I'm looking at buying some farm land in the Pereira area. Are you able to help or can you recommend someone in the area please? I'm also curious if a farm business is a way to obtain a residency visa? Thanks boss 🙏
Local here. The 13% increase is based on the past 3 years where there has been high inflation, but normally the increase is not that high (is actually about 7%), also you have to consider the revaluation of the property (depending on the area is about 3% every year), finally make sure that the value of 350 Minimum wages is based on the market value and not on the 'avaluo catastral' which basically the legal value of the property, and normally is a lot lower than the market value.
Good information - one question: when applying for the visa in subsequent years, is it always the original amount of your investment that matters, or what the property itself is valued at (by whatever method is used here) at the current time of your application? Something else that merits noting is that when accumulating time with a series of migrant visas to qualify for residency, you cannot have any breaks between visa terms, or else you will lose the amount of time you've accumulated up to that point.
Great question, I was actually thinking this myself and made sure to check with Nexo Legal. It's the original investment that's taken into consideration, it has nothing to do with the valuation of the property.
This makes me reconsider buying property. Normally I buy properties in countries around to 70-$100k range but I buy multiple. I don’t really like countries changing the goal post constantly because appreciation may not catch up with minimum wage
Good morning AK, Mike Faca here. I have written to you several times. This is a shout out to you. You present all of your topics clearly and concisely. I would tell anyone that if they want information that you can trust, watch your videos. Great job.
Great video! I wanted to share a quick analysis I did based on your spreadsheet. I added a regression model to analyze the relationship between Colombia’s inflation and minimum wage increases from 2009-2024, showing a strong correlation (R² of 0.991) - this indicates that annual inflation is a key input when determining the appropriate increase in min wages. Using this relationship and the World Bank’s inflation projections for 2025-2029, I estimate the required investment today to maintain qualification in 2028 is about 579M COP or $139k USD (at 4,173 USD). A couple of caveats: (1) Future governments could change how minimum wage is set, and (2) World Bank’s inflation forecasts may not pan out if major events occur.
@@AKJoel lol guilty as charged. Great video though, few people are talking about this as we all tend to assume that Colombia functions like most 'normal' countries which tend to grandfather the min investment based on the first year's requirements.
Great breakdown. Couple of questions 1. How do applicants make up for the surplus amount requirement. Do they show that extra amount in their bank account to meet the minimum threshold requirement? 2. How are the squatters rights on properties in colombia. Can illegal occupants easily occupy the property if it's rented out to someone? 3. Can one apply for citizenship after 5 years of maintaining the visa? Or is permanent residency first followed by citizenship after a few years on the permanent residency
I can't comment on the first 2 questions, I suggest you contact a local lawyer. After 5 years of maintaining the visa, you can apply for residency. After 5 years of holding residency, you can apply for citizenship. Source: www.cancilleria.gov.co/en/nationality-0?__cf_chl_tk=i5i1RibjhXJV1fPeib0dK0PwerCThmpbyELivxRJSeM-1728862800-1.0.1.1-RHFDWwOmiMu9dsvp1gUWJO0TpPwmTtLM9YqxlznjUow
Yes, to get the visa you need to register the purchase as direct foreign investment with the National Bank. - info here: www.cancilleria.gov.co/en/resident-investors-visa-0
This is EXTREMELY valuable information. I figured this out some months ago, and opted out of pursuing this visa. I am glad I didn't have to learn this the hard way. If the Colombian govt. gave a sh!t about anything beyond lining their own pockets, they would make this information CLEAR to everyone.
I am honestly not trying to call anyone out here. Please show proof that applications are being denied years later for an investors visa. People say that other lawyers will simply say yes to take your money, show proof those lawyers are taking people's money and their visas are getting denied. Everything you are saying is a school of thought from one law office. I get it. I really do. However it simply is advice that particular office has chosen to give, but that doesn't make it a fact.
@@AKJoel No it isn't "just made up" is is simply a "recommendation" from a a law office. Again it doesn't make it a fact. They are anticipating changes in the political landscape. It honestly is a solid recommendation. Not based on facts.
Wow....Did not realize that each application requires your property to have a value of 350 times the minimum wage of that specific year. Very good to know. Now I can avoid that pitfall!
