Yes, I would say buying property here is somewhat of a Joke. Its very third world. Do you speak Spanish?
The "rules" are you need to get a carne de extranjero. That is done with an investors visa, marry a peruvian, have your job sponser you etc. You cant even open a bank account without the carne.
http://www.expatperu.com/expatforums/viewtopic.php?t=3823There are a bunch of Americans that come down here and buy property and are told by their "realtor" it no problem to buy just sign here and give me your money. Only to find out years later the "realtor" used his DNI card to register the properties in his name. Turns out he died, the kids inherit property according to Peruvian law and now these dirty americans are thrown out on the street. They are going to court over the entire process but they are gonna loose. They didnt have permission to buy in Peru.
There is alot to know on this subject. I purchase property using a Peruvian corporation I own. You will need a lawyer since title companies do not exist. Things are transferred with the ministry of housing by attorneys. There is enormous amout of mis information, liars and cheats in this business. So be very educated and careful. As far as the market, a large part of Miraflores is owned by Peruvians that are also US, Spanish, Dutch, German citizens. Therefore they have a DNI card (cedula in Colombia) and are considered Peruvian for purposes of buying and selling real estate. The woman that lives above me is an American airlines flight attendant, that was born here in Peru.
I think the market is very over inflated. My place here sold new for $125K, and now they are $200k but there are stories all over the world of what it WAS worth. Im across the street from Parke de Amor. We usually walk every day from Parke de Amor to San Isidro along the parks and ocean. Its a beautiful area.
Good luck
Here is another post
NEIGHBORHOODS
Lima is a sprawling metropolis. Some compare its layout to that of Los Angeles, in that there are many distinct neighborhoods/municipalities within the metropolitan area.
The most popular neighborhoods for foreign students and fellows to live in have been Miraflores and San Isidro. Miraflores is a bustling area with many shops, restaurants, and cafes, as well as pubs and clubs to frequent at night. Some businesses and embassies are also based in Miraflores. It is probably the most popular neighborhood among gringos – you will see many roaming the streets here. In Miraflores one has the conveniences of supermarkets, movie theaters, and public transportation all within easy walking distance. It is a relatively safe neighborhood, though petty theft does occur. Miraflores is right by the ocean, and there is a nice trail and parks along the ocean (the Malecon area) where many people run or bike. It tends to be a bit cooler and cloudier than some other parts of Lima during the winter months, but there is a nice ocean breeze to cool you down during the summer months. With so much activity in Miraflores, there’s usually something to do, even if it’s just wandering around.
San Isidro is a large municipality adjacent to Miraflores. It is home to some of Lima’s elite. It is quieter than Miraflores, which has its pros and cons – on one hand, there is less noise in San Isidro; on the other hand, there is not as much activity, and it is not as easily walkable as Miraflores – supermarkets and other stores may be a bit farther to reach. San Isidro is home to many small parks and a huge golf course (Bob Gilman’s apartment is right on the edge of this golf course). There are many restaurants and some swanky pubs and clubs in this neighborhood. Many businesses (including the financial district) and embassies are based here. Public transportation is fairly accessible. Like Miraflores, it’s a relatively safe area. In general, you may see more families living in San Isidro, whereas you may see more twenty- and thirty-somethings in Miraflores. San Isidro is less “touristy†than Miraflores.
Barranco is another nice neighborhood just south of Miraflores on the coast. It is fairly quiet and quite unique in Lima in that it maintains a bohemian feel. There aren’t as many big chain stores here. Barranco comes alive at night as the home of Lima’s most vibrant nightlife – there are many pubs, clubs, and peñas frequented by Limeños. Some foreigners have found beautiful apartments and houses in Barranco. It is a tranquil haven within Lima; however, it’s a bit farther than Miraflores and San Isidro from other parts of the city, and you may have to go to Miraflores to run errands.
San Miguel is home to the Prisma office as well as the famed Gringo House, which is a <10 minute walk from Prisma. Many Limeños live in this neighborhood, but you won’t see many foreigners. There is a huge shopping complex – the Plaza San Miguel – and a movie theater but other than that not much to do in San Miguel. You will probably find yourself going to Miraflores, San Isidro, and Barranco in your free time. The advantages of San Miguel are that it’s less expensive than those neighborhoods, and, if you’re working at Prisma most days, you have a very easy commute.
Other reasonable residential neighborhoods include Surco, San Borja, Jesus Maria, and Pueblo Libre. Housing will likely be cheaper here, but your social life would be substantially facilitated by living in Miraflores, San Isidro, or Barranco.
