Vanuatu Real Estate for Sale in Port Vila and Espiritu Santo

A small tropical paradise in the South Pacific Ocean, buying Vanuatu real estate offers unique opportunities for investment and lifestyle enhancement. The Vanuatu property market is prospering, becoming a viable way for investors to accomplish their goals.

Vanuatu Real Estate Market Overview

Investing in Vanuatu properties is a reliable way to diversify your portfolio and protect your assets. There are various property types in Vanuatu from Properstar or the LJ Hooker brand to pick from, including waterfront land and bungalows, beachfront villas and apartments, and even a private island. Land investments offer exceptional value in the country’s growing tourism industry.

Rental income in Vanuatu is stable due to the country’s tourism sector, which attracts visitors from other Oceanic countries, including Australia and New Zealand. Moreover, capital growth is attainable, mainly if you invest in quality waterfront property.

Vanuatu banks may provide mortgages, offering from 70 to 80 percent on land or house purchases, depending on the buyer’s credit references. Local Vanuatu property management firms provide buyers the option to rent out their properties for rental income easily.

The government facilitates easy foreign ownership for expats retiring in Vanuatu through legislation such as the Strata Titles Act.

Why buy Vanuatu real estate?

Buying real estate in Vanuatu island is a fantastic option for expats looking to own a holiday home or second. Likewise, foreign investors will be pleased to hear that the real estate market in Vanuatu is stable,

• One of the few countries where waterfront properties are cheaper than one-bedroom apartments in the city or suburbs
• Lower real estate prices than Australia and the United States
• A favorable tax environment, including no income tax or property tax
• Lucrative opportunities to purchase Vanuatu real estate shares in resorts and other commercial property or invest in an agricultural lease
• A short flight to key countries and cities, including Brisbane, Sydney, Auckland, Melbourne, New Caledonia, and Fiji

Step-by-Step Guide on Buying Real Estate in Vanuatu

1. Find a suitable property, with or without the help of a local Vanuatu real estate estate.
2. Upon agreeing on a price, employ an attorney to draft a Sale and Purchase Agreement and pay the deposit (typically ten percent of the purchase price).
3. The seller applies for a Lessor’s Consent to Transfer or arranges a share transfer.
4. Stamp and registration duties are settled at the local Land Records Department. If you hire a solicitor, you will need to settle the fee.
5. A pre-settlement inspection of the property is conducted, or a search of the title is undertaken by the purchaser’s side if desired.
6. The property sale is closed. The buyer submits all necessary documentation, including three original Transfer of Lease deeds already executed by Vendors, a copy of the Registered Title, the Settlement Statement, etc.

It generally takes about 155 days for Vanuatu property sales, including a new house purchase, to finalized and to complete a property transfer.

Vanuatu real estate investment requirements

To invest in property in Vanuatu as a foreigner, you must be aware of the following factors:

• There is no freehold land in Vanuatu. All investments and privately held land in Vanuatu (apart from custom land and public land) are leaseholds in nature. The leasehold term is usually 50 to 75 years.
• Properties are sold under a full title guarantee, and Vanuatu’s Land Leases Act protects investors.
• You don’t need to be a resident to purchase property in Vanuatu.
• Vanuatu does not require obtaining a foreign buyer or alien landholding license.
• A leasehold-registered interest rate applies to all purchases.

Vanuatu Property Prices

Real estate prices in Vanuatu suits every budget. A modern apartment in Port Vila Harbour ranges from $5,000 to $8,000 per square meter. For villas and coastal properties on islands like Espiritu Santo, you’ll find a variety of options, from a three- to four-bedroom beach houses for $400,000 to luxurious, contemporary villas for over $1 million. You can even find oceanfront house plots of land on Espiritu Santo island between one to two acres for $100,000 to $200,000.

Vanuatu property transaction costs

Always factor in about ten percent of the purchase price to cover Vanuatu property acquisition costs. Stamp duty is two percent of the property price, and five percent is owed to the Ministry of Lands and Natural Resources. You can expect around 2.5 percent to cover miscellaneous fees like borrowing costs and unexpected expenses. If you own property in an urban area, municipal rates to cover refuse collection will set you back around $200 per year.

Vanuatu property taxes

There is no property tax in Vanuatu. The only requirement is to pay a Vanuatu rental income tax of 12.5 percent. You can also expect to pay a property management fee of seven to ten percent on Vanuatu rental properties.

Finding Property for Sale in Vanuatu

Numerous Vanuatu real estate companies provide featured listings for buying property on the island. International real estate websites include:

• Island Property
• Properstar
• First National Real Estate
• LJ Hooker

Espiritu Santo: Vanuatu’s largest island, Espiritu Santo, offers opportunities in properties from luxury homes to beachfront resorts. A four-bedroom, five-bathroom waterfront villa on Aore Island can be purchased for VUV 51 million ($450,000).

