Grenada Real Estate Buying Guide 2025

Grenada Real Estate Market in 2025 

The Grenada real estate market in 2025 shows a positive trajectory, fueled by foreign investment and a recovering tourism sector. The Citizenship by Investment (CBI) program has played a crucial role in attracting international buyers, with approved real estate investments rising significantly from EC$ 151 million ( around USD 56 million) in 2020 to EC$ 672 million (USD 249 million) by 2023. This growth highlights the appeal of Grenada’s property market, particularly for those seeking vacation homes, retirement properties, or high-yield investments. The limited land area of the island has led to increasing property prices, especially in sought-after locations like St. George’s, Grand Anse, and Lance aux Epines.

Tourism recovery has also bolstered demand, with over 500,000 visitors in 2024. This trend has created lucrative opportunities for rental properties and short-term accommodations, enhancing the market’s attractiveness for investors. The diverse buyer demographics, primarily from the UK, US, and Canada, underscore Grenada’s global appeal. With a mix of luxury villas, modern apartments, and resort-style accommodations, the market offers varied options for investors. As demand continues to outpace supply, Grenada remains a compelling destination for property investment, blending financial returns with the added benefit of potential citizenship.

5 Reasons to Buy Real Estate in Grenada

Grenada’s real estate market offers exceptional opportunities for investors seeking high returns and long-term value. From its booming tourism-driven demand to low taxes and access to citizenship programs, the island combines financial advantages with a stable and secure environment. Five following key reasons why Grenada is an ideal choice for real estate investment should be taken into consideration. 

Profitable Market with High Demand

Grenada’s real estate market is booming due to increasing demand from British, American, and Canadian nationals, driven by a strong tourism sector. This has positioned Grenada as a lucrative destination for real estate investors. Tourism in Grenada grew by 6% annually over the last five years, contributing significantly to property appreciation rates. Reportedly, February 2024 saw remarkable growth in tourism, with a record 19,608 visitors — a 31.7% increase compared to the same month in the previous year.

Safe and Welcoming Environment

Grenada is renowned for its safety, stable political climate, and friendly population, which includes a thriving expat community. As of May 2024, the island maintains a low crime index of 24.93, indicating a generally safe environment. Residents report a very high sense of safety when walking alone during daylight, with a safety index of 89.39, and a high sense of safety at night, with an index of 74.22. These factors contribute to Grenada's appeal as a preferred destination for families and retirees seeking tranquility.

Pathway to Citizenship

Investing in pre-approved real estate projects in Grenada allows investors to qualify for Caribbean citizenship under the Citizenship by Investment Program. This provides visa-free access to over 145 countries, including the EU Schengen Zone, Malaysia, China, etc., enhancing global mobility.

Excellent Connectivity and Lifestyle

Grenada offers easy access to major international hubs, with direct flights to cities like Toronto, New York, and Miami. It is an ideal location for retirees or vacation home seekers, combining accessibility with a laid-back island lifestyle. Grenada also boasts pristine beaches, a UNESCO World Heritage site (St. George’s Fort), and a high quality of life.

Attractive Property Taxes

The property tax rate in Grenada is one of the lowest in the region, ranging from 0.2% to 0.8% annually. This low tax burden enhances the profitability of long-term investments and makes Grenada an appealing choice for both residential and commercial property investors.

Grenada Real Estate Citizenship Overview

For investors, who are eager to apply for the Grenada CBI program, there is a pathway to citizenship through real estate investment. Investors can choose from two main options:

1. Shared Ownership. A minimum investment of USD 270,000 in government-approved real estate projects, often luxury resorts or developments.
2. Sole Ownership. A minimum investment of USD 350,000 to acquire full ownership of a property within approved projects.

Investors are required to hold the property for at least five years. After this period, the property can be sold without affecting the investor's citizenship status. 

In general, a CBi is open to individuals over the age of 18 who can meet the investment requirements and pass the necessary due diligence checks. Applicants can include their immediate family members, such as a spouse, dependent children under 30, and dependent parents or grandparents of any age. Moreover, siblings of the main applicant or spouse, who are unmarried and without children, may also be included. The program welcomes applicants from most countries, provided they do not have criminal records or pose a security risk. There are no residency or language requirements, making it accessible to a wide range of international investors.

