Belize Emerging INSIGHTS INTO THE EMERGING REAL ESTATE MARKET OF BELIZE 2016
BELIZE MAP AND DISTRICTS
KEY FINDINGS The following is a summary of the key findings gleaned from Belize Emerging 2016, our inaugural analysis of the emerging real estate market of Belize. Nestled on the western edge of the Caribbean as the only English-speaking country in Central America and with currency directly tied to the US dollar at a fixed rate of 2 to 1, Belize is just beginning to capture international attention as an emerging luxury real estate market for second-home buyers targeting the resort luxury housing market. Location is still the dominating factor in Belize luxury real estate with beachfront properties and sprawling jungle/mountain estates commanding the highest premiums. Ambergris Caye, the Cayo District, and the Placencia Peninsula are the hottest markets in Belize with foreign nationals representing 95% or more of the buyers in key beachfront areas. Although the average starting price for a "luxury" home across the globe is $2 million USD, significant value can be derived in Belize where the average price of a luxury home is under $1 million USD. The quality and volume of luxury inventory in Belize is increasing rapidly as media drives increased awareness and airlines bolster international flights into the nation. Extremely low property taxes combined with government programs such as the Qualified Retired Persons Incentive Program render Belize as an incredibly lucrative option for second-home and retirement buyers. Luxury inventory in Northern Ambergris Caye will expand rapidly over the mid-term as the Belize government improves infrastructure including building a new road and international airport. This area represents some of the most lucrative long-term value in the entire Caribbean.
REGIONAL SPOTLIGHT AMBERGRIS CAYE, BELIZE DISTRICT Ambergris Caye is renowned as the premier beachfront location in Belize. Protected off its eastern flank by the Belize Barrier Reef, the Caye is the largest island in Belize, and only minutes away from world class diving, snorkeling, and fishing. Ambergris Caye is about 40 kilometers (25 miles) long from north to south, and about 1.6 kilometers (1 mile) wide. San Pedro is the largest town and serves as the hub for aircraft and water taxi transportation from the mainland. Demand for high-quality investment properties remains robust and is expected to stay on par as new inventory is released. Competition for upscale villas and beachfront homes is notable to the north and south of San Pedro, and is likely to strengthen as interest increases from European and Southeast Asian buyers. Southern Ambergris Caye is showing tremendous potential in the near term. We are also extremely bullish on the appreciation value of northern Ambergris Caye over the mid to long term. We expect to see considerable new construction in this area over the next five to ten years as the northern area captures the attention of high net worth individuals and becomes the new epicenter of luxury real estate for the island.
REGIONAL SPOTLIGHT PLACENCIA PENINSULA, STANN CREEK DISTRICT The Placencia Peninsula has quickly become a premier beachfront location for buyers seeking upscale amenities in a more tranquil and modernized environment. With 25.7 kilometers (16 miles) of sandy beaches and paved roads leading from the mainland, Placencia is bordered by the Caribbean Sea to the east, and by a charming lagoon offering a mountain vista backdrop to the west. Placencia is home to a plethora of upscale developments offering a variety of inventory that appeals to discerning buyers. It is the perfect location for clients seeking to access the best of Belize; the beaches and reefs to the east, and the jungle and rainforests to the west. We are seeing luxury inventory in the Placencia region emerge rapidly to meet increasing demand from foreign buyers. Sailors and yachtsman will appreciate the maritime amenities offered by the Placencia Peninsula, to accommodate the needs of larger yachts. Sailing, fishing, and whale shark spotting are all popular activities in this area. Property prices are increasing year-over-year in Placencia, but there is still tremensdous value available in the luxury category. Our outlook for this region is extremely robust over the mid-term. This is a marquee area that is going to become even stronger with time.
REGIONAL SPOTLIGHT SAN IGNACIO, CAYO DISTRICT The Cayo District of Belize is revered for its lush jungles, massive cave systems, towering mountain ranges, and wealth of Mayan archeology that mesmerizes the mind and soul with each glance. Bordered by Guatemala to the south, the Cayo District is the largest district in Belize and home to Belmopan, the nation's capital. The Cayo District was recognized as one of the best places in the world to retire by Live and Invest Overseas, a leading authority on overseas expat retirement living. Luxury buyers with adventurous hearts and minds seeking to create unique experiences with nature will find the Cayo District extremely appealing. Vast acreage can easily be accumulated, allowing for elaborate and unique customization in property design. Interest in the Cayo District is exploding rapidly. The climate and landscape are notably different than in our beachfront regions. Agriculture is prevalent, which opens up an entirely new category of amenities for those seeking amazing jungle and mountain experiences. The lifestyle of the Cayo District can be raw and robust, and is not meant for faint souls. The Cayo District is love at first sight for many buyers, but it's not for everyone. Those who are up for a challenge may find it one of the most spiritually rewarding journeys of their lifetime.