FINDING AN APARTMENT
Finding an apartment in Lima can be a challenging endeavor, depending on what you are looking for. Before you arrive in Lima, contact people whom you know are there or have been there recently (previous or current students and fellows, Marjori Meza in the Prisma office) to find out about possible openings. You can also check websites like Craig’s List, Expatperu.com,
www.acap-peru.org (American and Canadian Association of Peru), and
www.livinginperu.com. Some of these also have email listserves to which you can sign up to receive info on housing, activities, etc.
Once in Lima, you can start by looking at the classifieds section of the El Comercio newspaper. The Sunday edition is the best to research. Apartments for rent are also listed on El Comercio’s website. Most of the contact information you see in the classifieds will be for corredores (real estate agents); a few will be for the owners of the apartments. The corredores and owners may also be showing, or about to show, other apartments that are not listed. Generally they will not charge you for their services if contacted in this way. There are some other real estate agents whom you could contact directly, and who would show you various apartments (often very nice apartments, though on the pricey side); these agents might charge a fee.
Another approach is to walk around neighborhoods where you are interested in living, and look for signs saying “Se Aquila†(For Rent) on buildings. You can also inquire with the doormen at some of the apartment buildings.
Once you’ve found a place that you like, it’s a good idea to leave a deposit (“garantÃaâ€) – can be any amount depending on what the corredor/owner wants, $20-200 – to hold the apartment. No amount of verbal assurance (saying that you really like the place and that you want to take it, etc.) will guarantee that you will get the apartment. As in most cities, money talks in Lima. When you give the garantÃa, get a receipt. It’s ideal to meet and to give the garantÃa to the owner rather than the corredor, because the owner may have hired several corredores to show the apartment, and it’s possible that another tenant has already been found via one of the other corredores. However, if not possible to give the garantÃa directly to the owner, you can give it to the corredor provided that you know that he/she has spoken with the owner and the owner will agree to hold the apartment for you. If you change your mind later, you may not be able to get back the garantÃa, though it may be worth a try.
After this, generally you will be asked to return to the apartment within a few days to meet with the owner and to sign the lease. Remember that nothing is guaranteed until you sign the lease and are handed the keys. The garantÃa will usually suffice to hold the apartment for you until you sign the lease, so sign the lease as soon as possible if you are really interested in the place. Some of us have had experiences where the owner agreed to give the apartment to us, but changed his/her mind after a day or two for whatever reason. This has only happened when we haven’t left a garantÃa.
Finding an apartment to your liking, as in any city, can be a challenging and frustrating undertaking. Some people may find a place very quickly, while it may take a month for others. It’s a good idea to first decide on one or two neighborhoods where you would want to live, and then look for apartments there. Take your time and see at least a couple of apartments so that you know what’s available and what the prices are. However, if you find a place that you really like at a reasonable price, don’t wait too long – leave a garantÃa because someone else may quickly grab the place.
TYPES OF HOUSING AND PRICES
There are both apartments and houses in Lima, though most gringo students and fellows will end up living in apartments, if not in the Gringo House in San Miguel. Apartments come in many sizes, either furnished or unfurnished. In general, you can roughly divide apartment buildings into newer buildings and older buildings. The newer buildings have more modern apartments, though they tend to be smaller than the apartments in older buildings.
You can choose to live by yourself in a 1-2 bedroom apartment, or you may wish to share an apartment with others. In Miraflores and San Isidro, a decent, furnished 1-bedroom apartment may cost $250-450 per month (excluding utilities), though there is great variety in prices. Apartments with a view of the ocean, or those on very posh streets may be more expensive.
When quoting these prices to Peruvian colleagues, many will tell you that the prices are too high. However, keep in mind that locals may be able to find better deals than gringos because: 1) they may be thinking of neighborhoods that are less expensive than the likes of Miraflores and San Isidro, 2) they are in less of a rush to find an apartment and may have contacts who tip them off on good deals for apartments when the timing is right, 3) they generally look for unfurnished apartments, 4) they can get a better deal by signing a long-term lease. So don’t get discouraged if you think that you’d be spending more than what your Peruvian colleagues think you should be spending – talk to other gringos, in addition to Peruvians, to get their opinions and experiences with prices of housing.
