Buy a property in Mauritius in 5 steps
2019-12-20 11:22:15 • Park Lane Properties Ltd
"Buy a property in Mauritius in 5 steps Buying a real estate property is not to be taken lightly. It can be complicated if you do not know the steps to take. Also, you need a lot of information before you start, so as to avoid the inconvenience that can be caused. Although it is up to you to find the property of your dreams, you may need the services of professionals such as a professional real estate agencyand a notary for formalities. If you are tempted to buy property in Mauritius, you will need to follow the 5 steps below. First, identify the ideal property Whether you're planning to move to Mauritius or simply investing in a thriving real estate sector, there are a few criteria to consider in finding the right property. To begin with, you will look for the apartment or the house that best fits your expectations and your lifestyle: will you live there all year round or part of the year? Do you want space and a garden or a property which is easy to close and maintain when you are not in the country? Will you be renting the property out ? For that, the best is to visit the existing real estate portals and the web sites of the main real estate agencies of the island and which are well established. However, these platforms can contain a very large choice. Not always easy to make the right one … Consult a professional real estate agent If you want your transaction to go well, you will need the services of experienced professionals. To use the services of a real estate agent guarantees the success of your acquisition. Going through an agency will be beneficial as the real estate agent will serve as an intermediary between the seller or the developer and you the buyer. One of its attributes is to evaluate the property for sale at its real price and accompany you in the negotiation and buying process. Given the experience of this type of agency, they will be able to guide you so you can make the right choice. They will give you, for example, the strengths and weaknesses of a property or a project, in an objective and independent way. Based on this precious advice, you will be able to make your decision. After that, check that all documents are in order When you buy a property, you must make sure that the documents are in order. This is mostly the Title Deed of the seller. Such a document is proof that the seller is indeed the owner and, if it is in his own name or via a legal entity, and that he is entitled to sell you his property. Being accompanied by a reputable and qualified real estate agent is therefore important. The agent will have already checked all these elements and will avoid any risks. He will then accompany you through the buying process, which is not an easy one when buying a property overseas. Thereafter, consult a notary In Mauritius, it is up to the buyer to choose the notary who will prepare the sale, except in certain cases such as the acquisition of a property in a specific real estate project when the notary has been nominated by the developer. The notary remains impartial and will provide his objective advice to both parties, buyer and seller. He will advise on the various clauses to be included in a promise of sale and subsequently in the sales contract, and also on the most appropriate way to buy, if under your own name or using a legal entity, for a better structuring of your assets and your inheritance. The notary will therefore take care of the preliminary formalities and the signing of the final documents. He is responsible for checking whether the property is free from any mortgages and charges. Finally, he will be responsible for registering the deed of sale with the Registration Department within a few days following the signature of the sale, and deliver a copy duly registered to the buyer thereafter. Finally, paying fees The fees that you will have to pay to the notary as the purchaser of real estate in Mauritius are: Registration Fees currently set at 5%, notary fees established according to a specific scale of fees ; Agency Fees amounting to 2% plus 15% VAT on these 2%. In some real estate projects, all these expenses are often included in the selling price, or at least agency fees, and notary fees are sometimes fixed at a flat rate of 1% plus VAT. Buying a property in a project through a reputable real estate agency will not represent an additional cost for the buyer since it is the developer who in most cases remunerates the real estate agency. The buyer can therefore trust the real estate agent who will give him this objective opinion on each project that he will need to make the best choice. In the case of a resale, real estate agencies in Mauritius charge 2% plus VAT to both sides, seller and buyer. It is very important to be well guided : when preparing the deed of sale in the case of a house, the value of the land will have to be separated from the value of the actual house. For this, the opinion of a professional real estate agent is vital to help you establish these values. The Registration Department has 7 months to challenge the value at which you declared the sale. If the value mentioned in the deed is less than the value of the market, you will incur a penalty for undervaluation and you will have to pay the registration fees on the difference. The seller will have to pay the same penalties. It is therefore very important to be well accompanied by a professional real estate agency during the acquisition of real estate in Mauritius."