There are two markets for residential property in Guernsey: Local and Open. The Local Market provides for persons holding local housing qualifications. Open Market property can be purchased by anyone but the number of properties designated for the Open Market is restricted. Invariably this means that the Open Market tends toward much higher purchase prices. At movinghomes.net, we specialise in local market properties.
Although Guernsey has no capital gains tax, a property dwelling tax exists and applies, in basic terms, where the seller has not occupied the property for at least one year and one day. It is therefore important that all sellers obtain appropriate legal advice before entering into a sale.
On the acceptance of an offer, conditions of sale are drawn up. Before signing, legal advice should be sought from a Guernsey Advocate who will arrange a property search and discuss the boundaries, rights of way and rights of access etc. Your advocate will also explain the current court fees, document duties, legal fees and how the purchase price will be paid.
Once the survey, finance arrangements and legal advice have been obtained, the Conditions of Sale can be signed and a 5 to 10% deposit is normally paid.
Fees are payable as follows -.
Document duty.
- 2% £0 - £150,000;
- 2.5% £150,001 - £250,000;
- 3% over £250,000.
Greffe fees.
- £30
Legal fees.
- 0.75% of the realty value.
There may also be a bond fee for any mortgage charged against the property.
Completion takes place before the Royal Court and a copy of the deed and any mortgage bond is lodged with the Greffe. You will then receive the keys to your new home.
This page gives a very basic outline on how the sale and purchase of a property is transacted in Guernsey. It is not intended to be a substitute for formal legal advice which should always be sought from a qualified Guernsey Advocate.
