First and foremost, Puerto Rico offers the allure of a tropical island in the Caribbean with the security of being a territory of the USA. Like many other islands in the region, Puerto Rico basks in year-round warmth and sunshine. Its coastline is fringed by some of the best beaches in the world and surrounded by warm, clear Atlantic and Caribbean waters while inland majestic mountains are covered in lush tropical greenery. However, in contrast to other islands in the region, Puerto Rico is a self-governing territory of the USA. This means that English is one of its two official languages, the territory is subject to an American legal framework and the US Dollar is the official currency. This means that Puerto Rico is one of the only destinations in the region that visitors from the US mainland can travel to without a passport. This also means that buyers can invest in Puerto Rico real estate with the peace of mind that all the protections that come with US Federal Law apply here too.
In addition to its unique appeal of being a tropical paradise in the Caribbean and a US Jurisdiction with all the comforts and protections provided by US Federal law, Puerto Rico has put in place a set of highly attractive incentives designed to attract investment from high net worth individuals, empty nesters and retirees. Act No. 22 of 2012 (the “Individual Investors Act”), for example, offers eligible individuals who become resident in Puerto Rico a total exemption from Puerto Rico income taxes on dividends, interest and short- and long-term capital gains. The Commonwealth also offers incentives to businesses such as Act No. 20 of 2012 (the “Export Services Act”) which provides tax exemptions and tax credits to businesses operating in a range of sectors from R&D and consulting to financial services.
Puerto Rico is also easily accessible from the US mainland via short, daily, non-stop flights. The island has 11 airports, 3 of which welcome direct international flights. Luis Muñoz Marín International Airport which services the capital San Juan is, in fact, the busiest and most important air hub in the Caribbean region. San Juan Airport handles 8 million passengers per year via 1,800 weekly flights operated by more than 20 airlines. The island can be reaches in roughly 2.5 hours from Miami and 3.5 hours from New York.
As one of the leading destinations in the Caribbean, Puerto Rico offers the opportunity to enjoy a very high quality of life. The island is home to some of the best hotels in the world, several of which features world-class championship golf courses such as the Robert Trent Jones Jr.-designed course at Bahia Beach, the East Course and Sugarcane Course at Dorado Beach and the Royal Isabela Golf Course at Isabela – hence its nickname “the golf capital of the Caribbean”. Puerto Rico also offers diverse dining, shopping and entertainment options that are simply not available in many other Caribbean destinations. Enjoy browsing the boutiques at Plaza Las Américas and the Mall of San Juan, exploring the island’s cuisine at an eclectic mix of restaurants serving everything from elevated home cooking to elegant dishes created by top chefs and dancing the night away at lively rooftop bars and clubs in chic Condado and Old San Juan.
As a territory of the USA, Puerto Rico benefits from sophisticated infrastructure that is lacking in many other Caribbean islands. In addition to the busiest airport in the Caribbean, Puerto Rico has 11 seaports, 24,000 miles of highways and the Caribbean’s first rapid transit system which serves the San Juan metropolitan area. The island also benefits from high-speed broadband internet and robust landline, wireless, cloud and ethernet services.
Having suffered severe damage from Hurricane Maria in 2017, Puerto Rico has since been on the road to recovery. After several years of declining property prices, the real estate market has begun to show strong signs of rebounding. Several factors have contributed to a rebound, including tax incentives outlined, an inflow of insurance and federal funding and a stream of buyers from the mainland on the hunt for bargains after the hurricane. While it may still be a buyer’s market, 2019 saw an increase in property prices and a rise in transactions and that trend is set to continue.
One of the most beautiful islands in the Caribbean, Puerto Rico is blessed with breathtaking attractions including the world’s brightest bioluminescent bay on Vieques, pristine beaches on Culebra and the majesty of the El Yunque National Forest which is home to rare flora and fauna such as the Puerto Rican Parrot. Besides sites of outstanding natural beauty, Puerto Rico also offers sites of unique cultural and historical importance, such as Old San Juan (Viejo San Juan), the historic colonial section of the capital which is a UNESCO World Heritage site dating back to the 16th Century and the oldest settlement in the USA.