Nicaragua Property

Nicaragua Property Buying Information

Foreign Ownership of Nicaragua Property
Foreign nationals may own property in Nicaragua either personally, using a Nicaragua registered corporation, or under a US.Trust held by a Nicaraguan Corporation.


Nicaragua Property Title
Nicaragua property ownership is Fee Simple / Freehold, however the title to many properties confiscated in the 1980’s remains unclear. Buyers are therefore advised to use the services of our real estate agents and exercise due diligence when purchasing a property in Nicaragua, as even a comprehensive title search can sometimes fail to uncover problems.


Building Costs
Nicaragua properties are generally constructed from concrete blockwork, brick, reinforced concrete and tile with most of the properties sold through our real estate agents provided with a new plot plan.

The cost of building a house in Nicaragua in 2006 is approximately $40 to US$70 per square foot, depending upon the quality of the materials used and complexity of the construction. Generally, roads and utility services can be carried to a property reasonably easily, depending on the local terrain.


Nicaragua Property Taxes
Taxes are very inexpensive. Annual property taxes approx. 1.5% of the assessed property value,
which is 50% or less of market value. Farmland comprising of up to 30 manzanas (51.6 acres) is exempt from real estate tax.


Nicaragua Property Insurance
Properties in Nicaragua may be covered by local insurance companies for fire, earthquake and floods but not for acts of war.


Tourism Projects
The Nicaraguan Government offers special benefits for tourism projects valued over 200,000 córdobas (approx. US$11,205) in the Departments of Carazo, Granada or Rivas, and special benefits for tourism projects valued over 300,000 cordobas (approx. US$16,807)on the Atlantic Coast. These benefits include exemption from taxation on construction materials and other items.


Foreign Investors
Foreign Investors in Nicaragua are allowed to register their investments and negotiate a foreign investment agreement with the Ministry of Economy and Development. However should they choose not to register, they are allowed to repatriate their foreign capital, less any losses incurred, within 3 years of making the investment. Additionally they are also allowed repatriation of the net profits gained from registered investment and compensation should there ever be any expropriation of funds for reasons of public or social interest.

In addition to the above, other tax benefits may be negotiated depending on the type of business proposed. The laws bought in under the Foreign Investment Law appear to have worked very well, with no known complaints to date.

Contact Us
Our local representative in Nicaragua can be contacted by emailing us through our Contact Us page.

Please note that the information on this page is subject to constant change and revision and may not be fully up to date. Users are advised to verify any information that could effect their decision on buying a property, visiting this country or any other matter of importance.