Vanuatu property prices still remains the lowest in the world. 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. It is important to remember that 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.

Residential prices

Residential property prices are around US$800 – US$970 per sq. m. (VUV 92,250 to VUV 111,850). For example a 100 sq. m. property could be bought for VUV 11.2 million (US$97,000), according to Global property guide. To build your house, you should appraise around $850 – $1250 per sq.m

Property transfers take 2-3 months.

Best Locations

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.

These are best locations to invest in property, according Island Property Vanuatu

  1. Residential  Port Vila, Tassiriki, Elluk, the Harbourfront, First Lagoon, Second Lagoon, Bellevue, Malapoa and the oceanfront subdivisions near town such as Dream
  2. Commercial – Main street and central harbour
  3. Agricultural land – Efate and Santo islands

Property Taxes

The following property taxes are 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)

Vanuatu has no corporate tax, no capital gains tax, no estate tax, no wealth tax, no withholding tax, no gift tax and no inheritance tax.

REO Citizenship

Vanuatu Real estate option (REO) program allows foreigners to acquire immediate citizenship through property investment. A minimum of US$ 200,000 invested in government approved properties. Private homes and all other commercial properties do not qualify for citizenship by investment.