Now is the time to buy! Nicaragua is growing as a second-home destination, agents say. Prices for homes are typically lower than in Costa Rica, Panama and other regional destinations, and the country’s infrastructure is slowly growing more competitive with other markets.
From 2003 to 2008, there was a rush of building and enthusiasm for vacation home projects in Nicaragua, agents say. Prices for developable land tripled from 2003 to 2008.
When the market stalled in 2008, in the wake of the global economic crisis, many projects were left unfinished, and North American buyers grew scarce. But in recent months, sales activity has been growing, especially along the coast, agents report.
Prices in the beach areas of Southern Nicaragua have been “steadily going up over the last 18 months,” said Zachary Lunin, a founder of Aurora Beachfront Realty.
But it is still a buyer’s market, agents say. Developers continue to release new property, creating more supply. Many homes for sale have been on the market for months and negotiations are common, often resulting in purchase prices 5 percent to 15 percent below asking prices.