All Forum Posts by: Mary Jay

Hi All,

Buying investment property in Puerto Rico whether long-term or short-term rentals, is a great move. The island has some amazing tax breaks for real estate investors via their Act 60 formerly Act 20/22 tax laws.

That said, purchasing in PR is complicated. Working with agents in PR is complicated. The mortgage process can be very different then what you may be used to if this is not your first rodeo.

Most of the areas near the beaches are where people are focusing on, but not entirely. There are other areas of the island that are really conducive to investing. Take a look or reach out.

Thank you.

Ivan R

Agreed. I live in Puerto Rico. Lots of deals still available. And PR hasn't fallen in prices like some areas of the mainland have. You can buy using traditional financing for home purchases. For investment, it's a little more complex. For example, last summer you could buy using DSCR (debt service coverage ratio) for purchase or investment property for a self employed applicant. But last I heard, that product was no longer available in PR.

The best way to get deals in PR is to have cash. If you don't have cash, find people who do. There's lots of lazy money in the mainland looking for a good return. Talk to your friends, talk to your family. See who has an IRA / 401k that's invested in stupid stocks (sorry, I prefer an asset class I have some control over: forced equity real estate). Find a way to raise the capital and you can make some great deals here. Conversely, if you are in the mainland, find some PR based investors to partner with. If you are buying a property that needs rehab, it's really best to have boots on the ground to manage the project. This is not an easy place to manage a construction project and even more so if you aren't on the job site every day. On the other hand, labor is fairly cheap compared to many areas on the mainland. (Minimum wage is federal, so that's the same.)

I know many people here that are killing it in the RE market right now. 

To find deals, use facebook, clasificados, local whatsapp groups, point2homes, zillow and even stellar MLS, as well as word of mouth, signs and door knocking to find great deals.

DM me if you want to discuss further.  Good luck.

Screen her first! You should always screen every adult, even if they are not working and are not contributing to the rent. For all you know, she just got out of jail for drug dealing or hooking.

Screen, approve, add to the existing lease. If she doesn't pass your screening, she doesn't move in.

Do a background check. I would also state that if the mom moves, the daughter must also go.