Island Paradise Day 39

When the water is not pristine for snorkeling and the easterlies are blowing, it is a great time to walk the length of the south shore. Today our friend Tigra (actually her name is el tigre but we call her Tigra) accompanied us. She has decided we are her humans, and she follow us everywhere. Last week we walked the mile to Neptune’s to catch the ferry to Utila town, and when we came home to Jack Neal beach Tigra was not here. We did not see her for three days. The next time we went to the ferry, there she was. She had stayed there waiting for us and had somehow missed us when we returned that day. When she saw us, she ran up to us wagging her tail and started crying. She had waited there for us for three days! We brought her home and she has not left our side since.

She runs ahead of us chasing crabs and iguanas, and whenever she does Stephane yells out "squirrel!"

Mostly our walks involve stopping to admire the scenery along the way: beautiful flowers and creeping vines, shady passageways through the forest, beach rocks, and of course new houses being built.

After our walk we were invited to go to town to a gathering of xpats at "Blue Bayou" a rustic bar in Utila. There we met a couple who were headed to Ajijic (Lake Chapala) to house sit. That is where we are headed next - to house sit as well, so we exchanged emails and will get together next month. They said they are leaving here after 8 years because they think it is too expensive. They found Lake Chapala less so - which is strange since we found it cheaper here than in Mexico. However, the town of Lake Chapala is more local Mexicans versus Ajijic where we will be which has a larger expat community. Our experience has been that the more xpats, the higher the prices - for everything.

After the get together we went out for sushi - only I had ravioli instead (Mango Tango has a varied menu), and it was the best I have ever had. Sweet potato with a creamy walnut sauce. It was amazing.

Island Paradise Day 38

When we first arrived here I wrote about how there are so many new homes in Utila just sitting empty. Some of it is for the reasons I expressed: people did not know what they were getting into (re living in the tropics), or they built on speculation (just before the crash of 2008), expecting to sell at a profit, and they are still waiting for that. But now that we have been here awhile we have a better understanding of the other reasons why there are so many houses here sitting empty most of the time.

Utila is such a unique and special place that many people who come here just want to stay. It was how I felt 11 years ago, and it is how I feel now. However, if you want to stay here as a renter, even though there are lots of empty houses here, the rental possibilities are really slim. No one wants to rent to you long term because people who own homes here want to come here themselves off and on throughout the year – because they love it too! So most owners are only willing to do short term rentals. If a person wants to stay here long term, they often have no choice but to buy.

There are a lot of homes for sale on Utila – homes built before the crash when people thought (as did I back then) that Utila would become the next Roatan. Prior to 2007 people were making 25% a year on real estate here, so when the crash came, it came hard. Many people had numerous pieces of property here that they bought on speculation, only to get stuck with them for the 11 years since the crash. The market is picking up here, but prices are no better than they were then - and the next crash is just around the corner.

Used homes are overpriced as people selling them want to recoup not only what they paid, but their 10% real estate commission, and all the costs they have incurred in the past 11 years. Unfortunately that is a goofy notion, and not how value is determined. Value is determined by what a prudent buyer is willing to pay in an open market, and any prudent buyer can see that it is cheaper to build here right now than to pay the unrealistic prices owners want for their used homes. Thus, people who want to stay here on the south shore long term have no prudent choice except to buy a lot and build.

For example, you can pick up this half acre lot with 100 feet of white sandy beach here at Jack Neal for about $120,000 U.S. (based on the most recent sale here just a short time ago).



Building a modern, island style home will set you back only $80-$100 a square foot. So for $220,000 you can build a beautiful new 1000 square foot home. The cheapest used home on the south shore is $250,000 and it has a smaller lot and a pile of bat shit on the deck.

The temptation to buy a lot and build increases even more when you compare what $220,000 buys elsewhere. One of the homes I own in Oliver (the one I rent to my son) we considered moving into for retirement. It would sell for $340,000 and it is a 50 year old 850 square foot house in need of renovation. An ocean front home in a small community within an hour of an international airport in Mexico, would set us back $350,000. Additionally, if I were to actually find a place to rent here and my rent were $1200/month and we were to stay until we are both collecting our Canada Pension Plan and Old Age Security (12 years from now), we would have spent $172,800 on rent.

