How I Bought a Home in Jamaica

Buying a home can be a bit overwhelming, especially if the home is in another country. About 4 years ago, my husband and I bought a home in St. Ann, Jamaica (about 10 minutes outside Ocho Rios). The home is in a gated, 24 hour secured community with a swimming pool, club house, gym, tennis courts and walking trails. It was a new development, which meant we bought the home and waited about 18 months for it to be built. The process of buying a home in a new development in Jamaica is not easy and it is time consuming. It took months to get all the paperwork completed, but it was well worth it. We bought the home with the intention of retiring in Jamaica. The best part is we get to enjoy the home before we retire!

Why Invest in Jamaica?

Now is a great time to invest in Jamaica. There is a lot of money being pumped into the growing economy and there is extensive work being done to the Kingston Port that will increase transshipping over the next few years. You really cannot lose if you buy land or real estate in Jamaica. For example, the home we bought in 2016 has more than doubled in value!

So, I would like to share the steps I went through to make this dream a reality. I realize it may be a stretch for some people to consider buying a home in another country. There are a lot of unknowns. However, if you have patience and are looking for a great investment, you can’t go wrong!

How it all Started!

I visited Ocho Rios for the first time in 2013. My husband was raised in Kingston, Jamaica and never spent any time in Ocho Rios, so it was a new area for him as well. We have family in Jamaica and they referred us to a bed and breakfast. The owner of the bed and breakfast, who is now like family, showed us a new development being built across the street from her home. At the time it was a big pile of dirt, but we checked it out anyway. The staff at the sales office walked us through the model floor plans and we immediately saw a home that we both liked. At the time, the price was out of reach for us and we did not feel it was the best time for us to buy.

The next year, we visited Ocho Rios again and went by to check on the new development. I was so surprised that ALL the houses in the development had been SOLD! The developer sold out so quickly that they decided to build a second community on some adjoining land. The floor plans were similar to what we had looked at the previous year. One of the things I loved was that there was 24 hour security. Being from another country, security was very important to me. I wanted to make sure I felt safe. The amenities, such as the pool, club house, gym and tennis courts were very nice. We had been saving money through the year and decided it was the right time for us to buy. We spoke with the sales office and they gave us all the information needed to move forward with the purchase.

Fill Out an Application

First, we had to fill out an application with the developer, which provided them with basic information and allowed them to enter our details in their system. Once they approved our application, which took about a week, they sent us information, including financial institution recommendations to obtain a pre-approval letter.

Obtain a Pre-Approval Letter

I contacted five different banks in Jamaica to see what information they required to provide a pre-approval letter. Each bank required slightly different documentation, but the below list includes ALL required documents.

• Bank specific application form – provided by each bank
• Copy of Passport
• Copy of TRN (TRN is a Tax Registration Number in Jamaica. If you are not originally from Jamaica you can obtain a TRN by visiting this site.)
• Paystubs for the last three months
• Bank Statement for the last three months
• Employment Letter stating position held, salary and length of employment.
• Tax Returns for two previous years
• W-2 for two previous years
• U.S. Credit Reports from all three bureaus
• Authorization form for bank to pull your credit in Jamaica. (This form was provided by each bank.)

Once I had the needed documents gathered, I emailed them to the various banks. It took them about a week to provide a pre-approval letter. A few of the banks contacted with questions. (A great way to communicate with the banks is through WhatsApp. It allows you to send texts and make free calls.) Once I received the pre-approval letter I emailed it to the developer.

Wire the Down Payment

Once the developer received the pre-approval letter they sent me their banking details so I could wire the down payment. Due to the fact that the home was in a new development, I had to put 10% down to secure the lot. I wired the money to the specified bank, which can take up to 10 business days.

Select a Lot Number

Once the bank confirmed receipt of the 10% deposit, they sent me a list of available lots, so we could select a lot number. My husband and I selected the lot we preferred most and advised the developer. It was happening! We were on our way to buying a home in Jamaica!

Now, I have to add a side note here…The above makes it sound like this was so easy and there were no bumps in the road. That was not the case! I contacted the sales office by phone, from the U.S., multiple times, sent emails, etc, and had no response. This went on for about 3 weeks. At this point, we made the decision to hire an attorney to help us through the process and be our representative in Jamaica.

Once we got our attorney involved she was able to move everything along quickly. The attorney I use is reliable and trustworthy. If you are interested in doing any business in Jamaica, I would highly recommend her. I would be glad to share her contact details if you send me a message.

Complete Legal Documents

While the home was being built we had to complete various legal documents to be sent to the developer and their attorney. Thank goodness for our attorney as she coordinated all the documents and back and forth with the developer’s attorney. Below is a list of documents we had to return prior to taking possession of the home.

• Agreement for Sale
• Property Owner’s Management Agreement
• Transfer of Land
• Purchaser’s Estimated Statement of Account
• Vendor’s Attorney at Law Statement
• Retainer Agreement for our Attorney

All the above documents must be printed, signed and most must be notarized. I sent all documents to my attorney by FedEx, so it could be tracked. Just FYI, it usually costs around $75 to send documents to Jamaica, so I made sure I filled out everything correctly the first time! I didn’t want to have to pay to send additional or missing documents!

Obtain Letter of Commitment

About four months before the home was completed I reached out to all the financial institutions that had provided a pre-approval letter. I asked for their current interest rate and terms. After sending updated financial documents, that were listed above, they provided the interest rate and terms. We moved forward with the best deal and obtained a letter of comitment from the bank. We submitted this letter to the developer to finalize the home purchase.

The home buying experience in Jamaica required patience and perseverance, but it was well worth the wait when I walked through the front door for the first time!

If you are interested in investing in Jamaica, there is a new development being built right now! Check it out!

Have you ever considered buying land or a home in another country? If you have purchased in another country, what obstacles did you have to overcome?

I hope the above was useful, or at least sparked your interest in investing in real estate in other countries. If you enjoyed the information or have any questions please leave a comment!

Stay Blessed,

Jess