Belize Qualified Retired Person Program (QRP)

Belize QRP

Qualified Retired Person Incentive Program

The Belize Qualified Retirement Program (QRP) was created to facilitate eligible people who meet the needed requirements, to obtain residency while allowing them an easy way to permanently live and retire and relax in Belize.

Belize is recognized as a top tourist destination and is also considered to be a top destination for people looking for retirement in the Caribbean. To incentivize people to move and retire in Belize, the Belize Tourism Board (BTB) put in place the Qualified Retired Person Incentive Program (QRP). The QRP was developed in the 1990s to open doors for anyone over the age of 45 who is looking to retire in the Central American-Caribbean paradise of Belize.

Belize offers retirees a lot of upsides; English-Speaking, British Common Law, Low-Tax Jurisdiction, close proximity to home, and warm Caribbean Climate. With the influx of retirees and Baby Boomers, Belize has developed a “Permanent Tourist” sector. The QRP was put in place for retirees whose income allows for self-sustainability. The benefits of Belize’s QRP Program for the individual and the country are significant. As stated by International Living “Belize has one of the world’s best retiree programs”.

 

Who Qualifies for QRP?

The QRP is a great program and allows people who meet the criteria to move and reside in Belize (while easily obtaining residency). Though the QRP is a great program, it is not for everyone. There is a list of qualifications that a person meet to apply and get approval. To be granted approval for QRP the qualifications include;

  • A person must be 45 years or older to apply.
  • When applying dependents include spouses and children under 18 years.
  • A person must meet the financial requirement and be the beneficial recipient of a retirement income of $2,000 USD monthly or $24,000 USD annually generated from a source outside of Belize in an approved foreign currency.
    • Retirement Income includes:
      • Pension
      • Annuity
      • Social Security Benefits
      • Investment Account
      • Inheritance
      • Reverse Mortgage
      • Personal Savings
      • Retirement Contribution Plans
      • And other means of retirement income
  • A person applying for QRP must be able to provide a written undertaking to deposit the required amount in a bank, credit union, or licensed financial institution in Belize.
  • Must pass a security clearance check carried out by the Ministry of National Security in Belize.
  • Must be able to remain in Belize for a minimum of 30 consecutive days annually (every year).
  • Qualifying Countries for the QRP include people with citizenship or status in:
    • All Commonwealth countries excluding Belize
    • United States of America
    • Canada
    • Member States of the European Union [EU]
    • Asian-Pacific countries of Australia, Bangladesh, China, India, Indonesia, Japan, Laos, Malaysia, Myanmar, New Zealand, Pakistan, Philippines, Singapore, South Korea, Sri Lanka, Taiwan, Thailand, and Vietnam.
    • All South American Countries

 

QRP Incentives & Benefits

The QRP offers applicants and QRP members an array of benefits. Any person who has been accepted into the QRP Program is entitled to the following under the Belize Retired Persons Incentives Act

  • Belize Residency Status – QRP holders and their dependents shall receive a QRP Resident Card to reside in Belize allowing multiple entries into the country without a Visa. *Resident card to be renewed annually *
  • Duty Exemptions – QRP holders shall be entitled to import duty and tax exemption on the following, for personal use only, within the first year of acceptance into the program:
    • Household & Personal Effects multiple entries allowed with no limit on the dollar value of effects
    • Motor Vehicle [Model must be within the last 5 years] – QRP’s are allowed to purchase a new vehicle every four [4] years with proper disposal of the previous vehicle
    • Light Aircraft [Model must be less than 17,000 kg]
    • Motor Boat
  • Tax Exemptions – QRP holders shall be exempted from all taxes and duties on income received from a source outside of Belize, capital gains tax, and inheritance tax (estate tax).
  • Ease of Purchasing Land – QRP holders are entitled to purchase land for the construction of a home or purchase a home for residential use only.
  • Dependent Benefits
    • Dependants under QRP can engage in any employment in Belize
    • Carry on any business, trade, or profession within Belize if such business relates to activities carried on mainly outside of Belize and conducted exclusively with persons not resident in Belize.
    • Make any investment in Belize (Belize Real Estate and Belize Real Estate Investment for example).
    • Practice philanthropy and volunteer work in Belize.

QRP Member Benefits:

  • Qualified Retired Persons can import personal effects free of import duties;
  • Qualified Retired persons are strongly encouraged to purchase a vehicle in Belize. The vehicle must not be more than three years old. Though they can import a vehicle without import duties.
  • This requirement is the same for imported vehicles.
  • Qualified Retired Persons can import a boat free of import duties to be used for personal use;
  • Qualified Retired Persons are exempted from payment of all taxes on income received from outside the jurisdiction of Belize.

QRP Dependent Benefits:

  • Belize Residency Status – Dependent will receive a QRP resident card allowing multiple entries into Belize without a Visa.
  • Engage in any employment in Belize.
  • Carry on any business, trade or profession within Belize if such business relates to activities carried on mainly outside of Belize and conducted exclusively with persons not resident in Belize.
  •  Make any investment in Belize.
  • Practice philanthropy in Belize.

 

Retire and Invest Program

The BTB (Belize Tourism Board) has introduced a new program that allows QRP holders the ability to more freely invest in Belize and conduct business in Belize. QRP Members will be entitled to carry on business in Belize with approval if the Member meets the following qualifications:

  • A Business Plan
  • Proof of Investment of at least 1 Million Belize dollars (US$500,000.00)
  • If the person has resided in Belize for at least 180 non-consecutive days.
  • The Business must employ at least five Belizean citizens.

Benefits:

A QRP Member granted approval to carry on business in Belize will be eligible for the following:

  • Permanent residency after designation as a QRP for five (5) years;
  • For the grant of any other license or permit necessary for carrying on business in Belize;
  • Practice philanthropy in Belize.

