When buying real estate in St. Maarten/St. Martin ( Villa, Condo and Land) in your own name, you must present your passport or other pictured identification. If buying in a company name, you must present articles of incorporation and other documents (requested by the Notary) related to the company, showing that the company is in good standing. You don't need to become a resident to own property on St. Maarten/St. Martin and there are no restrictions for foreigners to own property.
? Financing locally, French or Dutch side, is relatively expensive to the US, as interest rate fluctuate between 7% to 9%. We recommend financing from the US by taking a home equity loan, using the cash to purchase on the island. However other options are available for example:
Owner financing - where the seller carries the note, and the loan is secured with first mortgage.
Private financing - normally used for a short period of time.
Personal or business accounts can be opened at local banks as off shore accounts not subject to local foreign exchange taxes. Dollars can be moved freely from one country to another.
There are three basic types of deed transfers for real estate on St. Maarten Dutch side: Fee simple, Government long lease, Private long lease. All deed types give registered ownership. Properties in protected subdivisions are fee simple ( same as in U.S.). Properties are always closed using the European system where the Civil Law Notary, appointed by the Queen of Holland, is responsible by law to both parties and is obligated to do a proper title search to insure a clear title transfer. The responsibility of clear title is with the Notary, thus title insurance is not needed. Closings take place on St. Maarten in English within the time frame set by the Sales and Purchase Agreement. Closing costs are minimal. There is a one-time government transfer tax of 4%, plus the Notary's fee with the total of both amounting to no more than 6% of the gross sale price. These costs are the Buyer’s responsibility.
Government Long lease, Private Long Lease and fee simple deeds.
Approximately 6% transfer fees; includes notary stamp and all fees.
No Real Estate taxes what so ever( Dutch side only)
No capital gains tax. ( Dutch side only)
Offshore companies and investors welcome.
Building permits and zoning are routine.
Insurance cost approximately 1,8 per million - example: if you insured a property for $ 1 M US it would cost $ 18,000 per year. This is full coverage such as Natural disaster, flood, theft, burglary, fire and extended perils.
Building costs are between $100 to $ 150 per square foot, to build a 3 bedroom house takes anywhere from 1 to 2 years.
Island Information for Dutch St. Maarten and French St. Martin
St. Maarten/St. Martin is the smallest island in the world to be divided between two different nations. The island is split between the Dutch and French, and the two cultures live very peacefully together on 37 square miles. In fact, the island's inhabitants are quite proud of their nearly 350-year history of peaceful co-existence. The island's two sides offer you the culture and lifestyle of both the Dutch and the French. There are approximately 35,000 inhabitants on each side of the island, and 82 nationalities are represented. Located 18.5 North and 63.5 West, in the heart of the Caribbean, this small island dual nation has been a prestigious tourist haven for years. The capital of the Dutch side is Philipsburg and the capital of the French side is Marigot.
Both sides of the island have their own official language (French and Dutch) but English is spoken everywhere. Both sides have their own currency ( Euro and Netherlands Antilles Guilder), but U.S. Dollars are accepted everywhere. It is very easy to exchange currencies in banks, hotels, and "Exchange Desks. The island is on Atlantic time, one hour ahead of eastern standard time in the US. The climate is tropical and constant all year long, the average temperature is around 80 degrees (F) or 30 degrees (C).
St. Maarten/St. Martin has 37 beaches that are secluded areas of beautiful white sand. All kinds of water sports are available including; windsurfing, swimming, sailing, jet skiing, diving and snorkeling. Half-day or full-day sailing excursions to undeveloped beaches nearby are also available.
St. Maarten's/St. Martin's climate and natural beauty make it a perfect place for other sports and recreation. Golf, tennis, biking, diving, hiking, sky diving, parasailing and horseback riding are other activities that allow you to explore the island's natural splendor.
St. Maarten/St. Martin has the best of nightlife on both sides of the island. Casinos (on the Dutch side), nightclubs and dance bars are just some of the attractions available on the island. In addition, there are literally hundreds of fine restaurants to choose from.
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