So (stay with me here) if I spent $220,000 on building a house here and bought an ATV, a boat, and a boat slip, I would be out about $260,000. If then, in 12 years, I wanted to go back to Canada, I could sell my home. I don't need to try to sell it for what I paid...I only need to be able to sell it for $87,200. Obviously I would WANT to try to get my original investment back - but for it to make financial sense, I do not NEED to get my initial investment back. Anything more than $87,200 would be gravy. Why you ask? Because if I pocketed $87,200 at the end of 12 years, I would be out no more money than I would have been had I rented. ($260,000 minus the $172,800 = $87,200). So since I KNOW I could unload my property quickly for $87,200 (and likely a lot more than that), the real deciding factor becomes: would I want to stay here for 12 years?

The idea of this daily part of my blog called “Island Paradise” was about comparing reality to “the Caribbean dream.” And what we are learning is that most of the inconveniences of being here – like the walk into town and the dysfunctional kitchen would be solved if we built our own place. We could simply buy an ATV and a boat; buy a boat slip on the lagoon; build a house with a more functional design; fumigate monthly; and install solar panels on the house so that we could run the air conditioner all night. That would end the air conditioning wars; end the inconvenience of walking to town; end the Neptune's ferry rides; end the power outages; and end the bugs…

Indeed, what we are learning about the dream versus reality is that the dream is pretty dreamy.

P.S. For those of you math geniuses...yes, I have considered the fact that there is inflation and if I spend $260,000 on a house here, that is $260,000 that is not invested elsewhere, and is not necessarily growing at the same rate here as it would have had I invested it in the stock market or a more traditional housing market...but, I decided to keep the numbers simple for the sake of readers who are not into that level of detail. Besides, at the rate I am going with my day trading ventures, and with the current market volatility and a looming housing bubble in Canada and the U.S...that may not be so relevant.

Island Paradise Day 36 and 37

Since I was high on pain killers yesterday, I decided I best not write a post. Our trip to La Ceiba to go to the dentist began on a high note when a group of dolphins decided to swim by our ferry. There is just something amazing about those animals. Upon arrival in La Ceiba we checked into our hotel, which was, um, how can I say, modest. It was located above a row of stores on a small side street.

I booked it because the one I had been recommended to was fully booked, and this one was located a half block to the Medicentro where my appointment was. Steph's face was priceless as the taxi pulled up to the front door, which was barred and locked. We had to ring the bell to get in, so they could come down and undo the three locks on the door, which they quickly locked again after we entered. Hmmmmm.

It was very clean and run by a Christian family who seemed overjoyed to have gringos staying in their humble place. Our room was very small, with a small double bed (not so good for Steph who is 6 foot two inches), but there was a functioning air conditioner – the most important thing – and a bathroom - secondarily important to the air conditioner). No windows. The only window was outside our room in the hallway – and it was covered by bars. Should there be a fire in that building, I suspect all the guests would be fried chicken!

Anyway, we left right away to go scout out where the periodontist office was, and to find a restaurant for supper. We decided to go to Jardin de Susana - a locally owned restaurant. When we got there, you would never know it was a restaurant as it was in the yard of a home, which had a large metal gate around it and rolls of razor wire atop the fence. We had to ring a bell to get in. Once in, we found ourselves in a lovely garden with an outdoor kitchen and bar. It was cool and quiet, and Steph ate a whole deep fried red snapper!

In the morning we went straight away to the dentist who was another young female who spoke very good English. She got to work quickly, and the whole procedure was over in 1.5 hours. She sent me on my way with a couple of prescriptions, and the total bill was under $200. My mouth around one of my molars now has 4 millimeters less bone, and is all prepped for a new crown. I have a couple of stitches in my mouth, and will have to chew only on one side for 10 days, but all in all I feel great. I did not even need my third of five doses of pain medication.

While waiting for our afternoon ferry to return to Utila, we decided to walk around La Ceiba. It is not really a very pretty town, few redeeming features from the tourists’ perspective (except for the gorgeous mountains). It reminded me of many of the places I have visited in the developing world, as they all have one thing in common: the most amazing display of wires going in and out of buildings.

We entered a small shoe shop because I had to buy some new flip flops, and while in there Stephane noticed a man paying a little too much attention to us while pretending to “shop.” Soon the store keeper came up to us and in very good English said, “You are being stalked by a man who is waiting outside the shop for you. Please do not leave the store or you will be robbed.” We hung around for a while, and eventually she came back and said, “Come with me, I will put you in a taxi.” And so she did, and all was fine. So we headed back to the better part of town and went to a sports bar where we enjoyed some lunch and a couple of beers (these went particularly well with the pain killers).

