What would you call a place with over 300 world-class beaches and tropical weather year-round? A place with tax benefits, easy US access, and a lower cost of living than most big American cities? You might think this place is “paradise,” but the locals call it Puerto Rico. Puerto Rico is a super-hot vacation spot with everything you need for a fun, exciting, or relaxing getaway. Check out the 6 top places to buy a vacation home in Puerto Rico below.
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Rincón
Vacation time is about hitting the beach, catching a wave, and enjoying spectacular sunsets. In Rincón, you’ll be doing all of these things and plenty more! This beautiful part of Puerto Rico has excellent surfing “breaks.” Thousands of surfers come here for that reason, and the town has that quintessential laid-back surfer vibe. Surfing isn’t the only fun thing to do in Rincón, though. Kayaking awaits you, as does spectacular snorkeling, whale watching, mountain biking, and fishing! The beaches are fabulous for those who want to relax and watch the day float by.
There’s no sugarcoating that Rincón is more expensive than other parts of Puerto Rico. Also, home prices are going up fast. Still, after every hurricane, fantastic deals come on the market as some folks leave. Expect to spend between $350 and $450K on a vacation home in Rincón. If you can afford it, it’s a magical place to vacation.
For many folks, vacation means relaxation, beach time, and boozy afternoons watching clouds float. If that sounds idyllic, and you’re not big on crowds, Culebra is a superb choice. It’s resort living at its finest, tranquil, chill, and with lots of fun things to do. Like many places in Puerto Rico, Culebra has a beautiful beach. The Caribbean water is a stunning turquoise, and the beach boasts exquisite sugar sand.
You’ll find resort-style living in Culebra plus 1-bedroom condos perfect for singles and couples. A stand-alone villa with spectacular views of the beach and ocean? You’ll find those in Culebra, too, which makes it a top spot for vacation homes in Puerto Rico. If you love snorkeling, Culebra will be a dream come true. The snorkeling is fantastic, with a wide variety of sea creatures like sea turtles and manta rays to experience. The one drawback is that, to get to Culebra, you’ll need to take a 45-minute ferry ride. The ride is stunning, though, and a great way to de-stress.
Vieques
Vieques is more than 24 neighborhoods, all of which have great perks. That’s not surprising, considering Vieques is Puerto Rico’s largest master-planned community. The place has everything you want, from exciting nightlife to great schools, world-class restaurants, and bodacious beaches. Vieques has the most extensive tennis center in the Caribbean! There’s also an equestrian club, marina, and 18-hole golf courses. It’s gated living at its finest, with everything you need to forget about the rest of the world.
San Juan
Like most big cities, San Juan, Puerto Rico’s capital, has a few warts and rough spots. If you can look past them, however, you’ll see that San Juan is also a magical place. This city drips with history, over 500 years’ worth at last count. Exquisite colonial architecture is everywhere you look, as well as quaint cobblestone streets. You’ll think you’ve gone back in time. One thing to remember if you choose to live in San Juan; do your due diligence. Look everywhere and, if possible, with someone who knows San Juan well. Remember, while some parts of San Juan are dreamy, others not so much. In short, you need to choose wisely to stay in a safe, fun, and chill part of town. Also, most parts of San Juan are costly. If you don’t care about being in the city, you can find much better deals outside of it.
Dorado
The name Dorado in Spanish means “golden,” which is the perfect way to describe this coastal town. Dorado offers a vacation location that combines beautiful beaches, gorgeous nature, and high-end amenities. What it doesn’t offer, unfortunately, is low prices. That’s mostly because it’s quite popular, thanks to the aforementioned amenities. In 2022, Dorado’s median listing home price was $1.1 million. A hefty price for a vacation home, but it comes with an idyllic vacation lifestyle.
