While property in the Caribbean has not been immune to the global downturn, there are signs that the real estate market in the region is recovering. Demand for prime residential units on the CaribbeanÃ¢â¬â¢s most popular islands remains strong, particularly with overseas buyers.
We look at a recent report into the state of the Caribbean property market.
Barbados and the Cayman Islands remain popular with overseas property buyers
Knight FrankÃ¢â¬â¢s latest Caribbean property insight report says: Ã¢â¬ÅPrime prices have fallen by 10% to 20% since the financial crisis but the rate of decline is slowing and we expect some markets to experience price growth in 2013.Ã¢â¬Â
Barbados has long been one of the most popular Caribbean islands and the report found that demand for homes rose in 2012, particularly from British, Italian and Canadian buyers. Prime property prices on the island fell by around 5 per cent in 2012 although waterfront homes remain in high demand thanks to the limited supply.
Ã¢â¬ÅMany of the enquiries we receive relate to Barbados which remains incredibly popular with British and other overseas buyers,Ã¢â¬Â says Nick Marr, director of international real estate website Homes Go Fast. Ã¢â¬ÅItÃ¢â¬â¢s a beautiful island with some fantastic beaches and great surfing and so itÃ¢â¬â¢s no surprise that people want to own a home here.Ã¢â¬Â
Grand Cayman, Barbados and St Barts saw the largest year on year rise in online property searches in the final quarter of 2012, according to the Knight Frank report. Around 85 per cent of property buyers in the Cayman Islands are from overseas with most activity confined to Grand Cayman.
The report concluded that: Ã¢â¬ÅThe combined effect of globalisation and the climate of austerity has led many wealthy investors to seek out the worldÃ¢â¬â¢s best properties in the worldÃ¢â¬â¢s best locations, in particular those that offer the most tax efficient environment and lowest transactional costs.
Ã¢â¬ÅThe Caribbean ticks all these boxes, and generally enjoys a backdrop of political stability, legal transparency, as well as increasing accessibility.Ã¢â¬Â
Author: Nick Marr