5 top reasons why you should use a Buyer’s Agent when buying real estate in Belize.

Introduction

Buying a home is a big undertaking, and buying one in a foreign country such as Belize, multiplies this undertaking by many folds. For this reason all aspects of the home buying process should be carefully considered before any decisions are made. Not only do you want to find your dream home, but you want to get it done in an efficient and cost effective manner. In hopes of staying within your budget, you may decide to cut some corners by carefully analyzing the things you want over the things you need. In making these decisions, you may decide to skip using a Buyer’s Agent. Is this a good decision? The answer quite frankly is ‘absolutely not’. Here are 5 reasons why:

 1.    It will not cost you a single penny

The perceived expense of hiring a buyer’s agent is generally what deters most people from exploring the possibility of a local buyer’s agent for their Belize real estate property purchase. Little do they know that in Belize the cost of using a Buyer’s Agent is covered by the seller out of the sale of their home. This means that choosing to use an agent will not only make your Belize home buying journey much easier, but it will not add a single penny to your budget.

2.   Efficiency

The search for a home is a very time-consuming process, even more so in Belize where the system of an MLS (Multiple Listing Service), does not exist. It could literally take you several weeks if not months to go through the multitude of individual websites offering Belize real estate for sale. By the time you do find a few options to compare it is likely that your option is already off the market. On the other hand, expert buyer’s agents are proficient at sorting through available properties to find homes that meet your needs. This will save you time as your agent can send you properties that specifically meet your needs so you do not need sieve through every single Belize real estate listing appearing on the internet.

Your buyer’s agent is an expert in their area. They will help you navigate through comparable properties, location advantages/disadvantages, and pros & cons of transportation options in the area. In short, your local buyer’s agent will help you create a wish list and filter through all of the relevant listings to help you find your dream home.

3.   Expert Negotiators 

Negotiation is a skill your buyer’s agent will have perfected and is one that will help you get the best deal, and possibly beat out other potential buyers in a multiple offer situation. Therefore when it comes time to put in an offer, your buyer’s agent will help you come up with a strategy that pivots on your best interest.

Experienced buyer’s agents are very knowledgeable of the local market and therefore are best position to advise clients on an appropriate price to offer and present it to the seller’s agent. A proficient buyer’s agent can also recommend ways to increase your chances in competitive bid situations and set expectations when they believe that the odds are not in your favor. This can mean signing a contract on your dream home vs. your second choice.

4.   Help overcome setbacks

If the home inspector’s report or appraisal brings new issues to light, a buyer’s agent can advise you on how to proceed with the transaction, and then act as a buffer between you and the sellers or their broker. If negotiations become heated or hostile, it’s extremely helpful to have an experienced professional keeping calm and offering productive solutions.

5.  Extensive professional network 

Buyer’s agent forms part of an extensive network of real estate professionals. As a result they will be able to provide referrals to essential services personnel, reliable appraisers, builders, mortgage brokers, real estate attorneys, home inspectors, surveyors, relocation specialists, and a host of other real estate professionals. This invaluable resource can also help expedite each step of the process and move you to a successful real estate sale all the faster.

Conclusion

Proficient buyer’s agents are real estate professionals who keep their fingers on the pulse of the hottest properties and real estate movements in their areas of operations. They have first-hand knowledge of the local real estate markets and can help you to get the best price for your dream property. Once properly guided they will do the leg work and provide you with only those properties which satisfies your needs. They will walk you through the process and put you on a level playing field with the seller in order to ensure that you get value for your money. In sum, your buyer’s agent will save you time, money, and stress.

Visit us at www.shepherdbelizerealty.com for more useful buyers’ resources or to engage us as your Belize real estate buyer’s agent.

Lot / Land For Sale in Belmopan, Belmopan

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•  lot / land FOR SALE  USD165,000 .

Strong commercial value, high-value land in vicinity of the capital city’s South Ring Road. The subject property features just under half acre (0.429 acre) of high solid ground that is ready for construction. Strategically situated in the center of the downtown area and within 2 minutes’ walk from Belmopan’s marketplace, the main bus terminal, government offices, stores, banks, and other businesses makes this property an ideal buy for a wide scope of commercial activities. All major services and utilities such as telephone, water, electricity, cable, postal delivery, and garbage collection/disposal are easily accessible.

Contact us today for more information or to schedule a viewing.

Property information

Lot / Land For Sale in Constitution Drive, Belmopan

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•  lot / land FOR SALE  USD375,000 .