Efate: Investors can purchase Vanuatu land for sale in Havannah on one of the country’s smaller islands of Efate for VUV 26.1 million ($220,000) for about 2,500 square meters.

Efate: A six-bedroom villa with a pool can be purchased through the LJ Hooker team in the capital city of Port Villa for about VUV 63 million ($530,000).

Other property listings in Vanuatu

Where to buy real estate in Vanuatu?

The best places to buy property in Vanuatu are:

• Port Vila
• Tassiriki
• Elluk
• Harbourfront
• First Lagoon
• Second Lagoon
• Bellevue
• Malapoa

The oceanfront subdivisions near towns like Dream Cove, Angelfish Bay, Paradise Cove, Bukura, Narpow Point, and Havvanh Harbour are also excellent options.

The CBD, Main Street, and the central Harbour Front CBD are good options for Vanuatu real estate investment. Investors look at Efate and Santo islands to buy land in Vanuatu.

Is it worth it to purchase Vanuatu real estate?

It is worth buying Vanuatu property. Foreigners can build dream homes of all Vanuatu property types at affordable prices in Port Vila and large islands like Espiritu Santo. Vanuatu does not impose personal income tax or capital gains, wealth, or inheritance taxes.

Vanuatu featured listings for beautiful property in popular areas of Port Vila and towns like Luganville on Espiritu Santo offer lucrative opportunities to own vacation rentals. The Vanuatu Permanent Residence Visa allows foreigners to use their properties for personal use easily.

Why use Global Citizen Solutions?

Global Citizen Solutions is a multidisciplinary firm offering bespoke residence and citizenship solutions in Europe and the Caribbean. In a world where the economy and politics are unpredictable, having a second citizenship opens up opportunities and creates flexibility for you and your family.

So, why work with Global Citizen Solutions to obtain Caribbean citizenship?

• Global approach by local experts: We are corporate members of the Investment Migration Council, with local expertise in all five Caribbean CBI programs.
• 100 percent approval rate: We have never had a case rejected and will offer you an initial, free-of-charge, due diligence assessment before signing any contract.
• Independent service and full transparency: We will present to you all the investment options available, and all expenses will be discussed in advance, with no hidden fees.
• An all-encompassing solution: A multidisciplinary team of immigration lawyers, investment specialists, and tax experts will take into consideration all your and your family's mobility, tax, and lifestyle needs.
• Confidential service and secure data management: All private data is stored within a GDPR-compliant database on a secure SSL-encrypted server.

Frequently Asked Questions about Vanuatu Real Estate Investment

Can foreigners buy real estate in Vanuatu?

There are no restrictions on foreigners buying property in Vanuatu islands, be it commercial or residential. A non-citizen may be asked to supply references from a local firm for urban purchases. Secondly, there is no requirement for property owners or legal residents to relocate to Vanuatu.

How much does Vanuatu waterfront real estate cost?

Property prices for waterfront properties in Vanuatu vary. A well-built and stylish three-bedroom beachfront house in Havannah Harbour costs about $500,000, whereas a two-bedroom waterfront house in Luganville costs about $220,000. However, a luxury four-bedroom hilltop villa in the town center of Port Vila costs $630,000.

Should I look for a Vanuatu real estate agent?

We recommend using a local real estate agency to buy Vanuatu real estate. A real estate team in Port Vale can provide up-to-date local knowledge and price info on the Vanuatu property market and access to current listings – including the best Vanuatu houses for sale and recently sold commercial and residential property. Don’t underestimate the difference a real estate team can make.

Are there qualified construction companies in Vanuatu?

Several qualified construction and real estate development companies in Port Vila have the resources to build various property types in Vanuatu, include a beachfront home and acreage apartment block.

Do you pay VAT on Vanuatu house sales?

Vanuatu’s VAT rate of 15 percent does not apply to purchases of family homes or other residential property in Vanuatu islands. A real estate development company is liable to pay VAT when selling property they have developed.

Can land be sold in Vanuatu without a registered title?

An individual or real estate team, such as those under the LJ Hooker name, can only sell a land area in Vanuatu with a title deed, regardless of the property type. Around 90 percent of land is unregistered in Vanuatu.

Can you buy freehold land in Vanuatu islands?

There is no freehold land on any island of Vanuatu. The 1980 Land Reform Act declared urban areas of Port Vila and Luganville on Espiritu Santo Island as public land.

Is it expensive to build in Vanuatu?

According to Vanuatu Builders, as a rule of thumb, the price to build a home in Vanuatu in popular areas like Port Vila is around VUV 100,000 vatu ($840) per m². Investors can expect a similar price to build commercial buildings, depending on the size and materials.