By the way, I am not usually a beer drinker, but here it is so hot and humid that you need to constantly be drinking and the idea of drinking that much juice or pop is not appealing to me. (yes, I know I can drink water - but seriously - we are always being told that we should concerve water, and if I drank water it would have to be bottled water - in yet another single use plastic bottle, whereas beer is in a recyclable glass bottle. You see? My beer habit is simply my commitment to the environment!)

As we left la Ceiba on the ferry, I was feeling a little sleepy, but before I lay down, I caught a few photos of the stormy evening sky over the La Ceiba harbour.

While laying on Steph's lap, I also took a few other pics...








When we arrived back in Utila we were surprised to see our neighbours Mike and Susan had unexpectedly come to pick us up. Bless Susan’s heart, she assumed I would be feeling wretched and insisted Mike come to get us to save us the journey home. She had also prepared a lovely supper for us all so I would not have to cook. I have said it before – good neighbours and good relationships are a prominent criteria for us in choosing where to stay, and we sure lucked out here on Jack Neal Beach.

Island Paradise Day 35

Cayos Cochinos consist of two small islands and 13 small coral cays situated about an hour and a half from Utila. Although geographically separate, they belong to the Bay Islands and are technically a part of Roatán.

The islands are in a Marine Protected Area so there is no fishing or netting allowed and the coral reef there is part of the same coral reef system as here in Utila – the Mesoamerican reef. The snorkeling there is supposed to be magnificent. There is a scientific research station on Cayo Menor, the smaller of the two main islands, where tourists can stay in dorm style rooms – usually filled with marine biologists and research scientists.

Also of interest to us are two Garifuna fishing villages where culture has been preserved and the people live much as they have for hundreds of years. We are hoping to go there for a day or two next week when I go back to La Ceiba for my dental follow up as there is a ferry from La Ceiba that only takes an hour.

We are on the countdown to leaving on June 16th and there have been many things we have wanted to do here since arriving, but we have done none of them. It seems just too hard to drag ourselves away from here – too much to see right in front of our house. Last night, for instance, as we were standing at the water’s edge watching the moon shine off the waves, Mike said, “hey look” and there at our feet, literally inches away, was a huge stingray, literally parked there in just a few inches of water. Spectacular!

Island Paradise Day 34

Today we walked Natalie and her friend to the Neptunes ferry so they could go back to Roatan, and we decided to stay there for a few hours and snorkel and have lunch. The snorkeling was not as good as here at Jack Neal beach, but the tuna sliders were amazing!

While we were there we watched a young Honduran woman taking pictures of herself. While that is not uncommon these days and we have gotten used to seeing Millennials snap pics of themselves, this woman was a little obsessed. For the better part of 30 minutes she stood in one location smiling at her camera, trying on various poses. It was bizarre. All around her was this beautiful scenery, gorgeous water, and she saw none of it - except through the lens of an iPhone. Kinda weird.

After we got home we decided to take a nap on the dock in the hammocks. We feel a little behind on our sleep given our bad night when the power was out, so a nap was definitely in order. The air conditioning issue has been difficult for us. Steph and I both have very different heat tolerance. So finding a compromise has been hard. He will be laying on the bed spread eagle with his face pushed up against the fan, and I will be curled up in fetal position in my pajamas with a blanket on. Needless to say, I hate air-conditioning - and he loves it. We had agreed before we came here however, that running the air all night was not an option - as it is so expensive here, and we were already over budget on our rent. So Steph has been sucking it up, and living without air - though at times we do turn it on before bed to cool down the room.

The resident dog that belongs to Mario the grounds keeper is named Tigra. Tigra has adopted us, and stays at our door all night, is there in the morning waiting for us, walks us to the ferry, and sleeps on the dock when we are in the hammocks. She lives a pretty miserable life - and has a bad case of mange. She is covered in huge sore patches, and is constantly itching. We are debating whether or not we should go to the vet tomorrow and ask for some medicine for her. Apparently it involves a needle a day for five days, and we are not certain we will be able to manage that with her. Clearly she will not get the help she needs from her owners - who she runs from whenever they come to get her. She loves us, of course, because we feed her. Tomorrow we are heading to La Ceiba for my dental work so we could visit a vet there.

It is tough because there are so many mangy dogs here - so many that need care, but you cannot save them all. Besides, we do not want to offend Mario and his family, so we are not sure if treating the dog would be considered a good thing or not.

