Is Chile Ripe for Overseas Property Investment?

Published on June 27, 2011 by Anna Jay · No Comments

Latin America as a whole is set to boom in the near future, as the continent’s as yet untapped potential and wealth are truly developed. As one of Latin America’s more prosperous destinations and a government culture actively encouraging overseas investments, could Chile become an overseas property hotspot?

The Chilean government recently announced that it would raise foreign investment limits for pension funds to 80%, up from 60%. The move could encourage more overseas investment to Chile, which could increase the price of property.

A potential hotspot for investors could be the Chilean capital, Santiago. As Latin American cities go, Santiago has a lot to offer the wise property investor. It is one of the most cosmopolitan cities in the region, with a good Mediterranean style climate and relative safety. It is home to numerous multi-national companies. The city has an impressive backdrop, too, in the form of the Apoquindo and Sierra de Ramón mountain ranges, where it is possible to go skiing.

Good transport links via the expanding Santiago Metro are also helping to increase access to Santiago’s suburbs, too, opening up valuable real estate to would-be buyers.

Good value properties are available in Santiago, too. Property prices in many parts of the city are available to buy from $1,000 a square metre. If you are looking to invest in Chilean property, now could be a fantastic time to get involved and reap large financial rewards. It is worth noting that the currency has soared in recent months, up 14 per cent on the US dollar.

Transfer Money to Chile

If you are looking to invest in Chile, think carefully about how you will be transferring money to Chile. Foreign currency exchange rates quoted by banks are almost always worse than the exchange rates available through specialist currency dealers.

So if you are sending money to Chile – which you will inevitably have to do if you are looking to make a property investment, be sure to compare the market before you buy your overseas currency.