No more excuses: Invest now
Published: Jul 29, 2013
Today is the best time to start investing in your children’s future.
When planning your investments, real estate has always been one of the best ways to plan for you and your children's future. It is never too soon to start investing, and the quicker you get started, the greater the rewards.
Land in The Bahamas, especially waterfront, has seen extraordinary gains. For example, 25 years ago you could have bought a property in Lyford Cay for less than $60,000 – the same property today is selling for $660,000 or more. That is a tenfold return on your money. If you would have kept the same $60,000 in the bank at four percent interest compounded monthly you would have, after 25 years, approximately $164,000, or only 2.75 times return on your money.
If we look back in time, we most certainly will find hundreds of properties throughout The Bahamas which have experienced similar price increases. More often than not, many of my clients will reflect on the fact that they once had an opportunity to purchase a particular property at a very reasonable price many years ago but, for one reason or another, they always found an excuse not to buy... it is too small; too large; too steep; too new of a community; not enough children; too many children; too far west; too far east; too far from a school; too far from work; etc. Now, that same piece of property is no longer affordable to them.
In the past few years, the real estate market in The Bahamas has experienced a price correction making properties in certain areas much more affordable. With this, investors are stepping in and prices will soon be on the rise again. With more and more developers giving incentives such as in-house financing and lease-to-own, there has never been a better time for you to start investing. Think about this, 25 years from now we will most certainly be once again looking back in time repeating the same old lament, “Oh, if I had only bought that property.”
The world is becoming much smaller with the ease of travel and continued population boom. With this, there will be continued pressure on property prices in the long term both here and around the world. With property prices reaching up to $10,000 per square foot in places like Hong Kong, prices around the world will continue to rise. The price of $1,000 per square foot for a condo in any major city is not an exception but is rather becoming a rule. Avoid the regret and invest today. Your children will thank you for it.
• Carmen Massoni is president of Bahama Islands Realty and has 18 years of experience in the real estate profession in The Bahamas. She has been the recipient of many international awards recognizing her as a top producer amongst her peers. If you have any questions or need real estate advice, call 322-7770 or email Carmen@BahamaIslandsRealty.com.