 

Documents Required for QRP

  1. A QRP Application Form.
  2. Notarized Birth Certificate for each family member (QRP applicant and dependants)
  3. Notarized Marriage Certificate (if the spouse is under QRP)
  4. Original Police Record from last place of residence (issued one month prior to application).
  5. Color Copy of the entire Passport (including all blank pages). This is required for each family member and/or dependant. Each page must be certified and stamped by a notary.
  6. Proof of Income. An official statement from a Bank or any other Financial Institution from the country of residence will be required certifying that the applicant is receiving the required financials for QRP. Proof of a monthly income of a minimum of US $2,000.00 or $24,000.00 US annually. This can be through a pension or annuity that has been generated outside of Belize. Once approved, all retirees are requested to open a local bank account and deposit their monthly pension funds or annual income in the Belizean institution. The Belize Tourism Board will request bank statements on a yearly basis to show proof of income and compliance with the retirement program.
  7. Medical Examination and blood work.
  8. Four front (profile) and four side passport photographs of the QRP applicant and each member of the family applying as dependants.

 

Things to Know About QRP

  • Qualified Retired Persons are not allowed to seek employment in Belize, however, voluntary work and business investments are encouraged.
  • Qualified Retired Persons need to submit a yearly bank statement showing compliance with the financial requirements of the program.
  • Qualified Retired Persons are required to renew their retiree status every year.
  • Qualified Retired Persons need a customs broker to process your importation of personal effects, vehicles, or boats.
  • Qualified Retired Persons are not allowed duty-free on items used to repair or build, nor tools of their trade.

The benefits of the QRP Program include a permanent exemption from all taxes in Belize (estate taxes, income taxes, capital gains taxes, and most import taxes). And while the Belize QRP visa offers full-time residency, new residents can enjoy all the QRP benefits even by spending as little as one month in Belize.

The requirements to successfully enter the Belize QRP Program are remarkably simple when compared to residency programs in other popular retirement destinations. It is a program put in place to incentivize foreign investment and retirement in Belize.

If you are considering retiring in Belize and looking at buying Belize real estate, contact us at RE/MAX Belize!

 

Retire and Invest

  • People who are under and apply for QRP shall be entitled to carry on business in Belize with the approval of the BTB if the person meets the following criteria:
    • A Business Plan.
    • Proof of Investment of at least 1 Million Belize Dollars (1 million BZ) (or $500,000 USD)
    • If the person has resided in Belize for at least 180 non-consecutive days.
    • The Business must employ at least five Belizean citizens.
  • A QRP granted approval to carry on business in Belize shall be eligible for:
    • Permanent residency after designation as a QRP for five [5] years.
    • For the grant of any other license or permit necessary for carrying on business in Belize.
    • Practice philanthropy in Belize.

 

Retiring in Belize

Retiring in Belize with QRP
Infographic showing retiring in Belize and QRP program.

Belize is a Leader in Sustainability

Belize is a Leader in Sustainability

The United Nations defined “sustainability” as “meeting the needs of the present without compromising the ability of future generations to meet their own needs.” 

Sustainability has become a popular buzzword in both the tourism and real estate industries. That said there are countries that take more action when it comes to environmental policies and sustainability. Countries, like Belize, have programs in place to help protect the environment, and culture and reduce the ecological impact. Belize is leading the way when it comes to environmental policies and sustainability (according to Forbes).

Many countries in the region of Caribbean & Central America depend on tourism dollars as their primary source of income and GDP. Belize is a country that has a lot of its economy centered around tourism. Much of the tourism to Belize is around the country’s natural ecosystem including the Belize Barrier Reef & lush Rainforest Jungles. Preserving the environment of Belize is not only the right thing to do, but it also makes good economic sense based on the country’s tourism sector.

Belize is located in Central America on the Caribbean side, just south of Mexico (below the Yucatan Peninsula) because of this, Belize has a decidedly Caribbean feel and culture. The geographical location and Caribbean Culture (also being English Speaking)is appealing to visitors and tourists who want to go snorkeling, diving, and fishing in some of the most beautiful water in the world and along the world’s largest living reef. Belize is home to the second-largest barrier reef in the world (the largest living reef). It has a plethora of islands off the coast, including Ambergris Caye (the largest island and most popular destination in Belize) with rainforests blanketing the mainland.

With the environment being a large tourism driver, Belize has set up several programs to not only attract travelers but to protect the land and its ecosystem.

For example, Belize has put in programs to protect endangered species such as the Jaguar, also partnering with the Maya Forest Corridor, protecting landscapes from Belize’s Maya Mountains, through the tri-national Maya forest. This region which consists of Belize, Mexico, and Guatemala is the most extensive continuous stretch of jungle in Central America.

More than 70% of Belize is forested, these lush rainforests make the Belize jungle a mecca for wildlife. Belize has also dedicated that 46% of the country is protected National Park & Marine Reserve. Because of this, Belize has over a hundred protected areas, both on land and around the reef.

Belize is also at the forefront of leading cultural sustainability, with efforts to support local community tourism so travelers can engage with and learn about the local Mayan & Garifuna cultures. Belize has a rich history filled with cultural diversity. The plethora of Mayan Temples are all protected and are a key part of Belizean Heritage.

 

Sustainability of the Reef & Ocean

The Belize Barrier Reef is the country’s largest attraction and something natural to the region. Because of this, Belize is very active in preserving the water and coastline. There are a number of protected areas and Marine Reserves (including Hol Chan and the popular Attols). Belize has also banned all commercial fishing from its water, as well as banned commercial drilling from the coastline.

The waters and reefs along the East Coast of Belize and extending the entire coastline host a diverse variety of marine life, from sting rays, manatees, sea turtles, and colorful corals. The Belize Barrier Reef draws scuba divers, snorkelers, fishermen, and water enthusiasts from all over the world. Belize has a reef protection and sustainable tourism program to go along with the “Blue Economy Initiative“, these programs include a new diving site where divers can explore the marine life and waters while reducing strain on these radiant reefs and eco-systems.

Belize has put in place a law and moratorium on offshore oil exploration and drilling in the entirety of Belizean waters. The reef is an integral part of many Belizeans’ livelihoods, whether in the fishing industry or tourism industry, and preserving that water is a key sustainability effort.

Belize also has the Fish Right, Eat Right program which has a commitment to sustainable seafood. The program was created to control illegal fishing and promote best practices in fisheries. Many restaurants, especially in Ambergris Caye, have signed up for the program and have been sourcing seafood responsibly and through local vendors. The program initially targeted restaurants and hotels but is slated to include cooperatives, fish markets, supermarkets, and other seafood purveyors within Belize.

