What Does Colombia’s Property Market Look Like Post Election?
For many years Colombia has been a pivotal location for US property sales. Easy accessibility to the US, growing wealth coupled with a growing US population & community but over the last 9 months Colombia has been going through arguably the most controversial election for over 2 decades. The election was very much left vs. right – which for a lot of people was concerning for the country. Formerly shown in a negative light for drugs and violence, Colombia has bounced back to become an economical powerhouse in Latin America. However, the recent Presidential election has made the Colombian people very aware of how divided the country is, leading all the way up to the day of the election and even afterwards the uncertainty of who was going to win was very concerning. Colombian buyers saw this as a prime time to buy property in the USA for an investment but also security if the worse was to happen. Statistics show an increased interest in Miami, FL with Colombia taking the lead.
- Colombia: 12.6%
- Venezuela 9.5%
- Canada 7.0%
- Brazil 5.8%
- Argentina: 5.0%
- India: 4.1%
- Peru: 3.9%
- Spain: 3.2%
- Philippines: 3.1%
- Dominican Republic: 2.7%
Now a common question remains, is US property still appealing post the election? From Investorist’s on the ground resources we are finding that there are two main schools of thought:
- People are very happy with the current leader and believe that the Colombia economy will continue to grow. As such, their investments or purchases will be in Colombia. This is still a good thing for US sales – people earn more money they are willing to spend more.
- An electoral division of this type has created a lot of insecurities and some of the recent tax laws have meant that the buyers are wiser to creating wealth or security in other locations, making US property purchases extremely appealing.
Due to all these uncertainties with Colombia, the buyers can take a little bit of extra time and TLC. As realtors & brokers your follow up is paramount to your success. Being in constant communication with the brokers or buyers, supplying updates on the projects/s or the property, data and assisting them through the process in going to be the key to your success.
For all of the earlier reasons, I know that there has been a lot of US property sold in Colombia in the past but I see a lot more business to be done. The major cities obviously hold the most amount of wealth but the second-tier cities is where I see the largest growth for sales. Cities that have a lot of wealth created from a lot blue collar workers – fisherman, farmers etc. The next 12 months hold a huge amount of buying potential from Colombia.
Author Bio: Josh Cunningham
Josh Cunningham, Vice President of Sales Americas for the Investorist, works with international brokerages and developers to market new construction projects to international investors. During his tenure at Investorist, Josh has traveled the world and is extremely versed on working with international real estate professionals how to shorten the sales cycle of new development, international marketing tactics and how to work and sell in China.