The year 2023 is right around the corner. Therefore, many of us are more than ready to make some New Year resolutions. One of those could sound a bit like this: I want to find an excellent real estate market to invest in in the upcoming year. If you’ve recognized your thoughts somewhere between those words, you’re in for a treat. That’s because we’ve prepared a neat little article on why you should invest in Puerto Rico real estate in 2023. Once you’re done reading it, you’ll quickly notice no place left for hesitation.
What’s so special about Puerto Rico real estate market?
Let’s go through the basics first. It’s only natural for us to pose the following question: why’s Puerto Rico’s real estate market so special? Many folks say that the island in question is something you’d call a one-of-a-kind destination. Puerto Rico is a tourist paradise with its beautiful sandy beaches, fantastic all-year-round climate, and attractive architecture. That’s only the beginning.
Here’s the thing: as you might know, Puerto Rico is a commonwealth of the United States. Therefore, US citizens are not restricted from buying property on the nearby island. Also, US citizens don’t have to go through customs while traversing between the island and the US mainland. That’s, among other things, why folks from the US see Puerto Rico as a phenomenal business opportunity and a place to go on a vacation.
Lastly, since the country emerged from bankruptcy this year, there’s been a boom in the local real estate market. In the following paragraphs, we’ll show why investing in Puerto Rico real estate might be pretty profitable!
Reason #1: There’s a demand for affordable housing developments
Okay, so according to the folks over at the US Interagency Council, many Puerto Rico citizens face homelessness. Various natural disasters (most notably – hurricanes Irma and Maria) have done some good damage to local architecture and housing. If you’re into numbers, 250 000 houses were damaged in this way or another. Around 70,000 were completely devastated. There hasn’t been much improvement since the crisis began regarding affordable housing. There’s still an enormous market demand for affordable housing developments all around the country. That could be your shot to build such projects, say the folks over at brightfuturestreatment.com! As addiction treatment experts, they know how the lack of housing can affect a person’s mental health and lead to substance abuse.
Reason #2: Legal protection and currency
As we’ve already mentioned, the island of Puerto Rico is a so-called unincorporated territory of the US. Its affiliation with the US enables investors to take advantage of certain benefits. Folks looking to relocate their companies to the island will enjoy some perks, too. For instance, the US dollar is the island’s official currency. It’s not hard to transfer capital in and out of Puerto Rico. Another thing: since Puerto Rico is a US territory, it facilitates official processes based on the US system under Federal Law. Therefore, (potential) investors will enjoy much greater legal protection than in other neighboring countries (not counting the US, of course).
Reason #3: Tax incentives
We should’ve mentioned this as one of the first reasons to invest in Puerto Rico real estate. The country’s government has made tax incentives under Act 60 to persuade and encourage (real estate) investors to establish their residences and business in Puerto Rico! Since the market flopped due to the natural disasters and the accompanying consequences mentioned above, the prices haven’t risen for years. However, that all changed recently due to the tax incentives given by the island’s government. You could say that right now is the perfect time for investing in Puerto Rican real estate market. Many foreclosures and distressed portfolios that “gathered dust” on the market have been sold. Don’t waste this unique opportunity to earn a profit while the prices are still on the rise.
Reason #4: Perfect location
This one goes without saying: Puerto Rico enjoys a fantastic strategical location. Here’s some info to back up that statement: due to its strong ties to the United States, there are direct flights from Puerto Rico to most major cities in the US. Let’s try this: you’ll need to fly 2.5 hours to Miami and a 3.5-hour flight away from NYC. Also, there are many international flights to various places around the world like Madrid, Frankfurt, London, etc. That’s one of the reasons why many folks around the world (especially from the US) see Puerto Rico as an ideal holiday destination, and the demand is getting stronger. You could easily make some good money by obtaining a rental property there.
Reason #5: Puerto Rico has an infrastructure more sophisticated than its neighbors
As a United States territory, the island reaps benefits from a sophisticated infrastructure that’s more or less lacking in other neighboring countries in the Caribbean. As always, let’s provide some information to back that up. In addition to having the busiest airport in the Caribbean, Puerto Rico has eleven seaports, 24k miles of highways, and the first rapid transit system in the Caribbean, the one that serves the San Juan metro area. Additionally, the island has high-speed broadband internet and a robust landline, wireless, cloud, ethernet, and other services.
#6: Quality of life
Nowadays, Puerto Rico is one of the top destinations in the Caribbean. That’s because it enables its residents to have a high quality of life—the country’s home to some of the best hotels in the world. Most have world-class golf courses (Sugarcane Course at Dorado Beach, for instance). Speaking of this lovely sport, Puerto Rico is dubbed “the golf capital of the Caribbean.” One can do many other activities on the island besides golfing (shopping, dining, entertainment, etc.). That means that Puerto Rico is booming at this very moment, and you need to take advantage of such a boom. The upcoming year might be when you venture into obtaining a property in Puerto Rico.
Closing thoughts: Invest in Puerto Rico real estate
Okay, folks, that’s all we’ve prepared on why one should invest in Puerto Rico real estate during the upcoming year. As you could’ve read, the island’s thriving real estate market is currently in a phase where things still haven’t reached their maximum. That’s an excellent opportunity to buy a property while the prices are still low and profit later.