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Buying in the Caribbean – the ins and outs

Although many Caribbean islands use different forms of currency, the majority of property transactions that take place are, even on islands where it isn’t the official unit of currency, conducted using US dollars.
Mortgages are available locally, however these often require a deposit of around half the value of the house. Occasionally banks will offer mortgages with deposit percentages as low as twenty, but these are the exception rather than the rule. The typical mortgage length offered is also a good deal shorter than the western norm at around 15-20 years, which can make the monthly repayments fairly expensive. However, if the bank has a strong enough reason to believe you will be able to repay the loan, they may tend to be more flexible regarding the terms of the loan. Bear in mind that property ownership abroad will entail, in addition to your mortgage repayments, many additional costs, such as building and contents insurance and utility bills.

If you are looking for a more affordable way to get on the island property ladder, perhaps you could consider buying an empty plot of land and building upon it. Thanks to the relatively low labour costs on the island, building your own dream home in the Caribbean is relatively affordable and could well turn out to be one of the soundest investments you ever make. Though it can take a good deal of time, patience, and hard work – not to mention planning permission – going the self-build route can be a great way to buy into the island property dream on a lower budget.

In line with the great majority of Caribbean islands, Hispaniola requires visitors to hold a tourist visa before entering the country. These, thankfully, are very easy to obtain and entitle you to stay for up to 90 days in the year. If you wish to achieve non-working residency in the area, however, it helps to be rich. As is the case in the majority of the civilised world, for better or for worse, money talks louder than anything else in the Caribbean, and it is very much the case that the more funds that you can prove that you have, and that you are willing to import to the island, the easier and quicker your application process will be.

If you are hoping to work in the Caribbean, however, you may find achieving residency that little bit harder – unless you are planning to start up a business in the area, thus stimulating the local economy and workforce If you are looking for regular employment, then you will have to prove that the job which you are applying for could not be taken on by a resident, say if you have a specialist skill which would be unique to the island, or if there is a skills shortage in a particular area, such as medicine or engineering which requires the influx of foreign talent.


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