If you are looking for a property near the beach, there are many in Puerto Rico. The good thing about buying a property in Puerto Rico is that it has fewer restrictions than other countries. You need to hire a bilingual real estate agent, so he can easily interpret to you what was written in Spanish.
Making the Deposit
Once you have reached an agreement, you need to deposit 5% of the purchase price as a buyer. The deposit is non-refundable if you decide to back out of the transaction. If it’s the other way around, and the seller chooses not to sell its property, he will need to pay the buyer two times the amount deposited by the buyer. Keep in mind that the deposit is non-refundable if the buyer backs out of the agreement. If the seller backs out, he will pay the buyer two times the amount deposited.
Fees and Other Payments
Most of the time, the seller will pay for the notary’s fees and the real estate broker’s commission. Meanwhile, the buyer will pay the down payment, title insurance, and the documentary stamps on the deed. The fee for inspection and appraisal will be shouldered by the buyer as well. The property taxes are prorated. The buyer and the seller will divide the payment for property taxes since it is paid at the end of the year.
The notary prepares the purchase and deed of sale. The maximum legal notary fee is 1% of the property total value for the first $500,000, then 0.5% of the amount over $500,000.
You need to pay other fees, including the Municipal Revenue Collection Center (CRIM), Registry of Property, and Treasury Department. These fees will not cost you a lot and will not exceed 0.5% of the property value.
Filing the Property Title
The Registry of Property holds the record of all real estate titles. The titles are categorized into subsections based on its location. The property title should be filed under the appropriate section to avoid any objections from the Registry officials, who assess the title’s requirements and legality.
Other Ways of Acquiring Property in Puerto Rico
For foreigners, they can buy real estate property through the corporate route. Registering a property purchased through a corporation requires you to pay $300 for Corporate Resolution. A letter of authorization is notarized to give the corporation representative the authority to appear during the deed of purchase and sale. An additional cost for Internal Revenue Stamps is required. It will only take 15 days to complete the entire process of registering a property purchased by a corporation.
If you haven’t found your dream property, you can visit Caribbean Escape, where you can find luxurious but affordable real estate in Puerto Rico. Most of the real estate company in Puerto Rico will help you find the perfect house for you and your family.