| The reality of buying property in Barbados is | | | | on the amount by which the greater of the |
| simple: you will need some legal | | | | consideration paid or value of the land |
| representation. Purchasing property anywhere, | | | | exceeds $125,000. |
| local or otherwise it is always smart to get | | | | |
| some legal advice. Buying property in | | | | Retaining Legal Advice & Council - This is a |
| Barbados has a fairly set structure and | | | | required step in purchasing property in |
| follows a specific series of steps that | | | | Barbados. There are several aspects of the |
| ensure that the sale is taken care of legally | | | | purchase or sale process that can only be |
| and in good faith. Let's have a look at the | | | | dealt with by a proper legal representative. |
| different steps and how they are completed. | | | | There are several areas of concern for first |
| | | | time Barbados buyers such as absence of title |
| Agreement For Sale - This is the first step | | | | insurance, the great amount of unregistered |
| that occurs after negotiations have come to a | | | | property, and some particular conveyance laws |
| close. This agreement is prepared by the | | | | make legal assistance a necessity. |
| seller's legal representation, signed in | | | | |
| duplicate by the buyer and delivered to the | | | | Legal Fees - Legal fees are largely dependent |
| sellers representative along with the | | | | on the value of the home being purchased, as |
| deposit. The whole package is then sent back | | | | defined by the Barbados Legal Profession |
| to the buyers legal representative and this | | | | Rules, 1997. As well, the minimum scale fee |
| step is concluded. | | | | may be adjusted by an attorney to reflect |
| | | | their years of experience and the intricacy |
| Investigation Of Title - Much like any other | | | | of the transaction. There is also a 15% value |
| area, home sales in Barbados have to clear | | | | added tax that is payable upon the attorney's |
| title before the transaction is complete. | | | | fees. |
| This search is typically done by the buyers | | | | |
| attorney to ensure that the seller has clear | | | | Financing - Financing is a different story in |
| and valid title to the property and that | | | | Barbados as in-country financing is available |
| there are no encumbrances, liens, or | | | | only to Barbadian nationals. If you are a |
| judgments against the property that could | | | | non-national who is thinking about buying a |
| affect the smooth transfer of ownership. | | | | property in Barbados, then funding must be |
| | | | secured out-of-country. Essentially all |
| Completion Of Sale & Purchase - Once title | | | | foreign financing must be overseas or |
| has been cleared the seller's representation | | | | arranged through overseas institutions. |
| then prepares the means of conveyance | | | | |
| (usually a mortgage) as well as the previous | | | | Keep in mind that purchasing overseas will be |
| titles. | | | | quite different than purchasing a home in |
| | | | your own country. There are different |
| Closing Costs - There are a variety of | | | | processes and laws that apply to real estate |
| closing costs involved in the sale and | | | | and you should be sure that you understand |
| purchase of a Barbados home. Sellers are | | | | them all before jumping into a purchase. When |
| responsible for the stamp duty and property | | | | considering a home in Barbados it is |
| tax. The taxes are respectively 1% of the | | | | essential that you get legal representation |
| consideration for the sale and 2.5% in the | | | | and tax advice long before you start signing |
| case of land without any buildings and 2.5% | | | | papers. |