Caribbean Property – Investing in Paradise?
May 7, 2008 by Dan Chamberlain
When many people think about Caribbean property, images of sandy white beaches and lush tropical greenery may spring to mind. However, it is not just these pleasant images which make Caribbean property so appealing. There are many Caribbean property opportunities available which are tailored for investment and anticipated to generate substantial profits for astute investors.
For a Caribbean property to be tailored for investment, there are two important principles which must be followed.
- Firstly, setup costs must be minimized to allow investment opportunities to be a viable option to most investors. Also, the less your setup costs are in comparison to profit, the higher your return on investment will be.
- Secondly, profit must be maximized. To maximize profit on your Caribbean property, there are several factors which must be given due care and consideration.
For example, many investors would require that their Caribbean property be fully managed to provide a healthy rental income. Therefore a management agency or company would ideally be setup to maximize rental occupancy, room rate charged and to fully manage the day-to-day running of the Caribbean property and surrounding land/site.
A favorable way for this to be setup is to buy a Caribbean property within a hotel or resort which is run by a well known and respected operator. This added brand name can greatly benefit the rental potential of your Caribbean property from day one.
Capital growth is also an important aspect to consider. Investors ideally need to conduct research to ensure that they are buying a Caribbean property which will experience sufficient demand for rental and for re-sale. This ongoing demand will ensure that property values will continue to increase and generate a substantial capital profit if and when the investor wishes to sell their Caribbean property.
There are many tax breaks to benefit from on your chosen Caribbean property. On some islands, there are no capital gains or inheritance tax to pay, making buying a Caribbean property a very attractive proposition compared to buying in other countries.
With due care and consideration, investors will be able to buy a Caribbean property which should adhere to all the above aspects and prove to be a profitable long term investment.
This guest post was written by Dan Chamberlain. If you have any questions or responses to this article, please post a comment below.
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I’ve been to Carribean on numerous occassions and I always see these people at the airport trying to entice you to join their sales pitch to buy a timeshare. I’m sure in the future, there will be more and more of these people asking you to join them to buy a condotel.
Great post.
Website Bucks County Real Estate
Clearly stated facts about Caribbean properties. This is informative on investing with wonder land, Caribbean. Nice to hear these guidelines.
Time share has a bad name amongst most discerning Caribbean propert buyers however fractional ownership is a complete diffrent ball game.This method of buying a luxury Caribbean property is on the increase unlike timeshare you actually own the property your name along with you co owners is on the deeds
hFvi5i comment5,
Any type of investment shall always be considered as a good investment and what will also count is on how you handle them. Good post…
Online Investing is one key aspect of modern mechanism of trading.This has revolutionised the investing and the strategies are also being redefined.
I almost bought Carribean property in 2005, however the massive hurricanes that year scared me off!
I wonder what the property taxes are on Carribean real estate or if there are property taxes at all and any other negatives to foreign ownership.
Investing in Caribbean is a very tempting offer but shouldn’t the investor be informed about the different aspect of investing in caribbean what are the ins and our of investing there. People who are really interested should at least do some research read good book written by a real estate expert. one such expert I read http://www.deangraziosi.com/ was surly very help full. I am sure these things at the end make you more wiser and help you make a good investment.
A lot of people don’t realize there are still opportunities to purchase island properties, not everything is owned by resorts or staked as reserves. Visit Acreage Anywhere to find land available in locations like Fiji for your purchase or investment!
Property in Pattaya is one of best residential in Thailand
I invite you when you go to Thailand, don’t forget togo to Pattya City
Looks nice and all, but I wonder how useful it is to have a vacation property that you can’t get to without boarding a plane. I owned a vacation property in Florida for several years, but it never seemed to make sense to own something that I only spent one month a year enjoying. All that was fine when the markets were accelerating and the appreciation offset the costs of ownership, but what about now? I’d rather purchase a vacation home somewhere within a couple hours drive of my house. At least then I can drive home if the weather stinks!
David,
I think you have missed the point of this investment.
As it is foremost an Investment and not a holiday property.
