RESOURCES

• An interested buyer will put forth an offer letter (prepared by agent).

• If the offer is accepted by Seller, your agent will formally notify (with Acceptance Letter) the purchaser that the offer has been accepted.
• The Acceptance Letter is copied to the Seller’s lawyer and the purchaser’s lawyer.
• Seller’s lawyer uses the Acceptance Letter to prepare a Sale Agreement. The Sale Agreement is sent to the purchaser’s attorney for perusal. Once approved, it is forwarded to the purchaser for signature.
• Upon signature, the buyer is responsible to pay a deposit, typically 10%.
• The deposit is retained by your attorney, and released only upon the closing of the sale.
• A Title Search is carried out by the purchaser’s lawyer (to ensure a clear title) and a Conveyance is prepared.
• The purchaser then makes final payment to their lawyer, which is sent on to Seller’s lawyer.
• At the conclusion of the sale, Seller’s lawyer deducts and makes all required payments associated with the property, including:
  • Payment of the 5% government tax
  • Agreed sales commission
  • Outstanding taxes, association dues, utility bills, etc..
• The duration of this process until completion is 1-3 months.

NOTE: SELLING TO FOREIGN BUYERS: Non-Grenadian Residents are obligated to secure an “Alien Land Holders License” and pay 10% on the purchase price. The application process for the license can take 3-6 months.

• Legal Fees: Approximately 2% of purchase price + 15% VAT on fees (e.g. fees of $ 1000 x 15%= $ 150. Total fees=$ 1150)

• Stamp Duty: 1% of purchase price
• Surveyor’s Fee: 0.5% of property value (if applicable)
• Alien Land Holding License (non-residents): 10%
• Incidental Expenses: Approximately US$ 600

• Property Transfer Tax: 5% of the market value for nationals and members of the OECS, and 15% of the market value for non-nationals

• Legal Fees: approximately 2% of the purchase price + 15% VAT
• Real estate commission: normally 5% of the purchase price + 15% VAT (to be paid by seller)
• Out-of-pocket expenses: approximately US$ 250.00

Government of Grenada allows an exemption on the first EC$ 20,000 of property value.
Value Added Tax – VAT: 15% on Agents Commission and Legal Fees.

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Local banking institutions require declaration of ‘source of funds’ from the Buyer. For amounts above EC$ 250,000, approval is required from the Grenada Ministry of Finance.