On my monthly retirement and relocation tours I am always asked questions about Nicaragua. There is no doubt that some parts Nicaragua are more affordable than Costa Rica. However, there are homes in San Juan del Sur which cost almost around a half of a million dollars. I saw them featured on the International Home Finders Channel. So, the country isn’t as cheap as it is made out to be. The bottom line is that prices are not the main factor when considering Nicaragua as a place to live. Nicaragua has been striving for years to become the “next Costa Rica.” However, the country has a long road to travel to even be considered a contender.

Fist and foremost, Nicaragua’s political situation is downright scary. According to the country’s constitution President Daniel Ortega cannot seek re-election next year, but that’s not going to stop the onetime leftist revolutionary. Recently, he won a ruling from a Supreme Court stacked with his supporters that Article 147 of the constitution, which bans the re-election of a sitting president, doesn’t apply to him. Ortega is setting the stage to rule Nicaragua for a long time himself in defiance of the constitution. This is the only country in the world where the court has declared the constitution unconstitutional.

Even more frightening is the fact that Ortega supports dangerous crackpots like Venezuela’s President Hugo Chavez and Iranian leader Mahmoud Ahmadinejad. Ortega’s links to Chavez have been strong and lucrative and they include a juicy deal in which Venezuela sells Nicaragua crude oil at half price, which Ortega can resell, using the profit for whatever he wants. Furthermore, Nicaraguan President Daniel Ortega is accused of dipping into Venezuela-funded coffers to bribe, buy and scatter the weakened opposition as part of his push for a second term.