The best time to invest in real estate is before everyone else. Let’s think of a new construction project for example. If the development consists of multiple phases, then generally speaking those individuals who purchase in phase 1 (or at the launch of the project) will more than likely pay less for the same type of property that is then offered to market in phase 2, phase 3, etc making their investment purchase in phase 1 that much more profitable!
So why El Salvador?
Well, one of the reasons is that El Salvador is a gathering a lot of attention and is constantly trending on social media. In short, ES is currently in a state of transformation and the investment opportunities are endless! This trending and transformation can be attributed to the popularity of the President, Nayib Bukele who has brought a sense of peace and hope to a country that for 30 years was in the “dark”, forgotten, excluded from global conversations. Now, when people hear about or google info on El Salvador, the articles that pop up are regarding the safety measures, Bitcoin, surfing competitions and a booming real estate market. As someone who follows real estate passionately, I have always been aware of opportunities in Costa Rica and Nicaragua. However, with recent political tensions in Nicaragua and the cost of living increasing over the past few years in Costa Rica, El Salvador has emerged as a strategic real estate investment opportunity. The newfound public safety record gives future visitors the peace of mind to travel to the country, potentially invest in real estate and enjoy everything El Salvador has to offer while simultaneously building up the country.
Safety
- ES homicide rate = 2.4 per 100k
- CAN homicide rate = 2.25 per 100k
Now this sense of peace has led to public safety and I will say it here for you, El Salvador will close out 2024 safer than Canada! Currently, El Salvador homicide rate is 2.4 per 100,000 as of 2023 and Canada is 2.25 per 100,000 as of 2022.
Recent Events and Announcements
With this newfound public safety, El Salvador has hosted the following sporting events in the last 24 months: – 2023 ISA World Surfing Games (qualifier for 2024 Paris Olympics) – 2023 Central American and Caribbean Games (beating out Mayaguez, Puerto Rico) – 2023 Miss Universe pageant – 2024 Inter Miami opened their world tour with a game vs the Salvadoran National team – Opened an Embassy in Saudi Arabia – March 2024 Submitted docs to the IAEA to go Nuclear! – April 2024 Google opens office in ES, to promote cloud technology (digital Gov, Health and Education sectors)
Now, why did I mention President Bukele and safety?
Because one of the top 3 characteristics that people look for when moving away from North America, is safety. As of today, only Canada is safer than El Salvador and this is a key characteristic of President Bukele's plan to make El Salvador attractive for all types of investors! Some of the other characteristics for moving abroad are the following: cost of living/weather/food/people/nature
Cost of Living:
- The USD is the main currency which makes it easy for people from North America to budget accordingly without having to do mental math and potentially risk overpaying for goods and services.
- For a single person, not including rent, you can live very well on a budget of $1500 CAD per month!
El Salvador is not as popular as other destinations such as Costa Rica, Guatemala or even Nicaragua. Which makes El Salvador an economical option for people looking to stretch their dollar without sacrificing amenities such as big box grocery stores (Super Selectos/Dispensa Don Juan or even Walmart), excellent highways and roadway infrastructure, beach bars, high end restaurants and an active nightlife.
Weather
- You want sunshine. El Salvador has plenty of it!
- From January to Dec you can enjoy 25 degrees
- 2 seasons; dry and wet
- Wet is May to October
- Dry is Nov to April
Due to its geographic location, El Salvador’s weather is warm all year long. El Salvador experiences a tropical climate that is divided into 2 seasons: The dry season is from November to April and the wet season is May to October. More specifically, on average, the capital city of San Salvador experiences 6hrs of sunlight in June (lowest) and 9hrs of sunlight in January (highest). If you wish to get your tan on and enjoy being in the sun, the best time to visit El Salvador is during the months of December, January and February where on average you will enjoy 28, 30 and 26 days of sun respectively. If that is not enough, you can head to a section along the coast called “Costa del Sol” which translates to “Sunshine Coast”.
Food
National dish is called pupusas, which is basically a corn tortilla stuffed with a combination of beans, cheese and pork. Pupusas can also be made from rice flower instead of corn. In addition to pupusas, there are several other traditional dishes that are commonly offered at specific times of the year such as torrejas (similar to French toast) served during Easter. Panes con pavo (turkey sandwiches) served during Christmas and different types of hot porridge like drinks known as Atole de chuco, de maiz, de Semilla de maranon etc. Asados are typically accompanied with chimol (diced tomatoes, onions, cilantro) which is the Salvadoran version of chimichurri. Tortillas or small French rolls are served and eaten daily typically with a cup of coffee.
Salvadoran People
- Friendly
- Helpful
- Social
- Smiley
About 90 percent of Salvadorans are Mestizo, which is a mix of descendants of Spanish and Indian ancestors. Salvadorans are known for being friendly, who will go out of their way to help and are very social. If you are thinking of making a move abroad, I am sure visitors will enjoy their time in El Salvador. Combined with the newfound public safety, Salvadorans do not hesitate to start conversations with tourists and this can be seen in their faces as people are constantly smiling. As the phrase goes regarding coffee “sip it and smile”
Nature
- Land of Volcanoes
- Black sand beaches
- Tropical weather all year
If you are a nature lover, you will enjoy El Salvador. El Salvador’s topography can be divided into the Pacific coastal lowlands, the Central Plateau which is sandwiched by 2 mountain ranges that traverse the country. Along the coastal lowlands, there are palm trees, tropical fruit trees, such as mango, coconut, and tamarind! In this region, you may see animals such as armadillos, snakes and iguanas.
High in the mountains close to the border with Honduras you will find the Sierra Madre Mountain range which includes a cloud forest known as Monte Cristo National Park. Here you can hike the 7,931-foot (2,417-meter) summit of Monte Cristo Mountain. The cloud forest is home to spider monkeys, jaguars and exotic bird species such as the green toucan!
Known as the “Land of Volcanoes”, El Salvador is what I call the hidden gem of Latin America. Being the smallest country in Central America, El Salvador gives you the opportunity to hike a volcano in the morning, relax and have lunch in a colourful colonial town, cool off under a tropical waterfall and then enjoy a nice dinner and catch the breathtaking sunset that embraces the Salvadoran coast all in one day!
Despite its small size, the country offers visitors a variety of activities to enjoy from black sand beaches, to volcanic crater lakes, to tropical waterfalls, to nature reserves, coffee plantations and Mayan Ruins!
Transformation
As previously mentioned, El Salvador is in a transformation phase. Couple this detail with the fact that the world is about ~3 years removed from a global pandemic, the opportunity to invest is not limited to real estate. Real estate, just like here in Canada can act as your anchor, that helps you lay the foundation for your future investment aspirations but with more people working from home and more companies offering the ability to work remotely, if you are one of those individuals, or are considering being one of those individuals, take the opportunity to live and work from somewhere sunny and warm all year long.
