Frequently Asked Questions
Who is responsible for the development of Royal Kahal?
Royal Kahal Resort is being developed by Fairhaven Properties, a Canadian company with interests in Florida and Belize. Fairhaven Properties has met the requirement of due diligence, full permitting, environmental clearances and all required approvals by the government of Belize for the development of Royal Kahal. Through the past 25 years, Fairhaven Properties and its management team have had a history of developing residential and commercial properties both on time and on budget. Their commitment to sourcing and utilizing the newest and most efficient techniques in both design and construction has ensured the success of their projects.
With their newest venture Fairhaven Properties brings their passion and ambition for developing highly functional and innovative buildings to Belize.
Who will manage the resort and rental program?
A separate professional management company will be appointed.
Are there any time or usage restrictions on using my residence?
No restrictions on owner usage.
What is the Royal Kahal legal structure?
Royal Kahal Resort will be a strata corporation, a strata association made up of residence owners will ensure that the resorts management and day to day operations and upkeep is ongoing. Annual general meetings are called to ensure each owner has a say in the running and management of their investment.
Purchasing and Legal Transfer
How do I purchase a residence at Royal Kahal?
Purchasers would need to sign an agreement of sale and provide normal due diligence documentation.
What are the payment terms?
Since the resort is well along in its construction timeline, purchasers would pay up to the level of completion of their unit, followed by further payments at construction milestones and followed by a balance at completion and transfer.
Are their discounts for cash and multiple unit purchases?
Yes there is a discount for cash purchases and set additional discount for multiple unit purchases.
When will transfer take place?
This will take place after the last payment is received.
Is there stamp/transfer duty payable on the sale?
A 8 % stamp duty is paid once off to the government of Belize.
What are the estimated legal and closing costs?
This depends on the consultant, usually 2% of the unit cost. We have secured an independent closing agent that has agreed to assist buyers for a reduced fee.
Are there any restrictions when you sell on sending proceeds of the sale out of Belize?
Will the sale of my Royal Kahal residence attract capital gains tax?
No not in Belize, however based on an owners country of residency, you may have a liability to declare any capital gains, always consult a tax accountant in you country of residence for advice.
Is there an inheritance tax in Belize?
What are the annual property taxes and how are they assessed?
Property; Property taxes for the strata are included in the monthly home owners association (HOA) fee. Property taxes are extremely low in Belize and taxes for each individual residence are estimated at less than us$ 100 per year.
Can a foreign corporation purchase real estate property at Royal Kahal?
Can ownership be held in a foreign trust?
What legal title in the units is passed on to purchasers?
Land certificate (strata title) hereditary, freehold, fee simple title
Can an ibc (offshore company) own property in Belize?
Yes of course, but not a Belizean ibc, as with any ibc, it cannot conduct business within its own domicile.
Is there mortgage finance available to purchasers in Belize?
Yes, through many local and international banks, however they will usually require a minimum of 40% deposit.
Have any arrangements been made with banks to provide such finance?
Belize bank, atlantic bank, heritage bank and caye bank can provide financing. Rates are normally 8 -10%.
Can purchasers re-mortgage an existing property back home to buy a residence in Belize?
Yes, dependent on country of residence.
How does the rental program work?
The rental program is the official rental channel for residence owners at Royal Kahal. Residences are put into the rental program where they are marketed as hotel inventory through the management companies distribution platforms and channels. Net income is split on a 60/40 basis, 60% for the rental owners and 40% for the management company.
How do I make a reservation?
An owners concierge number will be provided to owners, this reservations hotline and dedicated email links directly to our front office / reservations department to ensure vip treatment for all of our owners.
What notice period is required when reserving my residence?
90 days for peak and high season periods (December to may).30 days will usually be sufficient for all other times. Owners may reserve their unit on a last minute basis if there is not an existing reservation. Manage will do their best to move paying guests to ensure we can accommodate our owners.
How does the housekeeping charge work?
Us $15.00 per day for housekeeping and us$5.00 per day for laundry. Fees are charged daily when rented per suite and by request when owners are in residence.
How is the rental revenue split?
60% to owners and 40% to management
Can an owner rent out their residence on their own?
No, all rentals must be handled by the management company.
How often will I receive rental proceeds?
Quarterly, statements are sent electronically within 14 business days after the end of each quarter.
Can the rental program income be used to pay strata fees?
Yes credit balances can be assigned by owner to cover hoa/strata fees.
Can I use my rental proceeds to assist in paying for my residence?
Yes, the rental pool proceeds paid out to individual owners may be used at the owners discretion.
What are my tax liabilities from receiving rental proceeds in Belize?
None – all taxes are paid prior to receiving any rental fees.
Visiting & Residency
Air access, how do I get to Belize?
American Airlines, Delta Airlines, United Airlines fly direct from various American cities, Air Canada and Westjet from Canada, Taca Airlines flies from San Salvador, Guatemala and Panama with connections from Los Angles and San Francisco.
What are the requirements for obtaining visitor’s visas for the Belize?
North Americans do not require a visa, some countries do require a visa.
How long is a visitors’ visa valid for?
Usually this is valid for 30 days and can be extended while in Belize.
How long can I extend my visa for?
Usually on a monthly basis – to a maximum of six months.
How do I qualify for the qualified retired persons program (QRP)?
To qualify for the QRP, one must be at minimum 45 years old and provide proof of $2,000 USD per month income for a couple.
What are the benefits of the qualified retired persons program?
It provides tax free import of household goods, cars, boat and airplane. The ability to work from Belize, providing the business is done with non-Belize residents and of course residency in Belize.
What taxes/duties will be levied on cars/boats brought into Belize under the qrp program?
Are there any tax liabilities imposed by Belize on my overseas income or pension while living at Royal Kahal?