A would-be real estate investor at a conference in Puerto Vallarta in April said he'd researched the Costa Rican property market for five years, considering making a buy. Meantime, prices appreciated, maybe, 200% in that period. The market became too expensive for him and he never did act.

Another investor at a Real Estate Forum in Puerto Plata, explained that he'd been watching the market in the Caribbean island nation of the Dominican Republic, for more than two years but was still uncertain as to whether or where to buy. He lamented the rate of appreciation of property values during those 24 months.

Two pieces of advice: First, yes, do your homework. But, second, don't become paralyzed by the analysis. Nothing is guaranteed. You'll rarely identify a "perfect" time to buy. You'll never know you're making the right move. In any market, at any time, you could lose everything you invest.

If those things make you uneasy...you shouldn't be thinking about investing in international real estate. This is risky business...often speculative...in unregulated, Wild West markets. Dealing with people you wouldn't do business with if you had any choice (sometimes you don't). If something goes wrong, you'll likely have little or no recourse.

That's the game. Investing in foreign real estate is more risky and more complicated than investing in U.S. real estate. Recognize these truths. Choose your markets. Do your research and due diligence.

You must have the answers to the six primary factors to consider when making a real estate investment--and how each one affects your level of income: 1. Why you're making the investment. Do you intend to use and enjoy the property? Or, are you only looking at the investment potential? That's important to your initial outlay and your long-(or short-) term returns. 2. What's your tolerance for risk? Learn your Risk Comfort Level, is this investment within those parameters? 3. Your options for financing. Cash or credit? Your answer helps determine your investment. 4. What fits well in your existing portfolio? To be well-balanced, your portfolio should have a range of assets including real estate--and your portfolio should include a range of properties. 5. Your level of experience in the market. Experience is the roughest teacher--because it gives the test before it gives the lesson. 6. Your desired level of involvement. Your level of participation will help you determine your type of investment.

Then act. Take a first step. Don't invest money you can't afford to lose. Control the circumstances as much as possible. But don't wait for a sign from above that the timing and the opportunity are ideal. The sign won't come...and the market won't wait. For a first deal, you should probably invest no more than $50,000. Here are six buys you could make right now (May '06) with that budget:

1. A small apartment for short-term rental in Buenos Aires, Argentina. Three years ago, in the wake of the peso devaluation, you could have bought a big apartment in a prime neighborhood for less than $50,000. Values in this market, however, have more than doubled in that period. Still, you can buy a decent apartment in a neighborhood appealing for the short-term renter for about that amount today.

2. A colonial apartment for short-term rental in Montevideo, Uruguay. Our Roving Latin America Scout Lee Harrison reports that Uruguay's is the best buy real estate market in the Americas right now. Real estate costs about the same in Montevideo as it does in Buenos Aires, except in the Old Towns. Today, you can buy an apartment in Montevideo's Old Town--just beginning to be rediscovered--for as little as $540 per square meter. Compare this with $2,000 a meter or more for a similar buy in B.A.

3. A condo in Panama City, again rentable on the short-term market. Here, though, to stay within the budget, you'll have to finance...which is possible in Panama. Put $50,000 down on a $150,000 apartment...and your rental income could cover your monthly mortgage payments. At today's values, that $150,000 could buy you a one- or two-bedroom condo in a new building, which is a good product for this rental market.

4. A sea view apartment in Croatia, again for the short-term rental market. You can find a good buy on a renovation in some parts of this country for less than $50,000, but it'll likely require substantial further investment to make it what you need for rental...perhaps as much as another $100,000. Instead, look for new-build. Specifically, right now, there is an opportunity on the island of Ciovo (note that the locals don't consider it an island, as it is connected to the mainland by a bridge that you won't even notice driving over). This is a destination for middle-class Central Europeans who drive down easily from Hungary, Austria and Slovenia for vacation. It also boasts easy access to the Split airport, which offers flights each day connecting through Zagreb and a few direct flights from outside Croatia. There's a new-build studio apartment on this island available for $58,000. Yes, it's a little outside the parameters of the budget suggested above, but it'd potentially make a good rental.

5. Cyprus is struggling with reunification problems. But, with some of the remarkable real estate opportunities --and the EU about to impact--the rewards may well be worth the risks. In the popular resort town of Kyrenia, northern Cyprus , you can get a three-bedroom sea-view apartment-- for just $55,000! (To put that into perspective, a similar property would cost you $110,000 in southern Cyprus...$250,000 in Corsica...and $330,000 on the island of Mallorca.) Property taxes are almost non-existent. Inheritance taxes have been abolished. And capital gains taxes don't even kick in until your gains are in excess of $20,200.

6. Bulgaria is a quiet, picturesque country--once home to world-class European ski resorts-and it has become one of Europe's fastest developing nations. It could easily become one of your fastest growing investments. Bulgaria's mountainous countryside is studded with ancient farmhouses begging for restoration. Many compare it to Tuscany in the 1970s. And, if you act now, you can pick up an abandoned farmhouse nestled in the verdant hills-- for just $9,800!

Borovets is the oldest and largest ski resort in Bulgaria . It's also one of the hottest Alpine investment opportunities in the world. And right now, you can get a two-story, 1,200 sq. ft. house situated in a peaceful village minutes from Borovets...with a large garden and views of the slopes-- for under $30,000!

Good luck.