“Kathleen, I’m writing in response to the article you published recently on purchasing a lot in the Galapagos.
“It compels me to point out that in Antigua and Barbuda there is a tax on the sales price of a purchase that can be 5% or more AND the attorney can also charges 5% on the transaction at resell.
“This means the property needs to appreciate 10% before you approach breaking even, not including the other seller costs when you transact again being figured in—for example, current survey and seller tax.
“I have transacted many real estate sales as a real estate agent in Antigua and Barbuda and this is the norm.
“It takes strong analysis in each individual country to reach the whole picture for ROI and a careful selection of barrister or attorney. One does not take recommendations of taxi drivers for this!
“With best regards for all the work you do to help inform purchasers.”
–Bonnie S., Antigua and Barbuda
No question. It’s important to analyze all the costs of both buying and selling a piece of property, especially if you’re buying for investment.
In fact, full round-trip costs of buying in Antigua and Barbuda run more than 20% of the sales price; that’s definitely on the high side relative to the rest of the world. However, it sounds like your attorney is seriously overcharging, as attorney fees shouldn’t be more than 2% of the transaction. I know attorneys in many countries who think they should make as much as real estate agents, but they don’t understand the role a real estate agent plays. If your attorney is charging 5% of the transaction cost to process a real estate purchase, I’d find another attorney.
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