Friday, March 26, 2021
Dear Your Overseas Dream Home Reader,
Greetings from Puerto Vallarta.
I’m writing to you from a restaurant 20 minutes south of town. Another five minutes from here is the site for a potential future Real Estate Trend Alert members-only opportunity.
This stretch of coast is jaw-droppingly beautiful. I explored it by boat on Tuesday…now by road…and I’m meeting the area’s most important landowners to see what might shake out.
RETA members stay tuned…
In a matter of hours, I’m dropping an important Alert to RETA members…
It’s an urgent opportunity on a small handful of luxury condos in a superb golf community on Portugal’s Central Algarve.
They come fully furnished, ready to move in, or rent…
And RETA members are getting a 15% discount.
Our price with that discount is €242,250, and the included furniture is worth €22,000. (Take that into account and our price is more like €220,250.)
In Portugal, we can expect financing of 75% at 1.5%…so we’ll be into the deal for a little over €60,000 and that locks in potential gains of over $180,000 five years from now.
For a 25-year mortgage you could be looking at a monthly repayment of just €727 ($860).
However, the developer has added a condition to the discount. In just a few days the deal is gone. On Friday, April 2, he’s taking it off the table.
I suspect, with limited supply, it might even be gone before that…
This is what I call a “Flash Deal.” A special one-off investment opportunity I send to RETA members that’s usually gone as quick as it arrives.
It could be a single home or condo, or an unusual opportunity…. I’ve found them all over, by the beach in Belize, lake-view in Costa Rica…on the cobbled streets of historic Europe…even in Chiang Mai.
Often the seller is motivated…their circumstances mean they want out…sometimes it’s just an overlooked opportunity, ours for the taking, and other times it might be an auction property…
In this case, it’s a classic crisis story. The original developer went bankrupt after the financial crisis of 2008/09. The community was taken over by the bank, then passed to an American firm, and finally a Spanish developer took over.
It’s always been well-maintained but missed the subtler things needed for a great vacation and second-home community…
Now that’s all set to change under new leadership. With a top-tier management and executive team in place and a location just 35 minutes from the international airport at Faro, the community where we have our RETA-only discount is set to emerge from the shadows of foreclosure.
Here’s a quick look at the numbers:
- The condos are priced at €285,000 for the open market…
- With the 15% discount the RETA price is €242,250…
- I figure they’ll be worth €400,000 five years from now.
- Bank financing of 75% is available—meaning you need only put down €60,563…
- For a 25-year mortgage at that 1.5% rate, that’s a monthly repayment of just €727 ($860).
Remember, the condos come fully furnished, to the value of €22,000.
Factored in with the RETA discount, it means our price is €220,250. That’s a killer deal for a community like this in such a central location on the Algarve.
Like I say, I’ll be bringing all the details on the deal to RETA members in a matter of hours.
If you’re not a member, the only way to get in on deals like this is to become a RETA member. Like I say, these Flash Deals go fast. Be ready for the next one by signing up here today.
Wishing you good real estate investing,
Ronan McMahon, Real Estate Trend Alert