It can be hard to make sense of the property market

If you type "Nicaragua real estate" into a search engine, in a matter of seconds you will be able to click through to hundreds of property listings. "On the face of it, this may look like the perfect search result," says Sara Murphy, President of Coldwell Banker Nicaragua, "But the problem is that without a deeper understanding of the market, without context, it can be hard to make sense of it all and decide which property is right for you."

Coldwell Banker Nicaragua is launching a series of real estate tours in 2007 designed to help time-pressed individuals make sense of the property market in Nicaragua. Over an intensive 5 days tour participants learn more about the local real estate market and see more properties for sale than would be possible if they arranged their own trip.

You need the "hard" facts covering economic and political issues, tourism trends, infrastructure works, airline route plans as well as more qualitative "softer" factors like the feel of a location and its reputation, in order to make a good decision." 

This is why the Coldwell Banker Nicaragua tours are specifically designed to offer innovative "insider access" in the form of introductions to prominent lawyers, investment analysts, developers, hotel owners and tourism professionals; each with a unique perspective on the real estate market. 

These are the additional layers of information that enable international real estate investors to build a complete picture of what is happening and make an intelligent decision whether Nicaragua is right for them. "Once investors have this information, they can take action."

As Nicaragua watchers will know, Daniel Ortega became President Elect on 5th November 2006 after winning 38% of the national vote on the back of a campaign focused on the twin themes of "Peace and Reconciliation." Timing is everything in real estate and the first tour starts 10 days after Daniel formally takes the office of President. Tours will also run in February and March 2007. 

Some international commentators are voicing caution and this is to be expected – they are not here and do not see what is happening at a local level. We are seeing the possibilities for investors with an insider track on what is happening - opinion formers, investors, developers and analysts here on the ground are seeing real buying opportunities based on the following hard facts: 

• Having Sandinistas in Government is not something new - the Sandinistas have been very involved in the governance of the country at all levels over the last 16 years. In fact two of the biggest growth areas for tourism and foreign investment, the towns of Granada and San del Sur (along with the capital Managua), have had Sandinista local governments for a number of years now, presiding over rapidly growing and highly successful foreign tourism and investment markets. 

• The National Assembly will be more balanced than during the previous administration – Four major parties are represented in the Assembly and although Ortega has won the Presidential seat, he has not secured a controlling number of seats – the Liberal and 
Conservative parties (ALN and PLC) have a larger representation. 

• Ortega has taken very real steps to underline his support for tourism and foreign investment - The very next day after being voted as President Elect Ortega held a meeting with the foreign investment community where he stressed his commitment to free enterprise, CAFTA, private property rights and tourism.
 

• Since being re-elected Ortega has visited the largest CAFTA-era investment of all Central America – a $100 million free-trade denim plant being built just north of Managua by North Carolina group Cone Denim. 

• Ortega has indicated that he would like to reappoint members of outgoing President Bolaños’ pro-market economic team - In fact, as in the US, Ortega will need the support of Congress to do so following constitutional reforms enacted in 2005 where key Presidential powers were transferred to the Legislature. 

• The IMF, the Inter-American Development Bank (IADB), and the World Bank have pledged to help the future government with loans and aid - On November 16, Ortega declared his “absolute agreement” with conditions being imposed by the International Monetary Fund for a new loan. 

These are the realties on the ground. Real positive benefits are being felt as a result of tourism and foreign investment; and free enterprise is the only way for the country to progress. It is the key to helping reduce poverty in the country – the key policy platform of Ortega’s campaign. Nicaragua is well and truly open for business. 

In fact, International Living go as far as to say that “Already There’s a New Speculator’s Buzz in the Air”. We certainly think that if we look toward the long term, a Sandinista victory will sweep away once and for all the old concerns rooted in memories of the revolution that have hung over the country for over 15 years. 

It’s a great time to be in the country and we hope you can join us and see for yourself.