Besides, investors should account for fees beyond the real estate investment, including:

• Government Fees: USD 50,000 for a family of up to four members.
• Due Diligence Fees: USD 7,500 for the main applicant, with additional fees for dependents.
• Processing Fees: USD 1,500 per applicant aged 18 or older, USD 500 for applicants under 18.

On a separate note, investments in Grenada’s CBI program often center around luxury resort developments, offering a dual advantage of steady rental income and long-term property value appreciation. Investors can typically expect an annual return of up to 5%, directly tied to the operational performance of these high-end resorts. Remarkably, the developers can provide a buyback option after a 5-year holding period. 

Top Places to Buy Grenada Real Estate

Investing in Grenada's real estate market offers diverse opportunities across various regions. Here are four top locations to consider, along with indicative property prices:

1. St. George's

As the capital city, St. George's is a vibrant hub known for its picturesque harbor, historical architecture, and bustling markets. The area offers a range of properties, including luxury waterfront homes and modern apartments. Property prices here can vary significantly based on location and property type. As of recent data, the average cost of a home in St. George's ranges from USD 150,000 to USD 500,000. 

2. Grand Anse

Located just south of St. George's, Grand Anse is renowned for its stunning two-mile beach, making it a prime location for beachfront properties. The area is popular among tourists and locals alike, offering opportunities for rental income and a relaxed lifestyle. Properties here range from luxury villas to condominiums, with prices varying accordingly. For example, land in Grand Anse can be found at approximately USD 12.96 per sq ft, with plots like an 11,790 sq ft lot priced around USD 152,833. 

3. Lance Aux Epines

Situated on the southern tip of Grenada, Lance Aux Epines is an upscale residential area known for its secluded beaches and high-end properties. This area attracts expatriates and investors seeking luxury villas and private estates. Property prices here are on the higher end, reflecting the area's exclusivity. For instance, a waterfront property comprising multiple units on 19,933.9 sq ft of land is listed at USD 850,000. 

4. Carriacou

As the largest island in the Grenadines, Carriacou offers a more laid-back and authentic Caribbean experience. The real estate market here includes charming cottages and beachfront properties, appealing to those looking for a peaceful retreat or investment in eco-tourism accommodations. Property prices in Carriacou are generally more affordable compared to the main island, with options available to suit various budgets. For instance, residential lots in Harvey Vale are available at special introductory prices of USD 2.50 to USD 2.75 per square foot. As an example, a 5-bedroom villa, such as Frangipani Villa, is listed for USD 850,000.

Please note that these prices are approximate and can vary based on factors such as property size, location, and amenities. For the most current and detailed information, it is advisable to consult with local real estate agents or refer to reputable real estate websites.

Below are some approved real estate projects in Grenada that foreign investors consider for property acquisition and citizenship by investment:

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What are the Requirements to Buy Real Estate in Grenada?

Purchasing real estate in Grenada as a foreign buyer involves several key requirements and associated costs:

• Alien Landholding License (ALHL). Foreign buyers must obtain an Alien Landholding License, which permits non-nationals to own property in Grenada. The license fee is 10% of the property's purchase price, and the approval process can take between 1 to 6 months.  This requirement is waived for buying real estate through the CBI program. 
• Legal Representation. Engaging a local attorney is essential to conduct due diligence, ensure clear property title, and handle the transaction. Legal fees typically range from 1% to 2% of the property's purchase price, plus a 15% Value Added Tax (VAT) on these fees. 
• Stamp Duty. A stamp duty of 1% of the property's purchase price is payable by the buyer.
• Property Transfer Tax. Sellers are responsible for paying the property transfer tax. For non-citizen sellers, this tax is 15% of the property's value, while Grenadian citizens pay 5%. 
• Real Estate Agent's Commission. If a real estate agent is involved, the seller typically pays a commission, which is usually around 5% of the property's purchase price, plus a 15% VAT on the commission. 
• Citizenship by Investment Program. Investing in government-approved real estate projects can qualify buyers for Grenadian citizenship. The minimum investment is USD 270,000 for a joint investment or USD 350,000 for a sole investment. The property must be held for at least five years. 
• Annual Property Tax. Property owners are subject to an annual property tax, which varies based on the property's value and type. For instance, the tax rate for residential properties is generally 0.3% of the property's market value.