Strong commercial value, high-value land with road frontage on the capital city’s South Ring Road. The subject property features over one acre (1.02 acre) of high solid ground that is ready for construction. Strategically situated in the center of the downtown area and within 2 minutes’ walk from Belmopan’s marketplace, the main bus terminal, government offices, stores, banks, and other businesses makes this property an ideal buy for a wide scope of commercial activities. All major services and utilities such as telephone, water, electricity, cable, postal delivery, and garbage collection/disposal are easily accessible.

Contact us today for more information or to schedule a viewing.

Property information

Lot / Land For Sale in Constitution Drive, Belmopan

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•  lot / land FOR SALE  USD195,000 .

Strong commercial value, high-value land with road frontage on the capital city’s South Ring Road. The subject property features over half acre (0.647 acre) of high solid ground that is ready for construction. Strategically situated in the center of the downtown area and within 2 minutes’ walk from Belmopan’s marketplace, the main bus terminal, government offices, stores, banks, and other businesses makes this property an ideal buy for a wide scope of commercial activities. All major services and utilities such as telephone, water, electricity, cable, postal delivery, and garbage collection/disposal are easily accessible.

Contact us today for more information or to schedule a viewing

Property information

2 Storey For Sale in South Ambergris Caye, Ambergris Caye

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•  4000 sqft , 4 bath , 6 bdrm 2 storey FOR SALE  USD1,190,000 .

Situated on one of the world’s top island destination, this elegant 6 bedroom, 4 baths, 4000 square foot luxury home was built in 2013. The beachfront home features 2 stand-alone complete living spaces on the first and second floors respectively, each consisting a spacious gourmet Kitchen together with 3 Bedrooms and 2 baths. The units are connected by an exterior stair case that leads to the breath-taking rooftop Palapa with an outside bar and barbecue, a perfect setting to entertain friends, both old and new as you relax and enjoy stunning views of the Caribbean Sea.

The home can be utilized as one magnificent home or two separate units. The home’s design provides great versatility with features such as vast parcel of prime beachfront (75 liner feet) a private swimming pool, a 300 foot pier with boat lift. The home is located in close proximity and therefore unobstructed panoramic views of the World;s 2nd largest Barrier Reef, and the international renown Hol Chan Marine Reserve which offers some of the best scuba diving and snorkeling in the entire world.

Enjoy complete privacy along this row of luxury homes which are completely gated. The home comes with many extras including interior and exterior security systems, a large garage or work space and multiple dedicated septic systems. The home is “move in ready” and comes completely furnished interior and exterior together with all linens and kitchen items.

Contact us today for more details or to schedule a private viewing.

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Lot / Land For Sale in Barton Creek, Barton Creek

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•  lot / land FOR SALE  USD150,000 .

Enjoy peace, quiet, and privacy of this scenic and very fertile 100 acre property. Situated in the area known as upper Barton Creek this property provides some secular views of some amazing natural waterfalls which cascade through portions of the 100 acre parcel. Enjoy over 1000 ft of all year creek frontage.

The Barton Creek Mennonite community is in close proximity to the subject property and provides the opportunity to relish fresh organic produces and bakes. Enjoy rural living at its best. There is sufficient land to create your very own eco lodge and live off the land. The surrounding environment makes this property ideal for tourist related activities such as caving, hikes, canoeing, horseback, etc. The possibilities are endless. Contact us today for more details.

Contact us today for more information or to schedule a viewing,

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40 acre Belizean Rain-Forest mountain retreat – 30 mins drive from the capital of Belize in Unitedville Village, Unitedville Village is Sold!

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The single story at 40 acre Belizean Rain-Forest mountain retreat – 30 mins drive from the capital of Belize has been sold.

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Multiplex For Sale in North Island Area, Ambergris Caye

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•  1959 sqft , 2 bath , 3 bdrm multiplex FOR SALE  USD389,000 .

Tropical Paradise is situated 3.5 miles north of San Pedro Town. This intelligently designed and elegantly decorated condo forms part of the Las Terrazas, one of Belize’s most luxurious beachfront resorts.

The subject property, unit #229 encompasses 1,959 sq. ft of interior living space. Boasting 3 bedrooms, 2 full baths and a rooftop balcony with spectacular views of the Caribbean Sea, providing the perfect balance between pristine island and luxurious living. Property owners have the option to privately occupy their units or earn instant return on investment by placing it in the rental pool.

