Buying Grand Cayman Real Estate
If you want to purchase property in paradise, look no further than the Cayman Islands. Blessed with stunning beaches, beautiful weather, and an exceptional standard of living, you can understand why many people choose to relocate here and purchase Grand Cayman real estate.
Cayman Islands Sothebys International Realty offers an exemplary service backed by years of local market knowledge across the Cayman Islands. Our expert team provides outstanding representation and access to the best properties for sale. With years of experience, we will take the time to understand your requirements and recommend the ideal areas and property types to suit your lifestyle and budget.
Why buy property in the Cayman Islands?
The Grand Cayman real estate market has remained consistently strong, offering a good return on investment should you eventually choose to sell. Buyers also have a wide variety of luxury properties, from canal-front homes to beachfront condos and new developments. In addition, the Cayman Islands has no restrictions on foreign ownership, and the Cayman Islands government guarantees the title for all transactions. Even better, no annual property taxes, capital gains, or income taxes make this an attractive place to live or invest.
Buying property in the Cayman Islands, what to expect.
Purchasing property in the Cayman Islands is a reasonably straightforward process. If you plan to finance your Cayman home, the first step will be arranging to meet with a loan officer so you can determine what you can borrow. It is recommended to ask for a list of documents required for approval beforehand and note that the rates and terms of Cayman Islands mortgages will differ from bank to bank. Generally, the process will take about six weeks.
Work Permit holders will need at least six months on Island before applying for a mortgage. Non-residents can still obtain a local mortgage, but you may be required to pay a higher deposit of up to 30%. Local banks in The Cayman Islands usually offer interest rates between 1% – 3% plus prime.
Following pre-approval for a mortgage, you can begin looking for your new home. Working with the right local real estate agent who understands the current market will ensure you find the right property, provide guidance on making an offer and conduct negotiations with the seller to close the deal.
What are the anticipated costs?
Typically you should anticipate an additional 10% to 12% of the purchase price for closing costs. This includes stamp duty, a one-time payment to the Cayman Islands Government. Stamp Duty is currently set at 7.5% of the purchase value of the real estate, excluding chattels. However, this duty may be reduced or waived for first-time Caymanian buyers based on the property’s value.
Cayman Islands banking institutions will generally require a property valued by an approved chartered surveyor. The cost of this valuation will start at around CI$400 but will vary somewhat based on the price and value of the property. To qualify for a mortgage, you must also obtain a life insurance policy. Plan to spend around CI$150 for a medical examination as part of your life insurance application. Finally, expect to pay around 1% in legal and registration fees for an attorney to act on your behalf and prepare any necessary closing documents.
Find your dream home.
Cayman Islands Sothebys International Realty has the expertise to help you find your dream home in the Cayman Islands. Are you ready to get started? Contact our team today for more information on Grand Cayman real estate, or view our latest listings here.