For Buyers

 

Property Buying Procedure in Grenada

 

Purchasing real estate in Grenada can be a simple process. The main reason someone may perceive “buying property” as a risky step is because many of them attempt this without guidance. Buying property without the knowledge or understanding is, in fact, risky business. 

That’s where we come in. If you’re looking to make a great investment in an efficient manner, this is what you can expect.

 

Step 1: Get ready to buy a home
Before you begin searching for a home, there are a lot of things you should do. It’s likely that you’ll want to assemble a checklist of features you need to have, get a feel for what neighborhoods and work areas you want to live near, and begin establishing your budget. Keeping your mortgage payment less than 1/3 of your monthly income is a good rule to follow.

 

Step 2: Select a Real Estate Agent

In beginning this process, it is important to find an agent who will not only provide the right information and advice but also seek to understand your needs and requirements. The right agent will have excellent local knowledge of the area yet also possess an understanding of broader areas such as financing, current legislation, valuations, building regulations and so forth.

 

Step 3: Understand Your Finances

While it can be tempting to begin your property search immediately, it's important to know your financial situation including what you can afford to purchase. Understanding your finances before you begin viewing properties will significantly help streamline the search and offer process.

Be sure to research grants and other government schemes available to you as this may increase your budget. Your chosen real estate agent will also be able to provide helpful advice if required.

 

Step 4: Loan Requirements

If a loan or mortgage is required for your purchase, discussing your needs with a lender and establishing pre-approval status on the loan will help set the purchase price of your property and ensure you are well prepared when it comes time to make an offer on a property. Speak to your real estate agent about this process as they will be able to refer you to a local financial specialist. Find out more about Grenada’s loan process here.

 

Step 5: Property Search

Before you begin inspecting properties, develop a list of crucial requirements for your property. Are you looking for a property close to the main road or are you looking for some extra room?

Your RE/MAX Grenada’s real estate agent will be able to help you clarify your requirements and establish a set of 'must haves' for your purchase. This list will include the basics such as location, rooms/size and price along with the specifics such as closets, bathrooms, parking and other features.

 

RE/MAX agents will also have access to a list of available properties (on and offline) in your area and be able to search through these properties for those that match your needs. After presenting a selection of available properties on paper or on screen, you will be able to visit and view these properties for yourself.

 

Step 6: Placing an Offer & Negotiation

When that special parcel of real estate is selected, you may need to have a market valuation to guide the offer you will put on the property. A boundary survey plan may also be required from a Licensed Land Surveyor.

 

Your offer will be presented to the seller (and/or the seller's representative) by your representative, who will remain involved in the process until it is complete. Don't be afraid to ask questions as it is an important step in the process. A local lawyer needs to be retained to represent you in the transaction. Typically, the cost is 2% of the consideration.  There is also a charge of 1% for stamp duty to the Government of Grenada.

 

If you are a non-national the same lawyer shall apply to the Government of Grenada for an Alien Land Holding License on your behalf. The sale is typically subject to the approval of that Alien Landholding License. A fee of 10% of the purchase price is Payable on approval.

 

Step 7: Settlement

The completion of sale may be within three (3) months.

Once your offer has been accepted, there will be an interim period of time between the date of formal acceptance and settlement. Settlement is the time where legal ownership is transferred. It may involve the seller's bank releasing mortgages and your bank placing a mortgage over the property. If the buyer or seller owns the property outright mortgages may not be required, your solicitor or conveyancing company will look after these details for you.

 

Your RE/MAX Grenada Sales Associate can help you during and after every step of the buying process.

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