Investing in St Lucia Real Estate & Property for Sale
An unparalleled investment opportunity
There are few places in the world right now that are taking off like St Lucia. With its combination of unspoiled beauty, crystal clear waters, golden sand beaches and of course those world renowned landmarks: the Pitons, it has always been a mecca for holiday makers in the know looking for a slice of paradise in an exclusive, luxurious environment. Now the rest of the world is waking up to what a fantastic destination St Lucia is, and the island is now attracting a great deal of media attention and overseas investment.
An exclusive destination
Several of the world’s most renowned luxury hotel brands have spotted St Lucia’s potential and are flocking to the island, which over the next few years will boast the opening of several five star resorts, signature golf courses, and luxury marinas. But St Lucia still retains its air of mystique and exclusivity: with much of the island protected as a world heritage site or national trust, St Lucia will always retain its unspoiled charm and natural beauty.
All the perfect conditions for investment
The government of St Lucia are extremely committed to St Lucia’s continuing growth as a luxury destination, and have invested heavily in the island’s infrastructure to make sure that the island is in the very best position to support the development taking place and to continue to attract overseas investment. There is an increasing amount of airlift coming into the island, with regular (daily) direct flights from the UK, USA and Canada and great air links with the rest of the region. The government has also granted favourable tax incentives to overseas investors, meaning in many cases that any income derived from renting a property can be tax free for up to 15 years. With a stable currency pegged to the US dollar, and a stable government belonging to the British Commonwealth, purchasing property in St Lucia is a fantastic investment, where you can expect to see not just healthy returns on investment but great capital appreciation over the coming years.
Events in St Lucia
St Lucia also boasts a busy calendar of events that keeps tourism levels up year round, and make the island so much more than simply a beach vacation destination. Every May brings the St Lucia Jazz Festival, a week long musical extravaganza that attracts some of the world’s finest names in jazz, reggae, soul and R&B to the island. Each year the ARC rally comes through the island, giving the island a distinctly nautical feel for a couple of months. And that’s not forgetting the St Lucia Food and Rum Festival which showcases annually the very best of St Lucian food and drink, including an array of fine quality rums and liqueurs that St Lucia is famous for, as well as culinary demonstrations by many of the superb international chefs from several of St Lucia’s fine dining restaurants.
Our Ten Reasons to buy in St Lucia:
- The Island is naturally beautiful and un spoilt.
- St Lucia is easily accessible with direct flights from the UK, USA, Germany and Canada.
- The people are friendly and welcoming.
- Property prices are up to 60% lower than some other Caribbean Islands.
- The Island is politically stable and experiencing a steady economic growth.
- St Lucia is part of the British Commonwealth.
- All year round sunshine and great laid back lifestyle.
- There is excellent short-term and long-term rental potential.
- There has been a noticeable increase in foreign investors.
International Mortgage are available to non-nationals and non-residents to finance property purchases in St. Lucia using the property as security.
Qualification is based on debt servicing ability, which matches verifiable income against obligations (mortgages, credit cards, loans, etc). In addition to meeting this measure you would also need to demonstrate the source of your injection into the property and the ability to cover all legal and closing costs.
With regards to the use of rental income as part of the debt servicing, the banks are very conservative and do not regard this income in determining your cash flow position.
- 60% financing for properties costing up to USD 1.5 million exclusive of furnishings and appliances. For construction projects (self-build), financing is limited to 50% however where it represents stage payments through a developer, who is delivering occupancy, higher LTV may be considered.
- For property purchases costing in excess of USD 1.5 million, financing is limited to 50% of cost, exclusive of furnishing and appliances.
- Equity financing is available for up to 50% of the market value where a property has been owned in excess of 3 years. If requested before, it is based on the initial cost of the property.
- Minimum financing of USD250,000.
- Interest rates are normally linked to USD 3-month LIBOR 3%. Fixed rate options are also available with 2, 3 and 5 year options. Please note that this is for Indicative purposes only.
- There is currently no penalty for accelerated or lump sum payments on facilities linked to variable rates, however where fixed rate options are exercised, penalties would apply.
- A Mortgage is normally structured over a maximum 20-year term, or until retirement.
- Interest only options may be considered however they are limited to a maximum interest only term of 2 years, thereafter if a balance is outstanding, it is repayable over the remaining term through payments representing a blend of principal and interest. If this option is taken, the maximum term will be 15 years.
- Security is by way of Registered Legal Mortgage over the property being purchased, supported by Assigned All Perils Insurance.
- All Legal and closing cost are covered by client.
- Demonstrated foreign income stream must be provided to support repayment of mortgage.
- 50% financing for a maximum of 15 years, or
- 60% financing for a maximum term of 10 years.
- There are no Interest Only periods for Land Loans.
What is required?
- Fully completed application form: Download Application Form Here
- Last six (6) months original bank statements, to include evidence of savings.
- Last six months statements for all Credit Cards once they are cleared on a monthly basis.
- Original report from your accountant on your assets and liabilities
- Evidence of the source of funds that will represent your contribution
- Professional valuation of property being purchased (from a valuer approved by the Bank)
- Copy of the signed purchase agreement exclusive of furniture.
- Bank Reference from a Bank where you have banked for more than two (2) years.
- For salaried employees - A letter from employer to confirm remuneration and length of employment.
- Tax returns for the last three years.
- For self employed individuals - Last three (3) years audited financial statements.
- Tax returns for the last three years.
- Accountant’s confirmation of net earnings for the last three years.
To open a PERSONAL or COMPANY Bank ACCOUNT
- Fully completed application form.
- Fully completed Bankers’ Reference (for each person named in the application form)
- Facsimile Indemnity and Professional Reference forms.
- Notarised / certified copies of passport and drivers’ license for each person named in the application form.
- Certification can be done by a bank, attorney or notary public.
- Original bank or credit card statement to confirm residential address.
- Evidence of source of funds to open and operate account.
- Letter of introduction from employer (if applicable), to include confirmation of residential address.
- Original or certified copies of company documents.
- Notarised affidavit confirming the beneficial ownership of the company, including copy of share certificate.
MORE INFO ON ST LUCIA
Cheap Flights and Airline to St Lucia
Geography Of St Lucia
History Of St Lucia
Weather in St Lucia
Tourist Attractions in St Lucia
Hotels in St Lucia
Restaurants in St Lucia
Investing in St Lucia
Selling Your Property in St Lucia
FAQ's St Lucia