When you make any kind of real estate investment, you should always have a plan in mind. That turns out to be easier said than done, especially in a real estate market that is foreign to you. If you plan to buy Cayman properties, for instance, you might not know specifics about which parts of the island chain are most likely to draw a rental market. Before you make such a substantial investment in your own future, keep some of these questions in mind.
How Will You Use the Property?
When people see Caribbean homes for sale, they tend to either look at the rental value, or their own attachment to the property. A full-time rental property in a highly trafficked area could earn 15% of its value within a year, but it’s key for the owner to leave the property alone. That’s difficult for many, who view their investment as a vacation home. We’re not saying don’t buy to rent, we’re saying be realistic about your intentions. The best course of action is working with a vacation rentals or property management company, so you can schedule rentals for your property and time for yourself.
Should I Buy Cheaper Properties?
Properties of varying price points are available on the island, but what that price buys you is important. In remote locations of Grand Cayman, you may find it hard to attract consistent tourists and long term renters. The flip side is that it may be the tranquil getaway you’ve always wanted, and the Cayman Islands enable you to pass that property down to your children without taxes or lots of red tape.
If you keep these concerns in mind, you’re more likely to make a sound investment decision.