I'm interested in the m Visa. I want to invest in a home in Colombia but I don't want to pay for it twice. How can you help me out with that in terms of Visa expiration?
There is absolutely no reason for a foreigner to buy an apartment in Colombia especially when rents are so inexpensive. if you ever need to leave Colombia it will be nearly impossible to sell your unit. Considering they force you to buy with cash your better off putting that 200k in a safe capital one savings account that gives you 5% a year which is 1000$ a month and use that money to pay rent in Colombia. Your money will always be safe. Its impossible to trust anyone in Colombia especially when your transferring hundreds of thousands of dollars. Trust nobody
@@GeeGee19no reason? Why not put up a small investment, get you visa, do your time sell the property. Even IF the property doesn’t go up in value when you sell do you realize how much money you saved in rent…40kto50k over a 5 year period. Or more depending on you style of living.
Id like to see a video on this topic as well please. I'm interested in buying some farm land and want to know if it can be used to obtain residency. Cheers
It is a legal document at the time of the visa you can't go back and say something that was legal and valid at the time is no longer valid. At the very least a new appraisal would be required, but that is highly unlikely.
Resident Visa is only for 5 years & needs to be renewed, or if you hold a Resident Visa for 5 years consecutively you're eligible to apply for Nationality, once you get Nationality there's no need for anymore visas.
Please clarify whether the original cost of the property is the number used for a reapplication qualifying amount or whether the market value at the time of the reapplication is the number used? If it is the market value at the time of the reapplication, then how is that market value determined? ie the taxing authority, an appraisal? Thanks for the info.
From my understanding, market value doesn't matter. The original amount invested at the time of application (and what's listed on your property deed) is what is used to determine your investment. Once again, with all things visas, check with a qualified lawyer.
Can you please get a lawyer on camera saying this? Because my lawyer says it is a grandfathered situation and I'll get my visa renewed no matter what the current minimum wage is.
I've been watching videos and googling for months and NEVER heard about this. So frustrating. I had a feeling there was a catch that every source I encountered was glossing over. And not just about the yearly minimum wage, which I eventually figured out on my own. 😑
You seem to be implying that every time you apply for the visa, your property's value will be assessed. I don't know if that's true, but assuming it is, then presumably your property's value will also increase over time, if anything due to inflation too. Of course, it could also decrease. But assuming the property and the minimum wage both increase mainly due to inflation, then you should be good, no? I mean, I wouldn't risk it buying a property for 100k, but going up to 170k seems a bit too much too. Anyway, thanks for the info!
As per advice given to us from Nexo Legal, the government does not assess the value of the property each time you apply for the visa. Only the original invested amount (in pesos) is considered.
I am a US Citizen and in the process of getting my retirement Visa in Colombia - will that assist me in getting my residency in Colombia and become a Colombian Citizen
Yes - once you get the retirement visa and hold it for 5 years, you can apply for Colombian residency. After holding residency for 5 years, you can then apply to become a citizen.
So in other words this is just a ripp-off for you to pay over half a million dollars why are they saying that one investment would be 5 years i And if there is an increase you should just pay the offset of the balance left not another one hundred thousand dollars f its not that sounds like a scam
Hey I love your videos I’d love if you did more videos with your girlfriend talking about relationships and just general topics I enjoy them. Thank you
As I Colombian myself, I must say this makes it sooo complicated and un-predictable. It should be way more straight forward, based on the year you applied. Low inteligence burocrats don't know what they are doing...
Aren't you grandfathered in? What about the value of the property then? Minimum salary goes up so does the property value and therefore the numbers too. If today, $110k gets you a visa, you are not going to spend $180k ore more to think about the next 3-5 years. No country in the world works like this (I know Colombia can be stupid but still). Proper and correct information is key here if you expect people to do business with you. If you have a real estate agency you surely work with lawyers. why don't you ask them before hand if this is factual? I know there is a learning curve but this would put you above the rest. I know I would do business with you guys.
