Where So Much More Goes For So Much Less. For Now
By Nick
Recently an American expat wrote that one can live or retire on a beautiful Caribbean island very comfortably for $800 per month. That includes a maid, enjoying a great night life, eating and drinking well without counting every penny. Cigarettes and alcohol are cheaper than bottled water, and for $2 you can fill the tank of your car…….amazing!!
Spending your days on a tropical white sand beach, surfing, swimming, snorkelling, sundowners on the beach and someone to come in and do the washing up in the morning. Sounds too good to be true? Read on.
Where is it?
Isla Margarita! Known as the "Pearl of the Caribbean", is situated 38 km north east of the mainland of Venezuela and far from the track of Atlantic tropical storms. Its location as an island in the Caribbean Sea offers lots of beaches to explore, most of them virgin. I can’t understand why this beautiful island is never listed with all the other Caribbean islands; it seems to be all by itself, oh well!!
Margarita Island is divided into two sections tenuously linked by a 24 km. sand spit which separates the sea from the fascinating Restinga Lagoon National Park. At its largest, Margarita Island measures 67 km from east to west (Punta Ballena to Punta Arenas) and 32.4 Kms. from north to south - 167 km. of shoreline liberally endowed with inviting beaches.
The western part of Margarita Island is called the Macanao Peninsula. It is sparsely populated and has seen little tourist development due to the limited availability of water. Wild deer, goats and hares roam the mountainous interior and the sandy beaches are only visited by the local fishermen.
The mean temperature is 27 degrees Celsius and the annual rainfall averages 27 inches resulting in mostly arid landscapes with some wooded areas and fertile valleys.
Margarita is a Tax Free Zone, no stamp duty, no VAT and nearly a no-tax island.
People are talking about Island Margarita. That you can live and work here or just own a holiday home as a non-national expat and not be exploited by the government, as happens on other Caribbean countries. The Venezuelan Government welcomes investors and people who want to retire here, live here and start a business with open arms.
This island has a cosmopolitan feeling and amongst the Spanish speaking Venezuelan population, there are communities of Brits, Spanish, Canadians, Danish, Dutch, Americans and Irish. Spanish is widely spoken here and is advisable to have some knowledge of the language especially in the cities. Spanish lessons are available at reasonable rates.
Can I get there EASILY?
Yes there are direct flights from both sides of the Atlantic! From Europe, Venezuela is served by many major European airlines; Air France, First Choice, Alitalia, British, Iberia, KLM, as well as other charter flights from Belgium, Germany and Spain.
Venezuela is only a three hour direct flight from Miami, five from New York, and US routes are served by American Airlines, United, Continental, and Delta, and the Venezuelan airlines Servivensa (direct flights from New York and Miami), and Aeropostal (direct flights from Orlando).
During the cold North American winter there are charter flights from Montreal and Toronto offering great deals to Margarita.
A further option is to fly to the mainland, where a range of international airlines fly into Caracas, the capital of Venezuela. Margarita is a 35 minute onward flight
What About Security in Margarita I hear you say?
Well it’s no different then any other country in the world. If you walk down the no-go part of your city at 2am in the morning by yourself, chances are something not so good wills probably happen to you, unless you really know how to take care of yourself. It’s the same in Margarita, but the bad guys tend not to go to the tourist area, so its just common sense.
Because it’s a small island and hard to escape from, there is little serious crime. Petty crime is a problem on many Caribbean islands, and common sense and a little street savvy will keep your personal belongings safe. As a foreigner moving around in the city or tourist areas, you will be stopped in your car by the police and asked for your papers. So remember to carry your passport when travelling.
Talking of safety there are no drink/driving laws on the island so watch out while walking on a Friday night, because the side walk (Pavement) and the road are considered one and the same!
Is there an Infrastructure?
Over 300,000 people live on Margarita Island most of whom live in the eastern part where the capital of Asuncion and the shoppers paradise of Porlamar are located.
The facilities are similar to every big city in the world, at least a dozen big shopping centres, supermarkets and shopping malls, the biggest being Sambil Mall, modern even for European standards with all the well known brands, Bulgari, Versace, Tommy Hilfiger, etc. I know there are more big names but I cannot think of any at the moment. OK, you are now going to say, how could you not know? It’s quite simple. I don’t DO shopping… I hate it with a passion. If I offered to go shopping my wife would faint! And we would have to make a trip to Ralph Lauren to help her recover! I can’t win!