The developing world is full of tough choices and difficult conversations. Tonight we were talking with neighbours about over fishing the reef. It is in critical condition, and the fishing needs to be stopped. On the other hand, how do you tell a poor Honduran that they cannot feed their children? I have no answers. For me, the best I can do is wear reef safe sunscreen, and share the news with others of the necessity to protect these valuable resources.

Island Paradise Day 33

Yesterday, just as the sun was setting and I was beginning to prepare supper for our guests, the power went out again. We had just bought groceries, so the fridge was stocked full, so we hoped it would not last long ruining yet another fridge full of food. We lit some candles and I carried on cooking while Stephane played some music on his guitar. I was in a great mood because Stephane’s sister brought with her 4 bottles of good wine from Canada. It was so great to taste a decent New Zealand Sauvignon Blanc, which we polished off before dinner, and a lovely Pinot Noir with our Filet Mignon! Good wine, good company, good food by candlelight, and the sound of waves crashing on shore – it does not get much better than that – but it did!

After our candlelight supper we all went out on the deck and were mesmerized by bio-luminescent waves! It was stunning and the first time we have seen this in the ocean. As each wave turned over, it lit up like blue flame, and twinkled all the way into the sand. I presume this is the same algae that caused the water in the lagoon to glow but a different thing than the glow in the dark worms at the full moon. Such entertainment we have here at Jack Neal beach!

By bedtime last night the wind had died down, and the power was still out, so we gathered up what we could from the fridge and took it over to Susan and Mike’s to store in their fridge. Given how often the power goes out here it is incredible to me that not everyone has a generator or solar back up power. Needless to say, with no power, there was no electricity to run fans or air-conditioning, and it was a long, miserable, very hot night.

Our guests slept on the dock in the hammock, to try to catch a few breezes, and Steph and I tried sleeping on every different bed and couch in the house, but could find no space with so much as a whisper of wind. We just could not fall asleep. By one a.m. we were sitting on the porch in wooden chairs simply moaning about how tired we were. Shortly after that, Natalie came in – she had been eaten alive by mosquitoes, and had not slept a wink either.

I finally determined that our best hope for sleep was to take cold showers, and lay on the bed wet, allowing evaporation from our skin to cool us. It worked, and finally we slept a few hours. The good news is we awoke to power which came on around 7 a.m. so we could have coffee – almost as important as good wine! Unfortunately it was back off by 8:30 a.m.

This morning we spent a few hours showing off our reef, already Natalie has seen a giant sea turtle and an eagle ray. Next up - strawberry margaritas.

Island Paradise Day 32

Today’s post is short as we have our first -and probably only- guest arriving this afternoon and we need to head to town to pick her up at the ferry. And after that we will be far too busy making (and drinking) mango margaritas to be writing blog posts.

It is too bad that there is a weather system related to the first named tropical storm of the season, (Alberto, which incidentally formed just a few hundred kilometers east of the Bay Islands) that is clouding the skies and bringing unstable air to the area. Last night we got to enjoy our first tropical thunderstorm. We were awakened by a barrage of "marbles" on our metal roof. It was quite a clamor as the strong winds blew in the storm and brought down hundreds of tropical pine seed pods. The lightening was spectacular, though the storm never got closer than a few miles from here. As much as I like storms, we really wanted Natalie to see how beautiful the water and snorkeling are here, and they are never as nice when the water is rough and there is no sunshine to lighten the water. Stephane is hopeful we will have a sunny spell to show off "our" beach.

Our guest, Stephane’s sister Natalie, was able to get a good price on an all- inclusive in Roatan for this week. Roatan is the largest of the Bay Islands, and is an hour ferry ride from Utila (or a short small plane ride of 15 minutes). Most major cities in the U.S. and Canada have direct charter flights to Roatan as it is a major tourist hub in the Caribbean with an international airport and a large new cruise port. While that makes Roatan a little more accessible than Utila – it also makes it far busier and more expensive. The main beach there – West Bay – is inundated with tourist every time the cruise ships come in.

Having said that, being somewhere easy to get to is an important factor to consider when choosing a place to retire (or winter): especially if having family and friends come to visit is a priority for you – which it is for us. Getting to Utila was not easy for us last month as we were coming from Mexico, but had we been coming from Calgary or Montreal, we could have been here in a day – and for us, that is a pretty important factor.

Island living on Utila has its drawbacks for sure, and getting on and off the island is one of them – but that extra ferry ride or plane ride, in my opinion, is worth the added value here of deserted beaches, few tourists, and affordable island living.