Getting “Free” Money for Ecuador Property Investments

This week I started my property hunt in Ecuador on my $30,000 skin-tight budget. First step, secure financing.

The beauty of investing in Ecuador is that I actually can find a desirable investment with just the $30,000 cash on hand at the moment… no hefty mortgages needed.

But, when property flipping, “leverage” is important to consider. The rule of “leverage” when used by property investors basically means it’s always better to use someone else’s money because your overall return on investment (ROI) can increase. I agree, although the level of risk does increase when using others money.

Some experienced property flippers like “hard money”, or money attained from private lenders. I don’t. I’ve found hard money lenders to be extremely controlling, to the point where I almost feel like I’ve become their employee.

And taking on partners can be a bit of a risk too. It’s true that the worst business model is the partnership… most end badly.

So how did I secure a quick $20,800 in interest-free money this week for my current Ecuador property hunt?
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Cold Wave in South America Reminds Me Why I Chose Ecuador

This week the southern countries of South America like Argentina, Paraguay and Brazil are experiencing an extraordinary cold wave. It snowed in Curitiba, Brazil. In Asuncion Paraguay it hit a record low, -1 degrees C.

Many people ask why choose Ecuador with so many other “sexier” options in South America… well, for 3 months a year, Argentina is cold! So is the southern part of Peru and Chile. And now with the global climate changes, even parts of Brazil and Paraguay are also becoming cold for parts of the year.

Ecuador remains mildly warm year round thanks to it’s location straddling the equator.

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Conversation with Local Fishermen Reveals Problem Brewing Off Coasts of Ecuador

The government of Ecuador announced this week that anyone who catches the fish “Dorado” will have to spend 3 months in prison.

This law shows the government’s preoccupation for the environment, a good thing.

Just this weekend, I had a conversation with a local fishermen who said the amount of fish off the Ecuador coast has diminished significantly in recent years. He said before his boat just had to go two hours in order to get a decent catch, now they have to go farther and farther, sometimes as much as 10 hours out just to get their catch for the day.

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Before You Buy a 3rd Floor Apartment in Ecuador Know This…

In Ecuador, a third floor apartment is actually a fourth floor apartment, and so on. Let me explain.

In the US, the first floor is the first floor, second floor is the second and so forth…

In Ecuador, the first floor is called the PB or “planta baja”… and the second floor is called the first floor “primer piso” and the third floor is the second “segundo” and so forth. Buyer be aware!

Saludos until tomorrow, Domenick

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Traffic Problem Increases in Ecuador’s Biggest Cities

In 2000 there were 290,752 registered vehicles in the province of Guayas (Guayaquil) Ecuador, now there are 620,393 according to the CTE (Comision de Transito).

The traffic at rush hour in Quito and Guayaquil in particular, is horrible. I’ve noticedover the last few years a sharp increase in travel time necessary to get from one end of the cities to another due to traffic.

This will, and is, having a positive affect on properties located in the commercial centers of the cities.

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