@@AKJoel Well, I've delt with "attorneys" and many other "professionals" in Medellin and professionalism or knowledge can be laughable at times, so sadly I don't take their words for it. This is incomplete information, you need to invest thinking about the next 5 years for a visa purposes, the cost just double because of "legal advice" based on a cost of minimum salary, without taking into consideration the appreciation or imagine market crash, your house lost 50% of its value, what amount qualifies now? etc... Long story short, you need to dig deeper and get other legal advice (unrelated to Nexo affiliation) because this stuff makes no sense or it's not properly explained and based on comments, I am not the only one being skeptical. But thank you for creating the conversation, this is needed and I hope my feedback is constructive and I do appreciate what you and Andrew have done, elevating the Medellin youtube sphere.
With over 1M USD invested here I can tell you that you’re almost correct, however you’re not taking into account the fact that dollar is projected to be 7:1 in a few years bro. Your conversion isn’t changing every year. Delete this video and try harder next time. Your welcome
🏠 Need help buying real estate in Medellin? www.medellinmasterclass.com/realestateinvest
I'm looking at buying some farm land in the Pereira area. Are you able to help or can you recommend someone in the area please? I'm also curious if a farm business is a way to obtain a residency visa? Thanks boss 🙏
Also: I have used Nexo Legal twice already... highly recommended. They ain't cheap, but they are thorough!
Local here. The 13% increase is based on the past 3 years where there has been high inflation, but normally the increase is not that high (is actually about 7%), also you have to consider the revaluation of the property (depending on the area is about 3% every year), finally make sure that the value of 350 Minimum wages is based on the market value and not on the 'avaluo catastral' which basically the legal value of the property, and normally is a lot lower than the market value.
You're right - the increase in minimum wage surely won't stay this high, but I always like to give advice based on worst case scenario.
Good information - one question: when applying for the visa in subsequent years, is it always the original amount of your investment that matters, or what the property itself is valued at (by whatever method is used here) at the current time of your application? Something else that merits noting is that when accumulating time with a series of migrant visas to qualify for residency, you cannot have any breaks between visa terms, or else you will lose the amount of time you've accumulated up to that point.
Great question, I was actually thinking this myself and made sure to check with Nexo Legal.
It's the original investment that's taken into consideration, it has nothing to do with the valuation of the property.
This makes me reconsider buying property. Normally I buy properties in countries around to 70-$100k range but I buy multiple. I don’t really like countries changing the goal post constantly because appreciation may not catch up with minimum wage
You can purchase multiple properties to add up to the required investment amount, it doesn't just have to be one.
Min wage goes up as well as your investment.
Good morning AK, Mike Faca here. I have written to you several times. This is a shout out to you. You present all of your topics clearly and concisely. I would tell anyone that if they want information that you can trust, watch your videos. Great job.
Thanks Mike!
Best video on this topic that I needed to know... Thank you
Glad it was helpful!
Great video! I wanted to share a quick analysis I did based on your spreadsheet. I added a regression model to analyze the relationship between Colombia’s inflation and minimum wage increases from 2009-2024, showing a strong correlation (R² of 0.991) - this indicates that annual inflation is a key input when determining the appropriate increase in min wages. Using this relationship and the World Bank’s inflation projections for 2025-2029, I estimate the required investment today to maintain qualification in 2028 is about 579M COP or $139k USD (at 4,173 USD).
A couple of caveats: (1) Future governments could change how minimum wage is set, and (2) World Bank’s inflation forecasts may not pan out if major events occur.
Brilliant analysis, obviously you're a finance guy lol
@@AKJoel lol guilty as charged. Great video though, few people are talking about this as we all tend to assume that Colombia functions like most 'normal' countries which tend to grandfather the min investment based on the first year's requirements.
Good content
Cheers!
Great breakdown. Couple of questions
1. How do applicants make up for the surplus amount requirement. Do they show that extra amount in their bank account to meet the minimum threshold requirement?
2. How are the squatters rights on properties in colombia. Can illegal occupants easily occupy the property if it's rented out to someone?
3. Can one apply for citizenship after 5 years of maintaining the visa? Or is permanent residency first followed by citizenship after a few years on the permanent residency
I can't comment on the first 2 questions, I suggest you contact a local lawyer.
After 5 years of maintaining the visa, you can apply for residency. After 5 years of holding residency, you can apply for citizenship.
