- Thread starter Brian
- Start date
cabarete hotel
well considering the price, really adequate. This is heresay as I have never stayed there. Right beside you have the El Magnifico
probably one or two steps up but also more expensive.
I guess it wont be that busy.
probably one or two steps up but also more expensive.
I guess it wont be that busy.
casa blanca
I live in Cabarete and Holga runs a nice hotel. Very laid back, casual, nothing fancy, which is reflected in the pricing
Marina
I live in Cabarete and Holga runs a nice hotel. Very laid back, casual, nothing fancy, which is reflected in the pricing
Marina
La Punta Apartamentos - Thoughts?
What can anyone tell me about La Punta Apartamentos in Cabarete? They seem low priced and configured, but next door to Velero Resort (high end).
Thank you.
In addition, does anyone have any horror stories about foreigners buying property in the Dominican Republic?
What can anyone tell me about La Punta Apartamentos in Cabarete? They seem low priced and configured, but next door to Velero Resort (high end).
Thank you.
In addition, does anyone have any horror stories about foreigners buying property in the Dominican Republic?
Yes . There is this American family that received some properties
with an estate settlement.
A dominican housekeeper was in one of the properties.
They fought in the courts for over a year to get her out of there.
They won once , that went to higher court and won again.
The lawyer of the housekeeper ofcourse never got paid for anything as he was working on commissions in case they won.
This lawyer went to a judge claimed some how that the american family was responsible for all the courtcost which he had paid and send to a fictitious address.
Because of this without further checking the judge awarded this lawyer the tittle of one of those properties.
The lawyer proceeded to sell the house to cover this costs.
This case is now also for the courts.
Beside the case to recover the house there is a case to get this guy debarred.
This is not as easy as was mentioned in another thread.
A lot of their problems could have been prevented had they lived here.
I dont think I would like to be an absentee owner here.
with an estate settlement.
A dominican housekeeper was in one of the properties.
They fought in the courts for over a year to get her out of there.
They won once , that went to higher court and won again.
The lawyer of the housekeeper ofcourse never got paid for anything as he was working on commissions in case they won.
This lawyer went to a judge claimed some how that the american family was responsible for all the courtcost which he had paid and send to a fictitious address.
Because of this without further checking the judge awarded this lawyer the tittle of one of those properties.
The lawyer proceeded to sell the house to cover this costs.
This case is now also for the courts.
Beside the case to recover the house there is a case to get this guy debarred.
This is not as easy as was mentioned in another thread.
A lot of their problems could have been prevented had they lived here.
I dont think I would like to be an absentee owner here.
Squatter's Rights in Cabarete?
Paul,
Wow! That redefines the word "horror". Did the housekeeper claim squatter's rights? If not, why couldn't the owner simply call the police, show their title to the property, and have her physically removed?
If they had lived there, what could they have done differently?
Did this happen in Cabarete? Do you remember the lawyer's name and that of the American absentee owner?
Thank you in advance.
Bottomfisher
P.S. What do you think in general about where we are in the "real estate cycle" in Cabarete? On the upswing? On the downturn after peaking?
Paul,
Wow! That redefines the word "horror". Did the housekeeper claim squatter's rights? If not, why couldn't the owner simply call the police, show their title to the property, and have her physically removed?
If they had lived there, what could they have done differently?
Did this happen in Cabarete? Do you remember the lawyer's name and that of the American absentee owner?
Thank you in advance.
Bottomfisher
P.S. What do you think in general about where we are in the "real estate cycle" in Cabarete? On the upswing? On the downturn after peaking?
this all happens right in the middle of Sosua.
Yes I do know all the names involved. But since it is now for the courts I am not publisizing any names.
plus as a foreigner here I would not dare to **** off these kind of people.
Thats the downside of living in this paradise. I dont feel we have any rights like we would be used to in N.A.
I think if you want to live here successfully you keep quiet and a low profile at all times and at no point ever **** of locals even if or especially if you are right.
I think the real estate sector for choice properties is about to take off.
Holding the market down at the moment are too many properties
in the wrong neighborhoods.Very nice properties to look at
But knowing the location you would nor even take them as a present.
Yes I do know all the names involved. But since it is now for the courts I am not publisizing any names.
plus as a foreigner here I would not dare to **** off these kind of people.
Thats the downside of living in this paradise. I dont feel we have any rights like we would be used to in N.A.
I think if you want to live here successfully you keep quiet and a low profile at all times and at no point ever **** of locals even if or especially if you are right.
I think the real estate sector for choice properties is about to take off.
