritizing what I feel is important to the readers of the newsletter…so here goes (again! )…

We are seeing more and more print and publicity about baby boomers and their “horrible predicaments”, namely the seeming dilemma of rising health care costs and the inability to afford to “retire” and live in even a modest lifestyle.    We seem to read more and more about seniors that have to actually choose between food and medicine because of inadequate retirement funds.   Whether we like it or not…it is a simple fact that retirement in the States or in Canada ( and many other areas  as well ) has become almost impossible for many .  My own parents are in their mid 80’s, own their own home and have excellent health benefits from a former employer…they have a retirement income of over $4000 per month … and they are products of the “great depression”, so they are frugal…they are having trouble living comfortably.

The point?   The point is simple…life in Costa Rica is affordable even for those on a modest pension or even Social Security.   To date there has been very little effort to appeal to this segment of the market…to let them know that Costa Rica represents a viable retirement alternative.  Why?   Simply because there is much more money to be had selling to upper bracket vacation home buyers than someone with only
$50-100,000 to spend.   Don’t believe it?   Surf a little and the bulk of the offerings are upper bracket.

My point?  There will be a continuing influx of buyers and retirees moving to Costa Rica in the next decade.
 Property  values will continue to escalate  and competition will intensify for the retirees’ available funds.   There will be more assisted living types of facilities available…that portion of the market is barely in its infancy here.   Because of the slowdown in the housing markets in Canada and in the States only certain portions of the real estate market in Costa Rica will be affected….primarily the areas where investors have used “free money” which was obtained when credit was available to almost everyone…the more “popular and trendy” areas such as Guanacaste and Jaco and southern areas…There have been large amounts of investors who have funded the growth of these areas rather than actual buyers themselves…and inventories of properties and condos are at all time highs.  
Will prices come down?   Who knows…but odds are pretty heavy that prices  will not continue to escalate at the same rates.

Areas such as Grecia, San Ramon, and surrounding areas that are less settled by “gringos” will continue to see more and more buyers.   The only time in the last
15 years that prices showed a decline (overall ) was in the early to mid 90s when North America had a recession.   And even then the downturn was minor.
Sellers of properties here in the NW Central Valley could care less about problems that “gringos” have…and most don’t even know.   They are farmers or working class who have no experience with world events and only know land prices as they relate directly.  

The last nail…financing is finally becoming more available in Costa Rica…with terms very similar to the States and Canada.   This event will do nothing except prod the real estate market even more.  

So…if you have been waiting…think twice…and don’t delay too long as prices WILL continue to rise.   And if your margin of comfort vis a vis retirement is slim…start your due diligence and questions now. 
There ARE still areas where real estate is reasonably priced BUT is also not always suitable for seniors.  Start your searches now.    Ask questions.   Costa Rica may be a viable option for your retirement. 

Investors:  the real estate market in the States and Canada has not yet bottomed and it will likely be a long time before past glory days return.   Costa Rica, because of simple supply and demand, will likely be a perfect area for a portion of your investment dollars.
 But be sure, as always, do your due diligence.  Do more research and homework than if you were in the States.   The real estate market here is definitely different.   Opportunities abound here…but so do pitfalls. 

If you are an investor and interested in higher than normal returns call us.  We have three specific investment opportunities which are available …each takes advantage of building for resale in a specific niche market.   The upper bracket area has been
neglected here and there is a decided market for it…upper bracket homes are being sold nearly as fast as they are build.   ( remember, upper bracket here is $200,000 plus and that equates to a half a million dollar home in the States or Canada ).   Returns can
be substantial.   Please call quickly as we have had inquiries in the past and have only so much time available.

