Costs of Buying a Home in Curacao
by Pamela Núñez on February 27, 2024
Buying a home in Curaçao is an exciting step, but it is important to consider the various Costs of Buying a Home in Curacao. In addition to the purchase price of the house itself, there are other costs that you should take into account. The Costs of Buying a Home in Curacao include notary fees, taxes, and possible financing costs. Here is an overview of the most important expenses when purchasing a home on this beautiful Caribbean island.
Notary fees
The notary plays a crucial role in establishing the legal aspects of the real estate transaction. Notary fees include drafting the deed of purchase, conducting property history research, preparing the deed of delivery, and registering the transfer of ownership. Notary fees typically range between 1% and 2% of the purchase price.
Transfer tax
Transfer tax is a tax levied on the transfer of real estate. In Curaçao, the transfer tax is currently 4% of the purchase price of the house. This amount is paid by the buyer and must be paid when the deed of transfer is executed at the notary.
Cadastral Registration Fees.
After the transfer of ownership has taken place, the new owner must have the property registered at the Land Registry. The cost of this registration varies depending on the purchase price of the house and is calculated according to a set scale. Generally, these costs are between 0.5% and 1% of the purchase price.
Valuation report
In many cases, banks require an appraisal report before granting a mortgage. The cost of an appraisal report varies, but is usually between $300 and $500, depending on the value of the house.
Mortgage fees
If you take out a mortgage to finance the house, there are several fees associated with taking out this loan. These fees can include administration fees, appraisal fees, advisory fees and mortgage registration fees. These fees can vary considerably and it is wise to request quotes from several banks to find the best deal.
Insurance and Maintenance Costs.
In addition to direct purchase costs, there are ongoing costs to consider. Consider costs for building insurance, contents insurance, any common maintenance costs in the case of an apartment, and regular maintenance of the house.
It is important to consider these costs and make a good financial plan before buying a home in Curaçao. It may be wise to seek advice from a financial advisor or a local real estate agent to get a clear picture of all the costs involved in the purchase. This way you can confidently take the step to owning your own piece of paradise on this beautiful island.