The resort includes a five-star restaurant, 70-foot infinity pool, spa and beach bar. Please do not hesitate to contact us for more information or to schedule a viewing.

Property information

Guide to opening a Business in Belize – 10 easy steps for Expats

You’ve already decided that Belize is where you want to spend your retirement years. The thing is that you don’t want to completely give up working. Running a small business that’s open for a limited number of hours per week would suit you just fine. How do you go about establishing a business in Belize? While there may be some additional requirements based on the type of business you want to operate, these essentials will get you started. Let’s delve into the 10 Easy Steps to Opening a Business in Belize in 2020.

1. Find a suitable location

Locate and secure a physical site for your business. It could be as simple as leasing office space, or it might mean securing a retail space. It all depends on the type of business you plan on operating. Pay close attention to factors such as the monthly rental cost, ease of parking and foot traffic for customers, and the limitations that may apply to redecorating the space.

2. Business name Registration

 This is the first step to formalization of your Business. It is important to protect your business name as yours since this is a key means of identification in the eyes of the target market. This is a one time, one day process undertaken at the Companies & Corporate Affairs Registry in Belmopan. You can do this either under the Business Name Act or the Companies Act.

You must first check the current register to determine whether there are any existing businesses with the same or similar name. If there are, you will not be able to register your business under that name. For this reason, it’s a good idea to come up with several different potential names before consulting the registry. If you find that your intended name is already taken, go to the next one on your list of names until you find one that has not been taken. Your goal is to choose a name that’s available, easy for consumers to remember, and that people will readily associate with the goods or services that you plan on offering.

As indicated above, you can register your business under the Business Name Act or the Companies Act. If the latter is used you will need to submit your Company documents (Memorandums, and the Articles of Association) as well as proof of identity, proof of address, and the application fees. If the former is used, all you will need is proof of identity, proof of address, and the application fees. Remember that you should include your official company physical address and the business mailing address in the application.

3. Trade License Acquisition

It is important for any person exchanging a good or service for monetary value (operating a business) within an urban area (within the parameters of a town or City) to obtain a trade license to do so. This is obtained at the Town Board or City Council by submitting a copy of your Business Name or Company documents and Certificate in the case of a company, rental contract (if you are renting), proof of identity and address, completed application form and fees. Your application will be determined at one of four Quarterly meetings that are held throughout the year.

There is provision for you to pay for a Special Hearing if you missed one of the scheduled quarterly meeting and do not want to wait until the next is convened. Annual payment is determined through a site visit of the premises during which assessors determine an annual rental value of the space. Annual trade license fee is usually calculated at 25% of this annual rental value.

4. Obtain a Work Permit

 Unless you are already recognized as a permanent resident, you’ll need a work permit in order to generate income within Belize. The cost of a work permit will vary depending on the type of permit you get and what permit you will need in your particular industry. Remember that work permits must be applied for annually. After you have held a permit for two consecutive years, it’s possible to apply for permanent resident status.

5. Open your Business Banking Account 

You already have personal accounts like checking, savings, and lifestyle accounts. It’s important to not use those accounts for your operation. The same bank that you currently do business with can set up operating and payroll accounts with relative ease. The requirements for corporate accounts are a little different than those associated with personal accounts. Your banker will walk you through the process, look over the documentation that you have so far, and let you know if anything else is needed.

6. Income Tax Registration

After registering your business or company and obtaining your trade license, all business must register with the Income Tax Department and Government Sales Tax Department for tax purposes. Upon completion of the registration process at the Income Tax Department, a unique Tax Identification Number (TIN) will be issued. The TIN number is the same number that is to be used for General Sales Tax (GST), Customs and Excise processes.

Business Tax is a tax on total revenues or receipts whether in cash or in kind and whether received or credited without any deduction for expenses. It is payable by any person practicing his profession, or firm carrying on business in Belize, and includes:

  • Individuals
  • Partnerships
  • Companies/Corporations
  • Consultants, both local (Resident) and Foreign (Non Resident)
  • And any other ‘person’ who is in the business of providing goods and services

In accordance to the Income Tax and Business Tax Act, Chapter 55 (Revised Edition), the tax imposed on a ‘person’ or ‘firm’ is as follows:

  1. Persons carrying on a trade or business, which earns $75,000.00 or more per annum where such receipts are the only source of livelihood of the person;
  1. Persons practicing a self-employed profession or vocation, earning $20,000.00 or more per annum where such receipts are the only source of livelihood of the person:
  1. Persons engaged in the business of investment or earnings form real or personal property:
  1. Persons engaged in the provision of personal services; including Tour Operators, Travel Agents and other Commission Agents

7. GST Registration 

General Sales Tax is a tax on consumer spending collected at the point of importation and on business transactions when goods changed hands or services are performed. Taxable supplies are taxed at either the standard rate of 12.5% or 0% (Zero-Rated).

