Free Guide: How to buy an Investment Property in Venezuela
Necessary legal stuff on forehand
In order to be able to buy a property as a foreigner in Venezuela you need an so called Investment Visa in your passport and this can be applied for in the Embassy of your country. Contact them and ask what information of yours they need. A fee will apply (in Holland is is €154,-). And be prepared that it might take 2-3 months for the Visa to be ready. They will ask proof of income and proof capital etc. Even collecting the Visa itself will take two hours to add the Visa into your passport. The visa is valid for three months only and allows multiple entrance in that period. My visa ended up to be valid for only 2 months so be aware of that. Nothing is for sure here. ;-)
By law all transactions and contracts need to be executed in Venezuelan Bolivares. But as this currency is devaluing rapidly prices are stated in dollars even with a Bs. sign for it. So Bs 15.000 often means 15.000 US Dollars. During your stay in Venezuela you will need Bolivares in cash. International credit cards do work, but not everywhere and systems are down more than often, and then you need either to pay in Bolivares or in Dollars. Dollars are not accepted everywhere, so you need Bolivares at a certain point. A local guide that receives your dollars on his account, can resell these dollars on the currency market and buy a daily need of Bolivares for you. Not too much as the value decreases rapidly.
Cash is king and is very helpful as a down payment while closing a deal. During your inbound flight you will need to fill out a form asking if you have more then $10.000 in cash with you. So make sure you don’t take more then $10.000 or investigate what conditions apply.
After the deal has been closed and you may be paid a deposit in cash, the large sum of money needs to be transferred to in most cases a dollar account in the USA. Unless you have a US dollar account, it will be transferred quickly. If you transfer money from a European account to the USA, it might take 4 days and a large commission applies. I used the Application TransferWise. There is hardly no commission and a good rate and usually the transfer takes 24-36 hours.
Most Venezuelan people are poor and there is a lot, a lot, of criminality. It’s a bit a excecurated but the expression says that they’ll kill you for 20 dollars, so make sure you have a trustworthy driver and dito local guides. Stay below the radar. No expensive watches or clothes. Always stay with your guide. After awhile you get easy with the do’s and don'ts. Up till then, follow their instructions.
Real Estate Agents
Like in all countries there are a lot real estate agents available and they sometimes share properties and sometimes they have them exclusively. You can search on internetsites but we found out that properties offered here are usually to good to be true and only to let you call them and they will offer you their whole range which usually does not looks that good as the internet offer. Before you know it you will have a whole nest of agents showing you properties you are definitely not interested in.
Time and your personal energy are your worst enemies in this proces,
So beware to choose right and dare to say no,
And know what you want and stay focused on that.
Otherwise you will find yourself exhausted and puzzled and loosing it.
Your Venezuelan lawyer is maybe the most important person in the whole deal. You will establish a long term relation with him and most likely that you will trust him, or your real estate agent, the keys and entrance to the new property. In any future case, he will be the person to operate. So make sure you only work with a trustworthy party. In some cities, Valencia and Caracas, we can advise you. A lawyer will cost you around 250-500 dollar for the whole proces.
Buying process and costs
The moment you close a deal with the owner of the property it will be confirmed in
A Personal Contract between you and the owner stating the buying price, the deposit and of course the description of the property. After signing at a lawyers office and the payment of the deposit (in cash?) the next step is
Payment the rest of the amount direct to the bank account of the owner. This is a good moment to also transfer a deposit to your lawyer in order to enable him to make all necessary payments for the last step. Once these payments have been confirm received, the next phase is
To have yourself registered as the new owner in the so called registry. This process can only be completed after payment of the fees, of which your lawyer will take care off. Count with around 200-500 dollar.
Let us help you
We are a Dutch Entrepreneur Aernoud and two Venezuelan locals Xionert and Euclides. Aernoud bought an apartment in June 2019 in Valencia Trigalenga. As a team we have been to all the stages of buying and are happy to pass over this information to you, as an independent team.
What we offer
We are now offering this independent service to you, including staying in the 1 bedroom apartment Aernoud bought in the upper-class area Trigalenga in Valencia. Our service covers:
Secured airport pick-up in Caracas from arrival hall till airport return
Accommodation in Aernoud’s flat (see pictures)
Investigation on forehand what the wishes are by filling out a inquiry form
Inside information of what real estate agents are best for the job, and therefore the best possible chance in succeeding
Guidance on a daily basis including sight seeing and all services needed to enable a comfortable stay
Arranging cash for payment of daily needs
Monitoring security and well being during your stay.
As the whole process of buying will take around 4-5 days, you will need a minimum of that days plus the days for searching the right property. We suggest a minimum stay of 8 days in order to achieve the best results. We know the drill and realize that your wishes might change during your stay. We will follow that route constantly and advise accordingly. Consider some extra days to explore the beautiful sights of the country with or without us.
Our low tariffs
Airport Pickup Caracas to Valencia (2,5 hours drive) €100,-
Rent apartment for max 2 persons per day, €50,- including:
weekly housekeeping service and welcome package
100% backup power failure (so not only for the elevators)
backup water failure
Guidance per day, 1-2 persons (Xionert & Euclides), including €50,-
Enquiry on forehand what your wishes are and what the best possibilities are (counted as one day)
Selection of best fit real estate agents / properties
100% knowledge of all areas, history and future perspectives
Car rent & costs for your transportation anywhere in the area only (€25,- per day)
Between 6-12 hours per day guidance and advisory
So to experience a secure, safe and independent adventure of buying your investment in Venezuela for 8 days will cost you around €1200,- for our service and this will give you peace of mind and the trust that you will have the best chance of finding what you are looking for. No pressure from real estate agents and feel free to change your mind as many times as you want. We are there for you.
All prices are excluding costs like airplane tickets, food & beverages and other expenses. As the cost of living is high in Venezuela and the incomes are very low, your guides will in general not be able to have meals with you on a shared basis.
Send us an mail and tell us your plans. We love to hear from you.