Jean Marie Butterlin has added more Ecuador beach tours because right now the best bargains in Ecuador are on the beach.
Delegates look at a unit for sale at half price. See why below.
Ecuador beach property buyers can get even better bargains if they look for price in equities as explained by Jean Marie Butterlin who reports on Ecuador real estate price distortions.
Ecuador Midcoast Price Distortions
Jean Marie Butterlin
When I am on tours with our delegates, I always try to spot price distortions, which translates into very good deals. There are many reasons we can find beach price anomalies.
#1: The seller does not know the real value of his property. This happens more often than one would think especially in a fast moving environment like Ecuador’s mid coast.
#2: A seller is desperate to sell because he or she has other obligations. (Wedding of a child, mortgage repayments, etc…)
Usually these deals do not last for long as the market will correct them. I am often amazed that in certain areas, these good bargains are not snapped up immediately. One reason is lack of efficiency in the Ecuador market place. The MLS at Ecuador Living is still small because there are few brokers who use it. There is no good advertising system. There is little communication between real estate agents.
Ecuador Living is working to improve this… but changing the mistrust between brokers and creating a system that assures broker’s commissions takes time.
On our last Ecuador beach real estate tour we saw several of these distortions. We pointed them out to our delegates and they were quick in investigating more deeply into them.
We also have one of our attorneys that we recommend meet and speak to the delegates to answer their many questions.
When one finds a very good deal one needs even more caution! Your independent attorney will make sure that the property has a clear title and that the seller actually owns the property for sale. We always recommend getting US title insurance.
To find Ecuador beach real estate distortions, spend time in the types of areas (city, small town, village or lonely coast) that you like best. Talk to local people, not just expats. We always recommend rent first and buy after you have spent a few months in the place.
Here is just one example of a price distortion north of Bahia: This is a 3 bedrooms, 1,800 square foot condo with an asking price of only $80,000.
The owner of the unit with a great view is desperate and needs the money. This apartment needs renovation but is offered at less than half the price that similar apartments have sold in the area. Plus there is still room for negotiation.
Jean Marie has added to his Morya Discover more Cuenca and Ecuador beach real estate tours as you can see in the schedule below.