BUYING A PROPERTY IN ANTIGUA – CONSIDERATIONS , COSTS AND LEGALITIES
One of the first considerations to make about buying a property in Antigua is ‘What is its primary purpose?’ i.e. residential, rental or a commercial business property.
There are a variety of locations across the island, so you are sure to find the one.
RESIDENTIAL – the main expatriate populations on the island are based in the South East around English Harbour and Falmouth, in the South West in and around Jolly Harbour, in the East at Half Moon Bay and Browns Bay, and in the North in Galley Bay, Hodges Bay and Cedar Valley and surrounding areas. As with buying a property anywhere there is excellent choice in price, style of building and proximity to services. Location is the key to your enjoyment and usually to the value of re-sale.
RENTALS – can be found throughout the island from studio apartments to five bedroom executive villas with all the toys and wonderful ocean views, the key consideration is what is your budget – once you know that you should be able to find a property to suit you.
COMMERCIAL PROPERTIES –there are many business opportunities in Antigua for Antiguan local’s, ex-patriates and foreign investors, particularly where jobs are created for local people. The majority of retail outlets have their primary in the busy capital of St. John’s, but there are further developments around the island, particularly in Jolly Harbour and English Harbour.
COSTS OF PURCHASING A PROPERTY IN ANTIGUA
The costs of acquiring a property in Antigua can vary depending upon where you are purchasing, and the cost of the property. Below we have listed for you the key costs involved and used examples so that you can see the full cost of buying a property in Antigua.
Non-citizens licence 5% of purchase price (Applicable to non-Antiguans)
Government transfer fees 2.5% of value
Legal costs Legal costs 1% or 2% depending on the property value.
The Non-citizen’s License for Jolly Harbour or some other developments for first time Buyers is 3%.
PROPERTY MANAGEMENT SERVICES
Each property management company provides different services, but generally, setting up the property on arrival for the client, dealing with any problems while the property is let, and dealing with the appropriate authorities on anything from paying the electricity bill, to organising the gardener.
Rental commissions are paid to cover the cost of marketing the property for rent. This can be anything from Internet sites, to newspaper adverts overseas depending upon the way the company is structured.
Withholding taxes are due to the Antiguan Inland Revenue.
Withholding tax of 25% of the net rental value are applicable to all non-residents. Net revenue is the revenue after all deductions.
- To get an idea of some of the properties available for rent currently in Antigua, and the rental prices visit, click here
SELLING A PROPERTY IN ANTIGUA
When first taking the decision to buy a property in Antigua, it is also worthwhile understanding the costs of selling the property, if you decide to do so at some point in the future. Generally the costs are as follows:
Stamp duty and government transfer fees 7.5%
Real estate agents fees 5-7%
This would mean for a property value of $300,000 the cost of selling the property in Antigua is between US$40,500 and US$46,500 if you use a real estate agent to market and sell your property.