 

Belize Sustainability Programs

Ecotourism thrives in Belize with environmental activities, including hiking to waterfalls, horseback riding, ziplining through the canopies, and visiting wildlife sanctuaries. Belize is known to be a culinary destination and is actually devoid of chain restaurants, with locally produced food and popular local restaurants, travelers can enjoy the food and Belizean culture.

Recently, eco-resorts in Belize have become increasingly popular as they prioritize sustainability as their basis in all things they do.

 

If you are looking to learn more about Belize’s sustainability efforts or would like to explore Belize real estate and investment opportunities contact REMAX Belize!

RE/MAX Worldwide Network & Stats 2023

RE/MAX 2022 Year in Review

RE/MAX Belize is part of the RE/MAX network and one of the most recognized global real estate brands. RE/MAX has a large market share and presence in Belize with 13 offices and over 100 agents. The RE/MAX brand just celebrated 50 years at the annual R4 conference. At R4 the stats and numbers for RE/MAX in 2022 were released. Not only has RE/MAX grown in Belize, but it has also grown globally. In 2022, RE/MAX remained the #1 brand in real estate. Showing once again that “Nobody in the World Sells More Real Estate Than RE/MAX”.

RE/MAX is more than a brand, it is a network of agents from around the world!

As of year-end 2022, RE/MAX had over 140,000 agents worldwide and a presence in over 110 countries!

You can see the global presence of RE/MAX in the map below;

 

Not only does RE/MAX have a large global presence, but RE/MAX also remains the largest and most recognizable real estate brand in the world. RE/MAX also once again had the highest agent productivity by brand with over 16 transactions per agent. RE/MAX is in over 110 countries with almost 9,000 offices and over 140,000 agents worldwide.

 

If you are looking to learn more about Belize real estate or want to invest in Belize contact RE/MAX Belize. The #1 Name in Real Estate!

RE/MAX Belize Team Awards & Accolades at R4

Dustin Rennie, Will Mitchell, Ruben Young & Trevor Stack Winning at RE/MAX R4

RE/MAX Belize at R4 Awards & Accolades

The team at RE/MAX Belize was recognized as a team and as individuals at the annual RE/MAX R4 Event in Las Vegas. Not only did the RE/MAX Belize Team win the Caribbean & Central America Brokerage of the Year for 2022. William Mitchell & Dustin Rennie were also recognized by RE/MAX Global for Career Achievement and Acknowledgement for selfless leadership, outstanding accomplishments, and unwavering passion for the network.

 

Will Mitchell

Will Mitchell RE/MAX Pinnacle Award
Will Mitchell RE/MAX Pinnacle Award

2022 Pinnacle Award
The Highest Individual Award for annual gross commissions. $2 million+ in gross commissions in a single year.

#2 Residential Producer in RE/MAX Caribbean & Central America
The second-ranked residential real estate agent in the Caribbean & Central America.

RE/MAX Top 100 Agents for 2022
RE/MAX Top 100 Year-End: Worldwide Residential & Commercial Agents.

Top 10 Global RE/MAX Residential Agent (#6 Ranking)
Ranked #6 Residential Real Estate Agent among all RE/MAX Global Agents.

 

 

Dustin Rennie

Dustin Rennie Top Commercial Agent in CCA 2022.
Dustin Rennie with RE/MAX Belize winning top commercial agent for Caribbean & Central America.

#1 Top Producer Commercial Agent RE/MAX Caribbean & Central America 2022
The Top Producer & #1 Commercial Real Estate Agent for RE/MAX Caribbean & Central America in 2022.

2022 Diamond Award
RE/MAX Diamond Club – recognizes associates who have earned $1 million or more in gross commissions in a single year.

Your membership in the RE/MAX Diamond Award Club represents a pinnacle of success attained by only a select few in the real estate profession. Your commitment to your customers and clients as well as your contributions to the real estate industry – are deeply valued by RE/MAX! Congratulations on your spectacular year. Thank you for your important contributions to the success of our organization.

RE/MAX Top 100 Agents for 2022
RE/MAX Top 100 Year-End: Worldwide Residential & Commercial Agents.

Top 10 Global RE/MAX Commercial Agent (#8 Ranking)
Ranked #8 Commercial Real Estate Agent among all RE/MAX Global Agents.

 

 

Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young at R4 Event Caribbean & Central America.
Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young at R4 Event Caribbean & Central America.

 

Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young Brokerage of the Year 2022 RE/MAX CCA.
Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young Brokerage of the Year 2022 RE/MAX CCA.

 

Ruben Young & Trevor Stack at R4
Ruben Young & Trevor Stack at R4

 

Trevor Stack

RE/MAX Platinum Award
Recognizes individuals and teams who earned $250,000 to $499,999 in gross commissions.

Broker Owner of the Year Caribbean & Central America RE/MAX 100

 

Ruben Young

RE/MAX Platinum Award
Recognizes individuals and teams who earned $250,000 to $499,999 in gross commissions.

RE/MAX Caribbean & Central America Rookie of the Year
Recognized as the top first-year rookie agent for RE/MAX in the Caribbean & Central America.

 

RE/MAX Belize at R4

Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young at R4
Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young at R4

 

Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young at R4 Event Caribbean & Central America.
Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young at R4 Event Caribbean & Central America.

 

Dustin Rennie, Will Mitchell, Ruben Young & Trevor Stack Winning at RE/MAX R4
Dustin Rennie, Will Mitchell, Ruben Young & Trevor Stack Winning at RE/MAX R4

 

Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young Brokerage of the Year 2022 RE/MAX CCA.
Will Mitchell, Dustin Rennie, Trevor Stack & Ruben Young Brokerage of the Year 2022 RE/MAX CCA.

 

 

Forbes Lists Belize & Ambergris Caye Among Best Beach Destinations for Families

Belize Ranks Among Forbes Best Beach Destinations

 

Wendy Altschuler a travel writer for Forbes who covers travel, adventure, and culture across the globe, wrote an article on January 28, 2023, on The 9 Best Beach Destinations For Families with one of the 9 destinations being Belize, and more specifically, Ambergris Caye.

