The recent attention Panama has been receiving as a great place for retirees points out why a Panama retirement is a valuable choice. For many baby boomers considering a move offshore, this tropical destination provides many options that other Latin American countries don’t offer.
With its close ties to the U.S., continued infrastructure improvements, and a vibrant historical and cultural atmosphere, Panama should be on everyone’s “short list” for retirement meccas. AARP has named Boquete, Panama as one of the top places to retire abroad. The growth in the real estate market in Boquete highlights the Panamanian potential as a long-term retirement or investment option.
Judy Chartrand
Why Is a Panama Retirement Such a Valuable Choice? The Reasons Are Below:
In the last several years, Panama has made a concerted effort to attract expats, especially retirees, to become part of Panamanian life. The results of this effort has definitely increased the extrinsic and intrinsic values of this Central American country as a retirement choice. Below are some of those highlights:
Panama Is the Complete Retirement Package
- Climate: Panama has a range of climate choices that can meet any retiree’s requirements. From the cool mountain temperatures of areas like Boquete and Santa Fe, to the tropical beachfronts of Panama City, to the island breezes of the Las Perlas and San Blas Island groups, finding that perfect blend of weather and temperature is far easier than in many other tropical locations.
- Culture: It is very easy to become immersed in Panamanian culture. The rustic towns, like David and Chitre, offer a welcome change from the larger urban setting of Panama City. The Azuero Peninsula, with towns like Pedasi and Las Tablas are widely recognized as Panama’s cultural and historical heartland that retirees are beginning to discover for themselves.
- Getting There Is Easy: Panama is easily accessible from the U.S. and Europe. With direct daily flights from fifteen U.S. cities, on international carriers such as United, Delta, American, and Copa, being able to fly to your tropical getaway is both affordable and easy to arrange. Domestically, Air Panama is expanding its service to new locations, such as Pedasi.
- Becoming a Resident Is Easier Than Ever: The Specific Countries Program that has been in place since 2012 has made it possible for holders of U.S., Canadian, and European passports to become residents within six to eight months. The process itself is relatively uncomplicated. Learning about the residency process and the straightforward requirements is just another part of understanding why Panama is a great choice.
- The Currency Is Familiar: Although Panama’s official currency is the Balboa, the country has been using the U.S. dollar as legal tender for all transactions for quite some time. Not having to negotiate currency exchanges or understanding how to convert the price of something into U.S. values not only is more convenient but also makes price comparisons easier as well.
- It Pays to Be a Retiree in Panama: Once you have qualified for the pensionado (retirement) visa, there are a lot of money-saving discounts that you can qualify for. Here is a partial list that clearly demonstrates how affordable retiring in Panama can be.
Magda Wojtyra
| Discounts |
| 50% discount on entertainment anywhere in Panama (movies, theatres, concerts)30% discount on bus, boat and train fares25% discount on airline tickets50% discount on hotels from Monday to Thursday25% discount on hotels from Friday to Sunday25% discount in sit-down restaurants
15% discount in fast food restaurants 15% discount on hospital bills (if no insurance applies) 10% discount on prescription medications 20% discount on medical consultations 15% discount on dental and eye exams 20% discount on professional and technical services 50% discount on closing costs for home loans |
Retirees are also entitled to a one-time tax exemption, up to $10,000, to import household goods. Additionally, there is a tax emption every two years for the purchase or importation of a personal vehicle.
Nelson de Witt
Panama Is a Great Place for Retirees to Invest and Prosper
Panama stands out as one of the very few Latin American locations where retirees can anticipate a strong return on their initial investment. Between a growing real estate market, favorable pricing, and active government support to make Panama an attractive place for expat dollars, the long-term potential for the growth of your retirement nest egg is strong.
- Increasing Housing Prices – Like most of the world, Panama’s real estate market suffered during the financial downturn of 2008. In the last few years the market has rebounded, making investing in property a solid proposition for financial growth and a good return on your initial purchase price.
While there are some areas where larger foreign developers have purchased large tracts of property based on the speculation of what they might be worth when fully developed, purchasing your retirement retreat can still be done for a reasonable price. The continued rise in property values will, in turn, add to the return you can expect when you decide to sell.
- Reinventing Yourself – Unlike its neighbors, Panama actively supports skilled professionals and investors who want to work and contribute to the Panamanian economical revival. Under the Specific Countries Program (mentioned above), obtaining a work permit is straightforward. The program is somewhat controversial, however, and checking with a skilled immigration attorney is an important step in the process.
- Favorable Real Estate Tax Structure – Property taxes in Panama are far less than those you would expect in the US. The tax basis is the value of the land and declared value of any improvements. The maximum tax rate is only 2.10%. Importantly, the government offers a generous property tax exemption for residential properties.
For properties whose value is $100,000 or less, taxes are exempt for 15 years; between $100,000 and $250,000, ten years and, for values above $250,000, five years. For most retirees, the prospect of not having to pay any property taxes for an extended period, translates into a tangible uptick on the money they will have to spend elsewhere.
Panama’s Value Combines the Tangible and Intangible Elements for Retirees
Taking the time to research the Panamanian potential should be a part of your retirement planning. As you look into what the country offers, visit and explore the various regions, and experience Panamanian life, you will truly understand the value that a Panama retirement can hold for you.
A recent article in The Guardian noted: “Global debt has grown by $57 trillion to reach $199 trillion in the seven years following the financial crisis – a 40.1% rise, according to a new report.”
What this translates into is that global debt is now 286% of the world’s Gross Domestic Product, or GDP. GDP is the monetary value of a country’s (or in this case the world’s) finished goods and services that have been produced in a given time.
While these figures reflect the economic situation of governments, individuals too can be expected to feel the crushing impact of what is, obviously, an unsustainable debt load.
Under these circumstances, becoming an expat and owning property abroad is more than just a sound investment hedge against this economic shadow; it is a way of rediscovering what truly matters and having the opportunity to pursue those ideals.
epSos .de
Why Global Debt Should Matter to You
Global debt has many far-reaching implications that transcend the international geo-political scene. Though usually referred to by the media (both mainstream and alternative) in terms of governmental policies, this massive borrowing bubble could profoundly impact individuals’ savings, retirement, and investment portfolios in ways that seem almost unimaginable. Below are several of the major reasons that global debt should matter to you.
Haircuts Are Coming into Style
Much reporting has been done on the recent debt crisis in Cyprus and the resulting “haircuts” that savers and investors endured. However, not many people truly understand what a “haircut” means.
In simple financial terms, a “haircut” means taking a loss on an investment i.e. to receive or accept less than the face value of what is owed. An example of this concept would be if a government borrowed money from institutions and was not able to pay it back. Instead, the government offers to pay only $0.25 on every dollar owed. A bond, with a face value of $1000.00 (the purchase price), would now only be worth $250.00. Investors who “loaned” money (in the form of purchasing government bonds), would have to take a “haircut” of $750.00.
The recent situation in Cyprus is a prime example of how “haircuts” can dramatically impact individuals. There, the government ordered that bank accounts, in excess of 100,000 Euros, would have to take a haircut of 37.5%.
Put another way, if someone had a banking account with 100,000 Euros, the cash value of that account (the amount that could be withdrawn) was reduced to 52,500 with the remainder being made up of shares in the bank that could only be sold at whatever the market value would be. In practical terms, 37.5% of those accounts is now gone and the remainder will be subject to the whims of the marketplace.
As global debt continues to grow, other governments, including the U.S. and other European nations, may consider similar approaches to make up their monetary shortfall.
Freezing Assets and Other Chilly Prospects
Imagine walking into your bank to make a withdrawal and being told that you couldn’t because the government was freezing all accounts. That is exactly what happened in Cyprus. In order to “stabilize” the financial situation, the Cypriot government essentially prevented depositors from taking any money out of the banks.