There are a great number of restaurants and bars. Many specialise in seafood, but there are many other cuisines including Japanese, Chinese and Argentinean. There are many, many hotels on the island including a Five Star Hilton with a casino. More information can be found here, http://www.porlamar.com/
Yachts and yachting is a big pastime on Margarita and marinas exist for all kinds of yachts and boats.
The International airport offers facilities for private planes, and there are a few historical museums, cultural centres, and cinemas.
Golf course
Isla Margarita Golf Club has an 18 hole course, and is playable 365 days a year due to the exceptional climate conditions in the beautiful region of the Valley of Pedro Gonzales. And every hole on the course has a stunning view of the sea.
Other recreational areas include the cruise ship dock and many amusement and theme parks. There are plans for a monorail to connect many of these faculties.
And finally, Musipan is a well known theme park on the southern shore of Margarita. The park was designed for adults and children. Live bands and singers provide entertainment throughout the day. There are also a range of bars and restaurants. Amongst its attractions are five waterslides leading down to four different swimming pools and poolside bars.
Being a tax free zone, people from the mainland and other islands flock to Margarita at the weekend for their duty free!
I have saved the best for last.
The beaches on Margarita are numerous and there is something for every time four the beach goer.
Playa El Agua -Longest and most popular, Playa Parguito -Surfing beach; young people
Playa Guacuco -Narrow, pretty; calm, Playa El Yaque -Windsurfing and kite surfing
Playa Craibe -Night parties and caves, Juangriego beach -Calm, pretty sunsets
Playa Galera -Calm, pretty sunsets La Guardia -Rocks and shells Playa Manzanillo -Fishing boats, pretty sunsets Playa Puerto Viejo -Most visitors are hotel Hesperia's guests
Playa Puerto Cruz- Long and pretty. Near Dunes and Hesperia hotels.
Playa Zaragoza- Small, calm, idyllic bay with fishing boats. Great for swimming. I don’t think I have missed any
What about Healthcare?
There is excellent private healthcare in Margarita. There is also plenty of private home help for those needing extra care.
So is it Possible for Non-Residents to own a home in Margarita?
Yes indeed! All you need is a valid Passport and an RIF tax identification form which can be obtained from an attorney. There are no legal restrictions for a non-resident to own property on the island.
There are several good reasons to consider property ownership in Margarita:
• Easily affordable properties starting at just £45,000 GBP (less than $89,000 US) for a fully furnished studio apartment
• Properties are currently up to 70% cheaper than any other Caribbean islands
• Margarita is the only island in the Caribbean which is outside the hurricane belt
• You could expect more than 30% Capital Appreciation in the first 12 months based on past performance
• Guaranteed rental returns due to the booming tourist industry together with the lack of rental property supply and hotel accommodation.
• Up to 10% rental guarantee programme for a maximum 10 years available for new builds
• 2,300,000 million tourists in 2006
• 12 months of sunshine and summer weather with average temperatures of 28C
• 315 km of beaches including 93 km of clean and safe bathing beaches
• Venezuela the second fastest growing economy in the world after China with a 162% stock market increase in 2005
• Margarita offers a very low cost of living with cheap petrol, cheap food, no taxes, no VAT and virtually no property tax
• Modern infrastructure, shopping centres, casinos, golf and a vibrant nightlife
But there must be Taxes?
Isla Margarita is a duty free island with no VAT, no Wealth Tax and no local Income Taxes. Property taxes are negligible.
So what’s safe and Available for Non-Residents to invest in NOW?
Since then there has been a great deal of attention on vacationing and buying property in Isla Margarita, manifesting itself in a number of ways. For example, there is a huge shortage of two bed room apartments, for renting on Isla Margarita.
Buying ‘off plan’ property on Margarita Island can benefit you in three ways.
1. It is entirely possible to achieve returns in excess of your initial investment in 24 months.
2. Your profit is free of any liability to local capital gains tax. Holding on to your property for the longer term means you can benefit from investing in one of the fastest growing property markets in the Caribbean.
3. In addition to this, you will also have a great holiday home while your property is appreciating value.
With this in mind, we have looked at a number of different projects currently in varying degrees of progress. Prices are shown in Pounds Sterling and an approximate dollar exchange.
Exclusive Development from Signature Properties
UK Main Agent
El AGUA BEACH Club
Porlamar
2 Bed /Bath 2 Garages
Duplex
Fully furnished
Rental guaranteed 5% for 2 years
www.signatureoverseasproperties.com
