Buying Property in Nicaragua |
When purchasing a property a number of checks on
the property will be made by your lawyer as follows:
- Property Escritura (or Title Deed). This document should
be in the name of the current owner of the property and be
duly
registered.
- Libertad de Gravaman (or Free of
Lien).
This document shows if the property has in any way an impediment
to sale.
- Solvencia Municipal (or tax statement).This document shows
the state of taxes on the property.
|
|
|
What
is the process for buying real estate in Nicaragua?
Once your lawyer has checked these papers and assuming
that the property has been cleared for sale a number of
further steps will be taken:
- A new Property Escritura (or Title Deed) will be drawn up
with in the name of the BUYER.
- The SELLER of the property and the BUYER of the property will
sign this new document witnessed by your lawyer.
- At the same time the funds for the purchase of the property
will be transferred from the BUYER to the SELLER.
- Following this, the lawyer will take the necessary steps
to have the property registered in your name including
paying transfer and
registration taxes.
What property taxes are liable?
- Transfer tax on real estate transfers stand at 1%
- Registration taxes remain at 0.5 % of the assessed value of
the property
- Yearly real estate taxes are 1%
Financing
Financing options are developing with more products
on the market for investors. Private lenders offer loans based
on refinancing US assets and an ever increasing number of developers
are offering developer financing.
Legal basis
Foreign Investment Law 344 recog-nizes foreign
investors rights to own property and establish businesses
as they wish. Foreigners are allowed 100% ownership with equal
rights.
View our range of property for sale in Nicaragua.
|