When money is deposited in a savings account, the bank agrees to pay interest on those funds in exchange for having those sums available to the bank; in a real sense, savings accounts are a kind of “investment.” What happened in Cyprus was that the banking system ended up “owing” more to the depositors than it had. As a result, the only way to avoid total collapse was to keep all the money.
Similarly, other investment options, such as stocks, are also vulnerable to rising debt. Purchasing stock is giving money to a company with the promise that, at a later date, those stocks could be sold for a higher price than they were paid for. If a company’s debt becomes too high, dividend payments (like interest in a bank account) may be withheld or cancelled and, in a worst case scenario, the stock becomes worthless and the whole investment is lost.
Money, Currency and Wealth – Three Different Things
Though the terms “money,” “currency,” and “wealth” are often used interchangeably, their actual meanings are vastly different. When talking about global debt, these differences matter a great deal.
Money can be basically defined as a medium of exchange between buyers, sellers, producers, and consumers of material goods. Currency refers to a particular monetary system used within a country or other political unit.
Wealth is, by far, the most nebulous of these three items. It is defined as the measure of valuable items. Wealth can also be extrinsic (money in the bank, personal property, etc.) or intrinsic – the actual value of something, not just its price tag. Global debt has created only extrinsic wealth that consists of numbers on a ledger. Those numbers often cannot be supported by actual value when investors want their return paid out.
Playa Real
The Expat Advantage – Owning Property in Paradise
Aside from the opportunities to live abroad, immerse yourself in a new culture, live healthier, and rediscover yourself, there are real economic advantages to buying property in Latin America. Here are a just of few of those benefits:
Real Estate Is Both Real and Finite
There is an old saying that the reason property is so valuable is that they’re not making any more of it. As a result, land ownership carries a permanent value. Since it is a real, tangible asset, investing in it can be a real hedge against the growing debt crisis. Also, real estate has an intrinsic value; it exists, and it can be your paradise and security. Those are measures of wealth that far surpass anything on a balance sheet.
Central America Welcomes Expat Investment
Central American countries have actively created environments that promote expat investment. The rights of foreign property owners are, in many cases, identical to those held by a country’s own citizens. Favorable residency laws, discounts, and lower tax rates also make buying and living here a desirable alternative to staying in the U.S. or Europe.
There Are Bargains and Opportunities to Be Had
As the trend towards development sweeps through Central America, the affordability of property (especially parcels that are undeveloped or underdeveloped) is still quite good. For investors, this is an ideal situation where a lower initial outlay of funds can be expected to result in a good return on investment. Importantly, buying real estate in these tropical destinations carries much less risk than other options, such as stocks and bonds.
Best Jaco
Taking the First Step
Like any investment, buying and owning property in one of these tropical destinations does have challenges and some risks. Being an expat is not necessarily for everyone. Daring to reinvent oneself and rediscover the joys of learning a new culture and lifestyle may seem overwhelming.
How to discover if becoming a property owner in one of these tropical locations is right for you? Check out the kinds of residences, lots, and properties that are on the market. Above all, do some research and, if a country interests you, go there and visit – maybe more than once. You may discover that you don’t have to find paradise – paradise may find you.
With all the attention being focused on this area being a prime location for retirees and expats, many people are asking: Where is Panama? Discovering the special qualities of this country and learning about the potential there is a great way to decide if Panama is a place you should consider for your tropical escape.
Long overshadowed by its neighbors, Panama is coming into its own as a great place to invest, retire, or simply visit. With a streamlined residency program, easily obtained work permits, and use of the U.S. dollar as currency, Panama has become a prime location for investment, retirement, or reinventing oneself.
ThinkPanama
Answering the Geographic Question: Where Is Panama?
Panama is located at the end of Central America between Costa Rica and Colombia. The country is small – approximately 772 miles in length and only 37 miles wide at the most narrow part; this is roughly the size of the state of South Carolina.
This isthmus is the connecting link between North and South America and, of course home to the Panama Canal which connects the Atlantic and Pacific Oceans. Being so narrow, it is possible to visit both Atlantic and Pacific coasts in a single day.
When you visit Panama’s highest point, Volcán Baru, you are actually able to see both oceans at the same time. This is only one of three places on the planet that this is possible.
Mónica Mora
What About Getting There?
Panama is probably the most “connected” country in the region. In addition to the main international airport, Tocumen International Airport in Panama City, there are over thirty smaller regional airports throughout the country that handle domestic travel as well as charter flights. There are also three heliports in the country and plans to build an international airport on the Pacific Coast are under discussion.
Most major cities throughout Latin America and the Caribbean have regularly scheduled flights into Panama. Combined with flights from the United States, Europe, and South America, getting to Panama is easier than you might have thought.
Phossil .
Time and Distance
Looking at Panama’s location in relationship to other countries and cities is a great way to answer the question: Where is Panama? Below are some major cities, listed by continent, showing the distance from Panama and the time to fly to this tropical destination.
North America
| City or Town | Distance | Flight Time |
| New York City | 2220.69 miles | 5.5 hours |
| Miami | 1161.42 miles | 3 hours |
| Houston | 1765.98 miles | 4 hours |
| Los Angeles | 3006.67 miles | 7 hours |
| Chicago | 2328.52 miles | 5 hours |
| Atlanta | 1,727.29 miles | 4 hours |
| Mexico City | 1498.63 miles | 3.1 hours |
| Washington DC | 2075.57 miles | 5 hours |
| Toronto, Canada | 2395.88 miles | 5 hours |
South America
| City or Town | Distance | Flight Time |
| Rio de Janeiro | 3304.46 miles | 6.75 hours |
| Quito | 637.98 miles | 1.5 hours |
| Buenos Aires | 3317.48 miles | 6.75 hours |
| Caracas | 875.10 miles | 2 hours |
| Bogota | 462.2 miles | 1.1 hours |
| Lima | 1437.8 miles | 3 hours |
Central American and the Caribbean
| City or Town | Distance | Flight Time |
| Managua | 526.1 miles | 1.25 hours |
| Guatemala City | 841 miles | 2 hours |
| San Juan | 1112.6 miles | 2.5 hours |
| Havana | 1021.1 miles | 2.25 hours |
| San Jose | 318.85 miles | 1.1 hours |
Europe and Asia
| City or Town | Distance | Flight Time |
| London | 5292 miles | 11 hours |
| Paris | 5386.38 miles | 11.25 hours |
| Amsterdam | 5489.6 miles | 11.5 hours |
| Madrid | 5093.1 miles | 10.5 hours |
| Tokyo | 8418 miles | 17.5 hours |
| Rome | 5912.2 miles | 12.25hours |
| Sydney | 8806.58 miles | 22.5 hours |
And for Those Truly Wondering Where Panama Is in Relation to Important Global Points
| City or Town | Distance | Flight Time |
| The North Pole | 5603 miles | 12 hours if there were flights |
| Antarctica | 6564.22 miles | 13 hours if there were flights |
Where Is Panama in Terms of Your Future?
Knowing how far Panama is from major worldwide hubs, and how long it would take to fly there from those distant locations, is only one part of answering the question: Where is Panama? Begin by doing some research about this special country and decide where Panama is in terms of your ideas for retirement or investment.
Even better, plan a trip to Panama and see for yourself exactly where it may be located in your plans for investment, finding a place to retire, or becoming a favorite vacation spot. Panama is so much more than just a spot on the map; it may well be the dream location that you have been scouring the map to discover.
Expats and retirees have been retiring in Costa Rica for many years. The obvious benefits – great weather, beautiful beaches, and growing expat communities are well known. But some of the best things about relocating to this Central American paradise are those you might have never considered.
Finding information about Costa Rica and what it offers is easier than ever before. Discovering the potential that it holds is a journey that varies from person to person.