Rio Grande
Rio Grande is perfect if you want beach time with a side of rainforest thrills while on vacation! The beaches, as you might suspect, are excellent and clean. Then you’ve got the El Yunque rainforest to explore right next door, with galore wildlife! El Yunque is one of the most diverse rainforests, with many ways to experience it. You’ve also got delicious restaurants, hip bars, and award-winning golf courses closer to home. Waterfalls, world-class amenities, and panoramic views? Yes, please! Everything combined makes Rio Grande one of Puerto Rico’s best places for a vacation home.
Top 6 Places to Buy a Vacation in Puerto Rico Brought to You by Southern Self Storage
Puerto Rico has a lot going for it as a vacation destination. We hope the information we’ve provided today will help you find your place under the Puerto Rico sun.
At Southern Self Storage, we store things for many Puerto Rico vacation homeowners. You can store your precious things with us while renting your home for the rest of the year. That way, your cherished items won’t get damaged or stolen. (It happens.)
If you need a storage unit in Puerto Rico when you’re not here, Southern can help. We’ve got 10 self storage facilities in Puerto Rico. You’re bound to be near at least one of them! Click here to see their addresses and phone numbers for each Southern Self Storage location.
Moving to Puerto Rico from the mainland USA is a big deal. Prepare well, take your time, and you’ll end up with a vacation location you’ll be happy with for years.
This post was originally published on 06/25/2020. It was updated on 10/04/2022.
As with any investment, there are pros and cons to consider. Puerto Rico offers many advantages to homeowners, including a lower cost of living, tax benefits, beautiful weather and beaches, and a rich culture.
The best areas to stay in Puerto Rico include Old San Juan for sightseeing, Rio Grande for adventure lovers, Rincon and Cabo Rojo to surf and find the best sunsets, Vieques to see the bioluminescent bay, and Culebra to relax on the beach.
Buying real estate in Puerto Rico offers a number of logical investment perks for Americans, including flexible finance possibilities, zero immigration concerns, and amazing tax breaks (should you qualify).
🏖️ What is the safest place to stay in Puerto Rico? Old San Juan is the safest place to stay in Puerto Rico due to being the capital city and heavily guarded by policemen. Isla Verde is also a good option if you are looking for somewhere safe with a good beach.
The median listing home price in San Juan, PR was $425K in March 2023, trending down -23.8% year-over-year. The median listing home price per square foot was $307.
For the small size of Puerto Rico, hurricanes affect the entire island, regardless of the hurricane category. If a hurricane passes far to the north or the south, the outer rainbands might affect only one part of the island, and depending on the route, the west coast might be the safest.
Visitors should avoid areas like Puerta de Tierra, El Parque de las Palomas, Piñones, and La Perla at night. Other great areas for tourists are Rio Grande, Fajardo, Ponce, Cabo Rojo, Vieques, Culebra, and Rincon. But, that doesn't mean tourists should limit themselves to those parts of the island.
What is the nicest town in Puerto Rico? There are multiple nice towns around Puerto Rico to visit and live in, including San Juan, Ponce, Lajas, Cabo Rojo, Maunabo, Isabela, Aguadilla, and Aguada.
What is the most beautiful part of Puerto Rico? The most beautiful parts of Puerto Rico include the west area of the island, for its beaches and breathtaking sunsets. Other beautiful areas include Vieques, Culebra, Fajardo, Utuado, and Manatí.
An approved ESTA for Puerto Rico allows a stay of 90 days with each entry for tourism, transit, or business purposes, and is valid for a total of 2 years from issue, meaning there is no need to re-apply for every trip to US territories.
Residents of Puerto Rico are required to pay most types of federal taxes. Specifically, residents of Puerto Rico pay customs taxes, Federal commodity taxes, and all payroll taxes (also known as FICA taxes, which include (a) Social Security, (b) Medicare, and Unemployment taxes).
Most expats settle in Puerto Rico's capital, San Juan, or in the south in Ponce, its second-largest city. Carros Públicos (public cars) allow you to travel all over the island and reach even remote areas.
If an upscale, livable, walkable area is what you desire in Puerto Rico, Dorado is a great choice. Dorado is one of the wealthiest areas near San Juan, with gated communities everywhere you look.