Holding the market down at the moment are too many properties
in the wrong neighborhoods.Very nice properties to look at
But knowing the location you would nor even take them as a present.
this all happens right in the middle of Sosua.
Yes I do know all the names involved. But since it is now for the courts I am not publisizing any names.
plus as a foreigner here I would not dare to **** off these kind of people.
Thats the downside of living in this paradise. I dont feel we have any rights like we would be used to in N.A.
I think if you want to live here successfully you keep quiet and a low profile at all times and at no point ever **** of locals even if or especially if you are right.
I think the real estate sector for choice properties is about to take off.
Holding the market down at the moment are too many properties
in the wrong neighborhoods.Very nice properties to look at
But knowing the location you would nor even take them as a present.
Last week I went around with friends , they wanted to rent a house or condo for US $ 1000 a month for a minimum of 6 -12 months.
I tell you it was not easy.
The rental availability of good properties are very scares.
For real-estate values in Cabarete the bottom was definitely reached some time ago.
Properties that are priced right move.
But there are still many around priced where the owner says
well I spend 10 years ago 300 000 I need some profit , so he offers for sale at 350 000. That house is probably worth 100 -200 000 so will never sell.
Yes I do know all the names involved. But since it is now for the courts I am not publisizing any names.
plus as a foreigner here I would not dare to **** off these kind of people.
Thats the downside of living in this paradise. I dont feel we have any rights like we would be used to in N.A.
I think if you want to live here successfully you keep quiet and a low profile at all times and at no point ever **** of locals even if or especially if you are right.
I think the real estate sector for choice properties is about to take off.
Holding the market down at the moment are too many properties
in the wrong neighborhoods.Very nice properties to look at
But knowing the location you would nor even take them as a present.
Last week I went around with friends , they wanted to rent a house or condo for US $ 1000 a month for a minimum of 6 -12 months.
I tell you it was not easy.
The rental availability of good properties are very scares.
For real-estate values in Cabarete the bottom was definitely reached some time ago.
Properties that are priced right move.
But there are still many around priced where the owner says
well I spend 10 years ago 300 000 I need some profit , so he offers for sale at 350 000. That house is probably worth 100 -200 000 so will never sell.
That is JJ O'Connel's old property and the bitch that is involved was a thief and a liar...She figured that she would end up with that property a long time ago. Sad part of it is that JJ was a crusty old guy, good heart, and a lawyer, but he never figured on the insidious nature of that woman.... the family will be a lot older by the time this is straightened out, I fear...Course they never really paid much attention to it either...
HB
HB
Top Tick Buyers Trying to Break Even
Paul Thate says:
"But there are still many around priced where the owner says
well I spend 10 years ago 300 000 I need some profit , so he offers for sale at 350 000. That house is probably worth 100 -200 000 so will never sell."
Paul,
I think you are right-on-target. I hear from smart guys like Jazz (Scott) that there has been some real DEpreciation in property values in/around Cabarete. Yet, the owner feels he/she has to make a profit (for ego reasons I suppose). This is how real estate velocity disappears: buyers' bid are reflective of the economics of the property (put a 20% cap. rate on the funds from operations -- rental income less expenses), but the sellers price their offer on what they paid (which is irrelevant).
It seems to me that given one can earn 15% plus in a US$ account in the DR, a real property (with all the hassles and risks) should earn a 20% cash-on-cash return. Thus, a property that cash flows US$20,000/year should be valued at US$100,000 (20% cap rate = 5 x cash flow). Yet, there are guy asking $300-600,000 for such a property? Sure, there is a land value aspect to a property, but in theory that land value should be tied to the cash flows that can be created on that property. If the owner has failed to create more than US$20,000 in net cash flow on that land, then why should I feel I'm so omnipotent that I can create US$100,000 (US$500,000 property asking price reverse capitalized at 20% rate) in free cash flow? Is the current owner that negligent or inept? Or is tourism simply heading south and there are too many properties for rent in Cabarete?
Paul Thate says:
"But there are still many around priced where the owner says
well I spend 10 years ago 300 000 I need some profit , so he offers for sale at 350 000. That house is probably worth 100 -200 000 so will never sell."
Paul,
I think you are right-on-target. I hear from smart guys like Jazz (Scott) that there has been some real DEpreciation in property values in/around Cabarete. Yet, the owner feels he/she has to make a profit (for ego reasons I suppose). This is how real estate velocity disappears: buyers' bid are reflective of the economics of the property (put a 20% cap. rate on the funds from operations -- rental income less expenses), but the sellers price their offer on what they paid (which is irrelevant).
