Buying: Making a Purchase
The entire purchasing process is straightforward and easy but it is very important to connect with a RE/MAX professional to be there for you every step of the way.
- There are no restrictions on foreign ownership of property in the Turks and Caicos Islands.
- Buyers receive clean title to all purchased properties. Title is transferred to the buyer and registered with the Turks and Caicos Land Registry Department and the title is guaranteed by the Crown.
- The Turks and Caicos have no annual property tax on the ownership of real estate, although owners will need to pay a one-time transfer tax (Stamp Duty) which applies to anyone purchasing property. Stamp Duty is not paid on furniture and chattels (typically 10% of the property value)
- Effective in 2013, stamp duty in the Turks and Caicos Islands has been restructured to the following amounts: The new rates established by the Turks & Caicos Government are as shown below:
| Under $25,000 | All Islands | 0% |
| $25,000 – $100,000 | Grand Turk, North Caicos, Middle Caicos, South Caicos, Salt Cay | 5% |
| More than $100,000 | Grand Turk, North Caicos, Middle Caicos, South Caicos, Salt Cay | 6.5% |
| $25,000 – $250,000 | Everywhere else (including Providenciales) | 6.5% |
| $250,000 – $500,000 | Everywhere else (including Providenciales) | 8% |
| More than 500,000 | Everywhere else (including Providenciales) | 10% |
The Purchasing Process
Once you have finalized your property choice, the purchasing process starts with submitting an Offer to Purchase. The Offer to Purchase is a simple 2-page document which outlines the terms and conditions of the purchase. Your RE/MAX agent will submit this signed Offer to Purchase to the Listing Broker of your chosen property. The Listing Broker will present the Offer to Purchase to the Seller. Once the Offer to Purchase has been agreed and signed by both sides you will have 7 days to wire a 10% deposit to your TCI Lawyer. This deposit is held in trust by your TCI Lawyer while the lawyers for each side reach an agreement on the official Purchase and Sale Agreement as per the details of the Offer to Purchase. Once the Purchase and Sale Agreement is agreed and executed by both parties your 10% deposit is transferred to the Sellers’ Lawyer and becomes non-refundable. The balance of the closing funds will be due on the agreed final closing date within the Purchase and Sale Agreement. For final closing you do not have to be present. Final closing can be completed on the date agreed by both parties in the Purchase and Sale Agreement by sending notarized documents via courier service. All closing funds will be held in escrow until Title is securely transferred into the buyer’s name and officially registered at Land Registry in Grand Turk.
This process usually takes 14-21 days to complete after final closing. Once land registry documents of the transaction are completed and official, the balance of the closing funds are released to the Seller. A typical transaction takes approx. 30-60 days to complete.
Your TCI Lawyer will ensure your investment is clear of all liens or encroachments and title is officially registered and transferred in your chosen name. You can choose various options to hold your investment i.e., Personal name, TCI LLC or Family Trust. Your TCI Lawyer will walk you through these various options. Your TCI Lawyer will charge a standard 1% fee based on the final negotiated selling price. Your TCI Lawyer will also be required to ask you to provide a copy of a valid passport and driver’s license. Buyers will also be asked to provide proof of address and provide proof of Source of funds, typically via a bank reference letter to comply with KYC (know your client). These are standard inward investment guidelines for the Turks and Caicos Islands Financial Services Commission (FSC).