Low prices and increased construction can help you beat inflation in Bahia.
Inflation is pushing a comfortable beachfront lifestyle out of the reach of many North Americans. This is not so in Bahia, Ecuador where there is great expansion.
The first new building completed since Bahia’s earthquake in Bahia de Caraquez Ecuador is complete.
Bahia is a special town with a rich sophisticated culture, that came as the coastal population developed a tradition of sending their children to study abroad. This created a great cultural diversity that was enhanced by the residents of Quito who used Bahia as their beach resort.
This caused Bahia property to become some of the most valuable on Ecuador’s coast. Then an earthquake struck and devastated the town and the Bahia economy. Prices tumbled to a tenth their former prices.
The population took this as a sign and remodeled this city into one in union with nature’s forces.
In 1999 Bahia was named the first Ecological City of Ecuador due to its innovative recycling program with garbage pick up every day. Street sweepers still sweep the street daily with brooms.
Bahia has rebuilt slowly but solidly so today its rich culture, the hospital and many clinics and several private and public schools and colleges make it an ideal place.
Now Bahia is ready to expand and is growing rapidly. The local airport is likely to expand and Manta’s airport is just over an hour away makes Bahia convenient for reaching any part of Ecuador and Quito’s International Airport.
Yet many never leave since all the good things in life are here. Bahia has a farmers market every day with fresh fruit and seafood including shrimp for $1.50 per pound or langostinos and lump crab meat for $4 per pound.
Bahia is also a safe place to be. Bahia has one of the lowest crime rates of all of Ecuador. Bahia is our shopping town in Ecuador and is one reason why Merri and I chose our beach apartment on the beach of San Clemente… a small fishing village near Bahia.
So it is not surprising that jean Marie Butterlin who originally joined us in Cotacachi also moved to Bahia.
Here Jean Marie reports on his new Bahia home.
First New Construction Project in Bahia in 12 Years
Jean Marie Butterlin
Bahia is becoming more and more popular and getting a lot more attention ; A year ago on our coastal tour we had about 65 apartments for sale in Bahia (we showed to our delegates about the 10 best we had) ; in March we had only 5 left to show that were suitable for expats.
After the earthquake hit in the late 90’s, all new constructions stopped and no condos were built since then.
The apartments available for sale in the resale market are usually 13 to 17 years old and need some refurbishings ; they were built for wealthy Ecuadorian families that came from Quito for their vacations about 3 times a year ; they are usually pretty big (4 bedrooms and about 180 m2/1,900 sq.ft) and sell for about $65 to $68/sq.ft. when located in premium beach areas.
I have been looking for more than 3 years to buy a condo in Bahia and never could find the right size, right price, or right ocean view.
I had almost found a condo in November, that was on the market for just 5 days but when I made the offer, it had sold one hour before. Before making the offer, I took a bit of time to get a quote for the remodeling to American or European standards i.e. new kitchen, wooden floors, new bathrooms ; this amounted to about $15/sq.ft for a total cost of $80/sq.ft but I lost the deal….
Then one day Pascale and I saw a big sign just in front of the Hotel La Piedra on an empty lot facing the ocean and the bay showing a picture of a new construction building. Later that evening I met by pure luck the owner, while waiting at the Manta Airport for my flight to Quito. Coincidence ?
This new construction building told me that what I had felt for over 2 years about Bahia and its development was about to come to fruition; but as of today it is still the only new building in town and I feel that the condos will increase in value quite quickly.
That was last December and here is why I bought an apartment in that new project :
1) The price at $81/sq.ft for a new construction was just $1/sq.ft higher than what I would pay for a used remodeled apartment. That was a no-brainer to me !
2) The location : the view on both the ocean and the bay are just what I was looking for.
3) The finishings are much better than what I expected to get in Bahia with huge terraces on all sides, hard wood floors, American kitchen with hardwood cabinets.
4) Right size : Most apartments had the size I was looking for (2 or 3 bedrooms and about 1,200 sq.ft)
5) I got a free membership to the Tennis club ($1,500)
6) It has amenities that no other building in Bahia delivers i.e. desalinization water system, own generator, 2 pools and jacuzzi on the top floor, nice lobby like a luxury hotel, with outside glass elevator facing the ocean ; 24/7 security, magnetic cards system, underground garage, bodega, etc…
7) It is an income generating apartment : the Hotel La Piedra will rent out your apartment, when empty and do all the cleaning etc… you can also rent it yourself during the High Season (30 to 40 days/year) and could make about 6% on your money during that time.
When I bought last December, I got pre-construction price ; when I came back in February construction had not started yet and when I saw that prices in the used market were starting to rise, I bought a second smaller apartment just for investment because I knew prices would go up by 10% one week later, when construction was set to start. Now the price I got on that second new condo was lower than a similar used/remodeled apartment. (I took advantage of that little price distortion.)
We had a few delegates, who bought in that project at pre-construction prices in the last few months and they have already locked in a 10% profit ; right now construction is well under way, and the building should be finished by December.There are only a few units left ; however, the builder is giving EL premium subscribers and delegates on our next coastal tour a $4,000 custom furniture allowance. There is also a 4% discount available for a 50% cash upfront payment.See the project at : www.oceanbaytowers.com
Inflation is here… but is not so bad in Ecuador… where a great lifestyle in the mountains or on the seas is still affordable.
