Buying and Selling Property in Grenada:

The information shown below is a guide only and while we have endeavoured to show accurate information we do not guarantee its accuracy, and accordingly no warranties are given.

Property Purchase

• Buyers Legal Fees - Approximately 2% of the Purchase Price.
• Stamp Duty - Approximately 1% of the Purchase Price.
• Mortgage Down Payment - Usually a minimum of 10%, but can be as low as 5%.
• Mortgage Repayment Time - Up to 30 Years or until the borrower reaches 65 years of age.
• Mortgage Interest Rate - Range from 7.75% to 9%.
• Life Insurance - This is required if you need a mortgage.

Property Sales

• Sellers Legal Fees - Approximately 1% of the purchase price.
• Property Transfer Tax - 5% of the purchase price for nationals and 15% for non nationals.
• Real Estate Commission - Normally 5% of the Purchase Price.
• Early mortgage termination fee - There is normally a fee when a mortgage is terminated before the agreed time period.

Aliens' Land Holding Licence

For non nationals wishing to purchase property in Grenada, the property must first be identified and then an application made for an Aliens' Land Holding Licence. This application is usually made by a lawyer and involves a police clearance from the purchaser's country, a banker's reference and a character reference. Upon granting the Licence, the purchaser pays an Alien Land Holding Tax which is currently 10% of the purchase price.

Legal Issues

Property is passed by conveyance* of title, which is evidenced by the recording of title deeds and certified survey plans at the registry of title.

Once the purchaser has agreed to buy, and the vendor have agreed to sell, a legal contract has to be drawn up by a lawyer in Grenada, which provides for a deposit to be made to secure the property. The vendor's attorney holds this deposit in escrow** until completion of the sale when the balance of the purchase price is paid and the title passes to the purchaser by way of the conveyance.

The purchaser will require a registered Grenadian attorney to search the register and establish title to the property prior to the completion of sale to ensure that there are no encumbrances, charges, encroachments or other impediments to the sale.
It will normally take 2-3 months for all the legal issues to be resolved.

*Conveyance - A written document, which transfers property from one person to another.

**Escrow - The money is held in the attorney's bank account until the completion of the sale.

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