Forbes, the rеnоwnеd buѕіnеѕѕ аnd trаvеl mаgаzіnе, hаѕ lіѕtеd Веlіzе аѕ оnе оf thе bеѕt bеасh dеѕtіnаtіоnѕ fоr fаmіlіеѕ (one of the nine locations mentioned in the article). Fоrbеѕ lіѕtеd Ѕаn Реdrо Аmbеrgrіѕ Сауе hаѕ а “mаgісаl аnd full оf fаmіlу-frіеndlу wоndеr”.

Wendy Altschuler with Forbes said in the article;

“Magical and full of family-friendly wonder, Ambergris Caye has it all. Rent a golf cart, the only way to travel all over the island, and visit Secret Beach (not all that secret), where you can spend the day swimming in the warm water, snorkeling, boating, or enjoying good food. Visitors can also enjoy the underwater world in the pristine waters of Belize. In San Pedro Town, be sure to stop at Caye Coffee Roasting Company; Belize Chocolate Company; and the food truck haven, The Truck Stop.”

It is amazing to see Ambergris Caye get global recognition from Forbes and rank among the top 9 beach destinations for families. Belize has entered the world’s radar, continuing to be featured in major publications around the globe. The Belize Barrier Reef remains the country’s top tourism driver, but the fact our beaches are ranked among the top for families is a further reason so many people visit Belize each year.

The article by Forbes listed other top beach destinations for families as well, and Ambergris Caye ranked among the likes of; The Bahamas, Maldives, Puerto Vallarta, Grenada, Maui, St. Kitts and Nevis, Seaside (Florida), and Cavallo Point (California).

 

Ambergris Caye Real Estate

With all the publicity going towards Ambergris Caye, the real estate market continues to grow. Publications like Forbes reach an international audience. The more people learn about Belize, the more tourism comes to Ambergris Caye. There is. a direct correlation between tourism numbers and real estate values. With higher visibility and recognition, tourism will grow. As tourism grows, so will the demand for nightly vacation rentals. There is a direct correlation between tourism growth and real estate appreciation. If you are looking at owning property or investing in Ambergris Caye Real Estate contact RE/MAX Belize!

 

Growth & Development at Belize Secret Beach

Belize Secret Beach

Secret Beach on Ambergris Caye, Belize has been growing and developing fast, and with all the new development there has been even more momentum around the West Coast. Between new homes being built, exciting new communities, and announcements of high-end resorts, the West Coast is really at a tipping point! Because of this, we wanted to update you on everything happening at Secret Beach.

You can see a Secret Beach 2022 Video below;

 

 

 

 

Everything around Secret Beach (the beach clubs, bars, restaurants, boutique hotels, homes, etc.) happened between 2016 and now. With the recent announcements, the trajectory is starting to take off!

You can see the growth and development of Secret Beach in the image and video below;

Six Senses Resort & Residences

Secret Beach has become one of the region’s most popular beach destinations, and it is also starting to attract high-end developments, including the recently announced Six Senses Resort Belize!

Between the Six Senses, Ixchel Resort, Habitat Belize community, and the other upscale developments coming to the area, you will likely see equity appreciation and property prices rise because of it.

The recent announcement of the Six Senses resort has been the biggest news for the area since Leonardo DiCaprio purchased his island, Blackadore Caye. Six Senses is one of the top internationally recognized luxury hotel brands. It will also be the first official 5-star resort brand on the island of Ambergris Caye and will be located near Secret Beach.

 

 

 

Ix Chel Resort Wellness Resort

At Secret Beach (just north of the beach bars), you have a new upscale boutique resort nearing completion. Ix Chel Wellness Resort is well underway and nearing completion. It brings an exciting new vision and design to the west coast with a vibrant atmosphere. Both resorts will bring more restaurants and businesses to the West Coast, further propelling the desire to live and stay in the area.

You can see photo renderings of the project below;

 

Belize Secret Beach Real Estate Investment

Off-beach, there are dozens of new homes, with more being added every month. There are also quite a few exciting new projects and communities underway off-beach (within a mile of the West Coast). Our team at RE/MAX Belize is excited to share those with you so you can see how much is happening in the area and the new opportunities available near Secret Beach.

Secret Beach changed dramatically over the last several years (2016 to 2023), and the next 6-years will see an even more substantial leap forward. By 2028, it will see even more development as these are only the first few dominos to fall. The West Coast is really at a tipping point, and there are still opportunities to buy off-beach Belize land for under $50,000 with financing available. Whether or not you build/develop the land, the Secret Beach properties are an amazing opportunity to be part of one of the region’s top emerging destinations!

Learn more on our Guide to Secret Beach Real Estate Investment.

The property near Secret Beach has a huge upside with little risk. You own an asset in an appreciating market hedged against inflation for less than a bank account annually. The only cost of ownership is the $75 to $90 per year property taxes (paid annually in April). You own the land outright, with a fee-simple title, financing is available, and the cost of ownership is almost nothing.

You are able to purchase a property and build. Or just secure the land and ride the organic momentum that will drive real estate value up.

Our team looks forward to chatting with you and making your Belize real estate dreams a reality!

 

Belize Real Estate & Exodus of Expats

The Exodus of Americans Moving to Belize

Every year, more-and-more people are looking at investing and relocating off-shore. Whether it is for lifestyle or retirement, Americans & Canadians are rethinking their lives and where in the world would provide the best future. This is shown by the recent migration stats.

Americans & Canadians are leaving their home countries and seeking foreign visas in record numbers, according to immigration lawyers and expatriate organizations. Belize saw an unprecedented number of Americans not only inquiring about Belize real estate but also following through on their pledge and taking the steps to leave over the last 3-years (2020, 2021 & 2022). This is seen by the growth in the expat population on Ambergris Caye over recent years.

The number of Americans who were recorded as having given up their citizenship or U.S. residency soared to 5,816 in the first six months of 2020, compared with 2,072 in all of 2019, according to data from the Internal Revenue Service.

Dan Prescher, the senior editor of Internationalliving.com, said traffic related to “how to move out of the U.S.” surged 1,676 percent in 2020 and has been a continued trend since.

“Quieter, more stable countries start to look appealing,” he said.

The exodus has been led by not only baby boomer expats, but also young professionals looking for an opportunity and parents looking for countries with open and safe schools that provide futures for their children. No matter the age, the group largely consists of Americans with financial means and the ability to work virtually, or are in a position to relocate.