As an investment this provides a guaranteed yield for the first two years and then moves into a profit share with the hotel company that manage the site.
It is a commercial opportunity with the added bonus of taking 30 days free use a year.
There are residential units on site that can be used entirely for your own use.
For more information i suggest you visit our website at http://www.freshinvest.co.uk.
found last month something like freshinvest but i like it more they have very good plans see yourself https://www.twimboe.com
The only drawback with the caribbean islands is that there are no double tax treaties with major countries. In some cases you will be taxed twice.
Barbados actually has a double tax treaty with the US.
http://www.taxalmanac.org/index.php/Income_Tax_Treaty_with_Barbados,_1984
Correct Dennis, although on some of our Caribbean properties the developer has reached an agreement with the Government to try to alleviate some of the taxes that you must pay.
For example, in the dominican republic there are exemptions on Capital Gains, Income and Property Purchase taxes for ten years.
A Paradise property to visit next holiday.
Pattaya is one of best Paradise in Thailand, don’t forget to see
Iâ??m sure in the future, there will be more and more of these people asking you to join them to buy a condo/HOtel.
Great article! Very insightful. Thanks!
This is simply brilliant! I didn’t know this is how it works now. Very informative post.
-Sarah
Interesting and informative post. Thank you for your effort.
There is a new website which has just come on line this week which is focused on investing in businesses for sale and/or commercial real estate in the Caribbean, http://www.BizCarib.com. They have a soft launch now as they are gathering listings for the website. Check it out, http://www.BizCarib.com. It is very professional and the best I’ve see for the Caribbean.
Ah, how nice it would be to own some Caribbean real estate so that every time the Australian cricket team toured the Windies I could go on a fact finding tour and take in the cricket with the excuse that I was working
What a unique examination. Tourism region always has great attraction. According to my experience, when I developed real estate project in Bali anything is far more expensive than other region. So the property should be offered internationally rather than targeted local segment. It’s rather complicated because of high standard requirement but the return must be higher too.
The caribbean is a never ending showroom for foreign investment. Every day hundreds of huge cruise ships arrive from which tourists disembark, with strong acquisitive power and with enthusiasm to place their capital in emerging real estate markets.
At the time of thinking about retirement, The caribbean is one of the most attractive destinations, because of a large amount of land with panoramic views, land prices considerably lower than others locations with an equal setting, an unrivaled location, and an excellent infrastructure.
Your article is much more informatics for all of the visitor. I am very happy to read it. This is really very nice. Thank you for it.
Hi, I am new to this, but am thinking about buying a place in the Caribbean, specifically the US Virgin Islands. I found this website http://www.waterislandlots.com which advertises custom-built homes there for under $600K. Does this sound realistic? Has anyone used this company before? Thanks!
Hi, I am new to this, but I am planning on buying in the Caribbean, specifically the US Virgin Islands. I found this website called waterislandlots.com which advertises custom-built homes for $600K or less… does this sound realistic? Has anyone used this company before? Thanks!
[...] to check out as many of the islands as possible. Also be sure to keep an eye on the many great Caribbean Property opportunities [...]
I’ve found that sometimes a good visual can make all the difference to a blog post, so I’m always sure to include at least one. They brighten the place up a little too.
thank you all for commenting on my article, if you want more info on caribbean property investment contact me through my website here http://www.freshinvest.co.uk.
That is highly recommended.
I agree with your idea but, there are different school of thoughts producing different ideas that has to brought into consideration.
It would be great to own some real estate in the Caribbean
Good posting! I enjoyed reading it. Iâ??m new in this real estate business and want to know the quick tricks to earn good profits.
I wonder what the cost of homeowner’s insurance is in the area. With the threat of hurricanes every year, it must be significant.
you have some really good posts here. Im going to spend the next few days reading them. i love your writing style and I�m really happy to visited your blog. keep those posts coming
Investing in Paradise to make your choice organized and safe. Because it will prove that you own the house. It will help you a lot experience
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I must say that pics is awesome. I would like to tell you that this blog is very informative about real estate investment in Carribean.
Thanks for such blog
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