Turk and Caicos Real Estate Fees

REAL ESTATE COMMISSION

The Seller normally pays Real Estate Commission.

• 6% on developed land
• 10% on undeveloped land

STAMP DUTY

The Buyer normally pays stamp Duty, or transfer tax.

• For Sales under $25,000: Stamp Duty does not apply
• For sales between $25,000 and $75,000: 6.5% on Providenciales, 5% on other Islands
• For sales above $75,000: 9.75% on Providenciales, 5% on other Islands

NOTE: Stamp Duty does not apply to chattels. The Government reserves the right to assess a value higher than the sale price for purpose of Stamp Duty, if it feels a property sells below market value. There is also Stamp Duty of 1% of the sum secured by a mortgage.

LEGAL FEES

Each party is normally responsible for its own legal fees.

• 1% of sale price or hourly rate

INCORPORATION FEES

Many investors prefer to hold real estate anonymously in a Turk & Caicos Islands Corporation or Trust. Corporate set up fees are about $2,500, then $1,000 annually. This includes Administration, Government fees, Nominee Shareholders, Corporate Secretary, annual filing and preparation of minutes, as required by law.

MORTGAGE COSTS

Terms and rates vary by applicant. Banks will lend 50% to 75% of property value for 10 to 20 years terms. Current rates are around 9%. Private mortgage money is also available and some vendors and developers will finance short-term balances of sale.

CAN I RENT MY PROPERTY WHILE OFF ISLAND?

Providenciales in particular has a very low vacancy rate and rents reflect this. Purchasing income property, whether for short term or long-term rental, can be an excellent investment. Tax-free returns of more than 10% are common.

PROPERTY MANAGEMENT FEES

Long-term rental: 10 to 20%

Short-term rental: 25 to 50%