All persons who are engaged in a taxable activity with an annual turnover exceeding BZ$75,000.00 must register with the Department of Government Sales Tax in accordance with the Government Sales Tax Act No. 49 of 2005. It is not the business activity which is registered but the person conducting those activities. This person could be a company, partnership, sole proprietorship, trustee or estate. Person must register within one (1) month of the day on which the person first becomes eligible.

Only registered persons can charge GST on their supplies as output tax and claim credit on their purchases of supplies as input tax. (Section 23, GST Act 2005).If you anticipate grossing more than $6,000 per month or $75,000 per year, you are required to register with the department of GST. The personnel at the Department of General Sales Tax will use your TIN to set up your GST account so that you can collect and pay GST and to ensure your GST is properly recorded and credited to your operation.

The documents that you’ve already acquired (Business Name or Company Certificate, TIN, Trade Licence, proof of identity and proof of address) will also come in handy for this process. Expect to be asked about your projections for business volume. As of 2019, it helps if you anticipate generating a minimum of BZ $75,000 during your first year of operation.

8. Social Security Registration

Social Security Act Chapter 44 of Laws of Belize, 1988 revised in 2000-2003 requires that persons who employ one or more persons must register for social security with the Belize Social Security Board. The application must be made with seven (7) days of employing the first employee.

Social Security contribution are made weekly but submitted to the Department with a monthly statement of contributions. The contribution is related to the weekly insurable earnings. A portion of the contribution is paid by the employer and other portion is discounted of the employee salary.

9. Registration /Protection of Intellectual Property

The basis of a business’s identification and an important element of branding, your business’s intellectual property add value to the business and must be protected. Intellectual Property is defined as intangible creations of the mind such as inventions, artistic work, designs, images, symbols, names, etc. that is used in commerce. This registration for protection is done by visiting the Belize Intellectual Property Office located in the City of Belmopan. The four areas protected under BELIPO are Trademarks, Patent, Industrial Design, and Copyright.

10. Anticipate a slower pace of doing business in Belize

Remember that the pace of doing business in Belize is typically more relaxed and casual. This is to your advantage, since it does provide more time to get to know the business climate and begin to enjoy it. You’ll find that most of the people you talk with along the way are happy to help and look forward to welcoming you as part of their community.

Conclusion

I do hope you enjoyed reading: 10 Easy Steps to Opening a Business in Belize in 2020. Belize is such an amazing country, I know you’ll love working and living here. From all of us at Shepherd Belize Real Estate, welcome to your new home and place of business.

9 prudent steps to buying land in Belize in 2020

Although the idea of purchasing land in a foreign country may initially seem as a daunting leap, in Belize the process is relatively straightforward, and to a great extent follows procedures similar to those in Canada, USA, and the UK. What makes the process even easier to follow is the fact that contracts are draft in English and the laws are based on the English legal system.

Unlike other countries in the region, subject to an anti-money laundering and terrorist funding check by the Central Bank, citizens of any country can buy and own land in Belize. Another benefit of buying land in Belize is the fact that there is no Capital Gain Tax. This means that if you later sell the property for more than what you purchase it for, there will be no extra tax on the money you gain. The following are nine prudent steps to buying land in Belize.

Step 1 – Conduct a needs analysis

It is very important that you start the process with a crystal clear idea of the type of property that will satisfy your needs. Divide your desires between substance and style. Those factors that would be relatively easy to change, such as the color, furniture, interior and exterior decorations would be style. On the other hand, location and factors such as size, etc, that would be costly to change are substance. The determination of an acceptable property would therefore pivot on those substances that would not be open to compromise. With a clear idea of what type of property would be acceptable it is now time to conduct your search for that property.

Step 2 – Desk research

As with any other investment, research is key. Unlike most other countries there is currently no MLS in the Belize real estate industry. As a result there are 100s of webpages and websites offering property for sale in Belize. The World Wide Web is filled with scammers and therefore a degree of caution must be exercised when gathering online real estate information.