Oha
Hidden Gems in a Costa Rica Retirement
Some of the best aspects of retiring in Costa Rica are intangible in nature. Along with those features, Costa Rica does have many opportunities to reinvent yourself or invest in the future; truly a number of ways to make those “golden years” even more golden. Below are some of those things you might not have thought of when considering a Costa Rica retirement.
The Rhythm of Life
There is something that happens to people when they move to Costa Rica. Time takes on a different perspective and you find yourself feeling less urgency about getting things done.
This, in turn, reduces stress and allows the body and the mind to truly relax. Modern medical science has shown that lower stress has a variety of health benefits. In a real sense, the Costa Rican lifestyle can add years to your life and provide a better understanding of what truly is important and what is just “small stuff.”
Fewer Processed Foods Means Healthier Eating
Unlike the U.S., Canada, and Europe, there are far fewer processed foods to be had in Costa Rica. With the absence of golden arches on every corner (metaphorically speaking), food choices tend to be healthier with local fruits and vegetables taking the place of the products of large commercial farms.
Almost by default, you will find yourself eating less and eating healthier than you might back in the States. If you’re worried about dieting, retiring in Costa Rica can be one of the easiest ways to shed those pounds and those bodily toxins.
Paradise Is Easier to Reach Than Ever Before
One concern many expat retirees have is being able to visit their families back in the States or having family members visit them in their tropical escape. Costa Rica may just be the most accessible Central American country in terms of flights to and from the U.S., Canada, and Europe.
With two modern international airports, one in San Jose, the other in Liberia, finding affordable flights to and from most major cities is as simple as the proverbial click of a mouse. Importantly, as Costa Rica’s popularity continues to grow, more carriers are scheduling flights or expanding existing operations, which makes staying connected easier than you might think.
Didier Baertschiger
And, Speaking of Staying Connected…
Costa Rica continues to expand and improve its cable, cellular, and internet services. High speed internet access is readily available throughout much of the country – something that is unique among its Latin American neighbors.
Cable and satellite services carry many U.S. channels and shows and offer packages similar to those found in the States. There are also choices in cellular phone services that cover most of the country. Being able to stay connected to those back home, while enjoying the pleasures of a tropical retirement, is truly the best of both worlds.
Be One With Nature
Finding a retirement destination that is clean, eco-friendly, and dedicated to preserving all of the beauty of the natural world is a dream many expats have. Costa Rica has consistently been ranked as one of the cleanest and “greenest” countries in the world. Being one with the environment is an aesthetic benefit that can and does enrich the concept of what retirement is all about.
Costa Rica has been mentioned as one of the Blue Zones (those places where the lifestyle and environment are conducive to longer lives). When you choose a Costa Rica retirement, you may also discover that there are more years (and adventures) that await you than you could have dreamed of.
Beach, Rustic, Mountain, Cosmopolitan? So Many Lifestyle Choices
Costa Rica is definitely not a “one size fits all” destination for your retirement. Containing pristine beaches, small rustic “tico” villages, stunning mountain vistas, secluded tropical rainforests, and modern, cosmopolitan cities, you can truly customize the kind of retirement lifestyle that you are seeking.
Whether you are looking for established expat communities, like those in Escazu; the quiet mountain villages of the Central Valley; the beach lifestyle of Tamarindo, Jaco, or Playa Flamingo; or the laid-back Bohemian vibe found in places like Nosara, your retirement choices are more diverse than in other tropical locations. The choice, truly, is yours.
Potential for a Good Return on Retirement Investment
Although Costa Rica has been on the radar of expats and retirees for over a decade, there are still plenty of investment opportunities that exist. There are both residential and commercial properties throughout the country that could provide the opportunity to grow your investment/retirement dollars.
The improvements in infrastructure, such as the new (2010) highway along the Pacific coast, have opened up new areas for development. Uvita, Dominical, and other locations in the southern Pacific zone have become destinations for those looking to build their own tropical retreat and/or investment projects.
Stable Government Means No Expat Surprises
Costa Rica is in the enviable position of having one of the most stable governments throughout Latin America. For retirees, this stability translates into a security that there won’t be any surprises in terms of changing policies that have created uncertainty for many expats in other countries.
Roger
It’s About the Benjamins…
The U.S. dollar is accepted throughout much of the country, making shopping and other transactions easy. There are any number of ATMs throughout the country that you can access both colones (the Costa Rica currency) or U.S. dollars.
The knowledge that you can get to your funds easily and conveniently adds a layer of security for retirees who may be concerned about the ability to replenish their cash from time to time. Also, most major credit cards, such as Mastercard and Visa are also accepted at stores and restaurants as readily as they would be back home.
The People
Last, but by no means least, are the people of Costa Rica – the ticos and ticas. Friendly and welcoming, Costa Ricans can make your transition to a retirement life in paradise easier than you could imagine.
It is often said that Costa Rica is one of the happiest places on earth. The people who live in this Latin American gem certainly are proof of that.
Discover These Treasures for Yourself
It is a testament to all that Costa Rica offers that it remains as one of the most desirable places to retire on Earth. Take the time to visit this unique Central American destination, research the possibilities, and see for yourself what a “pura vida” retirement could be like.
Mexico: A State of Mind.
How’s your state of mind? Feeling confident and resilient? Flexible and fluid? Are you poised for adventure south of the border?
Freedom and opportunity reign in Mexico. And that’s why expats love it!
Chris Martino
Living in Mexico: What’s Not to Love?
The vibrant culture, beaches, deserts, mountains, and oceans. World-class surfing and snorkeling. Fresh seafood, Mexican and international cuisine.
Mexico offers outstanding opportunities to start a business, purchase real estate, and invest. Its low home prices and low cost of living afford you a superior quality of life.
You get superb health care facilities and state-of-the-art health care. Mexico’s modern infrastructure is solid. And high-speed communication makes your work and personal life easy.
Mexico has a number of International Airports that service flights from around the world. And good roads that make it easy to traverse the country for both business and pleasure.
Okay, I get it. Why not move your life to Mexico?
But, if you want to love living in Mexico, there are a few facts you need to know before you go.
Christopher William Adach
Living in Mexico: Your 5-Item Checklist (Before You Go)
1. Learn What It’s Like to Live in Mexico: Read Books, Blogs, and Forums.
Explore the realities of daily life through stories of ordinary expats. Read books like San Miguel de Allende: A Place In The Heart. This is a collection of stories about true expats.
Novels about Mexico can also provide unique insights about Mexico. You may know John Scherber’s popular Murder in Mexico mystery series. The Girl From Veracruz is his latest release.
The good news is, you can find these books (and pretty much everything else you need to know) on the MexConnect blog-style magazine site.
The website covers everything from articles about living in Mexico, to travel and food. Culture and arts, history, and business. And the best part is, you can join one of Mexconnect’s many forums.
Tune in for timely advice and share with other forum members. You’ll absorb copious amounts of information from experienced expats living in Mexico.
2. Learn Spanish: It’s Your Key to Thriving in Mexico.
Don’t just speak Spanish. Live and celebrate life in Spanish. There is nothing more influential in the outcome of your expat transition to Mexico.
There are many language learning options. Choose from a number of reputable self-paced programs. Rosetta Stone, Pimsleur, and Duolingo are all popular. You can also download apps for your mobile devices.
However, if you’re a procrastinator, a self-paced approach may not work. You may be better served by registering for Spanish classes at a local venue.
Your absolute best option is to enroll in Spanish Immersion in Mexico. This style of learning ensures you will fully engage in Mexico’s language and culture.
The Spanish Institute of Puebla and Instituto Cultural Oaxaca are two highly regarded Spanish language and culture schools in Mexico.
3. Understand Mexico’s Immigration Policies: Which Visa Is Right for You?
There are many kinds of Mexico Visas. Like many expats, you may not think twice about operating long-term on your Mexico Tourist Visa. But you may be missing out on real benefits with a Residency Visa.
