Invest in Venezuela NOW
- Thread starter TudoBem
- Start date
frozen-ace
Robin
@ Icarus-
The fuel smuggling reminds me of Iraq back in the early 2000s. After the fall of Saddam Hussein the transitional government kept the popular fuel subsidies in place (gas was 10 cents per gallon if I recall). Smugglers had SUVs retrofitted with underside gas tanks, and extra gas tanks on the inside, and filled up in Iraq and drove over the border to Jordan for immediate profit.
The fuel smuggling reminds me of Iraq back in the early 2000s. After the fall of Saddam Hussein the transitional government kept the popular fuel subsidies in place (gas was 10 cents per gallon if I recall). Smugglers had SUVs retrofitted with underside gas tanks, and extra gas tanks on the inside, and filled up in Iraq and drove over the border to Jordan for immediate profit.
Woolf said:
Venezuela has the largest proven oil reserve in the world. Something like 300B barrels. Multiply oil reserve (300B)* current price of barrel (63) =18,900,000,000,000
That´s trillions. The math doesn´t work this way. It´s not that simple. There´s costs of productions, etc, etc. But you get the idea.
The untapped potential of Venezuela is brutal. OP might have been too fast to call the bottom. Which by itself is impossible. Since it´s like trying to time when you will get better from a cold. Normally 2-3 days. But it can take more.
But there are sure as hell fundamentals to support a decision to invest there. Not short term.
Real estate didn´t sky rocketed everywhere. Greek real estate is still depressed. In normal markets price sky rocketed because of low interest rates. Probably other have negative yelds. A simple google search will give results.
The difference between the increase in price in real estate and devaluation of currency can be positive. Most deals are probably made in dollars anyway. Bolivars are irrelevant. There´s no data to say it´s negative for high end real estate investors in Venezuela. Nor positive. For the fact.
But if in stocks it was not a break even. But profit. Handsome profit. I bet there was also profits in prime real estate. Even with all the devaluation.
https://www.cnbc.com/2015/05/07/venezuela-stocks-up-300-percent.html
"Still, since the Caracas general index is up some 600 percent in 12 months, and 23,000 percent over the past five years, the theoretical American investor who was able to convert money into bolivars, buy Venezuelan stocks and convert the money back to dollars has likely generated a handsome profit."
Stock market didn´t tank. I don´t buy the official explanation of why. But I had to dig deeper to catch the real info. If you have any alternative idea why please discuss.
https://www.bloomberg.com/quote/IBVC:IND
If I were to invest in Venezuela. Which I´m not. It would be in Isla Margarita. An hotel. But for my level of risk it´s too early. There as to be some signs of change. But you would have to get info of this signs before they are made public.
http://www.viviun.com/Real_Estate/Venezuela/Margarita_Island/2/
OrthodoxExpatCol
Kingfisher
Just what I needed.
A good laugh for today.
This forum is hilarious sometimes.
People, please never take advice from anyone on this forum without doing your own due diligence.
A good laugh for today.
This forum is hilarious sometimes.
People, please never take advice from anyone on this forum without doing your own due diligence.
Just a quick thought, I will use this thread.
Let´s have a look at Syria. It was very prospering and rich country. Now, the most of it is destroyed and men died in the war or fleed to different country.
But somebody will have to rebuild it. In case Asad will be still at power, national resources won´t be stolen.
Does somebody else feel this as potential opportunity? I am not talking about investing, but rather entrepreneur opportunity.
Let´s have a look at Syria. It was very prospering and rich country. Now, the most of it is destroyed and men died in the war or fleed to different country.
But somebody will have to rebuild it. In case Asad will be still at power, national resources won´t be stolen.
Does somebody else feel this as potential opportunity? I am not talking about investing, but rather entrepreneur opportunity.
Like, "I'm going to go to Syria because there's money to be made in this war-torn shithole?"
No, I don't think so at all.
No, I don't think so at all.
LeBaron
Robin
Icarus said:
There is already a huge french one doing this, check who they bribe to rebuilt the country. The world is fucked-up...
https://www.reuters.com/article/us-...operating-in-syria-rights-group-idUSKBN1E62OM
A house in the best neighborhood of Caracas costs 15000$. In a popular neighborhood 300$. The bank to open account is Banesco. Not the state bank. Inflation is so high if you want to buy a car and wait one year the price will double.
The biggest fear Venezuelans have is the country turning into a Syria.
The biggest fear Venezuelans have is the country turning into a Syria.
flyinghorse
Woodpecker
This thread is the best example of don't listen to financial advice from people on the internet
There’s a thread on here where an RVF member was telling guys to invest in Portuguese real estate back in 2009 or shortly after, the guy disappeared but someone bumped it a couple of years ago and the advice was solid. Investing in Venezuela now though would be a lot riskier.
