Belize Property Investing

[Steven Belter]

I'm currently an investor in the Wisconsin area, but am looking at investing in Belize. I am interested in Belize due to research I have done and the current market expanding. I'm wondering if anyone on Bigger Pockets has experience in Ambergris Caye or Placencia. More specifically I am curious on differences between the two locations as well as what type of properties are recommended for someone looking to have others manage it for them. I'm also wondering what type of properties people have been successful with (single family home, small condo projects, or large complexes).

[Joseph M.]

I know the Real Estate Guys talk about/promote Belize quite a bit 

Some resources here on their site 

https://realestateguysradio.com/markets/belize/

Their podcast is pretty interesting and that link has some links to podcast episodes they've done about Belize..they do promote quite a bit and a lot's of ads compared to the BP podcast....but you can always fast forward of course.. 

They spend a lot of time talking about more macro economic events and things that can affect real estate too which is interesting...or maybe boring to some!

[Nancy Bachety]

Be mindful of bias when doing research.

[Chad Nagel]

Originally posted by @Joseph M.:

I know the Real Estate Guys talk about/promote Belize quite a bit 

Some resources here on their site 

https://realestateguysradio.com/markets/belize/

Their podcast is pretty interesting and that link has some links to podcast episodes they've done about Belize..they do promote quite a bit and a lot's of ads compared to the BP podcast....but you can always fast forward of course.. 

They spend a lot of time talking about more macro economic events and things that can affect real estate too which is interesting...or maybe boring to some!

This is exactly what I was gonna post. 

[Jason Bott]

@Steven Belter I met with another WI investor who has purchased raw land in Belize that he is thinking about building a high end home as a primary home that he would also rent out.  Let me know if you want to connect with him.

[Steven Belter]

I listen tot eh Real Estate guys and they are part of the reason I am looking into Belize. I am really interested in getting some insight from someone who has been investing in the area for a few years to get a better idea of there viewpoint on the country and area they are invested in.

@Jason Bott Could you send me over the contact information from the person you know?

[Jay Grabbe]

I was going down to Belize next week to check it out through BuyBelize(Placencia region), I want to see about the real estate guys too. Where are their properties at?

Anyone that has experience feel free to drop me a line.

[Danielle Golan]

@Steven Belter Did you invest in Belize? I am considering going on the Real Estate Guys Radio trip to Belize. Thoughts?

[Steven Belter]

@Danielle Golan I did a lot of research in the area and have inquired on a few projects that different companies are promoting in the area. If you like PM me and I can give you more details.  

[Account Closed]

Originally posted by @Steven Belter:

@Danielle Golan I did a lot of research in the area and have inquired on a few projects that different companies are promoting in the area. If you like PM me and I can give you more details.  

Investing in developing countries is exciting but it's usually very hard and expensive to find financing for these projects. If you buy condos within a new program, the developer may be able to finance though. 

Investors should also be mindful of the currency risk.

Would you mind sharing the financing conditions you've found?

[Steven Belter]

Belize is relatively easy to invest in there currency is pegged to the USD and there official language is English so the legal documents do not need to be translated for you to understand them. It also would be very difficult for a court in the US to go after an investment made there (since in the US people sue other people for no good reason) Financing is an issue there. It is easier to get money in the US and invest it there. (HELOC, etc.)

[Brad Stegall]

Did anyone end up investing in Belize?  We are currently working on a project down there at Mahogany Bay.

[Jeff King]

Quote from @Brad Stegall:

Did anyone end up investing in Belize?  We are currently working on a project down there at Mahogany Bay.

 I've been looking at Mahogany Bay as well. How's that been going? Would love to connect and talk shop. 

[Mike Terry]

My wife daughter and I vacationed in Ambergris Caye Spring Break 2021.  We rented an Airbnb Condo on the beach strip.  Beware of crime.  My phone was stolen at a convenience store at the convenience store that the condo manager recommended.  I put my phone down on the counter to get money out of my wallet and the clerk picked it up.  I gathered my groceries and reached for my phone it was gone.  Clerk denied it, find my phone located my phone in the store and he still denied.  Police would do nothing.  Great forst day of vacation.  Belize is very third world, I didn't mind that, but my sife probably would not go back.  The diving and fishing were great, restraunts and bars were decent.  I know a European fellow who bought an island and Airbnb the entire place.  He was attacked by pirates, both he and his dog were shot.  They survived but sold everything and returned to Europe.  So crime is a problem, on Ambergris Caye there is really no swimming beach, much like the Florida Keys.  The water activities are specatular.  It is just not a place I would invest in.  of Course to each his own.

