Buying or Building a Property in Barbados

Should you Buy or Build a Property in Barbados?

Many have considered buying their dream home in the Caribbean, but building their dream home is a route that fewer people are aware is available to them.

More people will be in a position to build their dream Barbados home than they think. Building a property in the Caribbean offers the perfect opportunity to tailor-make your ideal home in the sun – and while the process is simple, there are still plenty of considerations you should take into account before you make your decision.

For all the answers, read our guide and discover whether you should build or buy in Barbados.

Benefits of buying a pre-built property in Barbados

Every homeowner will be familiar with the process of buying a pre-built home, and it’s no different when it comes to villas for sale in Barbados. However, you must make sure you hire a licensed Barbadian attorney – only they can register the legal documents, exchange control and receive Central bank approval.

The benefits are obvious, including:

• Enjoying the confidence that the property meets all legal requirements and standards.
• It’s a quick, six- to 12-month process.
• Having the possibility to negotiate price or time the market.

Cons of buying a pre-built property in Barbados

While simple to browse and purchase, the main cons of buying a pre-built Barbados property are related to the search, demand, individual needs and wants.

The most noticeable disadvantages include:

• Rising Barbados property prices mean it’s unlikely you’ll find a rare, “steal” of an investment.
• Property is in high demand, meaning you may find yourself settling for a property that isn’t your dream Barbados home
• Buyers and sellers, like in the UK, can end up stuck in a chain – meaning your move-in date won’t be set in stone.

Benefits of building a property in Barbados

While most won’t be familiar with the process of building a house in Barbados, it isn’t as complicated as you may expect – and it comes with a host of benefits.

Some strong benefits include:

• Building on your own land in Barbados will increase the overall value of the property upon completion.
• The home will be perfectly tailored to your wants and needs.
• You will not be reliant on waiting for legal documentation from the seller.
• You can start right away, rather than spending an indeterminate amount of time looking for the perfect home that still might not meet all your wants and needs.

Cons of building a property in Barbados

Building a Barbados property, however, is a big decision – and the drawbacks often come down to time and money.

Some considerations when building a property include:

• Confidence that you can complete the build and stay within your initial and reserve budget.
• Preparation for complications in the building process, which may affect the completion date.
• Depending on the scope of the build, the project may take multiple years to complete.
• The process is typically more expensive, although the valuation of the property is likely to be higher upon completion.

Things to consider before making a final decision

Whether you’re drawn to the character of an existing villa or the freedom of a bespoke build, there are a few key factors to weigh up before committing to your Barbados property investment.

1. Taxes and legal requirements – Factor in property transfer taxes, stamp duty, and any import duties for building. Always consult a local solicitor to ensure that you remain compliant.
2. Solicitors and specialists – Whether buying or building, a trusted solicitor is essential to keep your dream property above board. When building, our project managers and architects can help keep things on track.
3. Timeframe – Buying is quicker and allows immediate use or rental, whereas building can take months or years, depending on the scope of the project.
4. Budget – Pre-built properties offer predictable costs, while building requires a flexible budget and contingency for unexpected expenses.
5. Location – Make sure you choose a location that suits your lifestyle. At Royal Westmoreland, our expert team can help find the perfect resort-based location for you.

Want to hear how we can help? Get in touch

Need more help to make your decision? Not to worry, you can talk to our Barbados property experts or read more of our useful guides, such as our Fractional Ownership vs Timeshare or Barbados Property Law guide.