Learn many ways to beat inflation though… an international micro business…. global investing…. fixer upper real estate… commodities and more at our upcoming International Investing & Business Seminar.
Ecuador Real Estate and Values of Space in Ecuador
Ecuador real estate gains added value because technology changes utility in many ways beyond green. This is why Ecuador real estate offers such opportunity for wealth and beauty now.
Yesterday’s message looked at Ecuador real estate and the kitchen of one Barro Viejo property our last Ecuador real estate tour viewed. Low cost air fares, broadband and almost free communications alter the values of distance and make it possible to live in year round, balmy weather and sun in a dream home that is no longer affordable up north. An example is this property we viewed on our last Ecuador real estate tour.
Few of us can afford such a property with phenomenal views nestled in the hills.
Yet here prices are still afordable and such properties have features only the super rich can now afford…such as arches.
From the first entrance of this “House of the Sun” there are arches everywhere.
The arch has altered the value of space for milenniums. In addition to being one of the oldest structural innovations that has advanced mankind, what can an arch do or mean?
First, arches can create charm. Too bad most people up north can no longer afford this feature. I wonder what this does to the northern soul?
Next they mean an invitation to the softness of Mother Nature. As Barro Viejo puts it, “Man is the only creature that chooses to live in a square”.
Arches add frameworks for visions beyond….
And added attractions to look through space from colorful, comfortable thick walled, breathing, adobe walled rooms.
Arches also grace doors.
And the solid all hard wood doors of Ecuador are another feature that most northerners now miss.
Arches open the way into warmth.
Arches even enhance the out of doors.
Plus add romance and even mystery. Where does this room lead?
Technology makes the space in Ecuador even more attainable than nearby, because prices here are still so low. Ecuador is a new utility that provides modern, but warm and wonderful buildings with arches and more for less.
Plus people are having fun as they discover this truth. Here is what several who have been here in the last months have shared.
“Hi Merri, I have been meaning to share a great compliment with you. Everyone in the group I brought said that they thought La Mirage was beautiful but they were really happy that they stayed with you guys. You and I know that energy is the key and you and Gary have created the place to be. Love and miss you and hope this brought a positive smile to your face today. Please share this with Gary. When are you coming back to NC? Sandi”
“Hi Merri and Gary, Just wanted to say thanks for a wonderful 12 days. Lisa and I had a great time. Lisa’s mother got her flowers today and she says they are spectacular. I have asked the flower supplier about importing them here to Atl for central distribution. Lee is going to help us design our new house here in Atl and we are also investigating importing the wooden miniblinds we saw in one of the houses for sale in Cotacacchi. Thanks again for a great experience.
Cheers, Charlie and Lisa”
“Dear Gary, My wife and I safely arrived to New York. Thank you very much for your hospitality and kindness. We had a great time spending the Saturday afternoon with you and with your lovely wife. Now it is very cold in New York and we are embracing for a wintery mess. I think a lot about the Ecuadorian sun and the great weather. I am sending you a couple of pictures what I made in Cotacachi. Please show them to Merri too. Thank you very much again.
Yours truly, Szab”
“Dear Merri, I apologize for my delay in writing, but I want to thank you for a wonderful conference and for all of your help in getting everything lined out for me prior to arrival in Ecuador. I feel I received some excellent information in both Florida and Ecuador, and I look forward to returning in the not too distant future.
Cotacachi is a nice little town, and you all have a great little place there. It was a pleasure meeting you and I hope to see you again soon.
“Hi Merri, I wanted to write to say ¨thank you¨ for the seminar. I mentioned to Gary that I think I learned more in this one week than I have in my last year of business school. This was the first seminar that I have ever attended, and I don´t expect it to be my last. In fact, I emailed Gary about the condos in Cotacachi, and I am very interested in purchasing one and becoming a member of your community should the land become available. Thanks again for a great seminar; take care. Scott”
“Thanks Merri for the info. Tell Gary he was right on about closing his position in China.. Good Call.”
“Hi folks, Thank you very much for a superb couple of weeks. I really enjoyed the workshops and my introduction to Ecuador. You are both doing a wonderful job there and it was a pleasure to be part of it for that brief moment. I hope to see you again soon. regards, Steve Margison”
Don’t miss our next message that shows how changes in space can create well suited opportunity for you.
Until then, may all your space be warm wonderful and fulfilled!
Join Steve, our man in Ecuador, April 20 – 25, Friday to Wednesday for the Ecuador Spring Import-Export Course.
Or come to our June program including our next real estate & Shamanic Mingo Tour.
June 6 – 10, 2007 Weds. – Sun. Ecuador Spanish + Super Thinking in Ecuador.
June 13 –15, 2007 Weds. – Fri. Ecuador Real Estate Tour.
June 19 – 21, 2007 Tues. Thurs. Ecuador Shaman Mingo.
Attend all Ecuador courses and tours. Save up to $398!
We have created www.EcuadorLiving.com and have launched our Ecuador internet research service to the public. We just finished the last of five courses in a row and Steve, our man in Ecuador, will soon begin traveling this part of Ecuador to sniff out special opportunities that we will share with our EcuadorLiving.com subscribers. Go to Ecaudor Living