There are a variety of reasons to move to the Caribbean, no other place in the world can come as close to a heavenly paradise as the Caribbean Islands.
If moving to the Caribbean is something you have been thinking about, know that you will be living in a beautiful location surrounded by lush green forests and crystal clear blue water, home to hundreds of different species. The water is alluring, and defying the lure of the sea is almost impossible.
If you decide to purchase this type of property be careful, because getting up and going to work may be difficult. It will be hard to leave your house with the various types of activities that can be done in your backyard. Your weekends will never be boring and your workweek will be motivated by the desire to participate in the natural island activities.
No matter who you are, there is the perfect home awaiting you. All you need to do is figure out what you want in a home, and go out and find it. If you want to rent for a while to decide if you like the area, rental property is also available. There are so many different options; it will be hard not to find exactly what you are looking for.
But there are facts you need to be aware of before deciding to purchase real estate in the Caribbean.
Contracts and agreements sometimes contain hidden fees and charges and purchasing a home is no different because Caribbean property fees accompany it. Although the seller of the house does not specifically hide them, property fees are considered hidden because most people who buy a house are not aware that certain laws and regulations dictate that specific subsequent transactions need to occur.
The more important Caribbean property fees are the ones that the buyer is not aware of, because they can be expensive and budget breaking if not properly handled. For example, upon completion of a sale, the buyer must pay certain fees and charges referred to as closing charges. These include legal fees, stamp duty, and fire insurance.
Stamp duty is a sliding fee that ranges from two percent to ten percent of the sale price. This can be a significant if the percentage is close to ten percent, thus being in the upper section of the sliding range. Legal fees are typically two percent of the property value. If not taken into account Caribbean property fees can have a significant impact on the financial position of the buyer.
Every year property owners must pay a Caribbean property tax. Although the tax code is complex, the basics are simple. Owners who inhabit property are allowed a one hundred thousand dollar deduction, and the remaining basis is the value that is used for taxes. If it is residential property, a fifteen percent tax is applied to this amount. This amount must be paid by the tax deadline otherwise additional fees will apply. The tax rate varies for each classification of property.
Proper Caribbean property tax planning is appropriate and necessary. For example if you pay at least fifty percent by March thirty-first, a five percent discount is available. This can be a significant amount and should be taken advantage of. It is appropriate to hire an accountant to help you, that way you will not only know of all the discounts available, but you will also protect yourself from potential legal harm.