The Buying Process
Now that you have decided to own a piece of this exciting resort/island opportunity...
What do I need to do next to start the purchase process?
Here is where you can relax. Mainsail Development Group has put together an efficient processs of walking a purchaser through the entire sale. In so doing, we feel we have taken an otherwise cumbersome process and reduced it to a few easy steps. If you decide to finance the real estate purchase in the British Virgin Islands, you will need to utilize the lending services of a BVI bank for collateralization.
What Bank do I use? How do I get in touch with them?
We have established a relationship with several large banks in the BVI and have pre-arranged an efficient and systematic process for your loan and other related documentation. They will walk you through the steps and ultimately close the loan on your behalf.
Can I speak to other banks? Certainly, but we believe you will soon realize that the pre-arranged process we have established will be the "path of least resistance" with the answers to all of your questions and an experience that is quite pleasant.
Will a US bank or lendor finance my purchase? Generally, no. This is because the property is located in a foreign country. However, some lending institutions have representation in the Caribbean, so please check with your lender.
How do I finance the purchase of my unit? Commercial or residential loans can be obtained for up to 30 years. Interest rates are similar to the US and are currently between 6.5% and 7% for fixed loans. These loans can be available for up to 80% of the purchase price. As with all real estate loans, there are many packages available and these will depend on the individual applying for the loan.
Can I buy insurance for the unit I purchase? Yes. Up to 100% of the replacement cost of your unit (not including land) can be insured. The approximate annual cost is .0075 of the purchase price. (Example: $600,000 replacement value would be $4,000 per year.)
Are there deductibles and if so how much? Yes. These can run from $1,500 to up to 2% of the insurable amount.
Are there any special permits, licenses I need to obtain for ownership?
Yes! All persons that are foreigners wishing to purchase property in the BVI need to obtain a Non-Belongers Land Holding License (NBLHL). Again, Mainsail has taken all of the guesswork out of this process by pre-arranging your obtaining this license within 90 - 120 days.
How much is the license?
The application, processing and legal fees will be approximately $3,600 for individuals and approximately $6,800 for companies. We are working closely with O'Neal Webster, one of the most prestigious law firms in the BVI (onealwebster.com)
Can I close on my property before I get my NBLHL?
The Government requires that all persons closing on the purchase of lands in the BVI must first have obtained and have in their possesion a NBLHL. Therefore, the initial deposits made will be held in an escrow account until the time of closing.
CONDO HOTEL - What is that?
Since Condo Hotel is a fairly new concept, there is a lot of information available. Please visit the following website for some of the most asked questions and answers describing the essence of the Condo Hotel concept: http://www.condohotelcenter.com/condo-hotels/faqs.html