Do you plan to live in Mexico six months a year (or more?) If so, you should consider the benefits of holding a temporary Visa versus a permanent Visa.
There are different ways to go about obtaining a Visa. So you may want to consider hiring an immigration lawyer who knows the immigration system well. It could save you money and hassle in the long run.
Make sure you understand the apostille process. You’re required to have a certified or notarized document (apostille) for any legal action (Visas included). This process alone is arduous. You will need birth certificates, marriage certificates, death certificates, and divorce decrees.
And there may be more. An immigration attorney or an experienced apostille service can ensure you have the correct documents. And that you navigate the process as quickly (and as stress-free) as possible.
4. Understand Mexico’s Banking System
Mexico’s banking system has a volatile history. But it survived the global financial crisis and recent financial reform. The banking system emerged more stable and profitable.
Opening the market to foreign banks with new customer service technologies, employee training, and management programs positively influenced Mexico’s banking system.
But you still need to be on your toes when banking in Mexico. Watch for high multi-layered charges and commissions. Expect high borrowing rates and low deposit rates. And not-so-good customer service.
You’re still likely to experience long lines at the counter, so you may want to do most of your banking online.
5. Learn How to Shop Smart and Save Money.
Markets and trade are deeply rooted in Mexico culture. Smart shopping is buying local. Scope out local food markets and stores where locals shop. You’ll definitely pay less than if you buy name brands.
Stay away from supermarkets and imported items whenever possible. You’ll find your best deals on staples like breads, meats, veggies, and fruits at local family markets and mobile street vendors. Get to know the local butcher. Think “fresh.” And avoid mass-produced pre-packaged foods.
Avoid shopping malls, department stores and mega stores. Shop for clothing and shoes with local shop owners and market traders. They’re usually open to negotiation. They may be inclined to make a special price just for you.
Shop local crafters for home furnishings as well. Local artisans’ handmade furnishings are crafted from local woods, recycled, and other local materials. If they’re not obvious, use your best Spanish to ask locals where you can find a local furniture maker.
Christopher William Adach
Living in Mexico: What to Research Next
This checklist gets you off to a good start. And learning is simply a part of the journey. Here are four more items you may want to research next.
- Long-term living costs in Mexico
- How to prepare your budget
- How are Mexico properties valued?
- Mexico’s tax structure
Be patient and flexible. Be adventurous. And make the most of living in Mexico.
Expats choosing to retire to Ecuador are taking the “road less traveled’ and enjoying it. Though not as well-known as other popular Latin America destinations, Ecuador has an untapped potential that could make it the most popular retirement destination in the region.
There are more options for retirees in Ecuador today than ever before. Improvements in the country’s infrastructure have opened more areas for expats looking for a less cluttered existence.
Johnny Gustavo
Retire to Ecuador, Save Money, Live the Life You Want
Ecuador’s cost of living is certainly one of the most affordable in Latin America. It is important to remember, however, that some online claims about living there for practically nothing are overblown. Like anyplace else, how much you spend will depend on the choices you make concerning location, amenities, and luxuries.
The fact that the U.S. dollar is the currency of Ecuador is an important plus. Knowing the cost of things and not having to deal with currency exchange rates certainly makes budgeting for your retirement much easier – especially for those on fixed incomes.
Being able to buy or rent your retirement retreat at reasonable prices is one of the biggest draws of Ecuador. Even in the larger cities like Quito or Guayaquil, a spacious three-bedroom apartment can rent for under $1,500 per month. Rental and sale prices in smaller towns make finding a home much less stressful.
The lower health care costs that are offered in Ecuador certainly make living a healthy lifestyle much easier. Modern state-of-the art facilities provide high quality care at a fraction of the expense for the same procedures in the U.S. Dental care and dental tourism is another area where retiree dollars can go farther and enhance the quality of living for years to come.
An important and intangible benefit to retiring in Ecuador is the more relaxed pace of daily living. Being able to appreciate the natural beauty of the country, without the hectic approach to living found in the U.S., can make those retirement years truly “golden.”
Crucita MLS
Investment Potential Continues to Grow
A decision to retire to Ecuador may also provide the potential for a strong return on investments. There are a number of areas that are primed for new projects as expats continue to arrive seeking new housing and commercial options. In addition to already built properties, there is a growing number of undeveloped lots that are available in a variety of locations; both urban and rural.
The beach towns of Canoa and Ancon have a great deal of undeveloped and underdeveloped property that can be purchased quite reasonably. Crucita has become a world-class destination for paragliders and hang gliders. This increase in the tourist trade makes investing in rental properties a viable and potentially profitable action to consider. Along with San Clemente, this area is well on the way to becoming the next Pacific “Gold Coast.”
The beach is not the only part of Ecuador that is an attractive investment option. Cuenca, a World Heritage city in the foothills of the Andes and the Yunguilla Valley are becoming increasingly popular as expat destinations and potential retirement meccas that combine a moderate climate, rich cultural history, and affordable prices.
International Realestate
The Beauty of Ecuador – So Many Diverse Locations
One of the most unique features of Ecuador is the wide diversity of regions that can be your retirement destination.
For those whose idea of a tropical paradise is a cosmopolitan city with attractions and entertainments, Quito and Guayaquil are both modern and filled with the kind of amenities one might find in any major city in the U.S. These cities also are the locations of the two international airports in Ecuador; Mariscal Antonio José de Sucre in Quito and Simon Bolivar in Guayaquil.
Cuenca captures the flavor of the Andean Highlands and retains the essence of its rich colonial heritage. The coastal villages of Canoa, Ancon, San Clemente are rustic, laid-back beach communities just perfect for those looking for a more authentic Ecuadorian experience.
For those truly seeking to ‘”get away from it all,” Ecuador also has a number of island communities that could be your retirement paradise. Santa Cruz, Isla Isabella, Pena and San Cristobal are just some of the places expats are beginning to pay attention to.
The continued growth in the number of expats and retirees coming to Ecuador will increase the options available. Some of the small jungle towns, such as Banos, are in the earliest stages of moving from tourist attraction to a destination for expat arrivals to settle and develop.
Even beyond the possibilities of places to live, there are stunning natural wonders suddenly much closer if you are living in Ecuador. The Galapagos Archipelago, the Andes, and the Amazon Basin become more accessible and easier to explore; adding another dimension to the desirability of this Latin American gem.
Lobitadelsur
So Many Positives to Choose Ecuador and Things to Consider
For retirees, expats looking for a tropical escape, and investors exploring new options, Ecuador has many features to commend it. Constantly improving infrastructure, growing communities of North Americans and Europeans, and affordable properties are all important reasons to retire to Ecuador.
However, even in a tropical paradise, there are a number of factors that you should examine as part of your decision-making process. First and foremost is that English, while growing in usage, is not the dominant day-to-day language – particularly in the smaller rural villages and towns. An honest appraisal of your comfort level of living someplace where communications may be challenging at times is truly an important step to a happy relocation.
A second consideration is the fact that the more rustic communities also have fewer of the modern amenities of major cities such as Quito, Guayaquil, and Cuenca. If having ready access to high speed internet, cable television, etc. is a necessity, this could limit the potential Ecuadorian locations that might be right for you.
Patience is an important facet of expat life throughout Latin America and Ecuador is no exception. Travel, particularly where the only option is driving, can take significantly longer; repairs and improvements to infrastructure items such as roads, electricity, and even water, may involve much more time than one might find in the U.S. or Europe.
In the end, the best way to truly know if Ecuador is right for you (and if you are a good fit for Ecuador) is to talk to others who have made the decision. Do your research and, most importantly, visit this unique land of potential and promise and see if it resonates within you and makes you want to retire to Ecuador.
Many baby boomers are wondering when might be the best time to explore the possibilities of expat life in the land of Pura Vida. The time has never been better: Move to Costa Rica now.
