Fees associated with selling property in Barbados
Real Estate Agent Fees
If you managed to sell your property on your own, then you saved between 4-5% of the sale price, that is the average commission charged by realtors in Barbados. Higher priced properties can be negotiated to 3% or less.
These fees cover marketing, viewing, signage and internet advertising. Also in the case of the seller, the real estate agent should also provide comparable listing, advice on the listing price and promotional activity of the property.
Valuation (Appraisal)
Valuation fees will vary depending on the size of the property but an average valuation will cost in the neighbourhood of BBD $1,000.
Attorney Fees
Legal Fees are legislated as follows:
- Up to BBD $25,000 – $750
- On the next BBD $75,000 – 2%
- On the next BBD $100,000 – 1.5%
- On the next BBD $300,000 – 1.25%
- Above $300,000 – 1%
VAT of 15% is payable on legal fees. These fees cover the preparation of the agreement for sale, the deed of conveyance and the deed of transfer.
Government Fees
There are government fees associated with selling property in Barbados but there is no distinction between National or Non-National vendors due to recent amendments to the Barbados legislation.
Property Transfer Tax: If land only – 2.5% of the Purchase Price. If there is a house and land, the first BBD $125,000 is exempt and then 2.5% is charged on any amount over BBD $125,000.
Stamp Duty: 1% of the purchase price.
Land Tax: Your land tax bill will be pro-rated from the period since the last payment was made to your closing date.