April 1, 2014 Cali, Colombia
Dear Overseas Property Alert Reader,
My recent trip to Cali, Colombia, brought the most pleasant surprise of the past five years. The weather was great, the city was fun, the restaurants and nightlife awesome, and the people welcoming, open, and friendly.
Best of all, I saw rock-bottom prices—some of the best property prices on the continent. And these low prices can result in rental yields of between 10% and 20%.
If you didn’t see my first Cali report, follow the link to read up on Cali’s neighborhoods and property deals.
Rental yields are the best investment play in Cali. You can earn a 10%, “hassle-free” yield by managing a long-term, furnished rental. But if you want to take on the additional work of monthly or weekly furnished rentals, that yield can go over 20%. More on that to follow…
With respect to capital gains, Cali is a great place to buy an inexpensive home in a warm climate in a friendly country. But I would not buy in Cali to flip the property for a profit near-term. I didn’t see any market force in Cali that was poised to push prices up. I’d expect steady, slow growth in prices…but no more than that. Continue reading