When buying property in Gibraltar the first question one must address is: How much can I afford? At ESS Homes our Financial Advisor has excellent links with several of the locally based Financial Institutions where mortgages can be obtained. Only the following can legally buy and sell property in Gibraltar:

• British subject or British citizen;
• Gibraltar registered company;
• Companies registered in the United Kingdom;
• European Union nationals with residence permits for Gibraltar or;
• Companies registered in the European Union with rights of establishment in Gibraltar.

Foreign Nationals and companies may purchase property in Gibraltar via a Gibraltar registered company, as there are no restrictions on the nationality of its directors.

Although small, at approximately 7 square kilometres, Gibraltar offers a vast choice of different genres of property: from luxury beach-front town houses to pre-war colonial style apartments to new lavish and opulent developments. If you don't know what style of property is right for you, call ESS Homes now, where our professional Sales Consultants are always delighted to help and offer expert advice.

In all new developments in Gibraltar the land is owned by the Government of Gibraltar which grants 150 year leases to the development companies, who in turn sell it on to the final purchaser. In a modern development the purchasers would conglomerate to create a management company to manage the communal areas and the development as a whole, communally contributing to the running costs of the development.

Once we have found you the right property a deposit of 2% is paid to hold the property. This fee is kept by the agent to protect the buyer´s interests and is subject to contract.

Gibraltar is exempt from Capital gains tax. On all Gibraltar property sales any profit made is tax free. Further, when buying property in Gibraltar, full mortgage interest relief is given against income received in the form of ´Home Buyers Allowance´; hence it is favourable to obtain a mortgage in order to buy a property in Gibraltar.

When buying and selling property in Gibraltar law firms typically charge legal fees for the conveyancing process on a percentage of the property purchase price and time. Additionally, purchasers of Gibraltar property will be liable for stamp duty if the property purchase price exceeds £199,999. As per the Chief Ministers´ Budget Speech 2010, stamp duty on affordable homes has been eliminated and raised on higher value and luxury properties. For properties between £200,000 and £350,000: 2% on the first £200,000 (£4,000) and 2.5% on the balance up to £350,000. For properties above £350,000, 3% on first £350,000 (£10,500) and the balance at 3.5%. ESS Homes has built strong relationships with local law firms and we are always happy to make recommendations and facilitate introductions.