Nicaragua is a beautiful country located in Central America, known for its stunning beaches, rich culture, amazing surf and friendly locals. If you’re considering buying beachfront surf property in Nicaragua, there are a few things you should know before making the investment.
First and Foremost
It’s important to research the location carefully. Not all beachfront properties in Nicaragua are created equal
Property in Nicaragua within 200 meters of the ocean is governed by law 690. This law states that all land up to the high tide line, and 50 meters beyond, is property of the country. Though here are some exceptions and variations for properties which have been grandfathered in. From 50 to 200 meters beyond the high tide line properties are still governed by some conditions of law 690, but they may be privately titled and owned, or held in what is called a “concession”.
What is the difference between titled and concession property?
The two types of oceanfront properties in Nicaragua, titled properties and concessions, are quite different.
Titled properties are just what you would imagine, fully owned by either individuals or corporations. These properties can be sold, willed to heirs, and subdivided – provided that community rules and municipal regulations allow. Foreigners can purchase titled properties using their passports and have the same rights as locals in property ownership, though there are large benefits to purchasing using a corporations which I’ll go into below.
Concessions are, essentially, permanent leases from the municipality or the regional council. In order for a foreign citizen to own a concession he or she would open a corporation using a local attorney. Then the corporation, an artificial person with the same rights and responsibilities as a Nicaraguan citizen, could purchase and hold that concession.
Work with the Right Real Estate Team
It’s also important to work with a reputable real estate agent or lawyer to ensure that the property is legitimate and that all necessary paperwork is in order. Buying property in a foreign country can be complex, and it’s important to have someone on your side who is familiar with the laws and regulations of the country.
When it comes to price, beachfront property in Nicaragua is generally more affordable than in many other countries. However, prices can vary greatly depending on the location, size, and condition of the property. It’s a good idea to set a budget and stick to it, as well as to be prepared for unexpected costs such as closing fees and property taxes.
Finally, it’s important to consider the potential for rental income. Beachfront properties are often in high demand from tourists, which can make them a good investment if you’re looking to generate additional income from your property.
In conclusion, buying beachfront property in Nicaragua can be a great investment for those who are looking for an affordable and beautiful place to call home. With proper research and due diligence, it’s possible to find the perfect property in this amazing country.