Land Conveyance in Turks and Caicos
Buying land in the Turks and Caicos and transferring title is a rather straightforward process. Typically, the buyer and seller both already have a local lawyer representing them, who prepares and executes the transfer.
All land ownership is registered with the government, which removes some of the issues when dealing with a deed-based system.
Understanding Property Rights and Status
You can purchase real estate as freehold (absolute) or leasehold. Additionally, strata titles allow for the typical condominium or multi-tenant arrangements, whereby individuals own units but the remainder is vested in common areas.
Who can own TCI real estate?
Natural persons of any nationality and residency can own land, along with local Turks and Caicos corporations. Foreign corporations cannot hold land directly (although they can hold shares in a local TCI corporation, which then owns the land).
Handling Land Conveyance
You must use a local Turks and Caicos lawyer to transfer land titles in the Turks and Caicos, and the typical fee is 1% of total value. It's not possible for buyers and sellers to transfer title themselves.
Transferring Title and Registration
The Turks and Caicos operates a land registry system, and all land sales and transfers are registered with the Land Registry Department. There is no deed-based system as in the United States.
Encumberments, cautions, and other restrictions are also registered with the land parcel at the land registry. These are typically restrictions related to a homeowners association (HOA) or the presence of easements over a property (typically for access for other nearby properties). Cautions are often mortgages registered against a property.
Public Registry
The land registry is public, and anyone who pays a $25 fee (2025 price) can obtain a copy of the register for a parcel showing current owner and history (history being past owners, cautions, etc.).
Where parcels are subdivided or mutated (changed boundaries), the register indicates the chain that led to the creation of the current parcel.
Stamp Duty, Taxes, and Fees
Along with the lawyer's fee of around 1%, buyers need to pay stamp duty of 6.5% to 10% of total value. The exact rate of stamp duty depends on the island and purchase price.
Exceptions and Reductions to Stamp Duty
Transfer by way of gift (or inheritance) to spouse, parent, or child does not incur stamp duty (does not include sales to these persons).
Persons who hold Turks and Caicos Islander Status or British Overseas Territory Citizenship can get reductions on stamp duty in many cases. These concessions change frequently, but generally allow up to a $50,000 credit on stamp duty for first-time homeowners.
Cautions/Mortgages
Land charges, such as mortgages with local banks, are registered as a caution on the property. The government fee for registering a mortgage is 1% of the secured amount.
Ongoing Taxes and Fees
There is no government property tax, council tax, or similar annual charge for owning land in the Turks and Caicos. Homeowners association fees are incurred by some land (such as in Leeward on Providenciales and other new developments). Of course, condominiums attract monthly strata fees.
Due Diligence
There have been instances of individuals selling land which they did not have any legal right to, and instances where local lawyers have not properly registered land (meaning the land was never ‘transferred’ to the new owner).
You are advised to ensure that you use a reputable local lawyer to handle the transfer, and ensure that you receive a copy of the land registry entry showing the transfer is complete.
Law Firms
