Buy Property Overseas

What is a SIPP?

SIPP stands for Self Invested Personal Pension, a government approved pension scheme in the UK. It falls under the Registered Pension Schemes for the purposes of Section 150 of the Finance Act 2004. It is is a product regulated by the Financial Services Authority (FSA).

SIPP is designed for people who want to manage their pension fund themselves. They can invest the money in their pension fund into investments they choose, and switch investments if they so desire. This is different from standard pension schemes where third party trustees manage contributor funds.

SIPP Investments

The SIPP investments should be in assets approved by HMRC – HM Revenue & Customs. Certain types of real estate investments also fall under the approved category. Crown’s land products including Cayman real estate fall under this category.

This means that you can use your SIPP funds, instead of your free savings, to buy land in the Cayman Islands. The investment will need to be formally approved by an FSA regulated Independent Financial Advisor. Developers of Crown’s lands in the Cayman will help you to arrange a consultation with a regulated Independent Financial Adviser.

Cayman Land Investments and SIPP

Investments in the following Crown real estate using your SIPP funds can earn you a guaranteed return of 30 percent on your investment over a five year period:

• The Dubli Golf & Beach Resort in Grand Cayman,
• The Little Dolphin Estate in Cayman Brac, and
• The Lakeside Estate and the Little Cayman Estate in the Little Cayman.

If you buy land in the above layouts using your SIPP funds, you have the option to enter into a buyback agreement with the developers. The buyback agreement involves giving the developers an option to buy back the property, at a price that is 20 percent above what you paid, over a five year period. In return, they will provide you a 6% return per annum on your investment for the five years.

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