Buying Process
Our experienced team at Terra Caribbean is here to guide you through every step of the buying process. Questions are answered without hesitation, so feel free to lean on us. Below are a few Saint Lucia real estate market insights worth noting.
Property Ownership Requirements:
Transaction Costs as a Saint Lucian and CARICOM national:
- Legal Fees: Approx. 2% - 5% of the Purchase Price + 2.5% HCSL + 12.5% VAT
- Stamp Duty: 2% of the Purchase Price
- Out-of-pocket expenses: Approx. US$500
Required documents by Saint Lucian and CARICOM national:
- A letter from Inland Revenue for Property Tax Clearance and Income Tax Clearance.
- A letter from National Insurance for Clearance.
Transaction Costs as a non-national:
All non-Saint Lucian corporations and non-nationals (other than CARICOM nationals) are required by the Alien Landholding (Licensing) Act to apply for and obtain an Alien Landholding Licence (ALL) before purchasing a property. The process is done through a local Attorney and application forms are available from the Purchaser’s Attorney. Ownership of the property may be in the name of an individual, a corporation, a foreign company, a trust, or another entity. More information on ALL is here.
- Alien Landholding Licence Process & Fees:
- Application for the Certificate of Eligibility (COE) (per person) - a non-refundable one-time fee of US $3,000 (per person) valid for one year. This COE may be applied for even before the applicant identifies the property that is intended to be the subject of the ALL.
- Application for the ALL (per property) - once the property has been identified, an application for the ALL is to be made for the property. This is a tiered rate based on the acreage of property and ranges from US $100 - US $20,000. The ALL application is made immediately after a Sale Agreement has been entered into and a deposit paid by the purchaser.
Alien Landholding Licence under sections 15 (2)(c)(vi), 18 and 22(3) of the Act.
|
Fee |
To hold a subdivided lot |
US $100 |
To hold one acre or less |
US $2,500 |
To hold more than one acre and up to five acres |
US $5,000 |
To hold more than 5 acres and up to 10 acres |
US $10,500 |
To hold more than 10 acres |
US $10,000 |
- Application for Alien Investor Entrance Permit - the successful application is immediately eligible to apply for an Alien Investor Entrance Permit that allows the holder to enter and remain in Saint Lucia indefinitely as per the conditions set out within the ALL Act, obviating the need to obtain continuous permission from the Immigration Department to remain in Saint Lucia.
- Legal Fees: Approx. 2% - 5% of the Purchase Price + 2.5% HCSL + 12.5% VAT
- Stamp Duty: 2% of the Purchase Price
- Out-of-pocket expenses: Approx. US$500
Standard Purchase Procedure:
- The agent prepares a written Offer & Acceptance Letter for signing by both the vendor and purchaser.
- Appointment of an Attorney.
- The Purchaser’s Attorney prepares the Sale Agreement.
- Exchange of and signing of the Sale Agreement and payment of a 10% deposit by the purchaser to the vendor’s Attorney.
- For non-nationals only, an application for an Alien Landholding License is completed by the purchaser and is submitted to Cabinet for approval. This process is facilitated by the Purchaser’s Attorney.
- **Conveyance is prepared by the Purchaser’s Attorney and executed upon satisfactory completion of any matters pertaining to good title.
- Payment of the 90% remaining balance is due typically within 3 months of signing the Sale Agreement, after the conveyance, and after the signing of the Deed of the Sale.
- The purchase process can take 1-4 months, depending on whether or not an Alien Landholding Licence is required.
**Conveyance is the process of transferring property ownership from one party to another. This process includes:
- A title search on the property to ensure that the property is free and clear and can be sold/transferred. This is carried out by the Purchaser’s Attorney.
- Confirmation of the purchaser’s financing.
- Signing the Deed of Sale, which is the legal document that proves that the deed (or title) was transferred from one property owner to another.
- Lodging of the signed Deed of Sale at the Land Registry Department which takes 2-3 months.