OK, onto our latest findings:

1.  This one is a little different…we are offering fractional ownership in a combination of a superb river property located about 45 minutes from Grecia AND a great beach property needing a little work.  ( we have budgeted costs in for renovation).   The beach property is in our “fixer upper” area which is about 15 minutes north of Jaco beach and has a great view of the ocean and is less than 200 meters away.    Each fractional ownership is for 20% of the corporation which will own the properties…in other words, this is not a timeshare, properties are OWNED.   Each percentage will be available for $30,000.  Advantages?…two great homes which will be available for your visits on a rotating basis.  Not simply a basic timeshare arrangement, but TWO great locations and homes where you can “crash” during your visits. And … you participate in the the rising property values.    Of course, there are maintenance charges which always come with home ownership but they are very inexpensive.  We expect that this type of format will be a continuing type of offering for us in the future.   Call or write for details.
2. Fixer upper located midway between Jaco and Orotina…Fantastic location with unobstructed view to the ocean…home needs a little work but is private and lot has many trees.   2 BR, smaller home and lot is around 800 meters…only 150 meters to the ocean…and you hear the waves pounding  24/7 !  Only $28,000...please note:  if this offering looks familiar, it is.   It was offered six months before and the owner took it off the market…we had a tremendous amount of interest and inquiries poured in but then everyone was disappointed.   It is back again…so if you have an interest…please hurry.
3.  Smaller property of almost one acre…located in Grecia only 10 minutes from downtown, just off of a public road.   Access is excellent and utilities are very closeby.   Views are phenomenal…spanning almost 250 degrees…coffee and many trees.  This property is rare because it not only has one of the best views in the Central Valley but it is small enough to be affordable for almost everyone.  Flat and very buildable.  This property will go quickly.     Only $35,000.
4.  Smaller home near a river…just off of a public road…needs a little work but not much… very private… only $18,000
5.  And of course…don’t forget www.lasbrisasdelcielo.net if you are seeking the absolute best available in the Central Valley… and for ocean view, our Ventanas del pacifico is the best value around…we are almost ready to begin marketing and selling specifics.   If you want amenities , location and value…look no further.   We know that these properties are unlike any other…and don’t forget the teak that come with each property! ( details will come shortly …but for now…suffice it to say that the value of the teak will ultimately equal the price of the property! …so you in effect get an immediate legacy for your heirs …and of course, it adds immensely to the value of the property should you wish to sell at a future date ).
6.  Coffee farm…10 manzanas, almost all new plants of one year old…fantastic views…$90,000 neg.
7.  Dos Vistas…this property, which we built is becoming an albatross…three times it has been sold, and three times it has fallen through!  This property is featured on our website at http://www.cr-home-sale.com/Valley_Homes.htm   We have just planted over six hundred dollars of new flowers and plants and are looking to do a few cosmetic changes to give the home a more “Spanish” flavor.  Everyone who has seen the property has raved about it…but it has not sold.   We will be ramping up our advertising as well…so if you are seeking the best value in an existing home which has all the amenities you want, please check out Dos Vistas.  It is one of a kind.   $160,000

Many of you know that Rhonda and I are from Minnesota and most of you have heard about the tragic bridge collapse over the Mississippi River resulting in double digit deaths.  We , of course, knew about the collapse five minutes after it happened but what is truly frightening is that one of our daughters ( the one that just got married…Shannon) was in the area helping a friend move and ten minutes before the bridge collapsed was waiting in line to use the bridge …. And because of long lines she changed her mind. 
Kind of puts things in perspective.  

We have been experiencing problems with emails again…if you have emailed us and are waiting for a response AND do not get one…please keep trying OR call
our toll free number.   We answer all emails that we receive and please know that your communications with us are important…they are our lifelines and most of the time the only method of communications.    KEEP TRYING.    My other, personal email is
mwqp1165@yahoo.com      

Hasta luego,
Rhonda and Randy;  Char and Rodrigo, Dolan and Logan; Hanz and Denise;  Liffer and Yolanda and their two little ones; and of course, the Woodpecker and his evergrowing family.

p.s. we just began running an ad in www.amcostarica.com  which gives an overview of how we all feel about life here:
http://www.amcostarica.com/morenews2.htm    Banner ad is at the top of the page.