Belize Real Estate Purchasing Process
If you are looking to buy Belize real estate, your first question will likely be “what is the process to buy real estate in Belize?” This post will help answer that question and provide clarity on the subject and how the process of buying Belize real estate.
Belize is British Common Law which means that a foreigner has the exact same ownership rights as a Belizean citizen. Belize is the only country in Central America that allows foreigners freehold property ownership. When you buy a property in Belize, you own the real estate outright with a fee-simple title. The big draw to owning property in Belize is the fact that foreigners can buy property freely and have the reassurance that their property asset is protected, which is why so many Americans & Canadians are buying up property in Belize.
Another draw to owning property in Belize is the low taxation, especially property taxes. For example; properties at Secret Beach have $75 to $90 per year property taxes (paid annually in April). Properties in Mahogany Bay have $108 per year in property taxes (also paid annually in April).
What is the Process to Buy Belize Real Estate?
Overall the real estate buying process in Belize is fairly easy and straightforward. The process does vary from property to property and transaction to transaction as different property types have different closing processes. But the general process is as follows;
Step 1: The first step is for the buyer to submit an offer to the seller. This can be a basic agreement of sale, once the buyer has signed the agreement is brought to the seller for approval. All signing and documentation can be done remotely. The majority of transactions are done using DocuSign or e-Signature.
Step 2: Upon acceptance by the seller, a Belize closing company will process the transaction. The closing company will provide all the titles and ensure the transaction is indeed binding and executed. Once satisfactory title research is completed, a recordable Agreement for Sale or original title transfer instrument will then be drawn up based on the particulars of the original purchase offer.
Step 3: Either an agreed-upon down payment or the full purchase price will be due for the deposit. This is considered the closing date and will be specified in the purchase offer or Agreement for Sale. As soon as the deposit is paid and received the buyer will have full enjoyment and use of the property.
Step 4: Once the balance of the property is paid in full, the transfer documents will then be executed and delivered to the purchaser for review.
Step 5: If the buyer wants to keep the property ownership in an IBC the share capital will then be transferred in full to the purchaser. If the buyer wants to have the property title in their own name, the executed documents will subsequently be processed at the Lands Registry (which can take up to 3 months) and an original title or certified copy of an Agreement for Sale will then be presented to the new owner in due course.