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How Much it Costs to Retire in 20 Overseas Destinations

By U.S. News & World Report

Major world events and the strong U.S. dollar are creating real estate investment opportunities across the globe. For example, Spain’s housing bubble, Greece’s debt crisis and recession in Portugal resulted in drops in real estate values in those countries that carry on today. And U.S. dollar buyers are benefiting from a strong greenback that now buys 90 euro cents.

[See: 10 Affordable Places to Retire Overseas in 2016.]

Likewise, this is perhaps the best time in a decade to diversify into Latin American real estate, again, thanks to the strength of the U.S. dollar against key currencies in the region. Market developments of note, including fast-expanding middle classes in Panama and Colombia and growing rental demands in places like Playa del Carmen, Mexico, and Las Terrenas, Dominican Republic, add to the appeal.

There are several key areas where property buyers or investors might want to focus their attention. The Live and Invest Overseas’ Retire Overseas Index looks at the average prices per square meter to purchase in 20 destinations of particular appeal for living and investing overseas. These averages are based on the cost to buy a 75- to 100-square-meter, two-bedroom apartment in each market. This would be a comfortable size for a second home abroad or a retirement residence and an ideal configuration for a rental property in most cases.

[See: How to Prepare for Retirement Overseas.]

The study identified the world’s lowest cost property markets as Cayo, Belize; Medellín, Colombia; Crete, Greece; and Granada, Nicaragua. The most expensive markets considered in the survey are Paris, France, and Barcelona, Spain. Property values in Paris and Barcelona are several times those in the most affordable markets in the survey. But these are not necessarily places to avoid investing in real estate right now. More expensive does not always translate to a bad investment.

A property purchase can be worthwhile because it has the potential to generate a good rental yield or you believe its value will appreciate for a particular reason over a particular period. You may also want to be able to spend time in that place. If you’ve dreamt of a pied-a-terre in the City of Light, for example, this is perhaps the best time in a generation to act on that interest, thanks to the dollar’s buying power versus the euro and the current buyer’s market in Paris.

[See: 50 Affordable Places to Buy a Retirement Home in 2016.]

Here’s how the 20 destinations featured in the survey stack up and compare on a per-square-meter cost basis. The information about each city includes the current average per-square-meter price to buy, first in the local currency and then in U.S. dollars at current rates of exchange, as well as the affordability of real estate grade assigned by the Live and Invest Overseas Index.

Mexico and The Caribbean

Las Terrenas, Dominican Republic
Affordability Grade: B
96,485 pesos; $2,100 per-square-meter

Puerto Vallarta, Mexico
Affordability Grade: B
30,681 pesos; $1,600 per-square-meter

Roatán, Honduras
Affordability Grade: B
40,989 lempiras; $1,800 per-square-meter

Ambergris Caye, Belize
Affordability Grade: C
5,600 Belize dollars; $2,800 per-square-meter

Playa del Carmen, Mexico
Affordability Grade: C
41,774 pesos; $2,300 per-square-meter

Central America

Cayo, Belize
Affordability Grade: A
2,153 Belize dollars; $1,076 per-square-meter

Granada, Nicaragua
Affordability Grade: A
25,729 cordobas; $900 per-square-meter

Pedasí, Panama
Affordability Grade: B-
$2,170 per-square-meter

South America

Medellín, Colombia
Affordability Grade: A
3.6 million pesos; $1,250 per-square-meter

Buenos Aires, Argentina
Affordability Grade: D
45,714 ARS; $3,250 per-square-meter

Europe

Crete, Greece
Affordability Grade: A
1,330 euros; $1,474 per-square-meter

Algarve, Portugal
Affordability Grade: B+
1,500 euros; $1,668 per-square-meter

Ljubljana, Slovenia
Affordability Grade: C
2,250 euros; $2,357 per-square-meter

Valletta, Malta
Affordability Grade: C
2,300 euros; $2,535 per-square-meter

Barcelona, Spain
Affordability Grade: F
4,200 euros; $4,630 per-square-meter

Marais, Paris
Affordability Grade: F
10,000 euros; $11,118 per-square-meter

Asia

Chiang Mai, Thailand
Affordability Grade: B
55,000 baht; $1,567 per-square-meter

Da Nang, Vietnam
Affordability Grade: B
36,213,999 dong; $1,623 per-square-meter

Kota Kinabalu, Malaysia
Affordability Grade: B
4,391 ringgits; $1,100 per-square-meter

Sanur, Bali, Indonesia
Affordability Grade: B
26,160,000 rupiahs; $2,000 per-square-meter

Source: Live and Invest Overseas, 2016.

Kathleen Peddicord is the founder of the Live and Invest Overseas publishing group.

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How Much it Costs to Retire in 20 Overseas Destinations originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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