This Central American location has long been a favorite for people looking for their tropical escape. There are many reasons to take that big step and relocate to Costa Rica. Here is a list of the reasons to move to Costa Rica.
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1. Connectivity
One of the principal concerns that confront many potential expats is the distance from family and friends in the U.S. Costa Rica is a short distance from the States and the two international airports, Daniel Oduber Quirós in Liberia and Juan Santamaria in San Jose, both have regularly scheduled flights from many U.S. cities.
Additionally, there are several shipping companies that operate between the U.S. and Costa Rica. For those individuals seeking to bring down larger items, such as furniture or vehicles, the close proximity to U.S. ports makes this both a viable and affordable option.
Akbuthod
2. Variety of Locations
Expats coming to Costa Rica have a choice of locations and lifestyles that they can choose from. The diversity of locations offered by Costa Rica is unique among many Latin American countries and provides a true range of residential and investment options.
For those who want the cosmopolitan feel of a modern city with a strong expat presence, the areas around San Jose, Escazu, and Alajuela are a great choice. If a more laid-back, Bohemian lifestyle is your idea of paradise, the southern Nicoya Peninsula has many locations and possibilities. Surfers seeking to find that “endless summer” can look to the area around Jaco and the smaller villages for their retreat to paradise.
Maybe higher-end resort living is something that ticks your boxes. Tamarindo, Playa Flamingo, and much of Costa Rica’s Gold Coast offers upscale lifestyle and properties with the kind of amenities one would expect from such locations. Los Suenos, in the Central Pacific Zone, is another quality resort and marina that is second to none in quality and style.
The call of the mountains can be a powerful draw for some. The area around Lake Arenal not only has stunning views but unique properties and a large expat presence. More secluded options can be found farther south in the region around Puriscal and the Diamante Valley.
With constantly improving and growing infrastructure, even areas that were largely undeveloped are experiencing a wave of growth. Few locations in Central or South America have as developed an infrastructure over so much of the country as Costa Rica.
Regardless whether the beach, the city, mountains, jungle, or a rural setting is your heart’s desire, it can be found in Costa Rica. Looking at the kind of properties available is a great way to narrow down your selections to help you make your move to Costa Rica now.
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3. Green Living
Costa Rica has long dedicated itself to maintaining and sustaining the environment. Establishing “green zones” and limiting development and deforestation are just some of eco-friendly measures that have been pursued in recent years.
Expats readily discover that living in Costa Rica is healthier. The less stressful lifestyle, abundance of locally grown fruits and vegetables, and reliable and clean water are all contributing factors.
The quality of medical care in Costa Rica is not only equal to that found in many larger countries, such as the U.S., the cost is much lower. With state-of-the-art facilities like CIMA and Hospital Clinica Biblica, even complex medical procedures can be performed by highly skilled and certified medical practitioners.
For those seeking to explore the benefits of alternative medicine, there are many yoga retreats and wellness centers offering different approaches to treating health concerns. With so many choices, maintaining good health is both convenient and comparatively low cost.
Amaynez
4. Abundant Investment Opportunities
Following the global financial meltdown of 2008, Costa Rica has begun to see resurgence in real estate investments. Not only have the construction and sale of individual residences increased dramatically, larger investors are looking to build developments and open new areas to the expat and tourist industry. Dominical, Uvita, and Golfito are some of the communities where investment dollars are being focused.
As property values continue to climb and demand continues to grow, the return on initial expenditures is also on the upswing. For established areas such as the Central Valley, there is a significant increase being seen as a new wave of expats arrives to settle there.
While this does mean that purchases prices are higher here than elsewhere in Latin America, the potential for an increase in value is also higher. For buyers wanting to maximize the return on their investment, Costa Rica is a great choice.
Dingatx
5. Choose Your Own Adventure
As with any life-changing action, you need to be certain that you are prepared for the adventure. Here are a couple of matters to consider:
First and most important is the question of how you plan to support yourself in Costa Rica? Are you going to use a fixed income, such as social security or a pension? Are you an investor looking to earn returns on your initial allocation? Are you planning on working or opening a business? Understanding the legal aspects of these options and being realistic about your budget before moving can reduce heartache and “expat regret” after the fact.
Secondly, are you thinking of becoming a resident or would you be a “permanent tourist” and leave the country every 90 days to renew your visa? Costa Rica is considering changes that could clamp down on expats who either don’t qualify or can’t qualify for residency. While these changes haven’t become widespread, it is important to consider your own long term plans as to whether you want to live full time or part time in the country.
It is important for you to do your research on these kinds of matters. Connect with other expats through social media, read online articles, and learn about the life in the country. Above all, never be afraid to ask questions; the only silly question is the one that is never asked.
Costa Rica Villas
6. There are Real Estate Bargins
So the question many potential expats ask is: Why should I move to Costa Rica now? A better question would be: Why should you wait?
The Costa Rica real estate market is on the upswing and, as more and more baby boomers get set to retire, the competition to find “the best bargains” is only going to get tighter. Waiting until another time may result in you missing out on your dream location.
With an affordable and healthier lifestyle, modern amenities, and some of the most beautiful and scenic locales on earth, walking away from the hectic and stressful life in the U.S. can provide a fresh perspective on just how good living can be.
Take a look for yourself. Visit Costa Rica, explore the cities, towns, and beaches and talk to those who have made the journey. Taking these first steps is the best way to find your home in paradise.
One of the many benefits that has made Mexico a long-time expat destination is the diversity of climates. Ranging from the tropical wetness found on both coasts to the arid desert of the interior, the seven variations of the climate in Mexico are a veritable bounty for expats to choose from.
Much like the various regions in Mexico, each micro-climate has distinct characteristics that can influence where you might want to retire or invest. The properties in Mexico also reflect these climatic differences and provide a wide range of prices and amenities for potential buyers to examine.
Veracruz – Lucy Nieto
Climates in Mexico – From Very Wet to Very Dry
Mexico is unique among Latin American countries in that it has seven distinct micro-climates within its borders. These micro-climates can be grouped into three categories: tropical, dry, and temperate.
- Southern Veracruz, Gulf Coast Plain, Tabasco, Oaxaca, and Chiapas highlands are tropical and wet with average temperatures over 64° F and at least 2.4 inches of rain every month.
- The Pacific Coastline as well as central and northern Veracruz are tropical wet and dry, with less than one inch of rain during the dry season; usually from November to May. This pronounced “dry season” is one reason why the Yucatan Peninsula is popular with expats.
- Baja California (which is actually in Mexico) and Western Sonara have a dry, desert climate similar to the Sahara Desert with less than 10 inches of rain a year. The Sierra Mountain Range, in the center of this Mexican state, is the heart of Mexico’s wine producing region. Temperatures are still moderate with highs in the high 70s and nighttime in the low 50s.
- Central Plateau, northern Yucatan Peninsula and the western Sierra Madre have slightly more rain (10-30 inches per year). The southern part of this region also has higher temperatures than the northern area.
- Tijuana’s climate actually resembles the Mediterranean coast with dry summers and rain only during the winter months.
- Guadalajara is the quintessential example of a temperate climate with the best combination of mild temperatures, low humidity, dry winters, and low summer rainfall. It is little wonder that this former pueblo town is one of the fastest growing metropolitan areas in Mexico and a prime investment option.
- Eastern Sierra Madre is considered a temperate climate, although the humid, subtropical weather here is closer to the tropical zones with higher humidity and rain throughout the year.
Merida – UBELONG Volunteer Abroad
With So Many Choices, Which Climate in Mexico Is Right for Me?
Deciding which climate in Mexico fits your lifestyle, health, and long-term vision for retirement and/or investment opportunities involves some soul-searching. What is your definition of a Latin American paradise? Rural or cosmopolitan, beach or jungle, multi-unit or standalone? Applying that first “filter” can help you narrow your focus on the location that best suits you. Here are some areas expats have been focusing on in recent years.
