... in response to Pete-or anybody interested in Cali reale..., posted by Michael B on Nov 9, 2003I don't know the location or do we know the size of the apartment.I would assume that is a one bedroom for that price.But even then in the best location a new nice one bedroom place might rent,I would guess working down from the price of bigger units,$200-300.3 br 3 ba units in good areas can be $500-600 a month but would probably cost $40,000 -$60,000.So $16,000 is a good price I think.
But,when I was in Panama city I saw these 3br 3ba condos for I think $82,000.But they had like 1.75 % interest.I asked a realtor.Its a special program for low income people.The unit can't be more than $82,000 or whatever it was plus I think you had to have a low income to qualify.Similar units on the open market were $140,000 or so,6% interest.
I don't really intend to buy right away for 2 reasons.First I want to decide where I really want to wind up,and second I think you need to live there awhile and really get to know the market to recognise a good deal.But this isinteresting and if it is a good neighboorhood $16,000 could be a good price.
Another comparison.My in laws life in a 4 bedroom 3 bath I'll call it a duplex,another unit below.They pay about $125 a month and tell me its worth $15,000 or so.So maybe that $600 place is a $80,000 purchase deal.I think thats what someone said for the Condos next to Chipi Chapi,high rise brick looking places.Someone got a 4 bedroom for $80,000.
The peso dropped against the dollar untill 6 months ago or so,getting to around 3000.Its about 2840 now I think.This happened while the dollar was dropping itself,but not as fast as the peso.But now the dollar seems to be dropping faster thann the peso.I don't know all the factors with the peso.But at my money conference in Panama all the european banker types thought the dollar was due to go down alot more.They say its a planned move by Bush and John Snow the Treasury secretary to stimulate the economy.A weak dollar equals more goods sold,less bought.But long run it hurts us.These guys think the Euro is going to about $1.40 against the dollar.Its about $1.16 now,but was like $.84 not too long back.
Soo,the trend of a dropping peso could even turn around a little,as it has in the last fews months.I only know a little about this.In my new unemployed state I will take more time to study it.I just got my account opened at a trading bank in Copenhagen Denmark.You can invest in about anything you want,including currency futures.And you tell them the currency you want your account in.I'm told there are about 8 times as many mutual funds available in europe than here.It costs alot of time and money to get past the SEC here so many do not bother.One fund did 7300% I'm not sure if that was one year,I think 5 or 10.But I will know more before I lay down my money.
Without knowing more precise imformation it just might be Cololmbian real estate could be at a low for dollar investors.The dollar could drop and Colombia could start to stableize.I heard some of their economic factors went up recently.But again,I would study it alot more before jumping in.
And you have to consider you could rent and do something else with the money.I think I got a shot at 60-100% a year
by leveraging mutual funds 3-1 with the Denmark bank.
I know all about margain calls.No more tech stocks for me.But a fund that is rated good in a down market and fairly good in an up market could offer relative safety and good returns with the leverage.
I guess I am thinking this is my money for my future house but I will let it accumulate while I decide where I really want to be.
Pete