It seems to me that given one can earn 15% plus in a US$ account in the DR, a real property (with all the hassles and risks) should earn a 20% cash-on-cash return. Thus, a property that cash flows US$20,000/year should be valued at US$100,000 (20% cap rate = 5 x cash flow). Yet, there are guy asking $300-600,000 for such a property? Sure, there is a land value aspect to a property, but in theory that land value should be tied to the cash flows that can be created on that property. If the owner has failed to create more than US$20,000 in net cash flow on that land, then why should I feel I'm so omnipotent that I can create US$100,000 (US$500,000 property asking price reverse capitalized at 20% rate) in free cash flow? Is the current owner that negligent or inept? Or is tourism simply heading south and there are too many properties for rent in Cabarete?
No as I said earlier there is very few quality rental property avallable here .
I was in my earlier post not really talking about income producing property.So all your calculations were irrelevant to me.
I did not buy my property here to make money nor am I waiting for apprication.
I built here on the beach what I believe is the best location.
There is no better no where.
If you just want to live somewhere you better of to put your money in a peso account live of the interest and rent somewhere.
My problem was I could not rent anywhere for not any price
a place equal to were I live now.
So I had to buy. And every day since many years I am more happy with that decission.
I was in my earlier post not really talking about income producing property.So all your calculations were irrelevant to me.
I did not buy my property here to make money nor am I waiting for apprication.
I built here on the beach what I believe is the best location.
There is no better no where.
If you just want to live somewhere you better of to put your money in a peso account live of the interest and rent somewhere.
My problem was I could not rent anywhere for not any price
a place equal to were I live now.
So I had to buy. And every day since many years I am more happy with that decission.
Tourism On the Downswing in Cabarete
It seems to me that tourism in Cabarete is on the downswing. Is that the view of many on this thread?
How can one rationalize the US$500,000 prices asked for 2000 sq. meter beach properties on the beach that are not creating any net cash flow? Why would someone buy that for even a fraction of that price? One could live in style at the Palm Beach Condo's for less than the cost-of-carry (opportunity cost of putting up US$500,000 in interest foregone) on that investment.
I'd really like to hear your thoughts on the state of the Cabarete real estate market from an investment standpoint. I am moving more toward the "bear" camp, believing that it is not a good time to buy there but rather better to watch the German economy meltdown further, taking Cabarete's staple tourist revenues down with it.
Thank you in advance.
It seems to me that tourism in Cabarete is on the downswing. Is that the view of many on this thread?
How can one rationalize the US$500,000 prices asked for 2000 sq. meter beach properties on the beach that are not creating any net cash flow? Why would someone buy that for even a fraction of that price? One could live in style at the Palm Beach Condo's for less than the cost-of-carry (opportunity cost of putting up US$500,000 in interest foregone) on that investment.
I'd really like to hear your thoughts on the state of the Cabarete real estate market from an investment standpoint. I am moving more toward the "bear" camp, believing that it is not a good time to buy there but rather better to watch the German economy meltdown further, taking Cabarete's staple tourist revenues down with it.
Thank you in advance.
The germans are not Cabaretes staple tourist.
Over the last few years the language spoken around town
changed from different europeans to english.
And it will only get more so.
To me comparing beachfront living to Palmbeach condos is
comparing fruits and veggies.
Its not even in the same league.
Over the last few years the language spoken around town
changed from different europeans to english.
And it will only get more so.
To me comparing beachfront living to Palmbeach condos is
comparing fruits and veggies.
Its not even in the same league.
Unemotional View of Cabarete Real Estate
As it is clear Paul has found paradise on Earth in his home, I appeal to others who may be capable of responding to the following:
I'd really like to hear your thoughts on the state of the Cabarete real estate market from an investment standpoint. I am moving more toward the "bear" camp, believing that it is not a good time to buy there but rather better to watch the German economy meltdown further, taking Cabarete's staple tourist revenues down with it.
As it is clear Paul has found paradise on Earth in his home, I appeal to others who may be capable of responding to the following:
I'd really like to hear your thoughts on the state of the Cabarete real estate market from an investment standpoint. I am moving more toward the "bear" camp, believing that it is not a good time to buy there but rather better to watch the German economy meltdown further, taking Cabarete's staple tourist revenues down with it.
Paul: the O'Connells probably do not even know that this site exists. What ppossible harm could come to them by airing this situation? Certainly the light of day will clean the sheets..With the exception of his boys, JJ was left out to dry. I totally agree that this is a mess and that the rightful owners are getting screwed....Meanwhile the termites are having a field day..
HB
HB