Puerto Vallarta and Guadalajara
Puerto Vallarta is one of the most established expat communities, not only in Mexico, but throughout Latin America. Nestled along the Pacific Coast, its tropical vibe, a comfortable dry season, and modern infrastructure all contribute to its continued status as a prime retirement location.
Guadalajara, with its moderate temperatures, lower humidity, and less rain, is rapidly gaining ground as a place to retire or invest. The growth of the city itself has also led to improvements in infrastructure and more residential options being available.
Merida and Cancun/Riviera Maya
For those whose love of the beach is irresistible, the area around Cancun and Riviera Maya has long been a drawing card for investors and expats alike. The warm, tropical temperatures of the Gulf of Mexico, a dry season that matches perfectly with winter in the U.S., and a large expat presence, make this the prime area for anyone wanting to live by the sea.
An up and coming location, also in the Yucatan Peninsula, is the town of Merida. Lying along the trade wind belt close to the Tropic of Cancer, it has a similar tropical wet and dry climate, although its average daily temperature – around 91°F – is warmer than the coastal areas.
Acapulco
In the southern Mexican state of Guerrero, lies one of Mexico’s oldest tourist destinations, Acapulco. Long favored by Hollywood royalty, such as Elizabeth Taylor and Frank Sinatra, this city is seeing revitalization after the difficulties of the early part of the 21st century. Although technically having a tropical wet and dry climate, Acapulco’s temperatures are more moderate than the resort areas in the Yucatan with the average daily temperatures running in the low to mid 80s.
The Tropic of Cancer
Mexico also has the distinction of having the Tropic of Cancer run right through the heart of the country. This is the northernmost latitude when the sun can appear directly overhead on the Summer Solstice. It is no surprise, then, that sun lovers have been choosing Mexico as the best place to retire and prosper.
Acapulco – Martin Garcia
Starting the Journey
If you’ve never been to Mexico, now is the best time to go. Visit the country, immerse yourself in Mexican culture, and learn where you seem to fit in best. Keep in mind that the seasons in Mexico are likely to be far different than those where you live.
Talking to people who have relocated there, whether permanently or as “snow birds,” is another good way of discovering where the best places to relocate might be. Don’t be afraid to ask questions; the answers you receive can be invaluable.
Lastly, keep in mind that the “climate” in Mexico is also a state of mind as well as meteorology. Knowing what you want, and where to find it, is the key to opening the door of your Mexican destination.
With all the excitement involved when getting ready to become an expat, it is important to keep in mind a few “must know” tips to help with the transition. Making and following a checklist ahead of time can prevent issues during the move and make your arrival a time of celebration and exploration.
The transition to expat status is also a transition from your stateside existence to a different way of being. Understanding how much you will need to live on and other financial considerations is an important aspect to moving abroad.
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Top 8 Must-Know Tips Every Expat Needs
There are a number of tips that can really make your arrival as an expat much easier and much less stressful (and, yes, there will be some stress!!). Below is a list of the top 8.
1. Have a Plan
Doing your homework ahead of time can help you select which Central or South American location is the best fit for you. Research online, interact using social media with expat groups, and learn about the culture, geography, etc. of those countries and/or regions that interest you.
Be realistic in terms of how much it will cost you to make your move and maintain the kind of lifestyle you are thinking of. All budget-related matters should be done before – not after – your arrival.
The number one reason that becoming an expat may fall short of your expectations is if you end up having to face the harsh reality of “too much life left at the end of the money.” While this kind of monetary examination may cause you to put a hold on your plans, it can also provide both the knowledge and incentive to help you reach your paradise in the future.
There is no substitute for actually visiting the place you are thinking of calling home. If possible, make a number of visits to explore various parts of the country. Being there can help you decide whether you want a beach lifestyle, the tranquility of the mountains, a rustic village, a larger city, or something in between.
2. Explore
Once you arrive, start exploring your new environment. Learning where the locals like to shop, eat, visit, etc. can help you immerse yourself in the daily routine of your expat existence.
Part of this exploration should involve finding out your options for your utilities (water, heat, electricity, and garbage) as well as amenities such as phone, cable/satellite, and internet service. You will quickly discover that getting these items is a lot different than what you had come to expect in the states.
3. Experience the Seasons (All of Them)
Hopefully, you did look into the various climates and seasons of your Central or South American destination beforehand. While most countries have two basic seasons (rainy and dry), there are a number of micro-climates that also have unique variations. You may have the opportunity to experience everything from a dry desert climate to a tropical jungle. Be prepared (in terms of clothing, etc.) for all of them.
While entertaining, these locations are not a true representation of daily life. Once you have fully settled, you’ll have plenty of time to visit and experience these options, if you wish.
Wallygrom
4. Avoid Tourist Traps
With tourism a major industry in many Latin American countries, it isn’t surprising that any number of “tourist traps” (those areas designed to cater to the casual visitor/vacationer) can be found. Since your purpose in moving is to make this a new home, you should avoid these “tourist-centric” areas, at least initially.
Another area of discovery that should be an important part of your exploration is to learn what is required to establish a local bank account. Banking rules differ from country to country (and things have been made even more difficult with the increased impact of FATCA on foreign accounts), so it is important to learn what is and isn’t available to you. Additionally, it may be necessary to research what options can be utilized to access your funds from the U.S. or Europe while abroad.
5. Eat Like a Local
There is no better way to quickly immerse yourself in the culture of your new home than to eat like the locals eat. Shop at the local farmers’ markets, choose the specialties from restaurants that the locals go to, and, if you have an interest, learn to prepare those dishes at home.
This is also a great way to begin to learn Spanish (assuming that you do not already speak the language). Food truly is a universal language and, as you learn the names of fruits, vegetables, and dishes, you’ll find that you are also learning to speak with the locals as well.
Becoming part of the culture where your tropical paradise is located is an incredibly important part of the expat adventure. Remember this is not just a vacation, this is the place you have chosen for the next phase of your life.
Your tropical escape will have its ups and downs; not unlike anyplace else. However, when you fully commit yourself to becoming part of your Latin American world, the potential is limitless.
6. Keep an Open Mind
Keeping your mind open to the possibilities of expat life can expand your viewpoint in ways that could astound you. Perhaps the hardest thing for expats – even those who have been in their chosen location for some time – is being patient with the pace of life. It’s important to remember that the more relaxed approach to things, like appointments and bureaucracy, was one of the things that you found attractive about the idea of relocation.
The trade-off is that you cannot (and should not) expect that things will be done “immediately” or “on time.” To put it another way: Don’t sweat the small stuff.
It’s also important to remember that your cultural references will be different from the locals around you. You are a guest (even if a permanent one), in their country; be respectful and willing to learn those differences. You may be pleasantly surprised at the results.
Anoldent
7. Tie Up Loose Ends
Just because you’ve made the move, doesn’t mean that you can forget about matters back home. Driver’s licenses, medicines (and related medical issues) are other important aspects that can have a direct effect on your expat plans.
Get confirmations that everything that you put in place prior to your departure is correct and in order. The last thing an expat needs is to discover that something they thought was resolved now requires additional attention. Keeping the lines of communication open is always an important expat safety net.
8. One Final Tip
Becoming an expat is an experience like no other. Allowing yourself to truly look forward and to accept that the unknown can be an exciting and wonderful adventure can be the best tip of all. Begin the journey today; go online and read the experiences of others. Tomorrow is but a mouse click away.
For over 25 years, the Costa Rica economy has been one of the major development success stories in Latin America. This steady economic expansion has directly benefited expats and investors looking to find a tropical escape with a strong potential for return on money invested.
