EXCLUSIVE HOT PROPERTIES – BARBADOS

From our international offices we are able to help International property buyers and investors throughout the world buy property in Barbados safely and securely and offer the following services for Barbados

Buying the Best Property in the Barbados

Very simply we offer our International clients the best of both worlds in that we have proven experienced local knowledge on the ground as well as international expertise from having made many different transactions throughout the world. This means we can give you the high level of expertise and service required when looking to buy property in Barbados

 

Barbados HNWI Visa

For those of you who want to make Barbados your home Barbados offers HNWI (High Net Worth Individuals) a permanent visa that allows you to stay and work in Barbados. If you would like assistance in this process one of our professionals would be only too happy to help you.

Setting Up a Business in the Barbados

Very simply our professional directors can help you with the set up your company structures in the most tax efficient manner possible. We only use the very best Lawyers, Accountants and professional advisors to make sure your company structure is 100% safe and secure and the very best you can have in the Barbados.

 

Asset Management

If you’re an investor and already own assets in the Barbados or just acquiring them then our team of professionals can offer you the complete asset management services including property management and project management.

These are just a sample of the key services that Exclusive Hot Properties Barbados provides and should you need any further information do not hesitate to contact us directly.

Exclusive Hot Properties Barbados

Email:    Barbados@exclusivehotproperties.com

Tel:         +44 20 7558 8355

Why Invest in Barbados Property?

Last updated January 2018

They say location is everything and there is no doubt that Barbados is one of the best locations in the world let alone the Caribbean. Based in the Windward Islands and somehow manages to avoid most of the Hurricanes and storms that now seem to be a yearly event. Barbados is one of the safest Islands in the Caribbean and unlike Jamaica or St Lucia there is no need for private beaches and beaches on the Island are public.

BARBADOS ECONOMY

Barbados is very much based on getting inward investment and has very advantage tax policies to try and achieve that. The Barbados tax environment has been developed to provide revenues to support Government’s programs but with a careful eye on providing an environment to attract investment and keep businesses competitive and encourage exports. The emphasis has shifted from direct to indirect taxes on consumption in recent times. Exemptions and incentives are particularly targeted at attracting foreign investment and on encouraging earners of foreign exchange. There are no capital gains taxes nor estate or death duties. Barbados is an attractive place of residence for non-domiciliaries.

Tourism is one of the main economic drivers of Barbados, accounting for about 12% of the country’s GDP in 2015, according to the World Travel and Tourism Council, and 12.3% of the country’s total employment. In the first quarter of 2016, total visitor expenditure in Barbados expanded by around 20% during the year to Q1 2016, according to the Caribbean Tourism Organization’s (CTO) quarterly survey, due to a 7.4% growth in tourist arrivals and 14.9% rise in tourists’ average length of stay. In 2015, tourist arrivals rose 13.9% to a historic high of 591,872 visitors, according to the Barbados Statistical Service.

BARBADOS PROPERTY MARKET

Broadly speaking we can segment investors in real estate into three categories: commercial, residential and vacation homes. Each type of investor has different motivations and expectations of return (in the new market we call it threshold of pain). In this section we attempt to give you information about the Barbados market that will help you to make the best decision that you can. There is no substitution for direct advice so always ask Exclusive Hot Properties for any advice you may need.

There is one fundamental factor that must be understood about the Barbados real estate market for any investor to make an informed decision; and that is the size of our market. Most often big is good but in Barbados small is really great. We have very limited land resources and even fewer beachfront opportunities. The supply side of our equation is very limited and this affects prices possibly more so than the demand side. Sure you can build more real estate in Barbados. We can go higher in the air, more dense on the ground, and smaller units overall. But in the final analysis our annual sales volume will never compare to the daily volume in our major trading partners capital city! In short, there is likely always to be more buyers in our market than we have properties to supply. Economist would love that statement.

Beachfront condo prices in the West Coast rose by 10.7%, “a clear indicator that the market is in a healthy growth pattern and on track to return to pre-2012 levels”. The median price of beachfront condos on the West Coast was US$ 805 per square foot (sq. ft.) in end- 2015, up from US$ 728 per sq. ft. in 2014 and US$ 546 per sq. ft. in 2013. The median price of South Coast’s BCPI beachfront condos rose by 3.5% during 2015 to US$ 441 per sq. ft. In terms of supply.