Which side of Puerto Rico has the best beaches? The north of Puerto Rico offers the best urban beaches like Isla Verde, Condado Beach, and Ocean Park Beach. Aguadilla, Rincón, and Cabo Rojo on the west coast and southwest coast offer the best beaches for surfing, whale watching, and sightseeing.
Remember this rule of thumb: depending on where you settle on this U.S. territory, you will likely save somewhere between 5% and 70% off the cost of living found in a typical city in the United States. Puerto Rico's smaller cities tend to have an especially low cost of living.
Buying a property on the island can be very different than on the mainland. To purchase a home in Puerto Rico, you are required to be pre-qualified for a loan. If you are planning a cash purchase, you must show evidence of sufficient funds. A good credit score and a 20% downpayment is the norm for getting a loan.
Hurricanes Irma and Maria have accelerated the trend of increased migration out of Puerto Rico, leading to many abandoned properties and properties labeled as “nuisances”. A “nuisance” property is defined as a building that is either uninhabitable or labeled a safety risk.
Hurricanes occur rarely in Puerto Rico. On average, they happen about once per year. The hardest hit regions are West and East. The hurricane season usually lasts from early June to late November.
Though vulnerable to earthquakes, tsunamis, and wildfires, the major threat of disaster in Puerto Rico and the U.S. Virgin Islands comes from hurricanes, tropical storms, and drought.
San Juan is the safest city for tourists in Puerto Rico. Although there are some dangerous areas, it features extensive public transportation, some of the best attractions in Puerto Rico, and beautiful beaches. Taking common precautions should be enough to stay safe.
The CDC and World Health Organization state that Puerto Rico's drinking water is safe to drink. Restaurants, bars, hotels, and homes use faucet water to wash, drink and cook. Alternatively, some businesses and homes install water filters for a purer taste.
Visitors from the United States can use their driver's license to drive in Puerto Rico since the island is a territory of the United States. International visitors will need an International Driving Permit along with their country's license.
San Juan water meets or exceeds all federal and state drinking water standards. We continuously monitor and test your water to ensure quality. Check out our Consumer Confidence Report to see for yourself.
Dorado: the most luxurious area to stay in Puerto Rico
If you're hunting for an upscale vacation, Dorado is an ideal choice: it literally means “golden.” Many of Puerto Rico's most famous restaurants, like El Ladrillo, can be found in Dorado, but that's far from all you'll find here.
Or Jayuya, where you can hike through the cloud forest or visit Cerro de Punta, the highest peak in the Cordillera Central mountain range. Said to have the “best views in all of Puerto Rico,” this is the spot to go if you're looking for a rewarding hike. Of course, the ultimate can't-miss mountain town is Orocovis.
Puerto Rico's most famous scenic drive is a 167-mile-long network of roads crossing the island from coast to coast through the central highlands. The itinerary is aptly named La Ruta Panorámica, or the Panoramic Route.
Law 187: Exempts buyers from paying property taxes for five years as well as certain closing costs for the purchase of the new residence as a primary residence, second home or investment property.
Puerto Rico Act 60: How You Can Lower Your Federal and State Tax Rates Under the Resident Tax Incentive Code. The Tax Incentive Code, known as “Act 60”, provides tax exemptions to businesses and investors that relocate to, or are established in, Puerto Rico.
Family of four estimated monthly costs are 3,353.2$ without rent.A single person estimated monthly costs are 968.4$ without rent. Cost of living in Puerto Rico is, on average, 10.8% lower than in United States. Rent in Puerto Rico is, on average, 46.5% lower than in United States.
The term 'resident individual' means an individual who is domiciled in Puerto Rico. It should be presumed that an individual is a resident of Puerto Rico if they have been present in Puerto Rico for a period of 183 days during the calendar year.
Puerto Rico Concealed Carry Reciprocity With Other States
The Puerto Rico gun law indicates that Puerto Rico honors permits from all states, enclaves, possessions or territories of the United States of America.