Source: www.cancilleria.gov.co/en/nationality-0?__cf_chl_tk=i5i1RibjhXJV1fPeib0dK0PwerCThmpbyELivxRJSeM-1728862800-1.0.1.1-RHFDWwOmiMu9dsvp1gUWJO0TpPwmTtLM9YqxlznjUow
Thanks so that's 10 years in total to get the citizenship?
It used to be 5 years residency which could convert to citizenship.. they're making it harder to stay long-term
It's still 5 years that converts to residency and then citizenship.
Question which i didn't hear you mention. The investment under this real estate program has to be from foreign income, yes? Not from Colombian income
Yes, to get the visa you need to register the purchase as direct foreign investment with the National Bank. - info here: www.cancilleria.gov.co/en/resident-investors-visa-0
This is EXTREMELY valuable information. I figured this out some months ago, and opted out of pursuing this visa. I am glad I didn't have to learn this the hard way. If the Colombian govt. gave a sh!t about anything beyond lining their own pockets, they would make this information CLEAR to everyone.
Yeah, nothing on the Colombian governments website is ever clear - this is why it's important to get a good lawyer on your side (as you already know!)
Very helpful
I am honestly not trying to call anyone out here. Please show proof that applications are being denied years later for an investors visa. People say that other lawyers will simply say yes to take your money, show proof those lawyers are taking people's money and their visas are getting denied. Everything you are saying is a school of thought from one law office. I get it. I really do. However it simply is advice that particular office has chosen to give, but that doesn't make it a fact.
I'm sure Nexo didn't just make this up out of nowhere. Feel free to contact them for more details on this school of thought.
@@AKJoelHe is saying that you should get second opinion from other law firms not just the one that you have established a relationship with.
@@AKJoel No it isn't "just made up" is is simply a "recommendation" from a a law office. Again it doesn't make it a fact. They are anticipating changes in the political landscape. It honestly is a solid recommendation. Not based on facts.
Wow....Did not realize that each application requires your property to have a value of 350 times the minimum wage of that specific year. Very good to know. Now I can avoid that pitfall!
Do you know what are other options available where we can we invest apart from real estate?
If you have a cedula you can open a neo bank account and get 13% interest. I personally have Lulo Bank.
@@AKJoel would that qualify for applying visa? Thank you the information!
For that bank account you need a visa and a Colombian ID.
I married a paisa. Does this change requirements??
I'm interested in the m Visa. I want to invest in a home in Colombia but I don't want to pay for it twice. How can you help me out with that in terms of Visa expiration?
There is absolutely no reason for a foreigner to buy an apartment in Colombia especially when rents are so inexpensive.
if you ever need to leave Colombia it will be nearly impossible to sell your unit. Considering they force you to buy with cash your better off putting that 200k in a safe capital one savings account that gives you 5% a year which is 1000$ a month and use that money to pay rent in Colombia. Your money will always be safe. Its impossible to trust anyone in Colombia especially when your transferring hundreds of thousands of dollars. Trust nobody
Agreed, but some of us don't have other visa options that allow us to stay long-term
S&P 500 over that saving account
@@Ryan-ul7dyLook into the Inversionista (Business Owner) visa.
@@GeeGee19no reason? Why not put up a small investment, get you visa, do your time sell the property. Even IF the property doesn’t go up in value when you sell do you realize how much money you saved in rent…40kto50k over a 5 year period. Or more depending on you style of living.
@@GeeGee19 I think he wanted to say $833 a month. 10k a year. Assuming interest rates stay at 5%.
By the way, can you make a similar video for the Inversionista (Business Owner) M visa?
Id like to see a video on this topic as well please. I'm interested in buying some farm land and want to know if it can be used to obtain residency. Cheers
at the time of Visa Application which will lead to residency.
It is a legal document at the time of the visa you can't go back and say something that was legal and valid at the time is no longer valid. At the very least a new appraisal would be required, but that is highly unlikely.
Resident Visa is only for 5 years & needs to be renewed, or if you hold a Resident Visa for 5 years consecutively you're eligible to apply for Nationality, once you get Nationality there's no need for anymore visas.
Correct!
