The present slow dance of Cuba and the United States in their rapprochement talks is causing the Cuban real estate market to boom at an increased pace.
According to the news report from CBS Miami, the real estate market in Cuba was basically non-existent just a few years ago, but now it is turning to be a hunting ground for real estate agents and brokers. There are now real estate magazines in circulation and even an established real estate website, despite the nation’s limited Internet access.
Lots of American investors are now eyeing for a piece of the pie, but certain laws and limitations have been stopping them from acquiring their dream of an inexpensive Caribbean home.
In a report by the Miami Herald, Cuban and foreign permanent residences enjoy the privilege of buying and selling properties freely, while those who live abroad are relegated to a few, tightly controlled housing enclaves that aren’t particularly a bargain.
Even with the strict rules being implemented between the two nations, some investors are still going in the frontlines of a potential Land Rush. The report in Miami Herald stated that a land rush is the buying of properties using the names of eligible family and friends, a strategy that has been used since 1990.
Hugo Cancio, a Cuban-born entrepreneur who will be launching the quarterly On Cuba Real Estate magazine in South Florida in the coming days, said that the possibility of a land rush and the return of Cuban exiles will be causing the real estate market in Cuba to explode.
“A lot of people, without any hesitations, without any analysis or knowledge of the market, are rushing in to buy real estate in Cuba under the assumption that the Americans will soon come and the prices will double or triple,” said Cancio. “You now have an emerging market where the prices are not proportionate to reality.”
Source: Realty Today