With the above in view, a good start would be to examine the websites of those realtors who are registered with the Financial Intelligence Unit (FIU), the regulatory authority for real estate practitioners in Belize. You can find the list of FIU registered Real Estate Practitioners here.

Step 3 – Engage a buyer’s agent

Having decided whether your desired property should be on the mainland or on an island, water front or water view, acreage or residential, urban or suburban, on or off-grid, built or home-site, single or multi family, coastal or inland, etc, you can now engage a Buyer’s Agent who will be able to assist you in streamlining your search and provide you with options for your consideration. It is strongly recommended that you work with a reputable broker who is a member of the Realtors Association as they are subject to a code of conduct. Here is the directory of members of the Association of Real Estate Brokers of Belize (AREBB).

Step 4 – Narrow your focus and conduct a physical inspection

In the real estate field it is often stated that ‘you get what you inspect, not what you expect’, Therefore it is strongly recommended that you narrow your list of prospective listings and schedule a few days to conduct a physical viewing of the properties of interest. This discovery trip should result in about 3 properties on your short list.

Step 5 – Due diligence

Before you make any payment it is very important that a Title Search of the subject property is carried out to ensure that no encumbrances exist that would prevent or delay the transfer of the property from the seller to you the buyer. Your broker/buyer’s agent should be able to assist you with this important step. If you encounter any significant issues with the title of your most desired property, then move to your 2nd and 3rd option as needs be.

For reason that majority of properties in Belize are being sold on an ‘As Is’ basis, you should arrange for an inspection of buildings on the property and verify that the land survey pegs/markers on the ground corresponds with the Land Survey Plan for that property. It must also be verified that the seller is in possession of the Original Land Title Certificate. Your Buyers’ Agent should be able to assist you with this.

Step 6 – Make an offer and ‘Good Faith Deposit’

Once your title search comes back with a clear and free Lands Registry Report, then your next step is to make an offer. Your Buyer’s Agent/Broker should be able to draft up the formal ‘Offer to Purchase Letter’. This document contains the buyer and seller details, the legal description of the subject property, the price being offered, the period for which the offer is valid, and your signature. Your offer will either be accepted as is, rejected outright, or met with a counter-offer. If you cannot come to agreement on terms, then you move to your second most desirable, and third if needs be. Once the price is mutually agreed upon, the seller should sign the Offer Letter to record his formal acceptance. At this point you will be required to make a ‘Good Faith’ deposit. The standard acceptable sum is 10% of the agreed price.

Step 7 – Purchase Agreement

The next step is to enter into a legal contract for the purchase of the subject property. Again this is a function that your Broker/Buyers’ Agent will be able to guide you through. This contract legally binds the seller to sell the subject property to you and binds you, subject to the Central Bank’s approval, to purchase the subject property. Your Broker/Buyers’ Agent should be able to assist with the Central Bank application submission. For this you will need to provide proof of identity (a color copy of your passport photo page), and proof of address (recent utility bill with your name and address).

Step 8 – Payment and execution of the Land Transfer prescribed form

Upon receipt of approval to purchase and own land in Belize from the Central Bank, your next step is to execute the Transfer of Land Ownership document and make the balance of the purchase price. The prescribed Land Transfer forms (in duplicate) must be signed in the presence of a Justice-of-the-Peace if in Belize or a Notary Public if done outside of Belize.

Step 9 – Stamp Duty and Registration

Your final step is the submission of the Land Transfer prescribed form together with the Stamp Duty which is to be paid to the government of Belize. The current rate is 8% of the purchase price less a deduction of the first $10,000 US. Note that the government reserve the right to make an assessment of the purchase price in which case the stamp duty would be based on the assessed value of the property as opposed to the declared purchase price. Once the Stamp Duty is settled, a new Land Title Certificate will be issued showing the buyer as the new owner of the subject property. The seller’s name will be struck-off the Lands Register and an entry made showing the buyer as the registered owner of the subject property.

Following the above steps will save you time, money, and stress. The average turnaround time is between 90 and 120 days. Some cases are quicker while others take a bit longer. Once you have your government of Belize issued receipt from the Lands Registry with an instrument number allocated to your land transaction it is merely a waiting game thereafter. Your Purchase/Sale agreement will normally specify when you can take possession and control of the subject property. This is normally at the point where the balance of payment is made and the Transfer of Land form is signed. At that point you are legally free to take control and start enjoying your new home.

Visit us at www.shepherdbelizerealty.com for more Belize real estate buyers’ resources.