Buying Property in Trinidad y Tobago

The process of buying land and property in Trinidad and Tobago is similar to many other Caribbean nations and the rules are not much different from those for the locals.

Foreigners and foreign companies are allowed to purchase up to one acre of land for residence and/or up to five acres for commercial purposes without applying for a license. An Alien Landholder License must be acquired from the government for any purchases above these sizes.

After a buyer finds a property, a sales agreement is signed basis the verbal agreement between the buyer and the seller. This agreement consists of all the clauses agreed upon by both parties. An initial 10% payment is made by the buyer that is held in escrow as per the contract that binds both parties. Under normal circumstances, the remainder of the payment is done after 90 days of signing the sales agreement and it is during this time that verification of all paperwork is done.

Once the sales agreement is signed, a local attorney on behalf of the client has to perform a title search. Simultaneously the buyer must verify from the utilities and Water and Sewage Authority (WASA) to make sure that all taxes are paid till the point of acquisition. It is this part of the purchase that is the longest with the response time of WASA being up to 6 weeks.

The closing is initiated after the title of the property is verified and all records checked. Closing Fees is a total of Stamp Duty, fees of attorney, and insurance costs for the dwelling. A Memorandum of Stamp Duty has to be submitted to the Board of Inland Revenue for assessment of Stamp Duty prior to closing. After closing this memorandum is taken to the Board of Inland Revenue for payment of duty. Upon payment, the Memorandum of Transfer is stamped and the buyer can then present this for registration with the Land Registry.

A Return of Ownership form for the change in ownership is prepared by the Land Registry for paying property taxes.