During the winter, Northerners dream of summer breezes on powder sand beaches, where the azure sky kisses the coral sea. While many escape to a rental on a favorite island, there are other adventurous souls that choose to own a piece of paradise by purchasing a timeshare or home.
Those who look to the Caribbean for their summer fix should be happy to hear that the Caribbean real estate market for American buyers is strong and getting stronger, according to Ricardo Cardenas, vice president and regional director of RE/MAX of the Caribbean and Central America.
“Purchasing properties in the Caribbean could be a good hedge against a domestic market that is slowing down,” said Cardenas. “Property values are low in many areas, but they are appreciating rapidly, so a relatively small investment can yield good returns.”
“There are few legal limitations on Americans buying homes,” said Cardenas.
“If you plan to use a second property for short vacations, up to 30 days, typically no visa is required. Many islands have a US or British title system and there are no restrictions on full ownership. In Honduras, for example, you can purchase up to 3/4 acre of land in your own name without forming a corporation.”
Cardenas added that the Caribbean is going through its biggest high-end property building periods, although there are still many bargains to be found.
“Many people think of the Caribbean as the string of islands running from Florida all the way to Venezuela, but Central America also has a Caribbean coast and prices are generally lower there. You can find some surprisingly affordable homes in Panama, Costa Rica and the Bay Islands in Honduras.”
Among the growing markets in the Caribbean, Cardenas cited Turks & Caicos, Belize, Grenada, St Croix, St Kitts & Nevis, St. Vincent & the Grenadines, and the Dominican Republic.
“These areas are less travelled, and have less infrastructure, but attractive prices, ranging from US$200 to US$500 per square foot.”
Mature, and pricier, markets, according to Cardenas, include Cayman Islands, St John (USVI), Puerto Rico, and Jamaica. “Tourism is well-established in these areas and you can easily find 5-star hotels and other amenities. Prices range from US$500 to US$1,000 per square foot.”
Cardenas said multiple listing services, such as those found in the United States, are still relatively rare in the Caribbean. They are available in the US Virgin Islands, Cayman Islands, and Turks & Caicos.
Whatever kind of property a consumer is looking for in the Caribbean, Cardenas said, the help of a full-time real estate agent is crucial. “You need to use someone who is based in the immediate market you’re interested in, knows the price trends, and is well-versed in local regulations.
When I was visiting the Turks and Caicos Islands last year, I became friendly with Johnny, a Canadian born tour boat operator. I asked him where the real estate bargains were and he told me West Caicos. West Caicos is virtually uninhabited and according to the official tourism site, there are no accommodations there yet. Now that’s getting in on the ground floor. Turks is very popular with celebrity types who seek the solitude and anonymity. You can find Jamie Lee Curtis at Momma’s souvenir shop in Provo or Bruce Willis and Keith Richards on Parrot Cay hangin’ with the locals.
Sellsius will allow anyone to list and search for getaway properties and vacation homes in the Caribbean as well as internationally.
