Property inspection trips to Cape Verde Islands
Sal, Boavista, Santiago, Sao Vicente, Maio, Santa Antao
Be independent. The only free cheese is in a mouse trap
In 2005, we organised our own trip to the Cape Verde Islands.
There weren't any subsidised trips when we bought our property.
And we certainly would not have taken one, as we we wanted to do
our own thing. We even thought we might be able to visit all the
islands by ferry. (Wrong).
Which would you prefer?
Meet who you want to meet, and go where you want to go? So that
you can get the real low-down on what will still be a big investment,
if not time committment for you. Or would you prefer to have someone organise it all for you at seemingly little cost and pay the long term price?
See, touch, smell, hear, feel - use your 5 senses
You could be down-wind of the local sewage farm,
opposite dogs barking all night, next door to the local laundry, underneath the flight path, or six foot from your neighbour's house, unless you go and look yourself.
How hot will you be, with the ventilation proposed, or do you want
to get blown off your balcony .... How long does it take you to get to your property under your own steam and where/how would you do your grocery shopping? If you are going to have air conditioning, how many units will be installed, and if your kitchen will have a fridge will it be larger than a mini bar?
Think about how appealing your property will be to potential renters
or future purchasers. What are they looking for, and what they will
pay, to work out realistic yields. Cape Verde Jetaway offers all types of rental accommodation
from one bedroomed flats to larger villas, and have been talking
to exactly these people every day.
Visit several islands
If you don't know which island you might like, why not see several.
To optimise your time, book your island hopping in advance. Compare
and contrast, then decide what you like and what suits.
Stay where you want to stay, not where they put you
You're used to travelling and making your own decisions about where
you want to stay. There is lots of choice, in lots of islands. Choose
your own accommodation - why end up in an unpopular hotel, chosen by a developer when you could stay somewhere nice?
Take your time
Don't rush. No one else does in the Cape Verdes! Work out what
suits you, and what may and may not happen. Use your trip to talk
to locals. When I say locals, I mean Cape Verdeans who have lived
in the Cape Verdes all their lives, or at least foreigners (non-Cape
Verdeans) who have been there for several years and speak the language
fluently. Decide for yourself what you think the right prices should be, and how realistic any future plans are, such as the much publicised marinas and golf courses, which have not materialised in many islands. At the time of writing there is an earth golf course in Sao Vicente, and a marina there.
Dont' take the free lawyer
Many developers are offering free lawyers. Generally this means thier lawyer. Find your own impartial local lawyer or business advisor - not the seller's. They
can tell you things you need to know and will act for you, not the vendor. It's nice to think that it's possible to use a lawyer in the UK to work for you, but we would recommend a Cape Verdean lawyer as a result of feedback. Enquire about boring things like service charges, ownership of common parts, what the resort is classified as (aldeomento turistico or condomimium) condomium fees and rental yields and look at all the contractual arrangements. If you don't enquire about these boring things now you may never get answers later. Get an independent assessment by a financial expert of any claims of positive returns on your investment. Get to know and understand
the local people and decide if the Cape Verdes is for you. Some developers have wrapped up their offer with financial engineering, or with nice people who will do all the job for you, and all you have to do is sit back and relax (would you believe this in the UK?) . Please take time to read the small print, and if there isn't any, it's not too late to run away! Don't let the heat get to your head - better still leave your cheque book at home til you can go back and think straight.
Have a holiday and some fun!
If you're buying a property as your holiday home, retirement home,
or holiday rental, long term rental, then get a taste for yourself what it's like
to be in the Cape Verdes. You need to check that what's on offer at your property matches what you
or your potential renters/investors like doing. Be aware that the long term rentals command far lower rents than the short term holiday rentals. Become a holiday
maker yourself and compare the Cape Verdes to other places you have
thought of investing.
Do you treat your property in the Cape Verdes purely as an investment?
If so, look hard and cold. Look at the numbers and compare
with investing in other types of less exotic investment, with less foreign exchange risk. Check out very carefully
promises of guaranteed or promised rental income against previous developers' experience
in holiday letting. Find out the costs of ownership, maintenance contracts, service charges, guaranteed income whether net or gross, and for how long. Some of the rental contracts offered are for many many years. Is that what you want? Sometimes seemingly attractive yields can be ways of disguising high initial prices. Are there any strings attached to your income, such as expensive furniture packs or costly required upgrades to your property?
Can you sell your property again?
Make sure that the price you are paying is a fair one, otherwise
you may lose out when you come to sell again. If the developer tells you that prices are rising dramatically and that you are bound to make a killing, take your time to look
around and see what the re-sale values really are, not just what
the asking prices are, as many may be heavily inflated. Some property
may have been hanging around for some time; some has been selling quickly.
Ask yourself why? With the pound weak against the euro and the majority of buyers being British, what will happen to re-sales?
Save money in the long run - look on your inspection trip as an investment
If you rush out and rush back, you will find it hard/impossible to know whether
you are paying a fair price for an investment taking into account a risk factor, whether it has correct paperwork, and whether you will be happy in the
Cape Verde Islands (having a beach nearby does not guarantee happiness).
If you are buying in a resort, then get in contact with the owners' groups to see whether the resort is being run correctly, by organisations with sufficient experience and competence. By investing time now, you could save money, or at least prove to yourself that
you are confident about your investment decision. If you find something you like, allow yourself enough time to check it out with an independent lawyer of your own choice. You will be able
to find your own contacts with independent views. At worst you will
come back with a healthy suntan, and won't have lost a fortune!!
Talk to Cape Verde enthusiasts, who talk property from the buyer's point of view
We'll suggest the best-value trip to meet your needs. We monitor
new flight routes, new airlines, new tour operators, new hotels
and apartments and different ways of getting you to the Cape Verdes.
We can advise generally on which islands might be of interest,
depending on your time horizons, and what you want to do with your
property - ie live in it all year, visit occasionally, or view it purely as a revenue earner. Even if you are looking at property as investment-only, you
will need to know where it is, what it's like, how near the local
facilities are. Unless you are buying the equivalent of a timeshare, you will need to go and visit it, so it's important that you like the place, because like it or not, you are going to be visiting the Cape Verdes for years to come!
Letting your property in the Cape Verde Islands
We will shortly be publishing a guide with hints and tips on looking after your property, and getting your property ready to let and how to equip it to make it suitable for the Cape Verde environment. If you wish to talk to us about this please phone the number above.
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