SKN Citizenship Options: SIDF vs. Real Estate
When choosing an option from the Citizenship by Investment Program, there are several factors to consider. Here is a look at a few of the determining points that should influence your decision.
Investment Amount - Family of 4 with 2 children under 16
S.I.D.F. Contribution |
Real Estate Acquisition |
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US$300k Contribution US$7.5k Due Diligence Investor US$4k Due Diligence Spouse US$25k Professional Fees US$336.5k TOTAL Investment |
US$400k + Real Estate Purchase US$7.5k Due Diligence Investor US$4k Due Diligence Spouse US$50k Application Processing Investor US$25k Application Processing Spouse US$50k Application Processing Children (US$25k x2) US$25k Professional Fees US$561.5k TOTAL Investment |
Advantage: S.I.D.F. Option
Government Investment vs. Direct Investment
Following the teachings of Frédéric Bastiat, we believe that direct private investment is better at allocated funds than Government investment.
The SIDF Donation is paid directly to the SKN Government to be used for SIDF approved projects - namely agricultural/development projects to help with the long term sustainability of the islands and student loans.
Real Estate is purchased directly from authorized developments on the islands that will help the construction of tourism infrastructure - which will create jobs immediatly and create revenue long into the future. All Government fees are paid directly.
NTL strongly believes that tourism real estate development in St. Kitts & Nevis will greatly improve the current and future revenues and employment opportunities on the islands. We support the Economic Citizenship initiative as a viable growth vehicle for the Federation.
Advantage: Real Estate Option(your opinion may vary)
Return on Investment (ROI)
S.I.D.F. Contribution |
Real Estate Acquisition |
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Once donated and the application has been accepted, the funds are Non-Refundable. Your investment is in new citizenship and passport; there is no other tangible ROI. The contributed funds go directly to the government; there is no interest paid and besides your lifetime citizenship, you will never see your investment in the future. |
Properties purchase to qualify for the Economic Citizenship program must be held for 5 years. After 5 years, the real estate can be sold, and citizenship retained by the original owner. Generallly, Caribbean Real Estate prices are higher than in SKN - we expect potential profits from the increased value of the property can cover total investments - posibly including all associated fees. Even if the real estate is sold at the same (or less) than the original sale price, a partial recuperation of the investment is feasible. |
Advantage: Real Estate Option
Ease of Investment
S.I.D.F. Contribution |
Real Estate Acquisition |
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Fee Simple. Once application is accepted, money is transfered to the Government, Lifetime Citizenship is granted. |
Real estate brings with it many responsabilities. Developer managed rental and property management programs reduce the complications of owning vacation realty. Some purchase prices include all HOA fees, property taxes and property insurance, for a 5 year period. Others include all due fees and taxes in simple monthly, quarterly or annual payments. Additionally, the real estate must be re-sold in order to recover the investment - which can also have its' headaches.
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Advantage: S.I.D.F. Contribution Option. Many real estate options in SKN are very simple