To sum up, purchasing real estate in Grenada as a foreign buyer requires careful consideration of various legal, financial, and procedural aspects. From obtaining the Alien Landholding License and engaging legal representation to understanding taxes such as stamp duty and annual property tax, each step entails specific costs and timelines. On top of that, the CBI offers a unique opportunity for foreign buyers to secure Grenadian citizenship through government-approved real estate investments. Thorough due diligence and professional guidance are essential to navigate these requirements effectively and ensure a successful property acquisition in Grenada.

How to Buy Grenada Real Estate Property?

Purchasing real estate in Grenada involves a series of detailed steps to ensure a successful transaction. Here's an expanded guide to assist you through the process:

Step 1. Research and Property Selection

Begin by identifying your specific requirements, such as the type of property—be it a luxury villa, beachfront condo, or investment property—and the desired location. Consider factors like proximity to amenities, future development plans in the area, and potential for property value appreciation. Engaging a reputable local real estate agent can provide valuable insights into the market, help you access a range of properties, and guide you through the selection process. 

Step 2. Legal Representation

It is crucial to hire a local attorney experienced in Grenadian real estate law. Your attorney will conduct a thorough title search to ensure the property is free from liens, encumbrances, or disputes. They will also prepare and review all legal documents, including the Sale Agreement and Conveyance, to ensure compliance with local regulations and protect your interests throughout the transaction. 

Step 3. Alien Landholding License (For Non-Citizens)

Non-residents are required to obtain an Alien Landholding License to purchase property in Grenada. The license fee is 10% of the property's value. The application process involves submitting personal references, a police certificate of good character, and other documentation. Approval can take between 1 to 6 months, so it is advisable to begin this process early to avoid delays in the transaction. 

Step 4. Sales Agreement and Deposit

The seller's attorney will draft the Sale Agreement, detailing the terms and conditions of the sale. Upon signing the agreement, a deposit—typically 10% of the purchase price—is paid and held in escrow. This deposit demonstrates your commitment to the purchase and initiates the formal due diligence process. 

Step 5. Due Diligence

Your attorney will conduct a comprehensive title search to confirm that the property has a clear title and is free from any legal issues. Also, it is recommended to hire a licensed surveyor to assess the property's boundaries and condition. This ensures that the property's physical attributes match legal descriptions and helps identify any potential issues that could affect your investment. 

Step 6. Finalize Financing

Ensure that you have secured financing for the remaining balance of the purchase price. This may involve obtaining a mortgage from a local bank or arranging funds from other sources. Be mindful of foreign exchange regulations and plan for the transfer of funds to your attorney's escrow account, considering the impact of exchange rates on the total cost. 

Step 7. Completion and Transfer

Upon fulfilling all conditions outlined in the Sale Agreement, you will proceed to make the final payment. Your attorney will then facilitate the transfer of ownership by preparing the Conveyance and registering the property in your name with the relevant government authorities, thereby completing the legal transfer of ownership. 

Step 8. Payment of Taxes and Fees

When purchasing real estate in Grenada, buyers should be aware of several taxes and fees that contribute to the overall cost of acquisition. These expenses typically include legal fees for attorney services, stamp duty on the property's value, and, for non-nationals, an Alien Landholding License fee. Investors applying for Citizenship by Investment through real estate purchases are often exempt from taxes on a property. 

Step 9. Post-Purchase Considerations

After acquiring the property, arrange for adequate insurance coverage to protect your investment against risks such as natural disasters or property damage. If you do not reside in Grenada, consider hiring a property management company to oversee maintenance, tenant relations, and rental management. This ensures your property is well-maintained and can generate income if rented.

By leveraging Golden Harbors' expertise, you can navigate the complexities of purchasing real estate in Grenada with confidence, ensuring a seamless and successful acquisition aligned with your investment goals.

FAQ

Is the Grenada Real Estate Market Growing?

Grenada's real estate market is projected to experience steady growth from 2024 to 2030, driven by factors such as increased tourism, government initiatives, and a rising demand for luxury properties. The Citizenship by Investment program continues to attract foreign investors, with approved real estate investments. This influx of capital has spurred the development of high-end residential and commercial properties, particularly in areas like St. George's and Grand Anse. 

Can Foreigners Buy Real Estate in Grenada?

Yes, foreigners can buy real estate in Grenada, and the process is straightforward. International buyers are required to obtain an Alien Landholding License (ALHL), which typically costs 10% of the property value. Grenada’s Citizenship by Investment program also allows foreigners to invest in government-approved real estate projects (no need to obtain an ALHL), starting at USD 270,000, to qualify for citizenship. Popular property types for foreigners include luxury villas, resort-style residences, and rental properties, particularly in areas like Grand Anse and St. George’s. 