 

Why are people leaving?

The U.S. State Department reported in April that there are a record 8.7 million Americans live abroad. This number alone speaks for itself – never before has such a large group of U.S.-born citizens lived abroad. They’ve decided that it’s time for a change, to move to a new location where they are able to not just survive but thrive.

People’s motives for leaving or seeking relocation differ. But overall, the objective is a better life and a more promising future. The IMMI Group analyzed the top 10 motives for leaving the US, the list includes;

  1. Money
  2. Cost of healthcare
  3. Taxes
  4. Government regulations
  5. Freedom

 

Why People Are Looking at Belize & Ambergris Caye

Belize Real Estate & most of all Ambergris Caye Real Estate have seen a boom over recent years. Most of the buyers are people looking at living and/or investing overseas. This is seen by the growth in Belize real estate transactions over recent years;

While there is no nationwide MLS for Belize to track the total sales data and the number of real estate transactions, RE/MAX Belize is the largest real estate company in Belize with over 100 agents in 13 offices and shows a good indication of where the market is at and how it has grown. 

Total sales volume increased 8.7% from 2019 to 2020, followed by a staggering 167.7% from 2020 to 2021.  Based on current year-end projections, sales volume and real estate transactions in Belize are expected to grow by 301.5% year-over-year from 2021 through 2022.

From the beginning of 2020, at the start of the COVID pandemic, through to 2021, total Belize real estate sales volume has increased by 190.94%.

For RE/MAX Belize, the market has seen the number of sales exceed 2019 total sales volumes by 300% (299.6%).

Potential buyers are increasingly younger with more-and-more buyers being in their 40’s and 50’s (compared to retirees of earlier years).  Most of the people purchasing Belize real estate are from the US and Canada. Among the top reasons for considering Belize for second homeownership:

  • Allows diversification outside the USA or Canada
  • Provides a safe secure alternative during societal unrest
  • The only English-speaking country in Central America
  • Close geographic proximity to the USA
  • No capital gains tax, very low property taxes 
  • Tropical Caribbean climate
  • World-class fishing, diving, snorkeling, and watersports 

Second home ownership in Belize is like “going abroad with training wheels”.  It’s a very safe and easy experience, and the number one comment from those who have done it is that they wish they had done so sooner. 

 

Ambergris Caye Relocation

The top reasons people choose Belize and Ambergris Caye real estate include;

  • Safety
  • Tax protection
  • Accepting of new residence
  • Stable political climate
  • Affordability
  • English speaking
  • Schools & Education
  • Racial and cultural diversity and acceptance
  • Currency pegged 2:1 with USD
  • Climate
  • Opportunities and room to grow
  • Freedom!

Many countries have restricted accessibility to residency, which makes travel and relocation more difficult. Not Belize. Right now Belize is open and accepting tourists, expats seeking offshore residency, and citizens. Belize is a small country that is very pro-foreign investment with a small population. The country’s agricultural independence and desirable climate make it one of the top destinations for Americans & Canadians seeking relocation.

There are many other thriving places to make a life. This has led to many people seeking a brighter tomorrow, a life that provides freedom, safety, security, and support.

 

8 Reasons to Buy Overseas Real Estate Right Now

8 Reasons to Buy Overseas Real Estate

Luigi Wewege

President, Caye International Bank

  • There was an upturn of 3.2% in the GDP figures in the third quarter of 2022, but the change is unremarkable.
  • Despite indications of growth in some economic activities, most economists suggest the economy will continue to slow for at least the next few months.
  • Financial markets and other investments in the US, including property markets, remain unpredictable, creating a demand for more tangible assets and the diversification provided by overseas real estate.

The Bureau of Economic Analysis readings for the third quarter showed a +3.2% change in the US GDP in the third quarter, compared to -0.6% in the second quarter. Despite growth in some economic activities like industrial production, retail sales, and job growth, many economists still fear the possibility of a lurking recession.
Investors tend to turn to hard assets at times like these, and since the US property market faces a price slump, they look for overseas property opportunities.
“There are many reasons why investors turn to overseas real estate,” says Luigi Wewege from Caye International Bank, “but one of the major reasons is seeking a haven from the type of economic volatility we currently face.”

 

Here are eight reasons to buy overseas real estate right now

1. Discounts Due to Currency Advantages

When buying with USD or another strong currency, you can buy much more property in a market abroad with a weaker currency. Currently, the USD is at historic highs, meaning enhanced spending power.

The current surge in the value of the US dollar is producing unexpected opportunities for property investors holding the currency in many overseas real estate markets. It’s at historic highs against the euro, the pound, and other key currencies.

 

2. Currency Diversification

Buying a house overseas allows you to gain the benefits of diversifying into another currency. Currency diversification through property enables you to gain the benefits of earning an income or equity gain of the property in that country’s money.

Buying with the current strong conversion rate for the USD can also mean that even if the property value does not increase in local currency, you will have appreciation if the exchange rates return to historical averages.

 

3. Cheaper Properties

Besides the advantage of currency savings, properties in many overseas countries are highly affordable compared to properties in many US beach towns. “Caye International Bank facilitates real estate loans in five currencies and low-interest rates, with negotiable amortizations and terms,” says Wewege.

 

4. Earn an Income

Whether you buy a second home or have your eye on investing some money, overseas real estate can generate an income that can help pay for the property running costs and create a nest egg in the local currency. Even if you plan to holiday at your overseas property, you can rent it out short term to others.
Remember that most European countries have lower rental net yields for long-term rentals, but these increase with short-term rentals, especially in the coastal areas of the Mediterranean.

 

5. Privacy And Tax Advantages

Americans don’t have to report their personal or rental overseas property to the IRS. Therefore, your foreign property remains out of reach to lawsuits, your ex, and the US taxman.
There are also some US tax advantages when you rent out the property. For example, the interest paid on your mortgage is deductible from your taxable US income, as is the cost of trips to check on your asset.

 

6. Diversify Your Portfolio

Investing some money on overseas real estate diversifies your investment risk because it’s in another market. But, as we said earlier, you also diversify your exchange rate risk and avoid liability risks.

