Foreign Ownership of Islands in Nicaragua, Central America

Much has changed in Nicaragua in the last ten years and the purchase of real estate is no exception. Now, anyone can buy real estate in Nicaragua. You have the same rights as Nicaraguans regarding property ownership. However, one should be careful in autonomous regions (Regiones Autonomistas) where the government needs to consult the indigenous people about the sale of real estate.

From 1979 to 1990, the Sandinista government controlled a large part of the economy. Houses and real property were confiscated from owners without just cause. In 1990, the new democratic government was elected. Many of the original owners have recovered their property, but unresolved property disputes still exist. To avoid future legal disputes, a real estate investor should secure a competent lawyer to ensure their purchase has clear title.

Nicaragua has a very complex title history and it’s necessary to search deep into the title history. Always retain independent legal advice to draw up the purchase contract and check the title history. Until 1999, title insurance wasn’t available in Nicaragua, but it now makes your private island investment much more secure. Taking out title insurance slows down the buying process with due diligence because it can raise questions, but getting title insurance forces your lawyer to research many years back and follow a set criteria. Undeveloped islands will require even more due diligence with regard to infrastructure, environment and development issues.

Real estate and tourism are among the fastest growing sectors of Nicaragua’s economy. Compared to the U.S., island prices are still very low, meaning good investment opportunities exist throughout the country. As long as you stress due diligence through the services of competent legal advice, your investment in Nicaragua’s private islands can be safe.

Regional Statistics for Nicaragua, Central America

Location:

Central America, bordering both the Caribbean Sea and the North Pacific Ocean, between Costa Rica and Honduras

Population:

5,570,129

Languages:

Spanish, Miskito, English and indigenous languages

Capital:

Managua

Currency:

Gold Cordoba

Climate:

tropical in lowlands, cooler in highlands

Temperature Range:

+15 to +44

Terrain:

extensive Atlantic coastal plains rising to central interior mountains; narrow Pacific coastal plain interrupted by volcanoes

Natural Hazards:

destructive earthquakes, volcanoes, landslides; extremely susceptible to hurricanes