Buying property in the Caribbean
Although the housing market is slowing, it definitely has not stopped. Although less people are buying homes right now, the residential housing market is still creeping along.
People may be buying less traditional residential property, and setting their sights on vacation homes – especially in the Caribbean.
More and more people want to “step off the beaten path,” and buy second homes or vacation property on unknown islands in the Caribbean.
The seclusion and serenity of these under-populated islands have caused both residential buyers and commercial developers to set their sights on the clear blue waters and white sand of the Caribbean islands.
The article, “The ‘Emerging Caribbean’ – owning a slice of paradise,” by June Fletcher of RealEstateJournal.com, gives the details on the growing trend of buying property on the islands.
This new trend comes at a time when many commercial developers are springing up resorts with residential options, and enticing buyers to these little-known islands in hopes that they will buy property.
Even Donald Trump has jumped on the bandwagon and has developed property on Canouan Island in the Grenadines. But, there are some cautions to keep in mind if you are thinking about buying property on one of these islands.
“None of these places have the chic of Mustique, and some lack amenities that Americans take for granted these days, like golf courses, shopping malls and supermarkets. Violent weather can be a serious hazard. Still, developers are hoping they'll catch on with buyers who are looking for places to vacation or retire that are less pricey than Palm Beach and not as crowded as Barbados.”
As of right now, there is a lot of room to grow in the Caribbean, aside from the more popular islands, many island are uninhabited or only partially inhabited.
“With at least 7,000 islands in or bordering the Caribbean Sea, representing 23 sovereign states and various foreign dependencies, there's a lot of room to grow. Scott Berman, a partner specializing in the hospitality industry at PricewaterhouseCoopers in Miami, says that at least 30 resorts with some residential component are planned or under construction throughout the Caribbean, double the number of two years ago. While some are tiny and individually owned, others are big players like The Ritz-Carlton Hotel Company LLC and Four Seasons Hotels and Resorts, who cater to vacation owners who, no matter how secluded the island, don't want to be too far from room service and a massage.”
Properties also range in a wide variety of prices from modest condos to multi-million dollar beach front properties, the options are endless.
In addition to affordable property (depending on what you are looking for) these islands are also known as “tax havens” since many to do not charge permanent residents property, inheritance or income taxes.
One of the huge drawbacks to buying property here is the weather.
“But it's not all margaritas and sugar sand. Hurricanes regularly lash the Caribbean, and some deliver knock-out punches. According to the U.S. Agency for International Development, the region is also vulnerable to flooding, tsunamis, landslides, earthquakes, droughts and volcanoes.”