The West Coast is currently oversupplied, although demand is improving and prices are rising as new buyers enter the market. In the South Coast, main beachfront properties are sold out and there is no new pipeline supply, so an increase in resale prices is expected.. Generally there are no restrictions on foreign ownership in Barbados except for one formality: non-residents must obtain permission from Barbados´ Central Bank if they want to buy property. This is pro forma, but failing to do so will void your purchase.

WHERE TO INVEST IN BARBADOS?

Really depends on your budget but if money is no object any beach front property will always be able to be resold whatever its price. If you’re on a more limited budget Barbados style i.e. around 500,000 US Dollars then a beachside Condominium is a very sound investment especially those around the area of the world famous Sandy Lane Hotel.

INVESTMENT CONCLUSION

Clearly most investors who buy in Barbados are what we would call lifestyle investors i.e. those who are buying a place to live or a holiday home for investment and rental income when it’s not being used by them. What you can be very sure of a prime location Barbados property investment is one of the best investments you can make from a lifestyle investor point of view.

The Buying Process in Barbados

Buying a property may seem like a daunting task, but with the right information you can make knowledgeable decisions that are best for you. Our sales representatives at Exclusive Hot Properties are here to help guide you through the process; we also advise that you consult an attorney regarding all legal documents. If you do not have a local attorney we will be happy to provide recommendations.

Important Facts You Should Know:

  • There are no restrictions on the purchase of property in Barbados by persons who are non-citizens or permanent residents.
  • Non-residents must ensure and document that all funds for the purchase of real estate are derived from external sources.
  • All financial arrangements such as mortgage, purchase price and deposit payments should be in place prior to entering a binding agreement.
  • Funds transferred to Barbados must be registered with the Central Bank of Barbados. This process guarantees repatriation of the same amount of funds if and when the property is sold.
  • Purchasers who are non-residents must obtain permission to purchase property from the Barbados Exchange Control Authority, regardless of whether they are a Barbadian Citizen or not. This is a standard procedure under the Exchange Control Act.
  • Purchasers must obtain the services of a registered local attorney who will have to search the register and establish title to the property prior to the completion of sale.
  • Property passes by conveyance of title, evidenced by the recording of the deeds and certified survey plans at the registry of title.
  • Attorney’s fees are approximately 1.5% – 2% of the sale price. Attorney fees are subject to 17.5% VAT. Both buyer and seller are responsible for their own attorney fees.
  • A 10% deposit is required for payment when signing the purchase agreement. This is a binding contract. The seller’s attorney holds the deposit with the balance payable on completion of the purchase.
  • The real estate agent’s commission fee is normally 5% of the sale price. Real estate agents fees are subject to 17.5% VAT.
  • Sales commissions and survey costs are borne by the vendor.
  • In most cases international buyers purchase property through a company which has been incorporated outside but registered to do business within Barbados. This initiative may help reduce some costs and simplify the process when selling the property.

Town & Country Planning Office

  • If the purchaser is buying vacant land, the vendor will require a Certificate of Compliance from the Town and Country Planning Office (TCPO), which certifies that the roads and services have been provided in accordance with planning guidelines. It is illegal for a vendor to sell a property without the Certificate of Compliance.
  • If the purchaser is buying a built property which is to be improved, or intends to build a property on the land, planning permission is required from TCPO. The planning permission is granted in accordance with a set of guidelines established by acts of Parliament and statutory instruments. In addition, TCPO would be guided by the zoning of the land and environmental issues.
  • In all cases application is made to the TCPO and permission is usually granted within a period of two to six months.

 

Barbados Location Guide

Barbados is an eastern Caribbean island and an independent British Commonwealth nation. Bridgetown, the capital, is a cruise-ship port with colonial buildings and Nidhe Israel, a synagogue founded in 1654. Around the island are beaches, botanical gardens, the Harrison’s Cave formation, and 17th-century plantation houses like St. Nicholas Abbey. Local traditions include afternoon tea and cricket, the national sport.

Barbados is simply one of the best Islands in the Caribbean, is a safe place to live and has stunning beaches and here the Caribbean Sea meets the Atlantic Ocean. Barbados is both a great place to live and a great place to visit with many attractions from its capital in Bridgetown to great boat trips to the magnificent Harrison Cave Barbados really does have it all.