Selling Remote, Exclusive or Unique Real Estate is a challenge in any market but none more so than in South America
Selling prime real estate in the complicated South American markets requires many business and selling skills. It is not for the faint-hearted. Vendors have a low level of trust in traditional selling systems for a good reason. Many salespersons in the industry are part-time, untrained, and unlicensed, putting the owners at risk. Advice for the real estate broker looking to get into the Luxury Property Market Ok, you’ve just taken your first million-dollar-plus listing. After celebrating your victory…
Chile and Peru have emerged as two of the real powerhouses of the Latin America fruit and vegetable sector
They have seen exports develop significantly to a wide range of international markets worldwide. Since the mid-1990s, Chilean exports have boomed in terms of value from around US$1.3 to over US$5.5 billion per annum, and Peru has seen its exports grow significantly, in the same period, from under US$200 million to over US$2.4 billion in an annual basis. In more recent years, though, the growth of Chilean exports has slowed while those from Peru have continued to increase impressively. The two industries share…
Mistakes to avoid when investing in real estate in Latin America
Investing in real estate may seem simple enough. Considered one of the most profitable businesses for investors, this market offers low risk and high rewards. Latin America is rich with opportunity right now. Relatively cheap land for properties and harvest and cattle breeding presents valuable opportunities. Investors should get involved in the market to receive higher margins. However, investing in a foreign country becomes very different and more complicated. Typically, laws, regulations, and rules about…
Changing Farmland Investing Options
We think farmland as an investment is something that, in 5-10 years, will be a must in any professionally managed diversified portfolio. We are excited to be at the forefront of reporting the rapid changes in this exciting new market, which is now opening more opportunities for smaller investors via syndicates and specialised agro funds. Those smaller investors ( USD 70,000 to USD 250,000 ) seeking exposure to tangible assets with strong cash yields and low volatility have found it nearly impossible to get…
Now is the time to Invest in Latin America’s Tourism Boom
Latin America’s Tourism Boom continues. According to the UN’s World Tourism Organisation (UNWTO), tourism is the 3rd largest export in the world, with international sales worth more than the food or auto industries. The number of international journeys made each year globally has jumped from 25 million in 1950 to more than 1.2 billion. That exponential rise in international trips has created an ever-expanding tourist industry that sees $4 billion spent daily. The tourism juggernaut shows no sign of stopping…
Have $1 billion to invest? Buy agricultural land is Lord Andrew Hay’s advice
For a man with information on prime properties across the globe, Lord Andrew Hay can separate the wheat from the chaff. And that’s why the wish list of the global head of the residential division, Knight Frank, like many of today’s high-net-worth individuals (HNIs), involves investing in agricultural land. Security plans The regions that have found favour are Australia, Africa and South America, according to Hay. “We are losing 10 million hectares of productive land each year. There will be a food shortage…
Southern hemisphere farmers will struggle to meet milk demand growth over next five years
According to earlier Rabobank research, southern hemisphere farmers will struggle to produce about 20 billion litres of milk needed to feed the world’s demand growth over the next five years. Rabobank dairy analyst Emma Higgins said that most of the extra supply would need to be met by the northern hemisphere. “Countries like New Zealand will really struggle to be a significant player in providing the additional milk required given they are facing challenges on-farm in the form of increasing…
The Problem: Property Not Selling? Maybe we can help
There are several reasons why otherwise prime real estate gets no interest from qualified buyers. Is it priced for the market conditions? ( market values keep changing up and down ) Is it easily accessible to be viewed? Is it being advertised in the logical target markets? Does the quality of marketing represent the quality of the property? ie is it repressed by high-quality media that has been edited professionally? Here is an example from Cafayate, Argentina. Is the real estate salesperson experienced in…
Latin America: agricultural perspectives
A profile of Latin American agriculture Latin America has long been associated with the production and export of a diverse range of agricultural commodities, whether it is coffee from Brazil and Colombia, beef from Argentina, or bananas from Ecuador. Trade data show that the region is indeed an important net exporter of agricultural commodities to the world, accounting for an estimated 16% of global food and agriculture exports between 2012 and 2014, while representing just 4% of global food and agriculture…
Agribusiness opportunities in South America’s emerging markets
If you are looking for portfolio diversification using farmland, we can show you very practical options for mid-sized and larger investors. GTSA offers options for direct and indirect opportunities for farmland ownership in emerging economies such as Paraguay, Uruguay and Peru. Farmland is an attractive long-term investment that offers current income, capital appreciation, an inflation hedge and favourable diversification that is negatively correlated with traditional asset classes such as equities. We believe…
The dirty secrets property syndicate managers don’t want you to know!
Property Syndicates have become popular worldwide, but they are not all equal. Each has a defined proposal and time frame (or should have). Here is an Australian analysis showing what to watch out for. I hope to enlighten potential investors about the tricks used by property syndicate managers to ‘window dress’ their performance. Some of these tricks can be backed out, and where possible, I have provided the math below. Before we begin, let’s define and recap the role of Index Funds ( REIT). Index Funds…
Entering South America – 7 Essential Tips to make your life easier
Our top tips are based on our experience assisting hundreds of companies enter the Latin American Region and are directly relevant to many of the legal and operating issues which you are likely to encounter. Understanding the different issues will be the difference between a successful entry or one that is filled with stress and problems. Tailor your Company’s constitutional documents
A company’s articles of association set out the formalities relating to the composition of the board of…
💰Top 10 Factors Affecting Estancia’s (large farms) Value
The valuation of an Estancia and finding the price per hectare is substantially different than other types of real estate. While residential and commercial real estate prices typically rely on data based upon numerous transactions within a defined market area that can be defined as “comparable sales,” most Estancia sales are not published on any database, and there are relatively few transactions that close within a two-year time frame, and there is no defined market area. Due to the uniqueness of ranches,…
A New Real Estate Marketing option for Independent Brokers and Vendors
We offer an option for independent brokers and private Vendors to market their Residential real estate or Agricultural related businesses for sale outside their home location. For nearly 20 years, GTSA – Marketing has been marketing individual properties or projects for vendors and independent brokers without being involved in the sales process. This is in response to the effects of disruptive technologies available to sellers. We did this where we had no licensed sales support in the area or region and/or…
Technology and its disruptive impact on the real estate industry
What is the transformative impact of technology for real estate brokers? “Real estate agents will not be replaced by technology …. they will be replaced by agents with technology.” – Peter Williams – CEO of Deloitte Digital The principle here is that the real estate industry is not in imminent danger of being replaced by a single technology solution that completely disintermediates the process and makes the agent’s role obsolete, but rather that the transformations in the industry…
