Buyer's Guide To Buy Properties in Cayman Islands

1
Buyers Guide To Buy Properties in Cayman Islands

• By Ashmore Alexander

2

• Buying real estate in the Cayman Islands is a
  simple straightforward process.
• With no restrictions on foreign ownership of
  a single property, no annual property taxes and
  no capital gains taxes to be paid Cayman Island
  is perfect to buy new properties.

3

• Buying property in the Cayman Islands is an
  inviting prospect and strongly encouraged by the
  Cayman Islands Government who guarantee title for
  all real estate transactions.

4
Step 1 - Mortgage pre-approval

• As with a property purchase anywhere in the
  world if a mortgage is required then ascertaining
  how much the bank will lend you is the first step
  towards property ownership.
• Get the list of requirements that will allow you
  to speed up the mortgage approval process which
  can take up to six weeks depending on the bank.

5
Step 2 - Total cost of purchase

• A basic rule of thumb is to budget an
  additional 10 to 12 of the purchase price for
  closing costs depending on the area in which you
  are purchasing the level of stamp duty it
  attracts.
• To buy a property in the Cayman Islands,
  following are the additional costs

6
1. Stamp Duty

• Real Estate The largest additional cost you will
  face at closing is stamp duty, this is a one time
  fee payable to the Cayman Islands Government on
  the real estate value of the purchase which is
  currently set at 7.5.
• Mortgage If you require a mortgage when making
  your real estate purchase in the Cayman Islands
  you will attract a 1 duty.

7
2. Valuation

• If you are making your real estate purchase with
  bank financing the banks within the Cayman
  Islands will require a valuation of the property
  conducted by an approved chartered surveyor.

8
3. Life Insurance

• If you are buying a property within the Cayman
  Islands using local bank financing the bank will
  usually require you to obtain life insurance
  covering the amount of the mortgage, which will
  be collaterally assigned to the bank.

9
4. Legal Fees

• When purchasing real estate in the Cayman Islands
  an attorney should always be appointed to act on
  your behalf prepare the necessary legal
  documentation for closing, you should budget
  around 1 for legal registration fees

10
Step 3. Finding the Perfect Home

• Once you have established a budget for buying
  property within the Cayman Islands it is
  important to talk to real estate advisor, having
  expert knowledge of the Cayman Islands real
  estate market, they will be able to make
  recommendations as to the location that will best
  suit your lifestyle budget and the pros cons
  of buying a house versus a condo.

11
Step 4 - Presenting an offer

• Once you have decided your property, then you
  move into the stage of offer negotiation. With
  all the offers you would be allowed to make an
  offer stipulating the purchase price, deposit,
  conditions upon which the offer is made subject
  to the desired closing date. 

12
Step 5 - Closing

• Once all the conditions to purchase the property
  in Cayman Islands have been satisfied the offer
  to purchase becomes unconditional both parties
  can move towards closing.

13
Contact Us

• If you are interested to sell or buy your
  properties in the Cayman Islands you can visit
  our website http//www.ashmorealexander.com/
  today!