Abstract: Many who purchase homes or condos in the Cayman Islands rent their properties for tax-free income.
Buying a condo on Cayman Islands makes for an excellent long term investment. The islands draw many visitors from all over the world, and the thriving banking industry is a huge draw for investors with investment money. Because so many people do business in the Cayman Islands, but do not live here, it usually becomes a matter of time before they purchase property here. Once you’ve done so, you’ll want to make sure that you have a solid plan for rental income.
Reinvest in the Property
Cayman luxury property offers amenities that rival what guests come to expect at hotels. That means a certain amount of effort on your part to make the property attractive. Of course, all income earned on renting the property is considered tax-free. You will have to pay stamp fees on documents related to the property, but there is no property tax to pay annually. You can easily re-invest a fraction of your money into upgrading furniture or redoing the patio area. Small improvements will go a long way when you’re trying to attract new renters.
Share the Space
Make sure you have a plan for when you will be in town, and that your plans do not conflict with those of a renter. It’s helpful to secure a property management company, as you will be away from the property throughout most of the year, but you can also manage a calendar of certain months you’re ok renting to visitors.
Final Thoughts
Guests are usually here on vacation, although some do come for business. If you plan to make your space attractive, leave a short list of things people can do once they arrive on the island. If guests enjoy themselves in your space, you may find more business through word of mouth.
– RE/MAX Cayman Islands is your source for Grand Cayman real estate and luxury properties on the Cayman Island chain.