CAYMAN PROPERTY MARKET RECEIVES A BOOST - STAMP DUTY REDUCED BY A THIRD FOR FOREIGN INVESTORS BUYING IN THE SEVEN MILE BEACH AND GEORGE TOWN AREAS
The Financial Secretary of the Cayman Islands has announced that there will be a temporary stamp duty reduction as part of an incentive package to investors in Cayman Real Estate to encourage activity within the Cayman property market and maintain Cayman’s position as one of the worlds most desirable off shore property investment markets. Buyers will save substantial amounts on Cayman property purchases from April 1st 2009, when stamp duty will be reduced to 5% for a period of six months. The represents a significant 2.5% reduction from the usual 7.5% payable on purchases in the popular Seven Mile Beach and George Town Cayman property market sectors. There are no income taxes, annual Cayman property taxes, inheritance or capital gains taxes in the Cayman Islands so unfortunately these cannot be reduced any further. However the Financial Secretary has simultaneously announced reductions in the import duty rates for building materials to help stimulate the local Cayman property development industry. The Cayman Islands have positioned themselves as the ultimate Caribbean Island offering residents and visitors fabulous beaches, a safe and relaxed atmosphere with world class infrastructure and the highest standard of living in the region. The Cayman Islands economical and social stability have buffered the islands from any extreme property price fluctuations over the years and instead have shown gradual and steady appreciation in value, unlike the major markets in the world.These incentives for the Cayman property market will likely expire in six months at which time the rates will revert to their original levels.CIREBA - the Cayman Islands Real Estate Brokers Association - has agreed to match Government's by offering a 20% buyer's rebate to the Cayman Real Estate Market, whereby buyers will receive 20% of the agent's commission for any Cayman property purchase. The programme will also expire on September 30th 2009.Cayman property remains an excellent investment during times of international recession as the Cayman real estate market has proven to be far more resilient than others in the Caribbean region or internationally.