What is the Average Cost of a House in Grenada?

The average cost of a house in Grenada varies based on factors such as location, size, and amenities. Generally, prices range from USD 200,000 to USD 500,000 for standard homes. For instance, a two- or three-bedroom house in St. George's can be purchased within this price range. Luxury properties, especially those near beaches or in prime areas like Grand Anse and Lance aux Epines, can command prices from USD 500,000 to several million dollars.

What are the Best Places to Buy Real Estate in Grenada?

Grenada offers several prime locations for real estate investment, each with unique attractions:

• St. George's. As the capital city, St. George's combines historical charm with modern amenities, making it a desirable area for both residential and commercial properties. 
• Grand Anse. Renowned for its stunning beach, Grand Anse is a hotspot for luxury condos and beachfront properties, appealing to those seeking vibrant coastal living. 
• Lance Aux Epines. This upscale residential neighborhood is known for its tranquil environment and proximity to amenities, making it popular among expatriates and investors. 
• Westerhall Point. A gated community offering exclusivity and scenic waterfront properties, ideal for those seeking privacy and luxury. 
• Carriacou. The neighboring island of Carriacou provides a serene setting with opportunities for investment in undeveloped land and charming homes, perfect for those desiring a quieter lifestyle.

Can You Get Grenada Citizenship When Buying Real Estate?

Yes, you can obtain Grenadian citizenship through real estate investment via the Citizenship by Investment program. To qualify, you must invest in a government-approved real estate project. There are two investment options:

1. Shared Investment. Invest a minimum of USD 270,000 in a share of a government-approved real estate project. This option often involves purchasing a share in luxury resorts or hotel developments. 
2. Sole Ownership. Invest at least USD 350,000 in a single unit of an approved real estate project. This option allows for full ownership of a property, such as a villa or apartment. 

In addition to the investment, there are government fees and due diligence costs associated with the application process. The property must be held for a minimum of five years, after which it can be sold without affecting your citizenship status.

Can a US Citizen Buy a House in Grenada?

Yes, U.S. citizens can purchase property in Grenada. Foreign buyers are required to obtain an Alien Landholding License (ALHL), which costs 10% of the property's purchase price. As an alternative, investing in a government-approved real estate project through Grenada's Citizenship by Investment program can exempt you from the ALHL requirement and provide a pathway to Grenadian citizenship.

Is Grenada a Good Place to Invest?

Grenada presents a compelling investment landscape characterized by political and economic stability, a supportive legislative framework, and a range of incentives designed to attract foreign direct investment. The government actively encourages investments across various sectors, including tourism, agribusiness, education, health and wellness, information communication technology, and energy. The country's Citizenship by Investment program has been particularly successful, with revenues increasing by 213% in the first half of 2023 compared to the same period in 2022. This surge has financed several developments, especially in the tourism sector, contributing to economic growth.

Is There a Property Tax in Grenada?

Grenada's property taxation is determined by market value assessments, with rates differing according to land use categories. For residential properties, the land tax rate is 0.2%, and the building tax rate is 0.3%. Commercial properties are taxed at 0.5% for land and 0.3% for buildings. Cultivated agricultural land is exempt from property taxes, while idle agricultural land incurs a 0.2% land tax. Hotel properties are subject to a 0.3% land tax and a 0.02% building tax, and industrial properties face a 0.3% land tax and a 0.2% building tax. Regarding property transfer taxes, Grenadian citizens pay 5% when selling property, while non-citizens are charged 15% upon selling and 10% when purchasing. Additionally, non-citizens must obtain an Alien Landholding License, costing 10% of the property's value, and all transactions are subject to a 1% stamp duty.

What is the Cheapest Caribbean Island to Buy Property?

The Dominican Republic is often considered one of the most affordable Caribbean destinations for property buyers, with average home prices ranging from USD 50,000 to USD 200,000. Other budget-friendly options include Roatán in Honduras, where homes typically cost between USD 135,000 and USD 175,000, and Puerto Rico, with average home prices around USD 239,000. However, Grenada offers some of the most affordable properties among Caribbean islands with citizenship by investment programs, with average prices of around USD 2,000 per square meter and a minimum investment amount of USD 270,000 to qualify for citizenship.

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