Being one of the most renowned tourist destinations on the globe, St Kitts & Nevis is an attractive spot blessed with tropical beaches and pristine cultural heritage. Nearly 300,000 tourists have experienced the beauty of St Kitts, with about 37% of them residing in those accommodations for sale.
These statistics are justified by the booming tourist industry, where 1/4th of the economy is property investment returns from adequate tourism. Real estate purchases in St Kitts and Nevis required no more than a few months with easy acquisition of citizenship.
Rewinding to a century back, you would find the primary residentials with 3-4 accommodations. Thanks to government policy changes and immense support from developers, the economy slowly turned towards a hi-fi luxury resort. 5-star hotels like Marriott and Part Hyatt became staples for tourists, significantly enhancing economic stability and development market statistics during the infamous real estate crisis of 2008. Property investment in St Kitts and Nevis is truly a one-time golden opportunity, where you can easily acquire accommodations through successfully implementing global-friendly policies.
This article will familiarize you with how to go about purchasing remarkable properties, the laws and policies for and against your favor, and the plethora of information concerning eligibility:
Step 1: Familiarize Yourself With The Available Accommodations
Let’s first explore the various accommodations available at your disposal. St Kitts and Nevis offer you a wide range of properties that cater to different budget ranges, aesthetic goals, and holiday and retirement plan requirements. The following properties are worth looking into:
- Beachfront villas
- Custom homesites
- Gated communities
- Resort communities
- Fractional ownership properties
- Superyacht marinas
One of the main attractive aspects of property investments in these Caribbean islands is the vast potential offered by the Citizen by Investment program, which you will read more about. The best part is that all properties mentioned above are eligible to be under the CBI program, with the minimal requirement of $200,000-$400,000.
Step 2: Choose Between Regular Investment Or Citizenship By Investment Program
Real estate property deals in St Kitts and Nevis are extremely non-restrictive and open to all citizens, residents, and foreign nationals. When investing in these Caribbean properties, one aspect to understand is the citizenship requirements, where you can use the renowned Citizenship by Investment program. Let’s look into it in a bit more detail:
What Is Citizenship By Investment Program?
The most crucial aspect of Caribbean property investments in these exquisite tropical islands is the Citizenship by Investment program, which allows you to acquire St Kitts and Nevis citizenship through its passport simply by investing in property under specific requirements. This passport not only opens up opportunities for joint-ownership accommodations but also allows visa-free travel to over 140 countries ranging from the United Kingdom to Russia to Hongkong. However, the scope is much broader than you think.
The essence of this program lies in acquiring citizenship through economic contributions through real estate investment, SGPs, and PGPs. This act was established in 1984 to encourage property investments and increase foreign exchange reserves through non-refundable growth projects or real estate investments. This policy hits two birds with one stone by acquiring property in this beautiful paradise and bustling beaches with luxurious private lifestyles and acquiring citizenship for the country for travel lovers.
Eligibility Criteria For Citizenship By Investment Program
The investor who wants to be eligible for the CBI program requires the following criteria to be met:
- Zero past criminal records
- Optimal health conditions and clean medical certificates
- High personal net worth
Other citizenship requirements are as follows:
- The person must be at least over 18 years old
- They must undergo a background criminal record check
- Validate creditworthiness and character through employer references and official bank statements
- They must invest in a quantifying and eligible investment stated in the program, which is elaborated below:
1. Sustainable Growth Fund (SGF)
Minimum donation: $150,000
The twin islands allowed foreign nationals and global citizens to invest in socio-economic prosperity through minimum donations and acquire citizenship. Implemented successfully since 2006, this avenue covers areas like education, health, infrastructure, culture, and the promotion of indigenous entrepreneurship.
2. St Kitts Real Estate Investment
Minimum investment: $200,00 to $400,000
Another way the eligible applicant can acquire citizenship is through a government-approved real estate investment located within the domestic territory of the two islands. Pre-approved investment options, where the minimum investment ranges from $200,000 to $400,00, are available to applicants.
3. Public Good Project Developer (PGDP)
Minimum purchase: $175,000
Launched in recent times, PGP is a pre-approved government that involves an exchange of ownership of previously funded assets.
Step 3: Go Through Purchase Investment Procedure Based On The Choice
Buying property without applying for the CBI scheme requires the foreign applicant to acquire an Alien Landholding License. This is a compulsory document for all the non-residents of the twin-island nations seeking to own property. Those who have gone through the CBI scheme to invest in property do not require this license. There are two options for investing in this manner:
- Joint ownership property purchase: Requires borderline investment of $200,000 for seven years, due diligence fee excluded.
- Single ownership property purchase: Requires borderline investment of $400,000, which is available for resale after five years of ownership.
Opting for a licensed real estate agent will help narrow your property listings and open up negotiation prospects. Once you have chosen the accommodation, you will need to sign the purchase agreement with the help of a professional and licensed attorney. Suppliers of these properties will demand a 10%-15% down payment deposit until you get your hands on an Alien Land Holding License. The license fee for acquiring an ALH license is about 10% of the property fee and will take three months to process. However, the current development reduces the fees and other requirements to encourage real estate investments.
Step 4: Summarize Transaction Costs
After acquiring an ALH license, you must undergo a background check and complete the rest of your payment costs before closing the deal. This last step will take around 2-4 months. A summarized view of the costs is as follows:
- ALH License fee ranges about 10% of the property land-holding, excluding exemptions
- 2.5%-5% of legal attorney fees
- $3 for registration of application
- 2% for opening an Assurance Fund
- $1,000 in surveys
- 5%-10% of stamp fees if you decide to make it available for future sale
Step 5: Acquaint Yourself With Property Taxes
Last but not least, you will have to familiarize yourself with the property taxes in the market. One essential aspect is that property taxes differ from one area to another and rarely even from the sizes and types of property owned. The taxes range from 0.156% on buildings and 0.075% on land. A general overview is given as follows:
- Home-owners: 0.2% tax
- Commercial property: 0.3% tax
The expected property tax payment date is on the 30th of June when you will be charged 12% per annum of delay. The good news is that the government offers exemptions and allowances if gone through the CBI scheme. If you are still pondering the right way to invest in St Kitts and Nevis properties, then visiting https://imperiallegal.com/real-estate-in-st-kitts-nevis can help you open up your options and have professional assistance. They will help you explore new opportunities for citizenship acquisition and other real estate specialist advice tailored to your requirements. You will have a successful and smooth application approved by professional integrity.
A common question that still lingers around St Kitts and Nevis investments is whether it is worth the process. The answer is yes, with the number of policies and government exemptions justifying the ease. Regardless of what accommodation you are looking for, St Kitts and Nevis have it. These twin tropical islands of the Caribbean are the most sought-after areas for acquiring luxurious villas with beachside views. Frigate bay of St Kitts is well-known among the ex-pat community.