In addition to the ongoing effort by the government to encourage foreign investment, Costa Rica continues to offer the benefits of a strong expat presence, a well-developed infrastructure, and a wide variety of residential options that has made it a magnet for retirees and developers from the U.S., Canada and Europe. The cost of living in Costa Rica still compares favorably with other countries in the region and, certainly, with its North American neighbors.
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The Strength in the Costa Rica Economy Is Its Stability
Having a history of stability, both in the governmental and financial sectors for over 20 years is one of the primary reasons Costa Rica continues to attract direct foreign investment. Developers and investors looking for a secure destination, that promotes growth and welcomes business, have found both in this Central American location.
This level of financial security translates into greater potential for expats; both those looking for vacation properties and those looking for a place to retire. Even with the worldwide decline of 2008, property values have begun a resurgence, increasing the desirability of owning real estate in the country.
Janeboles
Why Costa Rica Stands Out
The economic expansion of the last two plus decades is no accident. By focusing on liberalizing trade agreements, supporting a strategy of export-led growth, and actively seeking foreign investments, the Costa Rica economy grew at an average of 5% per annum during the 1990s.
Even with the recent uncertainties of the global economy, Costa Rica’s growth is anticipated to be between 4.1% and 4.3% for the next few years. This rate outpaces the growth rate of economies of other nations in the region.
Eco-Tourism and Biodiversity Are Also Major Contributors
Costa Rica’s commitment to the environment has long been a drawing card for many expats looking for a healthier, purer lifestyle. With many areas dedicated to maintaining the unique biodiversity found throughout the country, tourism continues to be a major source of revenue and foreign exchange.
In a recent article, CNN listed Playas de Nosara, in the Nicoya Peninsula as one of the eleven places to go in 2014. Recently awarded the Blue Flag by the non-government, non-profit organization, the Foundation for Environmental Education, for its quality and commitment to the environment, Nosara is a prime example of Costa Rica’s dedication to maintaining its eco-friendly reputation.
More Travel Options Translate Into More Economic Growth
Costa Rica is one of the most accessible countries in Latin America. With two international airports, Juan Santamaria Airport in Alajuela (just outside San Jose) and Daniel Oduber Airport in Liberia, travel to and from the U.S., Canada and European destinations is an easy proposition. As more airlines add schedules to Costa Rica (Southwest is beginning to add service from Baltimore to San Jose in March 2015), the number of tourist and business travelers will also increase.
The improved road system and infrastructural support has also opened the Central and Southern Pacific zones to both commercial and tourist interests. With more money being spent in those areas, demand for residential options will also increase and will be reflected in rising property values.
Costa Rica Beauty
Owning Property Is a Secure Proposition
One of the biggest areas of foreign investment in Costa Rica is the purchase of property by expats. Foreigners have the same rights (and obligations) as Costa Rican citizens. The existence of a Central Land Registry also adds an element of security that your title is clear; something that is often much harder to discover in other Latin American countries.
Property taxes are one of the major pluses of land ownership in Costa Rica. The tax rate is 0.25% of the registered property value as determined by the local governments or municipalities. Since Costa Rica’s economy is not as dependent on tax remittances as many other Central and South American countries, it is reasonable to expect that this rate will stay low for quite some time.
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What the Future May Hold for the Costa Rica Economy
There are a number of potential areas for growth that make the outlook for Costa Rica’s economic future a bright one. With the approval of CAFTA (US-Central America Free Trade Agreement) in 2009, Costa Rica has seen a significant increase in direct investments by foreign companies in such areas as telecommunications and the insurance industry.
A major impact of these increased investments, is a wider variety of companies providing internet, cable, and cell phone services throughout a larger portion of the country. This is a major draw for expats who want to stay “connected” even while they are enjoying their retirement paradise.
Major financial projects are also underway on a variety of fronts. Perhaps the most exciting is a project, supported by the World Bank, to revitalize, restore, and enhance the port city of Limon.
The project is focused on improving the infrastructure, developing and helping to sustain Limon’s cultural history and heritage, as well as enhancing employment opportunities. The long-term impact could lead to more development on Costa Rica’s Caribbean coast and provide new potential for economic growth.
While eco-tourism and agricultural exports continued to be two of the main economic engines in Costa Rica, other areas are starting to make an impact. Medical tourism has been a steadily increasing growth industry in recent years.
The combination of state-of-the-art facilities, U.S.-trained and board certified specialists, and much lower prices than can be found in the U.S., have all contributed to the expansion of, what was once, just a “niche” sector to a significant financial contributor.
Patrick Turek
The Possibilities Are There
Having stability, both economic and political, combined with a strong trend of financial growth are important factors for any investor. For retirees whose budget may not be as flexible, knowing that money spent on your tropical getaway is a good investment with a potential for increase valuation can make those “golden years” truly golden.
Looking realistically at your situation, level setting both your near and long-term goals, and doing your research is the best way to explore those possibilities that Costa Rica holds. Above all, visit this special country and see if it calls to you; if your heart hears that song, you’ve already taken that first big step.
Although you may have thought that retirement was still a long way off, the time to retire to Belize is now. The Belizean government has a program in place that could let you move to this quirky, Central American location as early as age 45.
With Belize being poised to be a major retirement mecca for expats from the U.S. and the UK looking for tropical ambiance with English being the official language, this program – the QRP – may be changed or limited in the future. Taking advantage of the chance to retire to Belize now is an opportunity that shouldn’t be missed.
Being located close to the US makes it easy for retirees to transition from a life in the states to a less hectic lifestyle in Belize. Living in Belize is more than just a change of residence; between the cultural richness, natural beauty, and friendly citizens, Belize can provide much more than one might expect.
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The QRP – The Gateway to Retirement in Belize
As an enticement for foreigners to relocate and invest in Belize, the government established the QRP (Qualified Retired Persons) program. Under this program, there are minimal requirements that have to be met and, as discussed above, real financial benefits that can be obtained.
The basic requirements are that a) the applicant is over 45 years of age; b) the applicant can prove a monthly income (from any source) of at least $2000 USD; or c) the applicant arranges to deposit in a Belizean bank the sum of $24,000 on or before April 1st of each year for their own care and maintenance.
One of the most unique features about the QRP is that it does not bear any relationship to how many days you spend outside the U.S. or inside Belize. This can be a great advantage for those who are “perpetual tourists”; travelling to many places or only staying a limited number of days in Belize itself.
A second unique feature is that the age limit is only 45. Clearly, you don’t have to be of retirement age to qualify for QRP status.
While this law has been in effect for over a decade, there has been some talk in Belizean government circles about limiting the number of applications per year, raising the dollar limit required, or other changes. As a result, now is the best time to take advantage of this program before any changes are enacted.
Why the Choice to Retire to Belize Makes Sense
With all of the potential options that an expat retiree could choose, why does the choice to retire to Belize make so much sense? There are a number of reasons that support the “Belize option.” The major ones are listed below:
Money Does Matter
While Belize is not the most inexpensive choice for retirement, the value you receive for the money you spend is well worth it. For example, the average for utilities (electric, water, heat, and garbage) is around $88 per month. The prices in the metropolitan areas such as Belize City and the capital city, Belmopan, may be slightly higher.
Rental units can also be reasonable. The country average can range between $200-$700 per month; again higher rates will be found in the larger, more popular areas. It is important to note, however, that the number of rental units is small and, as a result, desirable properties may be at a premium – both in terms of location and price.
Belize has a well-developed infrastructure with the kind of modern amenities you would expect in the U.S. Cable television, high speed internet service, and cellular phones are all readily available and much more moderately priced than their North American counterparts.
Taxes Aren’t “Taxing”
One concern for retirees is having to pay taxes, both on their imported personal goods, as well as on passive income from pensions. As an incentive to bring expats to Belize, the government has put in place the QRP – the Qualified Retired Persons – program. (More on that below.)
