Tips suggestions on buying land on Ambergris Caye

@Anthonyejr10 No, nothing yet probably won't be ready to build for about 2 yrs, but just trying to get an idea as to what we can expect for a 2 br, 2 bath home off grid in the Secret beach area.

Thanks

Hello Gary and Rachel, welcome on board !

Please note that I have created a new thread from your post on the Belize forum so that members may easily provide some feedback.

All the best

Bhavna

Does anyone have a recommendation for a Real estate attorney?

Or is one even needed for a simple land purchase on Ambergris Caye?

@radiohawk The realtor is representing the seller, not the buyer.

in Belize, always use an attorney to do a full title search and review the contract for you.

Over the decades In Belize, land was granted by the government to Belizean families.

As children of those families grew up, some moved away, some to other countries.

Parts of families' lands were sold off by those that stayed. Years later family members returned to Belize to find their part of the land was sold. When they sued to regain what was theirs, often the court sided with them, and the new folks that thought they bought/owned the land were evicted.

Better to spend the money for your own title search up front, than to buy and build a house, only to find years later you did not actually have a right to the land.

I would not build, so many dreamers like you have went down and did the same thing only to leave with in a year. They all are looking to sell and rent to expats. Offer them 1/2 what they want for long term rental most will take it. It takes forever to sell any thing. No Belizean is going to buy it. Look in Hopkins all kinds of really nice home for rent cheap why live on some caye with power black outs high price every thing and crazy truck drivers on the road

@radiohawknothing is simple in Belize

@Aerodex thanks for the information!

@radiohawk I did have a realtor who helped me when I bought property in Belize 2021. He was very good and had the title company did title search for the property and made sure it was clean. PM me if you want his name.

Coco

@Aerodex great suggestion.

Thanks for the input.

@Aerodex great suggestion.

Thanks for the input.

@jonestom747 we're not buying on the mainland, we're buying on Ambergris Caye, and if we lose power it won't matter we're on solar, also there is little truck traffic, most people get around by golf cart.

Looking at this as a long term investment, won't be even building for at least 3 yrs.

We've even spoken to an expat currently living in the area we're purchasing and his property value doubled in 3 yrs.

It doesn't matter to us of the process is slow, we're in no rush.

This Secret Beach just seems like and up and coming tourist area.

Big hotel chains like Margaritaville and IHG (Six Senses resort) don't put properties in places that they aren't pretty sure will make them money.

Thanks for your input👍

@CocoHer Thanks, We'll be in touch!

@radiohawk

Some differences folks from North America might not be aware of in Belize.

Attorneys are licensed, Realtors are not.

Just because one sees Realtors operating under the same brand  name as in the USA, the legal connection is minimal.

You will pay 12.5% GST tax to the government on whatever commission one negotiates with the Realtor.

In the USA Title Companies carry Title insurance to warranty aspects of their search and statement. Not so in Belize, title insurance does not exist.

@radiohawk I see you know nothing about Belize or Ambergris. How do you think all the fill dirt you are going to need gets around? Golf carts? Or big 5 ton dump trucks during like crazy men, is the guy that told you he made all that money the guy selling you some thing. There is a very old say in Belize. To make a million in Belize take two. Good luck you are going to need it. Belize has feeding off people like you for many years. It’s really funny to watch and you guys just keep coming. 😂😂😂 I lived there for many years have you even been there? Don’t sound like it. Google scams in Belize, then Google crime in Belize. There is a reason Belize in one of the countries in CA that still live in the Stone Age. And if you are coming from America growing up living that standard you will have a very hard time in Belize. The best way to live in Belize and fit in is living poor. Have you ever lived poor? It is very had if you have never done it? But you won’t lesson you will come lose everything and be gone in less then a year like all the rest, you are nothing new to Belize. I could show you 1000s of so called hotels, development that ripped people off. No big hotel will never be put on Ambergris the power alone could not handle it, let alone water. I can go on and on but who cares go have fun. 3 years is along ways away.

@jonestom747 sounds like you've had some bad experiences, sorry about that.

I'm going to stay positive and trust my gut and believe in the people I've spoken with who by the way are not trying to sell me anything.

Thanks for your input.

@radiohawk
Some differences folks from North America might not be aware of in Belize.
Attorneys are licensed, Realtors are not.
Just because one sees Realtors operating under the same brand name as in the USA, the legal connection is minimal.
You will pay 12.5% GST tax to the government on whatever commission one negotiates with the Realtor.
In the USA Title Companies carry Title insurance to warranty aspects of their search and statement. Not so in Belize, title insurance does not exist.
-@Aerodex

I just state my experience. I did not pay anything to my realtor when buying the property, the seller is paying both sides of realtors. I do however, paying the title company for doing title searching, paying inspector for inspection of the property, and closing cost to the title company as I would do in USA. Everything is a bitter slower than it would be in US, but all done correctly and I got my property title already.

@radiohawk LOL yep you have never even been to Belize...lol it really is just to funny to watch you guys? You will never move to Belize. All internet talk...lol..

