Tag: retire to Nicaragua


A Novel Way To Own A House In Nicaragua For $0

I was approached by a gentleman who asked me to represent him in the purchase of a property in Nicaragua. OK… that is what I do. So I laid out my standard terms, US$100 per diem plus expenses, one week paid in advance.

No problem!

Once retained, I asked what I’m to be tasked with. What follows is the most novel approach to getting a house in Nicaragua for free I’ve heard yet. I say ‘yet’, because this is not the first time a client has earned a house for free. The usual approach is for a client to buy land, subdivide, and then sell off enough lots to pay for the initial land purchase and construction of the client’s own home. Although this seems like a simple approach, and is pretty much a sure thing, it can take years to reach one’s goal. This client said he’d already sold seven of the eight houses. He’d live in the remaining home himself and it would be his for FREE.

Apparently my new client thinks outside the box. Read on to appreciate just how far out of the box he is…

Initially, I was asked to find land. It had to be large enough to accommodate four 1000 s/m lots. Done.

The next undertaking was to have the parcel subdivided. That’s in the works too.

At the same time, the preferred house plan is to be reworked by a Nicaragua architect to meet the code here and incorporate local construction materials and techniques. That too is already in the works.

The initial house plan is for very attractive duplexes, each side having three bedrooms, two bathrooms, large kitchen, dining area and living rooms, with space for a garage, atrium or dipping pool.

The Novelty Of This Approach

The architect is to provide my client with a list of building materials, mostly American standard plumbing fixtures, lighting fixtures, gas appliances, cabinetry, and so on that isn’t available locally, or is available but cost prohibitive. All of the items on the list, up to US$45,000 per house, will be imported duty free using an incentive available to pension retirees applying for residency status. All of the new home owners are over 45 years old obviously, and qualify to take advantage of a one time importation of building materials duty free.

It seems my client had done his research. As the ‘general contractor’ he expects to be able to build his home and own his parcel of land for free. He will collect US$70,000 per dwelling, and expects the entire development to cost less than US$490,000. My preliminary number crunching, which includes the cost of materials purchased abroad, shipping of the eight containers, construction and land acquisition appear to make this dream a reality.

An added plus is that each new resident is able to import a vehicle with a value up to US$25,000, provided it is less than ten years old, and US$20,000 worth of personal household items. The car can be sold after 5 years without any penalties.

Another of my duties will be to monitor the importation of both the building materials and household furnishings, then arrange inland transportation to the building site. I understand the new homeowners are going to be driving their vehicles to their new homes, which will be completed and fully furnished when they pull into their driveways for the first time.

This is actually going to be a fun project. I’m sharing it because I would like to work with similar groups to do the same thing.

If you wish to discuss any sort of investment in Nicaragua, please contact us.

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The Word On Living & Investing In Nicaragua

Regardless of what your opinion is of global agencies, such as the United Nations, International Monetary Fund or the World Bank, you have to agree they provide checks and balances in matters of international politics, financing, trade and commerce. Of the 196 countries in the world, 193 of which are members of the United Nations, many need the services and stewardship of these international agencies. Unfortunately, few of those in need actually heed the advice and guidance provided… and usually suffer for not doing so. Nicaragua is not one of those nations. What the World Bank has to say about Nicaragua speaks volumes…

Despite global economic turbulence, Nicaragua has stood out for maintaining growth levels above the average for Latin America and the Caribbean. Disciplined macroeconomic policies, combined with a steady expansion of exports and foreign direct investment, helped Nicaragua to weather the global economic crisis of 2008-09 and rising food and oil prices. By 2011, growth had accelerated to reach a record 6.2 percent, later declining to 3.9 percent in 2015, the lowest rate in the last five years. GDP growth for 2016 is expected to reach 4.4 percent, among the highest rates in Central America. Foreign direct investment and trade also shows an improved outlook.

I’m on the ground in Nicaragua. I’ve been here permanently since July 26, 2014 and visited a great many times before I made the final move. I have seen with my own eyes benefits from foreign investment and the overall improvement of the standard of living it provides the Nicaraguan people. And I have been amazed at the pace of change. There is room for more improvement of course, more investment that is likely to generate impressive returns. But the steady, upward march is comforting, as well as awe inspiring considering Nicaragua is still one of the poorest nations in the Americas.

Nicaragua on the globeIn a world plagued by political and civil unrest, financial chaos, and religious persecution, it baffles me why the steady trickle of foreign investment in Nicaragua has not already turned into a flood. Maybe it is because I’m here and can see with my own eyes that the objections people come up with for not investing in Nicaragua are misguided, based on misinformation, or, more likely, fear based.

By fear based, I’m not talking about fear for personal safety. Nicaragua is the safest country in Central America, and one of the safest in all of the Americas… far safer than the USA. What I refer to is a fear of stepping outside the box.

So many people I talk to who want to retire somewhere affordable, somewhere where they can live well on their pension income, never make the move.

It’s much the same with investors and entrepreneurs. I present opportunities that promise excellent returns. What I say fails to reach deep enough to alleviate their fears. Investors and entrepreneurs are no different than retiring pensioners. They too fear the unknown. More comfortable in a market that has a 9 to 1 failure rate in virtually ever economic sector, they’d sooner slug it out for single digit returns where they feel comfortable than pursue greater returns in another market.

Retiring To Nicaragua

The real reason people dream of retirement in a tropical paradise never act is because they’re afraid of the unknown. Unhappiness with one’s life often isn’t enough to motivate someone to step through a door they’ve never been through before. The known may be a life that sucks the very soul from a person, but it’s familiar. The unfamiliar is scary.

All I can do for folks wanting to have a comfortable retirement on the same fixed income they’d struggle with back home is present the facts, make suggestions, give advice, and provide assistance if needed. I can not force someone to move outside their comfort zone, no matter how much I think they’ll benefit from doing so.

Investing In Nicaragua

Passive investments in Nicaragua generate a higher ROI then anywhere else I’ve been in the world, and I’ve lived and worked in a great many countries. The returns possible in Nicaragua are good and the investments safe, but they’re investments in an unfamiliar market. There are slightly different laws, rules, and regulations. The language is different and the culture unfamiliar. It’s new, it’s scary. I understand.

As with retirees looking for somewhere to relocate to, I can only advise investors and entrepreneurs. Lead them by the hand if that’s what they wish. But I can not force opportunities on anyone that is tied down and unwilling to have the ropes cut.


Nicaragua is a safe place to live and invest in. I know this because I am here. I can source opportunities, advise on how to capitalize on those opportunities, and even help with hands on support. But as saying goes, “You can lead a horse to water, but you can’t make it drink.”

If you’re someone looking to retire or invest in Nicaragua, contact me. Let’s discuss your specific wants, needs and desires and see if you’ll not agree with me that Nicaragua is where you should be.

Ref: http://www.worldbank.org/en/country/nicaragua/overview