This program permits those qualifying as a QRP to import, absolutely tax and duty-free, their personal belongings as well as a single “approved means of transport” (motor vehicles, boats, and light aircraft) for their personal use. This is markedly different from other Central American countries, where import duties and taxes can run in the thousands of dollars.
Income, either earned or passive, received from sources outside Belize, by QRP individuals, is totally exempt from all taxes and levies. For those retirees receiving income from 401(k)s, or other pension instruments, this can be a tremendous savings.
Real estate taxes are very straightforward. For residential property, the tax rate will be between 1% and 1.5% of the value as set by Department of Natural Resources. Additionally, there is a 25% discount on property taxes for Senior Citizens (over 65) which certainly is a great incentive for expat retirees.
Amelia TWU
Real Bargains in Real Estate
The Belizean real estate market suffered from the same pressures as the rest of the globe in 2008. Although the market has rebounded, prices for residential properties (both stand alone and condominium) are still quite reasonable. Looking at a selection of what is available can give you a good perspective on how much your home in paradise may cost.
There are no restrictions on non-residents buying or owning property in Belize. Since the Belizean legal system is based on English Common Law (like the U.S.), as compared to the Napoleonic Code which forms the basis of other Latin American legal systems, the rights and obligations involved in property ownership are easy to understand. It also helps that the laws are written in English.
Healthier and Less Stressful Living
Perhaps one of the greatest benefits you will receive when you retire to Belize is having a more relaxed lifestyle. This more casual approach to daily living, while requiring some adjustment when appointment times tend to be more like approximations than confirmations, ultimately lead to a less stressful way of looking at the world. Less stress does equal better health.
With so many outdoor activities, you will find yourself far less sedentary than you might imagine. The readily available supply of fresh fruits, meats, and vegetables, all locally grown, are a welcome improvement from the over-processed food that make up far too much of American diets.
Xiaozhuli
Victoria Reay
Learning More About Retiring in Belize
There are some facets about retiring to Belize that should be given consideration. It is important to remember that Belize is coming to the “expat retirement table” somewhat late in the game, as compared to other countries such as Costa Rica, Mexico, and Panama.
As a result, the laws governing residency and retirement may change. Keeping abreast of these changes can be an important part of your relocation process.
While the developed areas of Belize have modern amenities and infrastructures, the more rural areas may not have the same level of services. If a more rustic lifestyle is not to your liking, your search should be limited to those more popular areas.
There is no substitute for actually going to Belize and enjoying its wonders for yourself. Plan a trip, not just as a vacation, but as a scouting mission to learn about the place that you’ll want to retire in.
For baby boomers and others looking for new options for retirement destinations, Ecuador is attracting a lot of interest. There are many reasons to retire in Ecuador that merit serious consideration.
Although often overshadowed by other Latin American hotspots in recent years, Ecuador’s rapid rise in expat interest is the result of a number of factors. Improvements in infrastructure, as well as increased governmental and financial stability, make the idea of living in Ecuador a viable option for retirees and investors.
Crayons121
The Number One Reason to Retire in Ecuador Is Value
Retirees that have a fixed income, or limited budget, are looking to maximize what they can get for their dollars. Ecuador has become a prime location where those retirement funds can go a long way.
In addition to having one of the lowest costs of living in the region, Ecuador also has a number of other financial benefits that make it the preference of many seniors and retirees. As a senior, there are a number of discounts for such things as flights, meals, and other types of entertainment.
For a small fee, you can qualify for the public health system. For those seeking health insurance to use at private facilities, the premiums are far less than those in the U.S.
Knowing exactly how much something will cost is much easier in Ecuador than other Latin American countries. The U.S. dollar is the currency of Ecuador, making it much easier to actually make and keep a monthly budget.
Property prices are still less expensive than in other retirement locations such as Panama or Costa Rica. As the volume of expats continues to grow, however, it can be anticipated that prices for sale or rental of residences will also increase.
Ecuador also has the potential for those who want to use their retirement as a time to work in a different field, or fulfill a dream. Work visa regulations are far more relaxed than many other countries and there is a strong interest in obtaining experienced workers in many fields.
I. Conoplasty
Many Options for Permanent Residency
If you are thinking about taking the step to retire in Ecuador, it is important to decide what type of residency you want. Ecuador has six different types of permanent residency, making it easy to “customize” how you envision this next phase of your life to be. Finding an experienced immigration lawyer can make this process much less complicated than it might seem at first.
Pensioner Visa 9-I
This is the most common type of resident/immigrant visa that retirees will apply for. The major requirement is that you can show that you receive at least $800 a month from a pension (plus an additional $100 per dependent).
This has to be certified by the issuing authority (in most cases a letter from Social Security) and authenticated by the local Ecuadorian Consul in your home country. This amount is less than the requirement of other Latin American countries, making it easier for expats to meet the dollar minimum.
Investor in Real Estate/Securities Visa 9-II
A second type of permanent residency can be obtained by investing at least $25,000 in real estate or securities. If you are considering buying property in Ecuador, this type of visa may a good option for you.
The prerequisites are that you are able to present a document showing clear title, without any liens or encumbrances. The title has to remain in this state for as long as you need the property to establish residency. A similar requirement involving clear ownership applies to securities and the money invested in them.
Industrial Investors Visa 9-III
As might be expected, this visa has a higher dollar limit required; $30,000 or the equivalent in capital. The appropriate business licenses, registration documents, etc. all have to be obtained and presented as part of the visa application.
Legal Representative, Work/Religious Visa 9-IV
This type of residency is not as common for retirees but, in some instances, may still be appropriate. If you are acting as a registered agent for an Ecuadorian entity, a technical expert or other professional working under an indefinite work contract for an Ecuadorian employer, you would qualify for this type of visa.
Again, the proper documentation, certified by the Labor Ministry is required. In the case of religious workers, documentation as to their duties would have to be supplied by their organization. The organization itself would also have to be approved by the Ministerio de Gobierno.
Professional Visa 9-V
For those seniors who wish to continue to work in some capacity as a professional, this type of visa would be the choice. Certified proof of a university, or other higher education degree, along with the ability to meet Ecuadorian standards for that profession are the requirements that have to be met.
Economic Dependence Visa 9-VI
For those expats who have spouses or other Ecuadoran relatives economically dependent on them, Ecuador has provided this type of residency. The paperwork showing both the relationship (i.e. marriage certificate, birth certificate, etc.) and the financial dependence is the essential element to gain approval for this visa.
J. Degenhardt
The Intangible and Compelling Aspects of Ecuadorian Retirement
The sheer beauty and diversity of locations in Ecuador is a major selling point for making it your retirement choice. Whether you desire the cosmopolitan and historical centers of Quito and Guayaquil, the tranquil atmosphere of Cuenca in the Andean Highlands, or the beaches of San Clemente and Bahia, there are lots of options for your Ecuadorian retreat.
The entire lifestyle is much more laid-back than that of the U.S. or Europe. Moving at a pace that allows you to appreciate the time you have to enjoy this new world is both intangible and priceless at the same time.
Medical and dental care, always a major concern, is of the same high quality found in North America but at a fraction of the price. Having peace of mind concerning any potential health problems (and their possible impact on a fixed income) is another compelling reason that Ecuador should be high on your retirement list.
Diane
What Should I Consider?
First, you need to ask yourself if the idea of retiring in a foreign country is something you’d enjoy. Obviously, if you aren’t comfortable in an environment where English is not spoken as widely as Spanish, and where you are the one trying to fit in to the culture, such a move may not be for you.
Second, if you’ve never visited Ecuador, you need to go – several times if possible – before deciding. Learn the country, what spots appeal to you, how much it would cost to move and live there, etc. This will go a long way toward making this retirement choice the right one.
Lastly, remember that this is the start of a whole new phase. Keep your mind open, do the research, and, above all, enjoy the discovery of Ecuador and all that it holds.