Diversifying from Stocks in Colombian Real Estate

[Felipe R.]

Hello,

I am new to the forum but have done well with stock investing and I am now getting ready to diversify into international real estate. I've deemed Colombia where I want to invest as it has great cash on cash returns and even offers a path to citizenship with about 170k invested. I plan to live in Latin America indefinitely starting in 2 months (April) and that may be largely in Colombia. I care solely for passive rental income with this part of my portfolio but I am happy to learn to remodel with a hired crew and architect if it signifcantly increases passive income returns.

How to Get Started:

I need to be on the ground walking looking for for sale signs as I take a trip through Bogota, Cali, Medellin, and Santa Marta. I look at how well kept the landscape, garage space, elevator, and walkways on the path to the home are; I look for quality neighborhoods. Once I see a good sign, I contact the property owner to see the property and calculate the projected rent, remodel cost, hoa fees, taxes, and cost/sqm. Then, chill there for an hour or 2 to see the vibe of the area around the sign.

I make analyses of at least 10 properties for the best returns in the best areas. Properties sell slow here so travel all 4 cities with a good spreadsheet and pictures of the best spots. Once I make a choice, I get a lawyer to make sure the property has a clear title and that it is eligible for the residence visa. I buy in the city center, in a pleasant area for >1% r/v and <1000 dollars per square meter. I then apply for my resident visa as I update the kitchen, baths, floors, and paint with an architect and construction team. Finally, I hire a solid property manager to handle the place and pay them, maintaince, HOA fees, and property taxes while keeping the surplus.

As I travel, I will see if any of the cities feel like home. My gut tells me I'll stay in Medellin or Santa Marta long term and I'll buy a personal home there after a few months if it truly calls my heart. I can even rent out my home for a few months when I travel elsewhere.

I know there's lots of ways for me to get screwed so I must find and build a great team. My biggest challenge is how do I find a quality architect/ renovation team, lawyer, and real estate agent in this process?

It feels exciting because it's so new and such a big decision.I know to take it one step at a time and get there but I need a clear plan to work on once I'm there.

Thank you for your help. I appreciate all the wisdom and if anybody has done anything similar to what I'm seeking, I'd love your input.