Barbados
Over the past five years, the already respectable and prestigious Barbados has become a real paradise for property buyers – all this time there has been an annual 15% increase in prices. However, according to Georgina Richards from Knight Frank, this is not a speculative market at all: most often we are talking about buying a house for your own vacation. Both studio apartments and one-bedroom apartments from $300,000 are in demand, even if they are located inland and do not have a sea view. One-bedroom apartments, from the windows of which you can admire the ocean, cost at least $ 500,000. At large resorts or directly next to the sea, such apartments are sold at a price of $800,000. The cost of villas here starts at $1.2 million, there is no need to talk about the upper limit, especially on the west coast of Barbados. Investors advise thrifty buyers to go to the vicinity of Christ Church in the south: Caribbean Dreams offers apartments there for only $ 180,000.
Landlords can count on a good income only if the accommodation is located close to the sea or at a popular resort, for example in the Royal Westmoreland golf complex with a spa and beach clubs. The idea of renting a property away from the coast is doomed to failure – this is one of the realities of Barbados.
The average annual income from renting housing in a modern complex is about 10% of the cost of real estate per year. At resorts like Hibiscus and Crystal Springs, the tenant will pay from $400 to $4000 per day, and this is not the limit: the rates depend on the type of object and the season. At the same time, it should be remembered that the amount that will be used to pay for the services of the management company is deducted from the income, and the profit will be the more significant the higher the status of the resort.
Jamaica
This island, one of the largest in the Caribbean, is full of contradictions. On the one hand, it's solid gold sandy beaches, lots of elite resorts and "people like Mick Jagger and Naomi Campbell." On the other hand, there are an incredible number of tourists here during the holidays, which is not at all like the places where celebrities used to relax. However, this once again indicates that the two-faced Jamaica is able to satisfy a variety of tastes.
According to Sean Collins of Pure International, few people know what Jamaica really is, that is, outside of the capital, Kingston. He says that the government began to invest in the tourism sector, social security and infrastructure only in recent years, thanks to which foreign investments finally began to bring tangible income.
Classic examples of luxury real estate are elite complexes in the villages of Goldeneye, Round Hill and Rose Hall. Average prices at such resorts are about $500,000 for one–bedroom apartments and from $2 million for a villa. In the village of Goldeneye, studios are estimated at $650,000, and a four–bedroom villa with sea views is estimated at $3.2 million.
Perhaps, admits Sean Collins, real estate is much cheaper in other places, but no one there can guarantee such a heavenly silence and comfort level that projects like Goldeneye are famous for. "Yes, for $600,000 you can buy a three–bedroom villa quite far from large resorts, but with such an arrangement it will be very difficult to rent it out and get a good income," he warns.
A reliable investment can be the purchase of an object in the Colony project at the Half Moon resort. There are 30 villas, a golf course and a 1200-room hotel on the seashore. For $2.4–6.5 million, you can buy a villa here with excellent prospects for further rental.
Antigua
The past year turned out to be very successful for a small Antigua: according to a report by Knight Frank agency, if the average global growth in real estate prices was 11% in 2007, then in Antigua it reached as much as 40%.
Such an economic miracle on an amazing piece of land (Giorgio Armani, Silvio Berlusconi and Oprah Winfrey have already bought houses here) also happened due to the fact that after the price rise in Barbados, many buyers were forced to look for more affordable options in the neighborhood. Political stability, which was not there before, also played a role.
"Over the past four years, there have been tremendous positive changes in the political situation in Antigua, which has attracted major hotel brands, investors and developers here," says Andrew Robson, sales director of the Robson Barnes agency, which implements the NonSuch Bay and Jolly Harbour projects. "The resort infrastructure here is no worse than in Barbados, and Antigua benefits from significantly lower property prices."
The highest activity of developers is noted on the west coast, in the area of the Jolly Harbour resort, where the most expensive objects are located, including the Sugar Ridge, Tamarind Hills and Pearns Point complexes. Harbour View and Colibri Court projects look a little more modest. One-bedroom apartments or a plot of land cost about $400,000, while villas can be valued at several million.
