Chile Forum

the19trier wrote:Invest in Chilean ...?

CL real estate. 10-20 percent annual appreciation in some places (incl parts of the patagonia), after inflation adustment. Property taxes ( "contribuciones" they call them.. ha ha) tend to be low here, or even nonexistent.

Of course, diversification is also your friend.

High interest loans.

El Chupacabra wrote:High interest loans.

Yeh, like 4.5% !!!!!!!!

nwdiver wrote:

El Chupacabra wrote:High interest loans.

Yeh, like 4.5% !!!!!!!!

Nope. More like 10 - 21% private lending interest only loans.

patagoniax wrote:

the19trier wrote:Invest in Chilean ...?

CL real estate. 10-20 percent annual appreciation in some places (incl parts of the patagonia), after inflation adustment. Property taxes ( "contribuciones" they call them.. ha ha) tend to be low here, or even ..............

What could possibly go wrong.

Bargain rental real estate for income (in Columbus, OH). Bought one this summer for $30k, right on border of owner-occ vs. rental neighborhoods, in great shape, sold for $95k during boom, assessed at $75k by county auditor, really worth $60k, rented for $750/month within 2 weeks of purchase, has required very little maintenance so far. Better deals number-wise can be had in lower-end rental areas, but with a lot more hassle. BTDTGTTS.

Silver for store of value. Seems undervalued compared to gold. Portable. Not paper.

Saw an interesting chart on how ammo has performed for last 20 years, seems to be a good store of value, perhaps I should think about it. I keep using mine to blow up little clay discs.

Never liked stocks - analysts pick over best deals before you see them, and unlike houses, I have to rely on someone else's judgment for information, remember Arthur Andersen?

John Hyre

murf wrote:

patagoniax wrote:

the19trier wrote:Invest in Chilean ...?

CL real estate. 10-20 percent annual appreciation in some places (incl parts of the patagonia), after inflation adustment. Property taxes ( "contribuciones" they call them.. ha ha) tend to be low here, or even ..............

What could possibly go wrong.

True - mindful of that. So second paragraph included mention of "diversification." One of the features of the real estate here is the intrinsic value involved in growing edible things on it, which I've always had trouble doing with little piles of paper or metal. Just adding to the fray, as the OP has shown interest.

Your visions, of course, may differ.

patagoniax wrote: CL real estate. 10-20 percent annual appreciation in some places (incl parts of the patagonia), after inflation adustment. Property taxes ( "contribuciones" they call them.. ha ha) tend to be low here, or even nonexistent.

Do you think this will continue foe the next couple of years? I have always been a little bit shy of real estate because of liquidity and expropriation (directly or through taxation) concerns - on top of the fact that I lack the skills to manage rental property.

Fugger wrote:

patagoniax wrote: CL real estate. 10-20 percent annual appreciation in some places (incl parts of the patagonia), after inflation adustment. Property taxes ( "contribuciones" they call them.. ha ha) tend to be low here, or even nonexistent.

Do you think this will continue foe the next couple of years? I have always been a little bit shy of real estate because of liquidity and expropriation (directly or through taxation) concerns - on top of the fact that I lack the skills to manage rental property.

When you come down to it, everything has some chance of "expropriation" by any other name or process. Chile still has occasional expropriations but I suspect that the Evil Empire has honed it to a fine art. A good friend of mine from Univ days, is now an attorney specialising in work for various agencies in the US who expropriate private properties for "redevelopment" schemes. Meanwhile other jurisdictions there continue to regard property owners as their cash cows. Less so in Chile but still something to consider when thinking about buying real estate here.

So I am referring to rural property in Chilean patagonia that can be used for food production. Instead of the problems of human renters you have the problems of livestock rustlers. In fact in XII Región, the present governor of our province once told me that the word "gaucho" has pretty much taken on the connotation of "cattle thief." Meanwhile, tourist writers and the other chronically mendacious say there are no gauchos anymore. The Prensa Austral often covers stories of stolen livestock and clandestine processing of stolen meat. Chileans in the Patagonia have historically been known for their cattle and sheep thieving, whether within the country or back and forth into Argentina. In parts of Sta Cruz province in Argentina, "Chilean" is another word for "thief." Actually that is true in Chile as well.

Where do you put your money?

Into kids.

JHyre wrote:Bargain rental real estate for income (in Columbus, OH). Bought one this summer for $30k, right on border of owner-occ vs. rental neighborhoods, in great shape, sold for $95k during boom, assessed at $75k by county auditor, really worth $60k, rented for $750/month within 2 weeks of purchase, has required very little maintenance so far. Better deals number-wise can be had in lower-end rental areas, but with a lot more hassle. BTDTGTTS.

Silver for store of value. Seems undervalued compared to gold. Portable. Not paper.

Saw an interesting chart on how ammo has performed for last 20 years, seems to be a good store of value, perhaps I should think about it. I keep using mine to blow up little clay discs.

Never liked stocks - analysts pick over best deals before you see them, and unlike houses, I have to rely on someone else's judgment for information, remember Arthur Andersen?

John Hyre

[/quote]

Spot on, JHyre. Especially about income-producing real estate and the anaylsts picking over the best deals....

patagoniax wrote:.... In parts of Sta Cruz province in Argentina, "Chilean" is another word for "thief." Actually that is true in Chile as well.

With what one saves on property contribuciones, herd replacement is maybe less painful?

Something for the OP to consider is to be very careful of investments which depend on "experts", "certified" whoevers and so on. Your well-being is not part of the relationship. Might want to stick to things you both understand and can exert some control over. Income-producing real estate is a good example, but not the only one. Also, should you go into something like real estate and strive to educate yourself about it, you will by default get an excellent educaton on money- an education no school could ever give you. And which no professor is equipped to deliver.

Maybe the original question should have been: "Where do I put my time?" Answer: "Into educating yourself about money".

Red wrote:Where do you put your money?

Into kids.

Maybe the original question should have been: "Where do I put my time?" Answer: "Into educating yourself about money".

A most fantabulous response. I wish I had thought of it.