Checklist and Process for buying Property in Cayman Islands.
1. Ideally Get Pre-Approved: Meet with 1 or 2 banks to get the best rate, terms and customer service so that you will know what price range you can afford to buy.
2. Shop Online at CIREBA.com: to Search for Property - Choose one of our CIREBA trained Advisors at Engel & Völkers and they will select a list of properties to show you, based on what you have told them. By choosing 1 Advisor you do not have to call 20 different agents and waste your time.
3. 2nd Showings: Return to view your top 5 choices, ask for information on past sales.
4. Submit a Written Offer to Purchase: To comply with CIREBA and Cayman Compliance Regulations, the Advisor will ask to see your ID, such as your Driver’s license, proof of residence and passport.
5. Add Your Conditions to the Clause 5 of the Contract: Conditions to Offer to Purchase typically include financing, home inspections, valuations, and if you are buying a condo, ask to see the Strata Documents and the last AGM (Annual General Meeting) minutes.
6. Have your Deposit Funds Ready: Funds will stay in the Listing Brokers’ Escrow account until closing - the bank will consider this as part of your deposit requirement.
7. Offer Accepted: Once the offer is accepted, you can work through the conditions in Clause 5 of the contract.
8. Respect These Dates: If it looks like you are going to pass the due dates you agreed to in Clause 5 of the Offer to Purchase, you can request an extension from the sellers to keep the contract valid.
9. Conditions to the Contract: Once you have satisfied all your conditions, you will be asked to waive those conditions. After you do so, the Offer to Purchase Contract will becoming pending and your deposit will be non-refundable, unless the seller cannot complete the sale.
10. Mortgage Broker Requests: They will have a list of items you will need to provide. Do this quickly to keep the process moving; communicate with them regularly. The local banks are very conservative and very slow, so you will have to call them every day to make sure you have provided everything they need in order to approve you for a mortgage.
11. Approval: Once you have been approved for the bank mortgage, you will be asked to sign your mortgage documents. Your bank will assign you an Attorney, who will check the Land title and you will have to sign the Transfer of Land documents.
12. Deal Completion: Attorney and the seller’s Attorney will liaise to complete the sale.
13. Section 6.4: If you are buying into a strata complex. You will receive a “Section 6.4” which is a document detailing any outstanding strata fees to be paid by the Seller before title is transferred to you. You will join the strata with a $0.00 balance. Strata fees can include garden and pool maintenance, common area water and power, security, pest control, cable and/or internet, etc. An insurance cover note will be sent to you and your Attorney as proof of insurance on the building.
14. Before Closing: You can ask for another walk through of the property.
15. Closing Day: At closing you will receive the keys and a copy of the transfer documents. Take this to CUC and Water Authority to transfer the utilities into your name.