"Great opportunities for developers in this part of the island are opening up thanks to large areas that have not yet been developed and beautiful beaches located two steps away," says Aiden McCauley, a representative of the company building the Sugar Ridge complex. "The Jolly Harbour resort itself attracts large investments: one of the largest yacht marinas in the Caribbean has already been built here, there is a golf course, a casino, banks, a good supermarket, bars and restaurants."
Dominican Republic
The Dominican Republic shares an island with Haiti and is considered one of the poorest countries in the world. However, it seems that soon the island will become one of the most popular resort destinations. Today, luxury projects are being created here (primarily on the east coast), which have already attracted the attention of American stars – Jennifer Lopez, Beyonce Knowles and Paris Hilton. According to Justin Figgins, the head of Rightmove Overseas, today the Dominican Republic market gives very high hopes to investors: prices here are much lower than at other well-known resorts, and the number of tourists and the volume of foreign investments are continuously growing (it is expected that in 2008 investments in the country will amount to $ 1.5 billion)."
James Hickman from Caxton FX agrees with this: "On the coast, a three-bedroom villa with a swimming pool can be bought for about $200,000. In general, the price is 1 sq. m. m by the sea starts at $1400 – so cheap in the Caribbean real estate is not sold anywhere else."
The most popular are the cities of Puerto Plata, Sosua and Cabarete located on the north coast, and on the east - the vicinity of the village of Punta Cana, where luxury complexes are being built today, including Cap Cana – the largest resort project in the Caribbean with an area of 14,000 hectares, on which 10,000 objects will be built within 10 years, six golf courses, five hotels and a marina. Prices range from $460,000 to several million. Near the village of Cassa de Campre there is also a luxury complex, apartments in which cost at least $ 500,000.
Today, it is impossible to guarantee quick returns from investments in the country's economy, but experts with a certain degree of confidence predict a 20% increase in prices, and the income from renting luxury properties is about 8-10%.
Grenada
The main island of the Grenadines archipelago and a former British colony, Grenada has been an independent state since 1974. Until recently, the island was in the shadow of neighboring Barbados. However, the natural beauty and favorable geographical location indicate that in the near future Grenada will compete with him in the luxury real estate sector. Knight Frank experts have included Grenada in the top ten promising destinations in the real estate market. Company representative Julian Cunningham notes: "According to our data, over the past year the price growth here has amounted to 10-15%, and given the limited number of offers, this process will continue. Those who expect to invest here for at least 10 years will definitely not regret it."
Julian Cunningham advises to take a closer look at the Grand Anse region with excellent multi-kilometer beaches, calling it one of the best places on the island: "The area is a five-minute drive from the airport, but does not fall into the aircraft flight zone. And it is here that the capital of the island is located – St. Georges, where the world-famous university is located and many Englishmen, Canadians and Americans live."
Not particularly active in the past, the Grenada real estate market promises good rental income and an increase in the value of real estate in the future. "It's hard to find a hotel for a vacation here, there are more and more people who want to rent accommodation, including because Grenada has direct flights to Europe, which not all Caribbean islands have," says Julian Cunningham. – There is not enough quality housing that can be rented here. At the same time, the tourism industry is developing, and the peak of activity falls in mid–November - late January. However,the weather is wonderful here until March."
Saint Lucia
The island of Saint Lucia, located northeast of Grenada, also seems to experts to be a promising destination. The co-owner of Chesterton International, Lars Christians, comparing this island with Barbados, notes that real estate prices here are still 60% lower. The World Bank has included Saint Lucia in the 30 most investment-attractive countries in the world, with Saint Lucia bypassing Barbados and Antigua.
Currently, the company represented by Lars Christianss has put on the market the Raffles St Lucia resort complex, which includes a five-star hotel with 200 rooms, 250 one- and two-bedroom apartments, 78 plots of land, five swimming pools, a golf club and a spa center. Prices for the objects range from $875,000 to $1.77 million.
According to Savills employee David Vaughan, buyers are usually attracted to apartments on the ocean coast or villas with pools inside the island. Every year, the cost of housing generally increases by 8-10%, and new buildings – up to 20% per year. It is possible to rent housing here all year round, while individual houses are occupied for 65% of the time, and objects in complexes – about 85%.
If desired, a foreigner can apply for a mortgage here for up to 15 years. The purchase and sale procedure is standard, there is only one feature: a foreigner is obliged to issue documents for ownership in advance.
