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Thread: Anyone Ever Purchase Property Through A Private Sale Without A Real Estate Company?

  1. #11
    Senior Member act1966's Avatar
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    Quote Originally Posted by schexc View Post
    We have decided against an existing free standing home and have narrowed our search down to a condo in the existing development of Palma Real.
    Is the condo listed by a real estate agent? If it is, you'll have to deal with both a real estate agent and a notary - even if you don't have an agent, you'll still need to go through the seller's agent. And the notary acts somewhat like a real estate lawyer in North America. Yes, you can choose which notary - I believe it has to be agreeable to both parties though.

    Other things:

    - the closing date is subject to change... it seems to be at the whim of the notary and how busy they are. It's not as stringent as in North America.
    - you can close the property by granting power of attorney to someone if you can't be there for the actual closing but the power of attorney can't be assigned to your real estate agent
    - agree with AQ - read the document VERY closely - particularly if you're buying turnkey... we actually took pictures of all contents and all parties signed off on a document with the pictures/descriptions outlined.
    - make sure it's clear who is responsible for which closing costs as they're not insignificant (from 5-8% of the purchase price typically)
    - funding/mortgages can be difficult to obtain for foreigners and it's EXPENSIVE... when we started looking, we inquired about securing a mortgage in Aruba - the rate quoted was 12% I think the market rate in Canada at the time was below 2% for the equivalent terms... it was insane... and foreigners needed to put 30% down! Yeah, we financed it ourselves
    - make sure you have an Aruban bank account and it takes some time to open them so plan on that (it took us almost two weeks from setting foot in the bank, going through all the documentation, securing web access and debit cards) - we tried to do things in advance like sending documentation but Aruba Bank wouldn't do it and then they left us waiting in the lobby for one hour at our scheduled appointment... yeah, we didn't take our business there
    - moving cash to Aruba can take some time (i.e. wires) - the notary will expect that you fund the deal in advance of closing so plan for that; we've had wires that appeared within 24 hours and others that took four days

    Lots of hassles but, in the end, it's all worth it!!
    Last edited by act1966; 12-13-2015 at 10:43 AM.

  2. #12
    Senior Member Retagger's Avatar
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    I have a few friends that live in Palma Real. They are all New Jersey. Very nice place, close to the beach and within waliking distance to some excellent restaurants.

  3. #13
    Senior Member schexc's Avatar
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    The condo is currently not listed with an agent and we do have one either. That's what prompted me to start this thread. Thank you for the information. It is greatly appreciated.
    On another note....can't wait to see your show!!!

    Quote Originally Posted by act1966 View Post
    Is the condo listed by a real estate agent? If it is, you'll have to deal with both a real estate agent and a notary - even if you don't have an agent, you'll still need to go through the seller's agent. And the notary acts somewhat like a real estate lawyer in North America. Yes, you can choose which notary - I believe it has to be agreeable to both parties though.

    Other things:

    - the closing date is subject to change... it seems to be at the whim of the notary and how busy they are. It's not as stringent as in North America.
    - you can close the property by granting power of attorney to someone if you can't be there for the actual closing but the power of attorney can't be assigned to your real estate agent
    - agree with AQ - read the document VERY closely - particularly if you're buying turnkey... we actually took pictures of all contents and all parties signed off on a document with the pictures/descriptions outlined.
    - make sure it's clear who is responsible for which closing costs as they're not insignificant (from 5-8% of the purchase price typically)
    - funding/mortgages can be difficult to obtain for foreigners and it's EXPENSIVE... when we started looking, we inquired about securing a mortgage in Aruba - the rate quoted was 12% I think the market rate in Canada at the time was below 2% for the equivalent terms... it was insane... and foreigners needed to put 30% down! Yeah, we financed it ourselves
    - make sure you have an Aruban bank account and it takes some time to open them so plan on that (it took us almost two weeks from setting foot in the bank, going through all the documentation, securing web access and debit cards) - we tried to do things in advance like sending documentation but Aruba Bank wouldn't do it and then they left us waiting in the lobby for one hour at our scheduled appointment... yeah, we didn't take our business there
    - moving cash to Aruba can take some time (i.e. wires) - the notary will expect that you fund the deal in advance of closing so plan for that; we've had wires that appeared within 24 hours and others that took four days

    Lots of hassles but, in the end, it's all worth it!!
    TRIP 15 OCTOBER 2018


    OUR COUPLE'S RETREAT. THE PEARL CONDO HOTEL AT EAGLE BEACH. CONDO ACCOMMODATES TWO ADULTS. YOU MUST REQUEST UNIT #8. https://photos.app.goo.gl/lRquP1F4VtxyZhR42 RENTING DIRECTLY THROUGH http://www.thepearlaruba.com/.

  4. #14
    Aruba since 1979
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    Andrea J.'s Avatar
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    i love palma real!

    if i were to be buying in aruba palma real is where we'd consider first.

    good luck in your endeavors and i am happy those that have the experience are posting their advice/thoughts.
    thanks all.
    Quote Originally Posted by schexc View Post
    We have decided against an existing free standing home and have narrowed our search down to a condo in the existing development of Palma Real.

  5. #15
    Senior Member schexc's Avatar
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    Thank you Andrea! We've been sitting on the fence for a couple of years. And yes, thanks to all who are chiming in!

    Quote Originally Posted by Andrea J. View Post
    i love palma real!

    if i were to be buying in aruba palma real is where we'd consider first.

    good luck in your endeavors and i am happy those that have the experience are posting their advice/thoughts.
    thanks all.
    TRIP 15 OCTOBER 2018


    OUR COUPLE'S RETREAT. THE PEARL CONDO HOTEL AT EAGLE BEACH. CONDO ACCOMMODATES TWO ADULTS. YOU MUST REQUEST UNIT #8. https://photos.app.goo.gl/lRquP1F4VtxyZhR42 RENTING DIRECTLY THROUGH http://www.thepearlaruba.com/.

  6. #16
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    FYI... current mortgage rates at ArubaBank is 7% so not terrible but not the US at 3 to 4%. I checked RBC rates and they were higher at 7.75%. RBC requires a 33.3% down and ArubaBank requires 40% down. The reason you have to open bank accounts on the island I was told was due to money laundering rules. They have to meet you face to face to make sure you are who you say you are.
    Last edited by Aruba-Mark; 12-14-2015 at 12:22 AM.

  7. #17
    Senior Member act1966's Avatar
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    Quote Originally Posted by Aruba-Mark View Post
    FYI... current mortgage rates at ArubaBank is 7% so not great but not the US at 3 to 4%. I checked RBC rates and they were higher at 7.75%. RBC requires a 33.3% down and ArubaBank requires 40% down. The reason you have to open bank accounts on the island I was told was due to money laundering rules. They have to meet you face to face to make sure you are who you say you are.
    Yes. Identity verification which takes some time. You need quite a bit of documentation to open the account as well.

  8. #18
    Senior Member schexc's Avatar
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    All great input. Thank you everyone for the continued support!
    TRIP 15 OCTOBER 2018


    OUR COUPLE'S RETREAT. THE PEARL CONDO HOTEL AT EAGLE BEACH. CONDO ACCOMMODATES TWO ADULTS. YOU MUST REQUEST UNIT #8. https://photos.app.goo.gl/lRquP1F4VtxyZhR42 RENTING DIRECTLY THROUGH http://www.thepearlaruba.com/.

  9. #19
    Super Moderator Jacki's Avatar
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    Great advice from so many on this thread! I love this forum!
    Jacki ~ loving Aruba from NJ

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