General Information on Cape Verde
When buying we strongly recommend you to instruct a local lawyer to ensure that all is in order. If dealing with a new development it must be checked that the plot / land is suitable for building purposes, i.e. zoning restrictions, building regulations, access to an official road, availability of water and electricity supply, telephone lines.
In the case of purchase of an apartment or house the lawyer needs to check building planning and other permits, the history, reputation and reliability of a developer and the title to the property.
The process of purchasing property in Cape Verde generally involves the following steps :
1. Carry out Land Charges Searches at the local Municipal Authority and Land Registry Offices.
2. Check the payment of tax regarding the property, and bills for electricity and other services by asking the vendor to produce evidence of payment of such invoices.
3. Sign the Promissory Contract of Purchase and Sale ( " Contrato Promessa de Compra e Venda " ). At this stage the purchaser will normally be expected to pay a deposit, which is negotiable ( 10% or lately 30% is common practice ).
4. Sign the final Deed of Conveyance called the " Escritura " which has to be done before a Notary Public in Cape Verde. This is the document that gives the purchaser proper title to the Property. The Deed must be scheduled with a minimum of 30 days' notice.
5. Register the purchase at the local Land Registry and local Municipal Authority so that title is enforceable against third parties. In Cape Verde , subsequently to the signature of the Deed, the Notary will prepare and send a report to the local Municipal Authority regarding the transaction. The Municipality will then update its records accordingly and register the new ownership of the property.
6. Notarial and registration fees and stamp duty can be expected to be approximately 2.5% of the property's attributed value. They are payable on signature of the Deed of Conveyance.
7. Services A contract needs to be signed with the providers of services, such as water, gas and electricity.
These details act as a guide only and are subject to change. Further information can be provided upon request.
Economy
Having achieved independence from Portugal in 1975, the islands offer a unique blend of European and African culture. With short flights for Northern Europe, a temperate climate, construction of luxury accommodation, beautiful beaches and mountain scenery tourism is fast becoming the a dominant factor.
Since 1985, when a strong tourist industry was identified as critical to the region maintaining a stable, peaceful and growing economy; successive governments have put in place policies to improve Cape Verde 's tourist infrastructure. The results are a range of tax-friendly incentives to non-resident investors leading to a rise in overseas investment and property development. At present, the 4 islands that are experiencing the greatest tourist interest are Sal, Santiago , Boavista and Maio. To cater for its increased popularity, major development is taking place on these islands including a new international airport on Santiago , which was completed in October 2005.
The government in Cape Verde is currently implementing a new National Development Plan ( NDP ) in order to develop a thriving tourist industry in the islands as this is seen as a potentially huge growth area for the islands. Its main aim is to improve the infrastructure of the islands in order to make it into a top class tourist destination including air, maritime, inter-island, road, communication, banking, health provision, electricity, water and sanitation provision.
The number of tourists visiting Cape Verde during the first half of 2005 grew by 8.6% in comparison to the same period in 2004, according to figures from the National Statistics Institute. The islands are set to become as popular as the Canary Islands , if not more popular because of its favourable climate.
Sal is the island currently attracting most tourists with 66.7% of all hotel visitors. Tourism has for several years been Cape Verdes main economic activity and current trends indicate that the sector will continue to expand considering the numerous projects underway in the islands at the moment.
The main international airport is located in Sal, however a second international airport opened on Santiago at the end of 2005. This means a bright future for the inevitable growth of the tourism industry on the islands and again suggests significant return on investments for people who purchase early.
Currency
The currency used in Cape Verde is Cape Verde escudo ( CVE ) which is fixed to the Euro ( 1Euro = 110.265CVEsc ). |
New Developments
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