How to Buy Goods Abroad Without Confusion

Editor’s Note: This story appeared on Live and Invest Overseas.

You want to think twice when considering buying a property in another country.

Of course, you want your wits about you when it comes time to sign on the dotted line.

The problem is that in the land of bananas and fiestas, the rum flows and so do the promises.

The key to success in navigating overseas property investment, especially in developing markets, is to avoid alcohol and listen to positive feedback.

Here’s how this will go…

You will arrive in the land where you dream to launch your new life.

In the terminal at the airport, the lobby of your hotel, and the restaurant down the street where you go for dinner, you will be visited by friendly people who have houses and beachfront properties for sale.

Every taxi driver, bar owner, and salesman will have a piece of real estate or a relative in the real estate business.

You won’t have to look for an agent to help you find your new home. They will find you.

My Nicaragua experience

Years ago, in Granada, Nicaragua, I went early to a lunch meeting and sat at a bar to wait for a friend. Two minutes later, another gringo sat next to me. “Hello,” he offered. “Did you just come into town?”

“Yes,” I said.

“Well, if you would like to visit the city, I would be happy to accept it. Are you having lunch? I would like to visit you. I could tell you about Granada. This is a beautiful city with a long and colorful history. I have lived here for five years. I know this place. Are you thinking of moving here?”

“No.”

“It’s a great place to live. And real estate is a bargain. This is the time to buy. Do you like old buildings? The Spanish-colonial haciendas in this city are precious. I know of two that are available right now at very good prices. Can I take you to see them after lunch if you like?”

“I’m waiting for my friend. I don’t think I have time for house tours today.”

“Well, maybe tomorrow, as I have said that I have been in this village for five years, I know you better than anyone else you will find.

“Actually, I’m the local representative for Live And Invest Overseas. I’ve been working with that organization’s publisher for years, Kathleen Peddicord. Maybe you’ve heard of her? Kathleen has been writing about investing and retirement in Nicaragua for a long time. She’s considered an expert.”

I had never seen this man before. It didn’t seem worth the effort to make a point … so I let the boy finish his speech. Finally, my friend came and I broke up.

I never met that Granada real estate professional again, but the memory of my exchange with him stayed with me because it’s a good example of the ridiculous lengths these guys will go to get a buyer.

A real challenge

As I said, in these markets, the challenge is not finding a real estate agent to take you shopping. The challenge is finding one you feel comfortable doing business with.

How can you do that? Talk to as many agents as you can and don’t take anything they tell you personally.

Focus on what you see with your own eyes rather than the picture your local guide will try to paint.

He will take you out to the beach … to play on the sand. “Come in, have lunch, enjoy a drink,” he will say. “The fish is fresh. My boys caught it on the beach this morning. And the rum is local.”

Like falling in love

After you’ve eaten your fill, the guy will take you out in his 4X4 or maybe on horseback to check it out. As the sun slides toward the horizon and the ocean glistens in the fading light of day, the sky above the fire is red and orange, your new friend will guide you.

“Over there,” he will say, “is where the club house will be built. Down there will be the harbor, over there the ship. On the hills around us will be houses …

“Just look at that,” he will order. “Look at that sunset. This could be the view from your front porch. You could have a front row seat to this show every evening.”

“Come on,” he would go on. “Let’s go back. It’s time for the Sundown Rum Punch.”

You have been beaten. Who wouldn’t be? There is nothing wrong with the appreciation that is placed on the table in front of you.

Enjoy the feeling, but…

The coast of Nicaragua, Panama, Belize, Dominican Republic – these are amazingly beautiful places.

Seeing them for the first time can make you weak in the knees. The feeling can be something like falling in love.

Don’t argue. Focus and enjoy the experience.

But don’t lose your balance so much that you marry the first sea that attracts you to your heart. Ask yourself, is this the beach you want to grow old on?

Enjoy the engineer’s hospitality, his fresh fish, his rum cocktails. Let him do his voice. Then you leave. Find out what the next beach boy has to offer. And the beach after that.

Then go home, relax, and consider your options from a distance. I enjoy a rum cocktail at sunset as much as the next girl, but I’ve learned to wait until the results wear off before talking business.