Discounted Ecuador Property

by | Jan 4, 2002 | Archives

Here are some Quito properties selling at about half price.

Dear International Friend,

A recent messageoutlined how to get Ecuadorian property at half price.

I asked our advisor Ecuadorian eClub advisor Andres Cordova, for somespecific details. Here is part of his reply and some pictures.

“Dear Gary:

The use of heavily discounted CDs for the purchase of propertiesdoes bring exceptional opportunities once in a while. Though youhave to search and dig a lotto find really good deals.

The reason this works is that the properties may takemonths to sell at a reasonable market price, and at times the debtsare choking the owners. They are willing to sell the properties at alow priceand use the cash to buy discounted CDs which their banks have toaccept at full value to pay off their debt. .

Regarding the specific properties some are luxury apartments,located in Quito, overlooking the city with spectacular views. Thebuilding, which I think is brand or fairly new,has two communal halls, 2 gyms, and two sauna baths.

There are 9 apartments available in the same building of differingsizes. For example, a 2386 square foot apartment, with an 864 squarefoot garden and 280 square feet of terraces and 2 parking spaces hasa bank appraised value of $188.000, yet the owner is willing to sellit for $94.000.

Who knows if this price caneven be lowered a notch.

At $94.000 it is certainly a very good deal and I figure the selleris a contractor, deeply in debt. If this is the case, then he couldbe making a marginal profit even though he is selling quite low atthe time.This would further explain the low price.

At this going price, for the specified apartment you would be payingabout $39 per square foot (less so if you take into account terracesand garden,that normally should be part of the equation). This is a very goodpricefor a new luxurious building. A good apartmentin Quito, new or almost new, normally goes from $55 to $75 persquarefoot.

The apartments are currently rented. I will check the going rate, asit will no doubt be an important factor to weigh in.

There are three penthouses that have from 5626 square feet 6,404square feet.

I believe it could be possible to further lower the price on some ofthese apartments.

Also there are lots at a big discount, of about 11,000 square feetlocated in an upscale development in the outskirts of Quito. I haveattached pictures.

Kind regards,


Until next message, good global business and investing!