by Jude Patronella

Sharon Brier of Greenwood King Properties and husband Mike Brier of Mortgages Direct went on a real estate cruise of the Caribbean to get MCE (mandatory continuing education) hours on Carnival’s Magic from Galveston.

With them were agents from Houston, Katy and Sugar Land including Sandra Bolden, Robert and Karen Clair, Vicky Watchel and Donald Burns, plus 40 agents from Padre Island to Coppell, Texas.

In preparation for the trip, Sharon posted, “Does anyone know anyone in Jamaica?” on Facebook. It turns out a neighbor and former real estate broker, Judy Maynardhad very good friends in Montego

Bay, the Briers’ first stop. Although Maynard’s friends were not going to be in town, Sharon asked to be introduced to a real estate agent.

The Briers met Tanya Morgan-Porter, a real estate agent with Coldwell Banker whose office was within walking distant of the ship.

Morgan-Porter took the Briers to a new-construction site on a private beach. They were met by the builder Basil Johnson, who is building a home with an infinity pool for himself. The neighbor’s home, also under construction, will cost $4.5 million and will lease for $15,000 a week.

Johnson said construction varies from Galveston and Florida seaside properties as there is no wood framing on beach properties in Jamaica. Also teak floors are used extensively as they do not warp. Wood-shingle roofs stand up better to salt than tile roofs.

Interest rates on the island just fell to 9.5 percent. They were 13 percent. The loan term depends on how old you are. The younger you are the more likely you would get a 35-year loan.

Morgan-Porter has to make appointments directly with other agents or owners, as there is not a lockbox system. A multiple listing service has been implemented for only three years.

Closing costs for sellers run about 14 percent and for buyers 8 percent. Taxes on a $400,000 home on an acre in a nice community would run about $250 a year.

Scott Roe of RE/MAX Grand Cayman, who has lived on the Cayman Islands for 30 years, shared that bank lending rates vary from about 0.5 point over prime (3.75 percent) to 4 points over prime (7.25 percent), depending on the buyer’s ability to repay the loan. The Cayman Islands Real Estate Brokers Association (CIREBA) helps buyers find listings.

Closing costs are comprised of a one-time transfer tax of 6 percent of sales price to government, and if the buyer is one of the 25 percent of buyers who seek financing in the Cayman Islands then the banks charge 1 percent for closing costs. There are no title attorneys or title insurance because the Cayman Islands government guarantees title and maintains the ownership register, called the “Land Register.”

There are no recurring real estate taxes in the Cayman Islands.

Karen Bloemhoff of Cedral Caribe Realtors in Cozumel, shared rates available in Mexico (in U.S. dollars) by U.S. lending institutions are around 7 to 8 percent. Closing costs for a buyer are around 6-8 percent of the transaction price.

Closing costs for sellers are null if a homestead exemption is applied for and granted. In order to be granted the homestead exemption status, various formalities must be met by the seller at time of sale.

Otherwise closing costs for seller include any and all capital gains tax due by the seller, and this amount would be calculated on a case-by-case basis. Cozumel has had an MLS since 2008. It is hosted at www.ampicozumel.com.

The Texas Association of Realtors led by Bill Gottfried recently visited Cozumel via a cruise, hosted by AMPI (Association Mexicana de Professionals Inmobiliarios), a similar National Associaiton of Realtors organization.

The Briers also enjoyed the buzz at Margaritaville in Jamaica, the quiet at Tiki Beach in Cayman and the tasting at a tequila factory tour in Cozumel.

For more on this story go to:

http://www.chron.com/real_estate_resource/article/Real-estate-news-Cruise-provides-an-education-in-3899140.php