Vanuatu citizenship by investment scheme does not have real estate investment option to acquire passports. It is important for clients applying for CIP in Vanuatu must understand this to avoid any confusion
Vanuatu operates two CBI programs. Both the programs are Donation option with the same investment requirements (USD 130,000)
- Development Support Program
- Citizenship Contribution Program
Unlike Caribbean CIP’s, Vanuatu government has not introduced a property option for DSP and VCP schemes. You will not get citizenship by investing in real estate directly under the CIP regulations. The legislative framework for Vanuatu CIP is available for download in the official website
The Government may add the real estate option in the future.
The Vanuatu Citizenship Office advices all prospects who are interested in its Citizenship Programs that there is no Real Estate Option Program attached to any of its Citizenship Programs
After becoming Vanuatu citizen investing in donation route (takes 1 month), you are free to buy real estate in Vanuatu.
If you dont want citizenship, you can get permanent residency by investing in a land. It is call Land owner visa. You will need to buy a land for atleast $100,000 to apply for this visa. Under this route, you will get you citizenship by naturalization ONLY after 10 years of living. There is also written Bislama Test which is basically about general knowledge of the Republic of Vanuatu legally, politically, historically and socially.
Vanuatu property prices still remains the lowest in the world. Residential property prices average around US$800 – US$970 per sq. m.
Lands in Vanuatu are not freehold. Properties can be leased for up to 50 years for residential lots and 75 years for commercial ones. There are no restrictions on foreigners buying property.
Property prices have been steadily increasing over the years, especially due to increase in tourism, especially tourist arrivals combined with influx of chinese, australians and other expats.
What are the property taxes applicable?
- 2% Stamp Duty
- 5% Title Transfer Registration
- If the buyer is purchasing an existing company, the Stamp Duty is 4% on the Share Transfer Value, and because the shares in the lessee company are transferred, not the title itself, there is no 2% Stamp Duty fee.
- Legals costs are usually between 0.5% ‐ 1.% of the purchase price.
- VAT (currently 15%) is not payable by the purchaser on residential property. VAT is payable by a builder or property developers. VAT is payable by the purchaser on the sale of commercial property.
- Insurance will cost about 0.5% to 0.7% (cyclone, earthquake, volcano eruptions etc)
Property transfers take 2-3 months.
Port Vila, coastal and harbour locations are good areas to buy a residential property. Efate is Vanuatu’s main island, politically, economically, industrially and in terms of population and tourism.
What are the best areas to invest in property?
- Residential – Port Vila, Tassiriki, Elluk, the Harbourfront, First Lagoon, Second Lagoon, Bellevue, Malapoa and the oceanfront subdivisions near town such as Dream
- Commercial – Main street and central harbour
- Agricultural land – Efate and Santo islands