Before buying this House for Sale in St Lucia, I am sure there are a number questions that you may have as it relates to buying cost. Note that this house for sale by the Owner is being sold as a package. It means that you automatically SAVE :
- Alien Landholding License > .05% – 1% of the value
- Stamp Duty > 2%
- Legal Fees : 2.5 %
- Real Estate Agents Commission which would have been applied to the value of the house making it more expensive.
Procedure To Purchase this House For Sale in St Lucia
Buying property in St lucia for development and investment is encouraged by the government through tax incentives and exemptions. Foreign individuals need to procure a landholding license to be able to acquire property freehold. The process of obtaining an Alien Land Holding License can take around 6-8 weeks.
Certain sectors in the economy are reserved only for nationals including real estate and rental agencies for homes, villas, and apartments. Likewise, the operation of guest houses of less than 10 rooms is not open to foreigners.
The procedure for buying property in Saint Lucia is similar to that in the United Kingdom.
Buyers are expected to pay a deposit of 10% during the contract signing, as a standard clause in St. Lucia’s property sale contracts to prevent either party from being ripped off. If the buyer backs out from the transaction, the 10% deposit cannot be refunded. If the buyer’s application for an Alien Land Holding License is denied, the buyer can refund the 10% deposit. If in case the seller backs out, the deposit is doubled and paid back to the buyer.
It is necessary to employ the services of a lawyer in order to register the Alien Landholding License – a process which usually takes six to eight weeks. After the contract of sale has been signed, the lawyer will forward the License application to the Ministry of Agriculture and Lands. Keep in mind that these Licenses are permanent, non-transferable, and property-specific. While waiting for the License to be released, the property survey and conveyance process can begin.
St lucia homes for sale – After the License has been granted, the actual transfer takes place. Any outstanding balance on the sale will be settled.
The last step is to register the transfer and pay any remaining government duties. If purchasing property is done through a company, the 10% Future Tax Liability will be taken off from the costs. It takes around six weeks to form a company and costs ECD3,200 (US$1,185).
If the buyer purchases land only, the buyer is required by the Government to develop or build on the land within 2-3 years from the date of purchase.