 

7. Brings Residency Perks

If you want to fast-track residency to countries like Greece, Spain, and Portugal to access the Schengen Area, you can purchase a property as part of their Golden Visa Programs. In addition, some countries like Northern Cyprus and Montenegro don’t have a price limit on how much you can spend to receive residency.

 

8. Low-Cost Vacations

Besides investing your money wisely, buying overseas real estate means you can choose a place to holiday without adding expensive hotel stays. As a result, you can enjoy the benefits of holidaying (or even retiring) somewhere with a lower cost of living, and you can escape the cold winters of the US.

 

Final Take

As you can see, buying overseas real estate makes perfect sense right now, especially if you want to diversify your investments and create an income in another country. In addition, your investment can provide you with a dream holiday destination and a financially secure retirement. For more information on investing offshore and in Belize real estate contact RE/MAX Belize!

 

By Luigi Wewege

5 Reasons to Invest in Belize Real Estate

Investing in Belize Real Estate

Belize real estate has become a popular topic among investors. Investing in foreign real estate can feel overwhelming and knowing where to invest requires a lot of research. When investing offshore and buying foreign real estate, an investor has nearly endless options and destinations to choose from. With all the options and countries around the world, it is hard to know which location has reached its peak and which has room for growth (especially from an investment standpoint). Investors always want to find real estate with appreciation growth potential.

We’ve all heard real estate investors say, “location matters,” and it is easy to see why destinations in the Caribbean as well as South and Central America are so appealing. The regions are home to some of the world’s most beautiful beaches, a warm climate, and an affordable cost of living. All of these are factors that make an offshore investment appealing, but different locations have advantages. Many foreign investors are realizing that Belize real estate has some untapped potential and that the market is only just starting to “take off”.

Take a look at some of the five top reasons why it is smart to invest in Belize real estate.

 

5 Reasons to Invest in Belize Real Estate

 

1. Belize Tourism is on the Rise

If you are looking to invest offshore and in a foreign market, you will likely want to find a destination that is on the rise and has growing tourism (which increases awareness). Luckily, Belize tourism is really booming, with more-and-more people traveling to Belize and visiting Ambergris Caye.

Every investor has a slightly different motive or reason to invest in Belize real estate. Sometimes, buyers/investors just want to have their own slice of paradise, a tropical getaway. You might invest in a Belize vacation property so that you can spend time in Belize, or eventually have your nest for retirement.

However, one of the leading reasons people invest in Belize real estate is the tourism income generated from nightly rentals and vacation rentals. Investors looking at Belize often look at the cash flow and yield potential with plenty of buyers interested in buying real estate as a way to earn a profit. If you want to turn your real estate into an income generator, that produces passive earnings, you will want to invest in a market with growing tourism.

Belize tourism hit an all-time high in 2019, with over 500,000 overnight tourists arriving in the country. In 2022, Belize’s tourism rebounded to nearly pre-COVID numbers. In 2022, Belize’s tourism was at 81% of its peak. If you take Belize’s tourism growth over the last 12 years (2010 to 2022) it grew at a rate of 14.6% annually. That is compounded year-over-year growth. Very few destinations in the world see double-digit annual tourism growth. You can see the year-over-year growth illustrated below;

Belize 2022 Tourism

Belize Tourism 2018 to 2021

Belize Tourism Recovery

Belize Tourism Board

 

In 2019, Belize saw more visitors overall, both via the airport and cruises, than any year prior. In 2022, we saw the tourism numbers nearly reach the 2019 peak (81% of peak pre-COVID tourism). Some of this can be attributed to the strong investment The Government of Belize and the private investment sector have made in infrastructure development projects in the region. It is also largely associated with the emergence of branded hotels in Belize like; Hilton, Marriott, Margaritaville, Wyndham, Six Senses & Four Seasons.

Belize’s tourism is on the rise, and that is a strong investment indicator. The more tourists, the more rooms are rented, and the better the vacation rental ROI.

Not only has Belize seen an annual tourism growth rate of 14.6% over the last 12 years, but Ambergris Caye (the #1 destination in Belize) has seen the highest volume of all Belize tourism while also seeing a rise in population. The population of Ambergris Caye has grown by an annual average of 8% over the last 5 years and grew at a rate of 17% the 10 years prior.

For those who own Belize Real Estate & Ambergris Caye Real Estate, the increased awareness, and tourism correlate to a rapidly growing audience of potential renters who may wish to rent a Belize vacation property.

A growing tourism industry isn’t just ideal for those who want to generate rental revenue each year. It is also ideal for those who want to see the value of their property grow. The more people that visit, and the higher yield an income property produces, the higher the resale value. As Belize continues to grow, so will the value and price of real estate.

 

2. Foreign Investors Actually Own Their Property

Most destinations in the region (Costa Rica, Panama, Mexico, etc.) do not grant foreigners the same property ownership rights as locals. One of the biggest risks of investing in real estate overseas is that ownership rights can be confusing, and often a foreign investor will not actually own the real estate. In some destinations, citizenship or residency is required in order to buy and own real estate outright. For a foreign investor investing overseas, this can mean less security and more risky investment. It is not uncommon for countries to have a leasehold or require some sort of trust for a foreigner to own real estate.

It is very common when you buy international real estate, an investor is really only buying a “leasehold” for a set number of years. If you plan to leave the property to your children or dependents in the future, this can again be a concern.

With Belize real estate and Belize property, none of these issues are a concern. Belize is one of the few countries with British Common Law that has full foreign ownership and allows foreigners to have freehold property ownership with a fee-simple title. In Belize, it is rare to hear of disputes over land ownership. A property owner is granted a land title, which they own outright. Anyone, even foreign investors, can purchase property in Belize. To own and invest in Belize, you do not need to be a national, have citizenship, or be a resident. You can truly own property as a foreigner.

Even better, when buying Belize real estate as a foreigner means that you own the property outright, and leaseholds are virtually nonexistent. This gives an investor a greater sense of security and more peace of mind. Belize is one of the best offshore markets to invest in for capital protection. Belize also does not recognize squatting rights.