*From Peru Handbook, written by Krishna Reddy, 2006 Scholar
LEASES
Most apartment owners will ask you to sign a lease. They may require a minimum length, such as 3, 6, 9, or 12 months. Sometimes, owners will allow you to have a shorter lease but will charge you more. Typically, they will ask for one month’s rent in advance, as well as one or two months of rent as a security deposit. They should give you a copy of the lease to review and sign. You may want to review the lease with a native Spanish speaker just to make sure that you don’t miss anything.
Important things to ask about include:
- How much money do I have to pay initially for advance and security deposit?
- What are the stipulations for return of the security deposit?
- What happens if something in the apartment is not working properly (appliances, windows, shower, etc.) – who do I contact and who pays?
- When and how do I pay the rent each month?
- Does the apartment already have connections for phone, cable, and Internet?
- Is there a doorman/guard 24 hours a day?
- Is it OK to have long-term visitors or roommates?
Make sure that you meet the owner of the apartment and get a “read†on this person. It’s ideal to have good rapport with the owner as this is the person with whom you will be dealing with, NOT the corredor (real estate agent). Some previous fellows have had major problems with owners not wanting to fix things in the apartment, not returning security deposits, etc. If the owner seems professional but kind, attentive but not over-bearing, it could make your living situation much more pleasant.
UTILITIES
The cost of utilities is not included in most apartment rents. Most apartment buildings will charge a “mantenimiento†fee, which goes to pay for doormen and general upkeep of the building. This fee can be anywhere from $20-60 per month. Some places will ask you to pay municipal taxes, which go to the municipality for security, cleaners, etc. These “impuestos†may be about $10 per month.
Internet service is on the pricey side in Peru, though many gringos will tell you that it’s well worth having the convenience of internet at home (for example, for using Skype to call home, as well as all the other wonders of the Internet). The two big Internet service providers are Speedy (part of Telefónica) and Cable Mágico. Speedy seems to be the more popular service. It’s a high-speed DSL service with a router that can be used with or without (wireless) a cable. There are different speeds at different prices – the Speedy 200 service is the “slowest†service, but it should still be plenty fast for your needs, especially if you have only one computer in the apartment. The cost is 99 soles per month. It may be wise to start with this speed, and then upgrade later if you wish. If there is no existing Internet connection in the apartment, you may have to pay a connection fee and pay for the router, which costs $100-150. However, keep your eyes open for special offers from Speedy, such as free connection and service upgrade for the first few months of a new contract. Generally, you have to sign a minimum 6 month contract with Speedy. Furthermore, you have to pay for a telephone line (with Telefónica) in order to get their Speedy Internet service. Once it is set up, the Internet service is pretty reliable, though some people have had problems with the wireless component. It may take a few visits from the Telefónica technicians to configure the service, though there should be no cost for these visits. For those who do not wish to have Internet service at home, there are plenty of Internet cafés with high-speed connections around Lima. A few coffee shops also offer wireless access.
Telefónica provides the majority of land telephone lines. Some gringos have chosen to have a line, while others have declined (remember that you have to have an active line in order to get the Speedy Internet service through Telefónica). Currently, the cheapest phone plan – the Super Económico – costs about 38 soles per month, and includes 120 minutes of call time per month to other land lines in Lima, as well as free incoming calls, and a voicemail service. If you surpass your monthly minutes, you can still use a prepaid phone card like the 147 from your land phone; this card is also useful for calling to mobile phones or phones outside of Lima, as well as for calling from public phones. Because of the prohibitively expensive cost of calls made from and to mobile phones, you may find it very useful to have a land phone in your apartment. You can contact Teléfonica for free from most public phones and land phones by dialing 104.
Cable TV is available through Cable Mágico. Some channels are in English (usually with Spanish subtitles) and some are in Spanish. There are 3 different plans available. The basic plan includes about 40 channels (including the basic Peruvian channels, several channels showing international movies and series, CNN in English and CNN in Spanish, and Fox Sports) and costs $18 per month. The premium plan includes about 80 channels (all those in the basic plan, plus BBC, ESPN, and many movie channels like HBO and Cinemax) and costs $35 per month. Note: for fans of American football, ESPN (with Spanish commentary) shows live NFL games every Sunday night and Monday night, as well as some playoff games. It also shows some NBA and NCAA football and basketball games. You can contact Cable Mágico by calling 0800-11-800.
Electricity (“luzâ€) is usually not included in the rent. This can cost $10-20 per month for a person living solo, depending on usage.
You will receive bills for Internet, phone, cable, and electricity in the mail. The bills can be paid at a variety of places, including some supermarkets and pharmacies, but must be paid in cash.