Please clarify whether the original cost of the property is the number used for a reapplication qualifying amount or whether the market value at the time of the reapplication is the number used? If it is the market value at the time of the reapplication, then how is that market value determined? ie the taxing authority, an appraisal? Thanks for the info.
From my understanding, market value doesn't matter.
The original amount invested at the time of application (and what's listed on your property deed) is what is used to determine your investment.
Once again, with all things visas, check with a qualified lawyer.
Thank you so much for this video. I'll be looking for a place at the beginning of 2025. I will be reaching out. Cheers!
No worries, let us know and we'll be happy to help :)
Can you please get a lawyer on camera saying this? Because my lawyer says it is a grandfathered situation and I'll get my visa renewed no matter what the current minimum wage is.
I've been watching videos and googling for months and NEVER heard about this. So frustrating.
I had a feeling there was a catch that every source I encountered was glossing over. And not just about the yearly minimum wage, which I eventually figured out on my own. 😑
Glad I could provide some clarification!
You seem to be implying that every time you apply for the visa, your property's value will be assessed. I don't know if that's true, but assuming it is, then presumably your property's value will also increase over time, if anything due to inflation too. Of course, it could also decrease. But assuming the property and the minimum wage both increase mainly due to inflation, then you should be good, no?
I mean, I wouldn't risk it buying a property for 100k, but going up to 170k seems a bit too much too.
Anyway, thanks for the info!
As per advice given to us from Nexo Legal, the government does not assess the value of the property each time you apply for the visa. Only the original invested amount (in pesos) is considered.
I am a US Citizen and in the process of getting my retirement Visa in Colombia - will that assist me in getting my residency in Colombia and become a Colombian Citizen
Yes - once you get the retirement visa and hold it for 5 years, you can apply for Colombian residency. After holding residency for 5 years, you can then apply to become a citizen.
So in other words this is just a ripp-off for you to pay over half a million dollars why are they saying that one investment would be 5 years i And if there is an increase you should just pay the offset of the balance left not another one hundred thousand dollars f its not that sounds like a scam
Hey I love your videos I’d love if you did more videos with your girlfriend talking about relationships and just general topics I enjoy them. Thank you
Noted! We'll see what we can do :)
200k investment is the sweet spot to get the 5 year visa
Yes, that's what most of our clients go for.
As I Colombian myself, I must say this makes it sooo complicated and un-predictable. It should be way more straight forward, based on the year you applied. Low inteligence burocrats don't know what they are doing...
Aren't you grandfathered in? What about the value of the property then? Minimum salary goes up so does the property value and therefore the numbers too. If today, $110k gets you a visa, you are not going to spend $180k ore more to think about the next 3-5 years. No country in the world works like this (I know Colombia can be stupid but still). Proper and correct information is key here if you expect people to do business with you. If you have a real estate agency you surely work with lawyers. why don't you ask them before hand if this is factual? I know there is a learning curve but this would put you above the rest. I know I would do business with you guys.
I literally said in this video that this information is direct advice from Nexo Legal . They're the ones that brought this to my attention.
@@AKJoel Well, I've delt with "attorneys" and many other "professionals" in Medellin and professionalism or knowledge can be laughable at times, so sadly I don't take their words for it. This is incomplete information, you need to invest thinking about the next 5 years for a visa purposes, the cost just double because of "legal advice" based on a cost of minimum salary, without taking into consideration the appreciation or imagine market crash, your house lost 50% of its value, what amount qualifies now? etc... Long story short, you need to dig deeper and get other legal advice (unrelated to Nexo affiliation) because this stuff makes no sense or it's not properly explained and based on comments, I am not the only one being skeptical. But thank you for creating the conversation, this is needed and I hope my feedback is constructive and I do appreciate what you and Andrew have done, elevating the Medellin youtube sphere.
+ another Migrant Visa = Retirement one 🙏🏽🥂
Yeah, that's a good one too if you qualify!
Sticking with this one.
With over 1M USD invested here I can tell you that you’re almost correct, however you’re not taking into account the fact that dollar is projected to be 7:1 in a few years bro. Your conversion isn’t changing every year. Delete this video and try harder next time. Your welcome
7:1!? Where do you find that out?