 

3. Stable Currency

When investing in foreign real estate, you want to ensure your investment is secure and that the dollar value of that investment appreciates with a stable currency. It is important to ensure you are investing in something with property value retention. Investing in a market with high inflation and owning an asset in a volatile currency is a risk and a valid concern. When investing offshore it is important to consider if the local currency of the jurisdiction you are considering fluctuates and avoid markets with high currency volatility/inflation.

The Belizean currency is the Belizean Dollar which is a pegged currency at 2:1 with USD. In Belize, currency fluctuations are minimal since we are pegged to USD, and the fact that almost all real estate transactions are in US dollars. If you own Belize real estate, you own an appreciating asset in USD. You own the property in a stable currency without the risk of domestic currency inflation.

The Belize Dollar is pegged to the United States Dollar. Two Belize Dollars always equals one US Dollar. The fact that real estate transactions are primarily in US dollars makes it incredibly easy and straightforward. The fact you own the real estate asset in USD means that you won’t see a dip in the value of your property just because the market fluctuates or the currency experiences rapid inflation (like Argentina or Venezuela).

The fact Belize has a pegged currency and real estate transactions are in US dollars is a big advantage, especially if you live in the United States or deal financially in US Dollars. Although property values can, change and fluctuate with the market, Belize real estate won’t drop due to currency issues.

 

4. Belize Real Estate & Property Taxes

Owning real estate anywhere has a cost of ownership called “holding costs”. Anyone who has ever owned property anywhere in the world knows that there are ongoing costs and expenses to consider. Maintaining a home or property costs money, property taxes can be significant, and the taxation on a property is something someone must consider when investing offshore.

Property taxes in Belize are surprisingly low. Real estate taxes and property taxes are based on the undeveloped value of your land. The property taxes someone pays do not fluctuate with the home or property improvements. This makes property taxes in Belize very low. Canal-front homes have annual property taxes of $108 per year, while other off-beach properties near the West Coast of Ambergris Caye start at $75 per year. Belize is a low-tax jurisdiction, and one of the major draws to owning property and real estate in Belize is the fact that the cost of ownership is so low.

The cost of property ownership in Belize is much cheaper on a year-to-year basis than in many comparable destinations, keeping costs of ownership low and increasing the investment return.

 

5. Belize is an Unsaturated Market with Low Competition

With all the benefits and advantages of owning and investing in Belize real estate, you might assume that it is a seller’s market or that property options are limited. With the tax advantages, growing tourism, property ownership rights, and the fact you own an appreciating asset in USD (a stable currency) you would assume that Belize is a saturated market. In reality, it is the opposite, and Belize is a very unsaturated market with low competition.

In Belize, it is still very much a buyer’s market, and there is a scarcity in supply. Although there has been growing interest from foreign investors, and a growing expat population, the market is far from saturated.

We’ve all heard the age-old saying, buy low sell high. The vast majority of properties within a saturated market are already overpriced and thus in these conditions, it is much harder to find good, let alone great investment opportunities.

Properties within an infancy market that is unsaturated have the most potential upside in the future. The key: finding something within an infancy market that lies in the path of progress. Examples would be Ambergris Caye Real Estate & Belize Real Estate.

The increase in population and tourism has led to a scarcity of rentals and overall lodging inventory. In Q5 2022, the lodging inventory on Ambergris Caye decreased by 5% (due to population growth) and the lodging inventory has decreased by an astonishing 20% over the last 3 years.

 

Ambergris Caye Lodging Inventory

*From AirBNB

 

In short, there are more people who are eager to spend time in Belize, and there are even more people traveling to Belize. When you take the increase in population and the increase in tourism, you understand the investment and rental income potential.

Increased Demand + Limited Supply = Higher Occupancy & Higher Rental Rates = Increased Revenue

It is rare to see and have an opportunity to invest in a destination that is growing as rapidly as Belize and Ambergris Caye which has a decrease in lodging inventory.

There is plenty of undeveloped property still in Belize and on islands like Ambergris Caye (which have island economics). Belize real estate is often much lower than investors expect (given all the advantages). Belize is now one of the leading International jurisdictions for offshore banking in Central America and you will discover that investment dollars go further in Belize and yield much higher returns than in many other countries.

 

There are many other reasons to invest in Belize real estate, these 5 are just some of the top. Overall, there are many other reasons why real estate in Belize is a smart investment, particularly for those interested in diversifying their financial portfolio and investing offshore. Whether you’re searching for a retirement destination, a rental income property, or a vacation home for the family, Belize real estate offers a wide variety of options and opportunities.

To learn more about Belize Real Estate & Ambergris Caye Real Estate contact REMAX Belize! We look forward to helping you find property listings and start investing in Belize.

 

Ambergris Caye Real Estate Investment, Tourism & Rental Market

Ambergris Caye Real Estate Investment

Ambergris Caye Real Estate is a hot commodity for both personal use and investment. The investment potential and upside look even more attractive when you look at the year-over-year tourism data and how it correlates to the rental/lodging inventory on the island. Ambergris Caye is the top destination in Belize. Even though tourism has grown, rental inventory has not. This creates a unique investment opportunity. Learn more with the data points and market analysis below;

 

Ambergris Caye Tourism & Rental Inventory Data Points

Even though tourism is growing and we have seen Belize tourism rebound in 2022 to pre-COVID numbers, the total rooms for rentals have stayed stagnant with almost no new inventory and often even a decline in inventory. Tourism pre-COVID grew by over 60% in 5 years (over double-digit annual growth of 14.6%) but lodging and inventory stayed the same. Even now, rental inventory saw a -5% decrease in Q4 2022.

Rental Inventory: A decrease of -5% in Q4 2022

Below you can see the lodging and rental inventory on Ambergris Caye over the last 3 years;

 

Ambergris Caye Lodging Inventory

Ambergris Caye saw -2% in Q2 2022, -1% in Q3 2022, and -5% in Q4 2022. With a -20% decrease over 3 years.

For lodging, as a point of reference, Ambergris Caye saw -2% in Q3 2022, -1% in Q4 2022, and -5% in Q1 2023. So compounded tourism growth over 12 years at an average of 14.6%.

As you can see, the 3-year trend has been consistent with many quarters seeing a dip in rental inventory (even with an increase in demand). Over the last 3-years, lodging/rental inventory on Ambergris Caye decreased by 20%. This creates a unique opportunity for investors. With the shortage in supply and increase in demand, there is a need for more lodging and rentals.

