Real estate in Seychelles

With lovely beaches and verdant vales, the islands of Seychelles are one of the hottest tourist destinations in the world. Also owing to the isles’ unique status as an offshore tax free haven, many head there to make a fresh start in life.

Most potential real estate investors in Seychelles are fastidious about the location and views. Consequently properties with exotic views are highly in demand and overpriced. As in other parts of the world, the most preferred way of borrowing funds in Seychelles to make the purchase is a mortgage and most established banks in the country offer home finance.

A mortgage is a loan secured against all or part of the value of a property. An arrangement is made between the mortgage provider and the seller of the real estate. The mortgage provider pays the seller for the real estate and the buyer makes regular payments to the mortgage provider until the loan is paid. This is typically 25 years although the term of the mortgage and the repayments vary considerably.

Generally speaking, homes in Seychelles appreciate in value by approximately 4% or 5% per year; however this will vary from year to year and from neighborhood to neighbourhood. The rate of return on real estate may be higher than many other investments you make.

Source: http://www.propertyworld.com/_Seychelles