Closing Property in Belize Typical Procedure
Background on Belize
Belize, formerly known as British Honduras, achieved independence from the United Kingdom on September 21, 1981
The legal system of Belize is based on English common law, and the country is a member of the Commonwealth of Nations.
Purchase And Transfer Procedure
Offer to Purchase (Buyer)
Contract For Sale Transaction (Seller)
Title Search (Buyer)
Preparation of Transfer Documents (Seller)
Closing Transfer of Funds from Buyer to Seller
Recording/filing (Buyer)
Payment of Fees/Stamp Duty (Buyer)
Follow up with the Lands Department-—Important to Do (Buyer)
The buyer is responsible for the title search and for the property transfer and any other related costs. A lawyer normally charges 2% of the selling price with a minimum charge and other expenses, but buyers have the option of also using a closing agent (contact us if you need a closing agent). Note that when purchasing real estate from a resident, you need to obtain prior notice from the Central Bank of Belize.
Stamp Duty Explained
Effectively a transfer tax on real property transfers.
Stamp Duty is 5% for nationals (and Commonwealth country citizens) & 8% for non-nationals
The first US$10,000 of value is exempted from the stamp duty
Governed by the Stamp Duties Act
GST (12.5% General Sales Tax) may be applicable on developed properties
Capital Gains Tax
There is no capital gains tax in Belize!