The reason you see a lodging or rental inventory decline is due to the fact people are moving to Belize and we are seeing an exodus of people (especially Baby Boomers retiring abroad).

 

Market Comparison

What is interesting is comparing it to other markets. Tulum for example;

Tulum in comparison saw a +6% increase in Q4 2022 and +8% in Q1 2023. With a 47% increase over a full year. And an 88% increase over the last 3 years.

You can see other comparable off-shore markets and their lodging inventory below;

Tamarindo Costa Rica for example saw a +6% increase in Q4 2022 With a +23% increase over 3 years.

 

Turks & Caicos is a Caribbean island like Ambergris Caye. Turks & Caicos saw a +11% increase in Q4 2022 with a +76% increase over 3 years.

 

Panama City as another example and comparison saw a +4% increase in Q4 2022 with a +26% increase over 3 years.

 

All of the above locations are popular tourist destinations (Ambergris Caye, Tulum, Tamarindo, Panama, and Turks & Caicos) and have all seen substantial growth in tourism numbers. That said, very few places have seen a tourism boom without an increase in inventory. Because of this, Ambergris Caye has an A+ Rating based on AirBNB criteria of Rental Demand, Rental Growth, Seasonality & Regulations.

 

 

Ambergris Caye Real Estate Investment

Prior to 2020, Ambergris Caye lodging remained stagnant over the years even with tourism growing. Even though Tourism is increasing, rental inventory has decreased by 5% and has remained fairly stagnant over 3 years. You can see the inventory vs the tourism for Ambergris Caye from 2015 to 2019 below;

The number of hotel rooms and lodging inventory for rentals has not seen the same growth and is not meeting the tourism demand.

Therefore, many industry experts predict Ambergris Caye real estate prices and nightly rental rates will continue to increase. This will lead to greater equity appreciation and a higher cash-flow yield.

Even though demand is on the rise, the supply has remained stagnant. With increased awareness comes increased demand but the lodging and vacation rental inventory supply do not meet the demand growth.

 

Ambergris Caye Investment Opportunity

To give you an idea of the growth and opportunity with Ambergris Caye Real Estate you have to look at the population and tourism growth statistics. Ambergris Caye (as of 2015) had an estimated population of approximately 16,444 people. Since then the population has grown with an even higher volume of foreigners moving to Ambergris Caye. Over the last 5 years, Ambergris Caye has seen a population growth rate of around 8% per year, and in the previous 10 years, prior Ambergris Caye experienced an annual population growth rate of roughly 17%.

It is also estimated that up to 25% more people reside on Ambergris Caye on a part-time basis (vacation or winter homes). Ambergris Caye as a destination for tourism has experienced incredible growth over the last 5 to 15 years. From 2017 to 2022 (the same 5 years) Ambergris Caye has seen tourism grow at a rate of 14.6% per year (over double-digit annual growth).

When you factor in the population growth and the influx of new residents with the growth in tourism, you really start to see the opportunity. As it stands right now, there is not enough vacation or long-term rental inventory to support the growth in tourism and the growing population.

The reason you see a lodging or rental inventory decline is due to the fact people are moving to Belize and we are seeing an exodus of people (especially Baby Boomers retiring abroad).

Ambergris Caye is an island with limited supply. Even though the supply is limited, the demand has skyrocketed over recent years with more-and-more tourists visiting Belie. In 2019, Belize saw over 500,000 overnight tourists, most of which visited Ambergris Caye. These overnight tourism arrivals grew by 60% from 2015 to 2020. With 70-75% of overnight tourists who visit Belize heading straight to San Pedro and Ambergris Caye.

Since 2010 has had an average tourism growth rate of 14.6% annually. That 14.6% growth each year. So compounded tourism growth over 12 years at an average of 14.6%.

The number of hotel rooms and lodging inventory for rentals has not seen the same growth and is not meeting the tourism demand. What is being developed on Ambergris Caye in the next five years will not be able to sustain the increasing tourism demand. Therefore, many industry experts predict Ambergris Caye real estate prices and nightly rental rates will continue to increase. This will lead to greater equity appreciation and a higher cash-flow yield.

Even though demand is on the rise, the supply has remained stagnant. With increased awareness comes increased demand but the lodging and vacation rental inventory supply do not meet the demand growth.

Ambergris Caye luckily has something we like to call “Island Economics”. When investing in an island there is only so much land available. The limitations on available land create scarcity, not only scarcity of property but also a scarcity of land and completed resale homes. There is only so much land on an island. Island economics means that you see greater property appreciation on an island due to scarcity of property and limitations on how much can be built.

Areas and destinations along the Yucatan Peninsula or other areas with nearly endless developable land eventually have an over-supply that is caused by the fact there is nearly unlimited room for development. Investors rarely see the same equity appreciation they see when they invest on an island. One of the difficulties of investing in a property that has nearly endless room for growth is the fact that developers continue to build, so real estate investors don’t see the same level of appreciation that they see on an island, where the availability of land is limited.

This is basic economics, Ambergris Caye has higher demand and less supply. Mainland destinations in Central America have less demand and nearly unlimited supply. On Ambergris Caye, you have far more amenities (with the reef 400 yards off the coast), with beaches on the East & West Coast.

The reason so many investors choose Ambergris Caye over mainland Belize destinations is largely due to the growth and investment potential. Ambergris Caye is the #1 tourist destination in Belize by a large margin. It also delivers the highest Average Daily Room Rate for an income property. It is also important to note that as an investor, you will have much higher margins, as resale properties on the island sell have more demand and higher returns on investment.

Belize’s tourism has over tripled since 2010, as it has grown by 208%. In 2022, over 11 months (January to November) Belize had a total of 362,628 overnight tourists. That is 81% of the pre-COVID inbound tourism numbers. This shows strong tourism recovery for Belize and Ambergris Caye.

 

 

Belize 2022 Tourism

When you factor in the population growth and the influx of new residents with the growth in tourism, you really start to see the opportunity. As it stands right now, there is not enough vacation or long-term rental inventory on Ambergris Caye to support the growth in tourism and the growing population.

For more information on Belize Real Estate & Investing in Belize contact Remax Belize!