More than 65% of individuals living in Puerto Rico receive health care through Medicaid and Medicare, but federal funding for these programs in US territories has restrictions not present in the US mainland.
Puerto Rican genealogy is made exponentially easier because of the use of multiple surnames. Puerto Rico used the Spanish practice of using the last names of both parents. A child born would be given a first and middle name and then the first last name of the father followed by the first last name of the mother.
Culebra. Flamenco Beach on the Puerto Rican island of Culebra has the most English speakers in Puerto Rico. This island is actually closer to the British Virgin Islands than to the main island and is a former U.S. Naval base.
Moving to Puerto Rico to avoid taxes is just one of countless good reasons to be here. Besides an overall cost of living that is lower than on the mainland, you can enjoy picture-perfect beaches and nature trails, tasty Caribbean treats, convenient shopping, and so much more.
Adjuntas, Puerto Rico has the lowest median household income of any county or county-equivalent in the United States. Per capita income ranges from $24,264 in Guaynabo to $5,943 in Maricao.
The decline stemmed from familiar rural culprits: declining manufacturing, lack of health care, falling birthrates, brain drain and climate change. Even Puerto Rico's storied capital, San Juan, might have more in common with a faded Rust Belt hub like Detroit than with a coastal “superstar city.”
Culebra. Situated approximately 20 miles off the coast of mainland Puerto Rico, the island of Culebra is home to one of the most beautiful beaches in the archipelago (and possibly the world). Flamenco Beach stuns with its sparkling white sands and calm water that turns different shades of aquamarine throughout the day.
Dubbed one of the most peaceful beaches on the Island, you'll find gold-dust sand with soft waves caressing the shore. This paradisiac spot provides the perfect setting to enjoy impressive views of both El Yunque and the Luquillo coastline.
La Poza del Obispo beach may be small in size, but a natural phenomenon makes it a must-visit: limestone rocks that surround the beach prevent the tide from rising, creating a natural pool of calm water.
Moving to Puerto Rico to avoid taxes is just one of countless good reasons to be here. Besides an overall cost of living that is lower than on the mainland, you can enjoy picture-perfect beaches and nature trails, tasty Caribbean treats, convenient shopping, and so much more.
In Puerto Rico, the rent for a one-bedroom apartment in a city center costs about $800 per month. The same apartment outside of the city will run you closer to $484 a month. If you're looking to buy an apartment, the price per square foot is $157 in a city center and just $125 per square foot outside of a city.
Most expats settle in Puerto Rico's capital, San Juan, or in the south in Ponce, its second-largest city. Carros Públicos (public cars) allow you to travel all over the island and reach even remote areas. A working knowledge of Spanish can be of great help during the housing search in Puerto Rico.
He noted that residents of Puerto Rico are typically exempt from most federal income, gift, estate and excise taxes, but that they are eligible for Social Security and Medicare.
Puerto Rico's reliance on petroleum as a fuel for electricity generation contributes to the island having a higher average electricity price than any U.S. state, except for Hawaii.
Even though Puerto Rico is a Caribbean island, it is very affordable. As the cost of the average 7-day Puerto Rico vacation ranges from around $1,000 to $2,500+ USD per person making a Puerto Rico holiday far more affordable than a Hawaiian getaway.
As long as an individual is a bona fide resident and their source of income is in Puerto Rico, they will not have to pay the federal income tax rate which ranges from 10% to as high as 37%.
Healthcare in Puerto Rico. Healthcare in Puerto Rico is of a high standard, but conditions vary throughout the island. The standard of healthcare is similar to what one would expect in the US, but some areas are better equipped than others.
Vieques and Culebra are two island municipalities off the coast of Puerto Rico and both are wonderful spots for travelers looking for pristine, uncrowded beaches and the tranquility of small-town life, as well as lower prices.
Introduction: My name is Frankie Dare, I am a funny, beautiful, proud, fair, pleasant, cheerful, enthusiastic person who loves writing and wants to share my knowledge and understanding with you.
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