There are no restrictions on foreign nationals purchasing real estate in St Vincent and the Grenadines. Prior to purchasing a property in the Grenadines (except for Canouan and Mustique), non-nationals are required to apply for an Alien Land Holding License. Buyers pay a deposit of 10% upon exchanging contracts and the balance of the payment once the Alien Land Holding License has been awarded.
Buyers are required to pay 5% stamp duty, plus legal fees which typically amount to 1-2% of the purchase price. Tax advantages - no inheritance tax, no capital gains tax and low property tax.
This is a relatively short and straightforward document setting out the terms of the transaction, prepared by a lawyer. A deposit in the amount of 10% of the purchase price is payable to the vendor on exchange of contracts.
Alien Land Holding Licence
Prior to completion and owning any property, all foreigners are required to apply to the Government for an Alien Land Holding Licence (ALHL). This application is usually made by a lawyer and involves providing standard personal details as well as various references.
Following grant of the ALHL completion takes place and the remaining 90% is paid to the vendor.
Title is then registered at the Lands Registry by way of a Registered Deed in the name of the purchaser.
Buying costs (approximate)
a) Legal fees 1%
b) Stamp Duty 5%
c) ALHL Fee 4-6%
A contract can be agreed and exchanged in a few weeks. The ALHL normally takes 3-4 months. Completion takes place 4-6 weeks following this. So the whole process can be completed in around 6 months if parties are willing.
The country is known for its friendly and helpful business ethos. The Government pursues a policy of encouragement of inward foreign investment. Mortgage funding is available via several local banks.
A low annual property tax is payable to the Government by owners of land and property.
It is .08%. Tax advantages - no inheritance tax, no capital gains tax.
There is a good and active rental market during the dry season. Many home owners offset a large proportion of the running costs of their property by renting it out when not in use. Ask us about our exclusive rentals and property management offerings.