Cut price Caribbean
Synonymous with cerulean seas lapping pristine white sandy shores, clear blue skies and tropical temperatures and with luxurious real estate, glamour, chic and affluence on tap, the Caribbean is quite possibly unique in that it is beloved by all and is a destination location we all dream about. The Caribbean is also where the entrepreneurial jet set and Hollywood heart throbs holiday, it's where millionaires own homes, multimillionaires own islands and where the rest of us can only fantasise about holidaying, let alone owning our own second home - right? Wrong! Despite difficult financial times the Caribbean remains one of the top vacation destinations in the world especially for those seeking respite from the drab winter weather of northern Europe. For many Caribbean islands the winter season, running from October through to March, is the most popular time of year and the West Indies in particular is expecting a boom in visitors this season due to the English Cricket Team's Winter Tour starting in Barbados in January 2009.
For those considering making their escape to the Caribbean sun a more regular affair by purchasing a second property, the combination of proactive promotion of the islands as global tourism destinations combined with a real estate market primarily priced in dollars makes now an attractive time to buy. If you are prepared to look there are still untouched and lesser-known pockets of this stunning paradise such as Isla Margarita and the Dominican Republic where the property is affordable and the way of life idyllic.
Introducing Isla Margarita
The stunning Caribbean island resort of Isla Margarita off the coast of Venezuela has been discovered! Long since hidden from the wider world, it is possible to fly to the island directly from the UK, Europe and the US, or to fly to Caracas which is just a 35 minute transfer time from the island itself. Situated in the Caribbean yet outside the region's hurricane zone, Isla Margarita is a paradise on earth. Unsurprisingly, now that Isla Margarita has been more widely discovered, it is enjoying a booming period of tourism interest and this has kick started an emerging and highly successful property market.
The island is encircled with beautiful beaches, and the interior of the island is dramatically mountainous in places and typically rich in dense flora and exotic fauna. The entire island is blessed with an average of 344 sun-kissed days every year, making it a truly wonderful holiday or retirement hotspot for all nationalities. Newly added amenities, facilities and infrastructure mean that there are golf courses, hiking and horse riding trails, spas, restaurants, bars and fantastic tax-free shopping experiences to be had on Isla Margarita as well. These benefits of visiting this stunning and accessible Caribbean paradise, coupled with ever improving accessibility and concerted public and private efforts at raising international awareness of the attraction of Isla Margarita, mean that visitor numbers have risen from 1.5 million per year back in 2005 to 2.5 million last year. And the increase in tourism numbers is having a very positive effect on what is already a strong economy. GDP growth rates in Isla Margarita averaged 11.3% per annum between 2004 and 2007 for example, and now that the location's property market is really beginning to emerge strongly, there is nothing to suggest that these strong levels of growth won't continue.
According to Mark Andrew, the Managing Director of Emerging Earth and an expert on the Isla Margarita real estate market, "It's absolutely in the island's best interests to attract increasing numbers of visitors. This raises awareness of the island internationally and encourages greater investment. Because the prices for everything from property to food, from medical care to furniture are so much more affordable, this, together with Isla Margarita's tax-free status, is leading more and more Britons in particular to choose the island as a second property destination. As the British economic climate becomes as miserable as its actual climate, so more Britons are looking for a haven where the weather is as glorious as the lifestyle - and for such individuals, the now easily accessible island of Isla Margarita makes perfect sense."
One development that is proving hugely popular with investors seeking affordable Caribbean property is the Caracola Beach and Spa Resort. The resort is a fabulous development with exceptional investor options. Encircling a long golden-sanded beach on the edge of the island's main town of Porlamar, the resort comprises of apartments and duplexes with stunning views of the beautiful Caribbean Sea. The onsite facilities, like the real estate for sale, are first class - they include restaurants, bars, swimming pools, a spa, gymnasium, beauty salon, luxury retail outlets and beautifully landscaped gardens. All of the properties for sale are 1 or 2 bedroom units, they come fully furnished with a guaranteed rental return of 7% per annum net for 10 years, and tax efficient ownership structures are available. Prices start from just €79,000/ £63,000 for a one-bedroom apartment.
Destination Dominican Republic
The Dominican Republic is quite possibly the perfect embodiment of a Caribbean paradise nation - with its palm-fringed beaches which are lapped by warm seas and caressed by almost endless sunny days, this holiday hotspot is booming on the back of intelligent government policy designed to maintain macroeconomic balance and enable and encourage investment. The government and private sector are united in nurturing the tourism, especially eco tourism, and real estate industries in the Dominican Republic as these are fundamental drivers of the overall economy. With consistent effort and policy planning in place to promote the delights and undeniable appeal of the nation, combined with significant investment into everything from road infrastructure to the enhancement of amenities and facilities for lifestyle tourism, the overall attraction of the Dominican Republic is improving annually.
This level of focused investment has already led to a significant rise in tourism numbers and it is also supporting far greater investment interest in the Dominican Republic's affordable yet high-end property market. According to the nation's Tourism Minister there has been an 8% increase in tourism arrivals in 2008 already, this is backed up by statistics from the Central Bank released earlier this year suggesting that in the first four months of 2008 alone, 1.6 million visitors arrived to soak up the Dom Rep's stunning sunshine, an increase of almost 6% year on year from 2007.
To further enhance the appeal of the nation, Tourism Minister Felix Jimenez has announced details of the Dominican Republic's 2008 - 2012 Tourism Plan. The plan is an outline for investment and it's designed to enable an increase in international arrivals of around 170,000 visitors per year, generating 200 million dollars in annual revenue. Supporting this plan is significant dual investment into increasing hotel bed capacity and also increasing the amount of residential resort style real estate in the Dominican Republic. The World Travel and Tourism Council predicts that this period of intensive advancement in tourism will result in at least a 3.7% annual increase in real GDP growth for the nation's travel and tourism economy over the next decade.
According to Steve Worboys, MD of Experience International, "for those seeking the ultimate property investment opportunity now could be the perfect time to invest into potential that the Dominican Republic represents. Not only is the nation affordable and committed to maintaining its status as one of the most reasonably priced Caribbean destinations, but millions of dollars of investment are going into everything from golf courses to marinas. Already 'the Caribbean's Number One Destination' according to the WTO, the Dominican Republic could soon be the number one destination for luxurious yet affordable resort style real estate offering exceptional rental yields."
The increase in demand for properties for rent from the growing international tourism base is allowing developers of the best resorts in the nation to offer fantastic rental guarantees to would-be purchasers. One such development, Swaying Palms, offers investors 8% annual rental guarantees for 5 years, and currently the gated and private luxurious community of apartments and penthouses is for sale at 30% below market value with 20% capital growth per annum predicted and overall the 'Projected Capital Growth' for the next 5 years is 220%. The properties are within a resort offering the best range of high-grade amenity - from tennis clubs to beach clubs and with owners benefitting from membership facilities to 5 of the areas top golf courses including the new Jack Nicklaus course at Cap Cana for example. Properties are available for sale from just $137,672 / £70,000.
For details about Swaying Palms, visit experience-international.com
For details about the Caracola Beach and Spa Resort, visit emergingearth.com