Troller said:
Not it doesn’t double, you clearly did not study the country, it could bump 50x just in a year, kid u not.
^
Actually it was a venezuelan who works for me who told me this. He was a small government officer. Still has his mother and sister there. So I doubt he was lying. Venezuela is something I have on my radar. Doesn´t mean I will buy real estate there tomorrow. Or even if I will ever do it. I´m just gathering information at the moment. One thing I know is they have a rich country because of oil.
There are some fundamentals there. Lunatics are running the country. But if that changes. Anyway besides this they have supposedly beautiful women and great beaches. Probably would buy in tourism areas. Lecheria maybe. Or Isla Margarita. But at this moment it´s just something I´m looking into and collecting info. Nothing more. But spending 300$ buying a house just to roll the dices... Imagine you gather more 2 friends. Each one puts 100$. Just for the fun. And getting a foot in the country. It´s 300$. Even 15k is not that much. Imagine with a loan from Banesco and play with the house money.
Actually it was a venezuelan who works for me who told me this. He was a small government officer. Still has his mother and sister there. So I doubt he was lying. Venezuela is something I have on my radar. Doesn´t mean I will buy real estate there tomorrow. Or even if I will ever do it. I´m just gathering information at the moment. One thing I know is they have a rich country because of oil.
There are some fundamentals there. Lunatics are running the country. But if that changes. Anyway besides this they have supposedly beautiful women and great beaches. Probably would buy in tourism areas. Lecheria maybe. Or Isla Margarita. But at this moment it´s just something I´m looking into and collecting info. Nothing more. But spending 300$ buying a house just to roll the dices... Imagine you gather more 2 friends. Each one puts 100$. Just for the fun. And getting a foot in the country. It´s 300$. Even 15k is not that much. Imagine with a loan from Banesco and play with the house money.
I get it, you mean that the real value corrected for inflation could double. I agree. Heck, it could triple, quadruple or just skyrocket 10 fold.
The issue is they have been in this hole for 20 years now. Chavez first took power in 1999. No one knows how much longer it may last.
For sure, the day the regime crumbles, and private property and the rule of law is re-established, it will be very good for whomever owns property there. Until then there is nothing that guarantees a piece of property you own will not be seized by their corrupt totalitarian state, especially if you are a foreigner investor, as opposed to a local citizen. The current government literally hates foreign investment, unless it comes in the form of allied socialist government subsidized loans, as Lula and Dilma Rousseff from Brazil did repeatedly in the last 2 decades, bankrolling Venezuela's failed regime with brazilian citizens's tax money and political support.
That is now gone, which means the only regional support they have now is other failed countries like Bolivia and Cuba. This could speed up their population's revolting back into control. Or not. Just look at North Korea. Argentina has been a mess for 2 decades as well. I would not invest there unless you actually moved into the country, to hold the property you own yourself.
In the current state of poverty, there is nothing to stop your property from being claimed by outlaws, homeless and worse, the state itself.
The issue is they have been in this hole for 20 years now. Chavez first took power in 1999. No one knows how much longer it may last.
For sure, the day the regime crumbles, and private property and the rule of law is re-established, it will be very good for whomever owns property there. Until then there is nothing that guarantees a piece of property you own will not be seized by their corrupt totalitarian state, especially if you are a foreigner investor, as opposed to a local citizen. The current government literally hates foreign investment, unless it comes in the form of allied socialist government subsidized loans, as Lula and Dilma Rousseff from Brazil did repeatedly in the last 2 decades, bankrolling Venezuela's failed regime with brazilian citizens's tax money and political support.
That is now gone, which means the only regional support they have now is other failed countries like Bolivia and Cuba. This could speed up their population's revolting back into control. Or not. Just look at North Korea. Argentina has been a mess for 2 decades as well. I would not invest there unless you actually moved into the country, to hold the property you own yourself.
In the current state of poverty, there is nothing to stop your property from being claimed by outlaws, homeless and worse, the state itself.
Krabbypatty
Sparrow
Following this thread. Venezuelan women are pleasant to be around with. And I’ve heard of many good things about Venezuela from Venezuelans I’ve met in Colombia and Peru - amazing coastline, etc. Many of them who I talked to plan to return once the situation gets better. I’ve always been curious about purchasing a property there in the future. Now is not yet the time. But if they get rid of Maduro (and that’s a big if), then it’ll be quite interesting what will happen.
Think of it like Colombia was 25 years ago compared to today, in 1994 it would’ve seemed insane to buy there but if a guy waited say ten years until 2004 then bought a condo in Medellin or Bogota, he’d be sitting pretty now. A few RVF guys bought places there in the past five years and are doing very well. Basically, wait until the government changes and exiled Venezuelans start returning en masse then start looking into buying. It’s something I’m considering as well bit it’ll probably take 10-15 years.