I have to give my friends in the States credit for being able to cope with their wildly fluctuating economy. One day the market will be up 400 points and the next it’s down 650. I remember when a 75 point downturn was enough to reach for the antacid. Now, it’s little more than a blip. Just when the trade war with China seemed to be leveling, we received news that $300 billion worth of additional goods will be subjected to new tariffs. Mexico has just replaced China as the US’ largest trade partner and it’s difficult to know if the US is headed to a recession. You hear “expert” predictions all over the place!
I’ve spoken with a lot of people this week because we recently launched the new Casa Pintada residential complex project which, in my opinion, is perfect for individuals seeking a hands-off, low-risk investment. If the unpredictable stock market is making you a little dizzy, the Casa Pintada project is solid, predictable and provides an income stream for years. Let me tell you how.
Scrambling For Housing
The new Panamanian copper mine is up and running, with thousands of employees and contractors scrambling for housing. Investors are pleased with a projected return on invest of up to 11.4% and a relatively small down payment of $56,000. That would represent 50% of the purchase price of the smallest unit. But, with developer financing on the balance and monthly rental income anticipated from $1,500 to $1,800, purchasing more than one unit suddenly makes sense!
Both Short- And Long-Term License
The variance in what an investor would profit each month would depend on how they decide to rent and finance the residence. The great thing about these units, they have both short- and long-term rental licenses. If rented short-term, the price for each night would be slightly higher than if the investor entered into a long-term lease agreement. There is more hassle when rented sort-term, but the occupancy rate is expected to bet close to 100% for several years.
The copper mine, that rests just along the Caribbean side of Panama, is now the largest such mine on the globe and it is expected to contribute more to Panama’s gross domestic product (GDP) than the Panama Canal. Yes, it’s that big!
The engineers and scientists predict the mine will be productive for the next 34 years. Recently, a second vein was discovered which would simply add to the vastness and life of the mine. That certainly makes these residential units attractive for the long haul. Approximately 3,500 employees work in the mine today and 1,000 contractors are on site daily and they all need a place to sleep!
This offering is truly a package deal. It qualifies as a 401K investment, where you can purchase the property with your retirement savings and reinvest the funds into something with a greater return and better stability. The US Government maintains very strict rules about investing 401K funds privately and certain strict rules apply to this unique offering, First, you must pay for it totally out of your retirement account, not use the property ever for personal use and all profits must be returned to the 401K., maintaining all the current rules for withdrawals. With on-site property management, everything is handled within the US Government rules. This opportunity would allow for an investor to purchase and then forget, allowing for the rental income stream to bolster your retirement savings.
Someone Else In Charge Of The Day-To-Day
Because someone else would be doing all the day-to-day work including marketing, cleaning the apartments and managing front desk details, it requires very little work on the owner’s part. First Quantum Minerals, one of the world’s largest and most respected mining operations globally, will be working with the Casa Pintada residential complex. They know happy workers make for happy, productive employees!
First Quantum will market to the miners, make the complex attractive because there will be buses with pick-ups on-site for employees going to and from the mine each day. There will also be a separate water treatment plant, open green space, schools and numerous restaurants and retail options.
There will be expenses, of course, and depending on financing and size of the unit, owners should expect to pay somewhere between $640 and $889 per month, per unit for a conservative annual profit of around $10,000 on a $56,000 investment. All accounting will be handled by the property management company. First Quantum will be sending the renters, many of whom will be contractors with specialist skills flow in from overseas, and Panama will enjoy the positive economic impact, while investors have a long-term low-risk investment income stream.
Britain, Germany And The Rest Of The World
I know it’s a volatile world. I worry about Britain and Brexit, Germany ’s economy has slowed and the Amazon is on fire, but the GDP in Panama is steady and vibrant. We have multiple infrastructure project on-going, including a fourth bridge over the canal, a new cruise terminal, convention center and international airport terminal and a third metro line.
This is such an exciting project. I’d love to chat with you about the opportunity. There are only so many units and they have been selling quickly. The pre-construction pricing won’t last, but developer financing will. If you’d like more information, go to the Casa Pintada page: https://casapintadainvestments.com/ or go to my website: https://www.lizlarroquette.com/.
Set up a private consultation time by calling my US office: 502.630.0318 or in Panama: 507.6981.1717. I’d love to hear from you!