Our Siempre Playa opportunity is open. I think it’s our best Playa opportunity yet.
Buyers at Siempre Playa are set to make a killing. Just like buyers at A-nah Playa who have seen values rise from $136,500 to $210,000 and who could be grossing $24,000 a year in income.
Our most recent Playa opportunity, Singular, has already jumped in value by 25%. The ink is barely dry on some of your fellow members’ contracts. That’s how fast moving this market is: 25% gains in three months.
But…I think Siempre might just be our best Playa opportunity yet.
- We can buy for 34% below market value. We’re doing that by getting in ahead of the great Zona Dorada transformation.
- We get to ride Playa’s super-hot, short-term rental market. This is the market where those regular folks I told you about on Tuesday—Richard, Hernan, Michael, and Michelle—make $53,000, $41,000, $48,000, and $57,000 respectively in rental income.
- And, we get to buy with manageable down payments followed by monthly payments of just $590.
What I refer to as the “Zona Dorada” is an area five blocks long and four blocks wide—one tenth of a square mile.
It’s right on the edge of Playa’s most upscale area. It’s set to leapfrog its neighbors to become a high-end and hip destination neighborhood…the likes of which you would have had to go to Miami Beach, Florida or Puerto Banus, Spain to experience in the past.
And we have the advantage of developer financing, exclusive to RETA members. The fact that the developer is offering you payment terms like this puts you ahead of the game as a RETA member. This sort of financing is not the norm. I’ve negotiated it especially for RETA members.
Here’s how the financing plays out on this condo:
- You lock down a condo with a $2,500 refundable deposit.
- Then, pay an additional $7,500 on contract signature.
- When the developer gets the final permit, you pay an additional $28,760. Then over the 30-month build period, you make monthly payments of $590 and four balloons of $7,000.
- On delivery, you make a one-off payment of $12,440.
- You pay a total of 50% of the purchase price during construction.
- The balance can be financed over five years at 6%, with monthly payments of $1,873. (Locals pay up to 12% for their mortgages).
From a capital appreciation and a rental income angle, this condo is a no-brainer deal. I figure this condo will rise in value by $3,540 every month (on average) over the 30 months of construction.
And, once this community is up and running, with the right marketing, your condo could almost pay for itself. Your monthly payments after delivery come in at $1,873 over 60 months.
That’s $22,476 a year. That’s less than those folks who are grossing $41,000, $48,000, $53,000, and even $57,000 a year in rental income.
The Play at Siempre Playa
This is the type of two-step opportunity I love to invest in. I expect we will double our cash invested over the 30-month build period.
Then we can plug straight into the red-hot Playa rental market where folks just like us gross annual income figures like $53,000, $41,000, $48,000, and $57,000…
In three years’ time, when you take delivery, I figure these condos will be easily worth $300,000. That’s a gain of $106,200.
They will be priced at that level because the first condos are just being delivered. That will still be under a true market value of $350,000, once the community is established.
From now until delivery, you will make payments totaling 50% of the purchase price. You will be into the deal for $96,900. I figure values at delivery will be $106,200 higher.
And a further appreciation of $50,000 to follow in the subsequent two years.
On delivery, you’ll be getting ready to rent. As I told you on Tuesday, the short-term rental market in Playa is one of the strongest I know.
I told you about folks just like you. People like Michelle, from Vancouver, who grossed $57,000 in 12 months on her two-bedroom condo. She’s doing so well that she chooses to stay there three weeks every year in high season. (She could be making an additional $6,000 if she rented it out in those weeks. But, she’s happy to forego that money so she can enjoy her condo.) Or Richard, a lawyer from Pittsburgh, who comes to Playa to go sport fishing. He grossed $53,000 on his two-bedroom condo in a year. At this rate, he’ll have enough to buy his own fishing boat.
Our best Playa opportunity yet opens at 1 p.m. EST tomorrow.
The first five members to act get to deduct $5,000 from the purchase price.
The best opportunities, like this one, are snapped up in a matter of hours. If this deal has your attention I strongly urge you to be ready to register your interest to lock down a condo. And to be available to speak with Eloy and his team.
But there’s another very important reason to be ready. The 24 handpicked condos are over floors one to four. Each condo is priced the same. The sooner you act, the more choice you will have. And you won’t miss out on the condos that come with a premium aspect.
Wishing you good real estate investing,
Ronan McMahon
P.S. You can lock down a condo here before connected locals even know about this project. The final permit is still a few weeks off. You make a down payment of $10,000 that’s refundable if there’s a delay with the final permit. And you don’t pay anything else until all permits are in place. This is a special protection I have negotiated on your behalf. You need to be responsible for ensuring this is reflected in your contract.
As with any deal you read about in these alerts, you should use your own independent attorney. In Playa del Carmen, I use Ivan Castillo: icastillo@stla.net.