Tourism is one of the main resource of Cape Verde and meeting the renting accommodation demand is the best policy to increase the number of tourist that visit the islands. A demand for hotels and apartments is growing every year. From 50,000 tourists in the year 2000, Cape Verde has seen a steady increase in tourism to 220,000 in the year 2006. The predictions for 2010 are of 1,500,000 tourists a year. There is an obvious housing shortage in Cape Verde and the country needs to build over 50,000 holiday homes in the next 3 years to meet tourist demand.
Investing in Cape Verde Property. The latest booming property location, which is attracting thousands of European investors. In the last two or three years, Cape Verde has shown itself as an investment hotspot. Property values have already gone up as much as 25.5% in the past year. An increase of about 17% is still well within reach for the next few years. Cape Verde property prices are rising and expectations are that the trend will continue in the lead up to and after joining the EU.
Some of the best real estate available in the World today.
- Large untouched expanses of white sandy beaches, set against the clear blue warm waters of the Atlantic Ocean
- A dry tropical climate, with average air temperatures of 21-31 degrees C and water temperatures of 22 - 27 degrees C
- 10 to 12 hours sunshine a day for most of the year
- A stable climate, free of tropical storms
High Investment returns:
- High Medium/Long term return potential on investment
- Regarded by investors as an emerging market comparable to Spain 15 years ago
- Set to become one of the world's most popular holiday destinations
- Expected to yield high returns from rentals all year round
TAX INFORMATION
Property sale Cape Verde. Your property investment is subject to the following taxes:
Transfer Tax
This is charged at a flat rate of 3% of the property value and is paid prior to the signing of the deed of purchase and sale.
Holding Property / Annual Rates
This tax is charged at a flat rate of 3% on 25% of the value of the property and is paid annually every April (or in two instalments in April and September).
Capital Gains Tax
Capital gains when you decide to sell to cash in on your investment are taxable if their sale value exceeds a 30% increase on the value at which they were initially purchased. The capital gain is taxed at a flat rate of 20% and is payable within 30 days of the deeds, together with the submission of a "Declaracao de Mais Valias" (Capital Gains Statement)
Inheritance/Gift Tax
Any inherited or gift property is taxed at a flat rate of 20% on the attributed value of the property.
MORTGAGES INFORMATION
Real estate Cape Verde. The lack of local mortgages could be construed by many as a disadvantage, but it means that the market is indeed in its infancy, allowing international property purchasers to source excellent quality property at remarkable prices. What is more, the Cape Verde market promises some of the best possible capital appreciation rates worldwide and a future rental market that will rival many other major holiday destinations.
Real estate investments. As the financial stability of Cape Verde increases and mortgages are become more readily available, the best investment opportunities will already have gone. Prices will undoubtedly rise substantially when this happens and, as with every emerging market, it is the very early investors who see the potential in the area that make the most substantial returns on investment.
Flights
Flights to Cape Verde are direct from London Gatwick and Manchester. Announcement is expected later this year with regard to direct flights from Dublin.