@radiohawk
Some differences folks from North America might not be aware of in Belize.
Attorneys are licensed, Realtors are not.
Just because one sees Realtors operating under the same brand name as in the USA, the legal connection is minimal.
You will pay 12.5% GST tax to the government on whatever commission one negotiates with the Realtor.
In the USA Title Companies carry Title insurance to warranty aspects of their search and statement. Not so in Belize, title insurance does not exist.
-@Aerodex
I just state my experience. I did not pay anything to my realtor when buying the property, the seller is paying both sides of realtors. I do however, paying the title company for doing title searching, paying inspector for inspection of the property, and closing cost to the title company as I would do in USA. Everything is a bitter slower than it would be in US, but all done correctly and I got my property title already.
-@CocoHer

I understand, perhaps I did not explain it well.

Unless one has a separate signed contract with a different agent than the agent the seller is using, the buyer actually does not have a realtor. As long as everything worked out OK, it does not matter. However things can go wrong in transactions, and if they do, the one realtor represents the interest of the seller.

The Lands Department takes a long time, in my case over a year. Realtors often will use what is politely called and "Expeditor" to speed things up after closing. When I asked my attorney about this I was told because they are licensed, they dare not use someone to bribe the lands department to "speed things up". 😀

@Aerodex

Agree. I think It is always better to have a separate buyer's agent. I did not sign a contractor with my agent but he represented me on every step of the way for finding the property, submit the offer, finding me an inspector, finding a title company and all other services that a US realtor would do. My agent is excellent.

Yes, the land department took a long time, mine took about 10 months. But we took over the property after  the contract was signed so waiting the tile is not a problem.

@CocoHer I think in my case it's a bit simpler since it's only land that I'm buying.

No inspection required, but we will be hiring attorney to be sure that everything is on the up and up.

@CocoHer

Like any profession, there are good folks and otherwise, sounds like you picked a winner.

I bought my place from another American.

A local Realtor from Canada working for a big name Realtor was living in it and was in default on his deal buying from the American. I helped the American owner write the eviction letter, then worked out a new deal with him on an owner carried mortgage. Had a local attorney write up the deal. Paid off the balloon final payment over a year ago. Got the paperwork back from the Lands Department In March.

@radiohawk Hello from Mark and Shanti,

We are also very close to buying on San Pedro possibly at secret beach. We plan to purchase and build soon. I am a semi retired contractor and will be building myself with Foamcrete, aka Aircrete, or lightweight cellular concrete. I will be using several Foam Crete techniques ...

https://youtu.be/pJ-5nFkOJAU

https://youtu.be/NAJ9DTy3b0A

We are staying near the Corazol FreeZone on the Rio Hondo River and will be going to Secret Beach in a few days. I would be happy to share information and help you with your project.  [link moderated]

@MarkLegreid Interesting concepts.

Are you going to be the importer of these building materials?

@CocoHer Hello, I would like the persons name you used for a title search. I will be visiting and possibly buying land in Belize soon.

There's some good info in this thread... and some that was likely meant to be helpful.

There are two real estate associations in Belize that are merging: Association of Real Estate Brokers of Belize (AREBB) and the Belize National Association of Realtors (BNAR). AREBB started a country-wide Belize MLS last year, has an ethics committee that deals with all complaints on agents or brokerages, and has been working to improve standard practice within the industry. Not all people working as agents are created equal, but that can be said in our home countries as well. Big name real estate companies don't mean better agents, just that someone is paying for the name recognition.

In Belize one agent can represent both the buyer and seller, which may be different from where you live now. Because of this, some selling agents won't post their properties on a Multiple Listing Service because it encourages working together and a greater likelihood of having to split a commission. Unless you have signed a contract with a buyer's agent and agree to pay them an additional commission, the commission generally comes out of the seller's proceeds and is split by the agents involved in the sale (based on the terms of the agency).

Belize charges a conveyance tax/property transfer tax/stamp tax on real estate transactions. Under a previous version of the act it was 5% for everyone (long-time expats will remember this). Under the current act, the tax is set at 5% for Belizean citizens and 8% for foreigners based on the assessed value of the land. While the selling price can be used, the ultimate valuation is determined by the Lands Department. There is a process to appeal the valuation that they set, but it is lengthy. The act is currently being revised and will likely be updated in 2024.  There is no capital gains tax in Belize, so you only pay a tax when you buy the property.

In addition, there is a $15 fee for the recording and $15 for the issuance of the new land certificate in your name.

AREBB is recommending that all purchase and sale contracts have the following clause added so that the buyer is aware:

LANDS DEPARTMENT: Buyer understands that if the Government of Belize,  Lands Valuation Department, re-assesses the value of the Property to be greater in value than the agreed upon price between the Parties, the anticipated 8% stamp duty shall be higher than previously declared.  The final value of the Property and any related taxes are subject to the sole and exclusive determination of the Belize Lands Valuation Department and are based on the value of the Property on the date of title transfer.  Any increase in Stamp Duty will be the responsibility of the Buyer."

END OF CLAUSE TO BE ADDED

In Belize, a closing attorney is not required, but many people choose to use one. There are many Attorneys available to help you with your purchase.  They generally charge 2% of the purchase price of the land to complete the closing documents. Some real estate agencies will work with a paralegal instead that charges a flat fee. 

The Country of Belize recently went through a simplification of the land recording and ownership process in portions of the Country.  These are referred to as ‘registered areas’.  If the land you are buying is within a registered area, it is a very simple process for you to view the register and know if the land you are considering is owned outright, and if it has any mortgages or encumbrances on it. If the land is not within a registered area, it is a bit more complicated process and would be worth your while to retain the services of a title searcher which will average around $250. Title Insurance is available for 2% of the cost of the land.