[Derwin Villanueva]

Quote from @Brad Stegall:

Did anyone end up investing in Belize?  We are currently working on a project down there at Mahogany Bay.

We purchased a property there on MBV and plan on starting construction the end of 2024. Plan on using a mix of HELOC and local bank financing. Yourself?

[Bill Schrimpf]

Taking a trip to San Pedro to check out Ambergris Caye and Caye Caulker in 2 weeks.  We are looking mostly at new(ish) condo projects or land to build. I'm in contact with an agent there, seems to be good, but any additional insights are appreciated!

For those that have already spent some time and $$$ there, what are your experiences and numbers looking like for things such as:

Rental/property management fees

closing costs (as percent of transaction)

vacancy rates (on and off season)

price to rent ratio

yoy appreciation

$/sqft to build (I know, this is a "it depends" number)

Utility issues (water, power, trash, septic, etc.)

Anything else that you think would be helpful!

Thanks in advance!

[Henry Clark]

We bought inland near San Ignacio.  Made several visits to San Pedro and Placencia to check in buying.   Nothing wrong just we were geared toward the inland.  

Couple check offs:

1.  Golf cart license

2.  Tariffs.  Anything you don’t buy local add 60 to 80%.
3.  Foundations-  was some discussion on foundations settling.  Seeing pilings needed for the house and water front pilings at water edge.  
4.  Security-  Either gated community or onsite caretaker needed.

5.  Black Swan event- Covid or economic downturn can you cash float for a year.  Overseas market is different than U.S. market.  
6.  Off grid-  if you go off grid truly understand seasonality of weather and the sizing of your water cistern.  Also placement of your water cistern versus your septic.  
7.  On grid-  learn the island water and sewer infrastructure capacity.  
8.  San Pedro vs Caye caulker.  Just a different vibe and business model.

9.  It will take you 2 years to build. Make sure to budget construction interest.  
10.  Why?  What is your financial objective? Monthly cash flow, appreciation, etc.

11.  It’s hard to get money out of there.  Ask other people how they handle rental  payments.  No country exchanges Belizean dollars.  Also you have to ask permission to take money out.  

12.  Crime-  you need a live on site person during construction.  Build a small 10x10 tin roof shed.  

Join the Belize Expat forum. Use the lookup and also ask questions.  

[Bill Schrimpf]

Thanks @Henry Clark - Our short term goal is to have a nice place for vacation, make a few dollars, and serve as a jumping-off point as we explore becoming part of the expat community in a few years.  Appreciate the feedback, building from a distance does appear to be a challenge!  

[Henry Clark]

Based on your post I would buy an existing unit.  It won’t be fun building unless you or someone you truly trust, not your builder is on site.  What is worse is both you and the contractor speak English, but you’re not communicating.  You have to show them.  Plus you don’t want to wait 2 years to enjoy.

I always like to make money. In Belize you make your money going in, not when you sale. Have tours with 2 different agents. They don't show each others properties generally. Have one of them ask them to show you three types. Ocean front, gated condo, and SFH in the back side like MB. See what your money is worth.

Keep doing your thing but also try the following.  Tell one of the agents to send your way:  1.  Oldest listings only, 2.  Someone that has to sell.  3.  Make low ball offers cash.  Subject to inspection.  If they ask $500,000, offer $300,000.  Keep doing this.  It’s a buyers market there.  

Not perfect for you then change it later.  Make 3 offers at once.  

[Henry Clark]

Google Unda Seas Adventures.  Nahuel Ayala.  If you’re going to snorkel ask him for the all day snorkel extravaganza.  This will take you to Caye Caulker.  Ask him to walk you thru Caye Caulker and tell you about it.

On another day rent a golf cart pay him for the day. Drive all over the island. Ask him questions.  He grew up there.  His angle is you paying him.  No real estate. Tell him Henry said hello.