Buying real property in the Caribbean is a way to apply for a second passport. The latter does not only give you freedom of travel to 100+ countries but also entitles you to apply for long-term visas to the United States and Canada as well as to protect your assets and reduce the tax burden.
Investment requirements vary across the jurisdictions and the level of profitability of the real estate items will also be different. Which one of the Caribbean countries will be the best option in terms of return on investment in real estate?
To acquire the citizenship of Antigua and Barbuda, it is required to invest at least $ 400,000 in real estate. After 5 years, the investor can sell the real estate object or keep renting it out. According to statistics, since the launch of the program until June 2017, 215 investors have chosen to invest in real estate. At the same time, 771 applicants have chosen an option of donating to the government fund. This trend is not surprising at all. Acquisition of real estate in the Caribbean is associated with risks posed by Atlantic cyclones. For example, the infrastructure on Barbuda was destroyed by the recent hurricane Irma which, though, didn’t touch the island of Antigua. For this reason, the real estate in Antigua is more attractive for the investors. One of Antigua’s advantages is its developed infrastructure. In addition to the picturesque beaches, the island attracts visitors due to its excellent conditions for yachting. It has a large airport with a modern terminal and 6 ports for yachts and ocean liners. Antigua is popular with tourists, including celebrities and wealthy people.
AVERAGE RETURN ON THE REAL ESTATE IN ANTIGUA IS 4-6% PER ANNUM.
The government of Antigua and Barbuda approved an impressive list of objects, the purchase of which allows to qualify for a second passport. Investors may buy a share in the hotel or completely buy out a villa, apartments or condominiums. The apartment with an area of 60-80 square meters will cost from $ 400,000 to $ 600,000. The amount of $ 600,000 to $ 950,000 is sufficient to buy a 2-3 bedroom mansion within 100-200 meters from the sea. Villas of 200-400 square meters are offered for $ 1-2 million, and luxury homes with a pool and private yacht harbour will cost more than $ 2 million. One of the most interesting development projects on Antigua is the Daniel Bay residential development with a private access located in the south of the island, the Nelson’s Retreat apart-hotel in the center of English Harbor, South Point boutique hotel, as well as the exquisite Tamarind Hills apartments.
Tamarind Hills resort
To participate in the Grenada citizenship by investment program it is required to buy real estate worth at least $ 350,000. The investment amount may be recovered by reselling the real estate object in the future or by renting it out. Important note: Unlike the other countries of the Caribbean, Grenada is practically not exposed to the danger of natural disasters since hurricanes pass north of the island.
COUNTRY’S REAL PROPERTY MARKET IS GROWING VERY RAPIDLY. ONLY IN 2015, THE REAL ESTATE SALES INCREASED BY 71%.
Those wishing to invest should choose only from the projects approved by the government. The investment is to be held for a minimum period of 4 years. Below are some of the promising projects in Grenada:
Mount Cinnamon is a popular choice not only among investors but also among the celebrities who spend their vacationing in Grenada.
The passport of Saint Kitts and Nevis may be acquired by investment of at least $400,000 in real property. This option is chosen by 1 out of 5 investors applying for participation in the passport program. However, for the local market, this is still a rather big amount. Experts estimate that about 70% of all real estate transactions in the country are carried out within the citizenship by investment program. Approximately 80 projects are available for purchase from the list approved by the government. After 5 years, an item may be sold, in particular, to another investor wishing to get the country’s passport. Two-bedroom apartments in Basseterre, the country’s capital, are offered for about $ 600,000. A luxury villa may cost from $ 1.5 to 2 million, and elite homes with a pool and sea view are offered for $ 4-5 million. Tourism is the basis of the economy of Saint Kitts and Nevis. The development of this industry is facilitated by the presence of a modern Robert L. Bradshaw airport and two major ports: Basseterre and Charlestown. The islands are also popular among the owners of mega yachts. In 2015, the construction of the marina for elite ships at Christophe Harbor was completed.
IN 2014, THE MARGIN OF PROFIT ON RENTAL OF REAL ESTATE WAS 4.9-5.3%
It should also be borne in mind that there is a risk of property destruction during the hurricane season since the location of the islands is not the safest. In addition, many projects can be stalled during the construction phase. Below are three of the most interesting development projects approved for the program:
Park Hyatt is one of the most anticipated projects in Saint Kitts and Nevis
The minimum amount of investment in real estate in Dominica ($ 200,000) is one of the lowest among the Caribbean programs. An investment item should be selected from the list of projects approved by the government. For the time being there are only 6 projects in this list: Bois Cotlette, Jungle Bay Villas, Cabrits Resort Kempinski, Secret Bay Residences, The Silver Bay Development and Tranquility Beach Dominica. Despite its attractive price, the property on Dominica didn’t gain popularity among the investors. 8 out of 10 candidates for citizenship choose the donation option. There are several reasons for this. First, the island has poorly developed tourist infrastructure, especially compared to other Caribbean countries. There are no direct flights to Dominica from the USA and Great Britain, and this has a negative impact on the influx of tourists. Secondly, Dominica is located in the area vulnerable to natural disasters. In the last 5 years only the country has experienced serious destructions as a result of three powerful hurricanes. Almost the entire infrastructure of the country was destroyed. With that said, if you are planning to purchase property in the Caribbean CBI countries, a reasonable solution would be investing in the projects on Antigua and Grenada.