If you’re considering a move to Puerto Rico, there’s no better place than San Juan. Puerto Rico is gorgeous and the list of mind-blowing beaches never seems to end!
You’re also moving to an island with a rich history, vibrant culture, delicious cuisine, and a welcoming community. On top of that, there are plenty of adventure and sports activities to get the adrenaline rush going.
There are multiple points to consider while making a move to a new location. To understand why San Juan is such a fantastic place to move to, it’s important to know what makes it special. Let the experts at The Colectivo Group help you with that.
Why Move to San Juan?
With five centuries of history behind it, San Juan is the perfect combination of old-world charm and modern facilities. Founded by Spanish colonists in 1521, it is the oldest city in the US established by Europeans.
For people in the continental U.S., the experience of living in San Juan is unlike anything they have felt before in any other state. At the same time, there is no visa restriction, the currency is the same, and you can even keep using the same phone number.
There are a lot of things to do in San Juan, and the atmosphere is charged with the proverbial “Boricua” spirit. From exploring the forts in the Old City to walking through cobblestone streets lined with pastel buildings, the city is perfect for taking long walks and delving into the past.
Simply put, some spots will leave you in awe with their breathtaking ocean views.. If you want to feel the ocean breeze, head for Isla Verde, Condado, or Ocean Park. Seeking a quiet nook to enjoy a coffee or Piña Colada? You will find quite a few of them around the beaches.
San Juan is a happening city with events, involving culture, music, or food, taking place almost every week.
Festivals in the city are colorful, loud, and packed with a ton of fun. Some of the popular festivities are the Three Kings Day, the San Sebastián Street Festival, the Ponce Carnival and the Casals Festival.
Since the locals are warm and friendly, you are likely to be enveloped by a sense of community while living here. Most expats find social and community life in San Juan more vibrant than in cities in the mainland US. Living on a Caribbean island is a unique experience, and San Juan is one of the best places to experience it without compromising on your lifestyle.
Comparing Costs
When you compare costs, San Juan is less expensive than most cities on the US mainland. Besides, you need to consider factors like tax savings and a year-round temperate climate. The living and rent costs will be even lower if you settle down in any of the smaller cities in Puerto Rico.
Cost of living
The average cost of living in San Juan is around 20% less than that of the mainland United States. The cost of transportation, restaurants, entertainment, and childcare is less than in mainland cities. In addition, the healthcare costs on the island are significantly lower than the US average.
Real estate market
The real estate prices in Puerto Rico vary depending on the location you choose. In general, the housing price is lower than most other cities in the US. If you buy or rent an apartment outside of the metropolitan area, the prices will be even lower. Besides, the city is packed with a wide range of real estate options, be it luxury or simple.
For example, the rent of a 1 bedroom apartment in San Juan can be between $700 to $1,000 per month. In the mainland US, a similar rent can be close to $1,150.
Utilities
The average spend on electricity for San Juan residents is around $312 per month, which is higher than mainland USA. The internet charges are on a slightly higher side too. However, lower property values and tax savings balance the higher energy costs.
Groceries and Daily Living
Some groceries are expensive in San Juan as these have to be imported. On the other hand, local products are cheaper and fresher. All supermarkets offer a blend of local and imported products.
The average grocery cost for a family in San Juan is between $600-$800 per month. Note, that the prices can vary depending on the location and type of the store.
When it comes to dining out, the costs depend on multiple factors. In some restaurants, the cost can be half of that of a restaurant on the US mainland. San Juan is a small city and you can easily walk around to cover the main spots. Besides, public transportation is cheap and the city is bike-friendly too.
Making the Move
As an American citizen, you need not go through visa applications and immigration procedures for relocating to Puerto Rico. However, you need to fulfill one of the criteria required for application for permanent residency.
The island needs to be your primary residence and you need to spend a minimum of 183 days a year on the island. The other option is being an investor in the island. The exact process of documentation will vary depending on the process you choose.
Documentation
While filing a residency application in Puerto Rico, understand the paperwork required for the chain of bureaucratic processes. Make sure that the documentation is correct and accurate to prevent any verification delays.
The documents needed are filled application forms, along with identification and financial documents. The originals of your Social Security card and birth certificate will be needed. You will also need proof of residence in Puerto Rico in the form of a property deed or lease agreement.
To take advantage of the friendly tax structuring In Puerto Rico, go through the details of Acts 20 and 22 and the IRS guidelines. If needed, talk to tax experts who can provide specific suggestions tailored to your personal needs or the needs of your business.
Legal Requirements
One important legal requirement for the move is demonstrating your intent to reside indefinitely in Puerto Rico. For this, you will need an updated driver’s license, voter registration, and tax returns. Tax applicants will also need a criminal background check done from their original state.
In addition, you will need to surrender your U.S. voter registrations as Puerto Rican residents are not allowed to vote in U.S. elections. Once you have settled into your new home in San Juan, you will have to submit a form as a declaration of non-domicile to the office of your current state. This is needed to declare domicile in Puerto Rico.
Moving Logistics
There are multiple moving companies that can expertly handle your move from the U.S. mainland to Puerto Rico. Depending on the type of goods and vehicle you are transporting, the customs rules can vary.
Domestic shipments arriving in Puerto Rico require a clearance from the Puerto Rico Department of Treasury or “Hacienda”. As long as your documentation is correct, the process is straightforward. For some items, you may need to pay a tax.
Settling into Life in San Juan
While property demands in Puerto Rico have gone up over the last few years, finding the right home in San Juan is not an impossible task. Depending on your budget and lifestyle needs, you can choose from a wide range of options in various neighborhoods.
Some of the popular neighborhoods for expats in San Juan are Condado, Old San Juan, Puerta de Tierra, Miramar, and Santurce. Each of these neighborhoods offers unique advantages allowing you to choose from a traditional and arty location to a spot with beautiful beach scenery.
Going through the nuances of buying a property before moving to San Juan can be challenging. The buying process can be different from what you are used to in the mainland USA. Buying an apartment or condo in San Juan based on images alone is not a good idea. It is best to inspect the property and understand the facilities before making a decision.
Working with a nationally recognized real estate firm like The Colectivo Group ensures that you can buy a property that is free from any debts or liens. We combine an extensive database with an experienced team to ensure that the interests of our clients are met at all times.
In the past few years, Puerto Rico has transformed into a service-based economy. Over 86% of the employment opportunities rise from the service industry. The industry is set to develop further while entrepreneurship is showing promising signs of development.
The majority of the island’s population is involved in services related to tourism, trade, and finance. Among these, finance, trade, and real estate contribute to around 30% of the island’s GDP.
The tourism industry is the backbone of the economy, generating $8.9 billion in revenue in 2022. Another key sector is pharmaceuticals, with top companies like Pfizer and Merck operating on the island.
Beyond that, agriculture is another sector that employs a large section of the population. Crops like coffee, sugarcane, and bananas, contribute largely to the economy. Since the last century, manufacturing has remained an important part of the economy and still plays a significant role.
Finding the Right Agent to Help You
All in all, San Juan offers a fantastic combination of tropical flavors with a laid-back lifestyle. If you dreamed of an expat life that involved swimming in the blue waters of the Atlantic and experiencing the warmth of a vibrant culture, moving to San Juan in Puerto Rico is a great option.
The Colectivo Group can work as your Puerto Rican real estate guide to help you avoid any delays in buying a home in San Juan.
As a boutique agency with local expertise, we strive to cultivate connections with our clients and deliver the best service. Our team stands by you in every stage of the purchasing process to meet your needs.
Feel free to contact us to learn more about the best real estate deals in San Juan.