Legal & Costs

A. No, title insurance is not required, because the Cayman Islands government guarantees title.

A. Every property is registered under a unique block and parcel number. A potential purchaser can review records to learn if there are any liens or restrictions on the property prior to buying real estate for sale in Cayman Islands.

A. There are no government imposed guidelines. However, some neighborhoods may have covenants in place.

A. The process of legally transferring property, or property conveyancing, is typically done by a legal professional. The process normally take approximately one month to be completed.

A. Yes, a stamp tax of 7.5% is applicable on all property sold in Cayman Islands. The tax is applied to the purchase price or the market value, whichever is deemed higher. Chattels and furnishings are not considered part of the value of the property.

A. No, stamp tax is only applied to the cost of the land at the time of purchase.

A. Yes. First time Caymanian property purchases are exempt from paying stamp tax on properties less than $300,000 CI. For houses, apartments or other dwellings valued above CI$300,000 but not exceeding CI$400,000 the first time Caymanian owner occupier pays Stamp Duty at a rate of 2%. For first time Caymanian buyers buying bare land valued above CI$100,000 but not exceeding CI$150,000 the stamp duty is calculated at 2%.

A. Buyers will need to pay legal fees, which are usually equal to one percent of the value of the property. There is a stamp tax applied to mortgages of one percent up to $300,000 CI, and then 1.5% for mortgages with a value greater than $300,000 CI. If building a property, there are also building permit fees incurred.

A. If you have a mortgage, banks will require mortgage insurance. Property insurance is also required and is normally quite expensive compared to other jurisdictions, as are utility and water costs. Other costs will include strata fees if a condo, or property in a gated community, is purchased.