Residential property in Cayman is often sold as part of a strata plan if it is in a condominium or apartment complex. Most countries have the concept of freehold property, where the owner has ownership and responsibility for the land they own and all buildings on it.
Strata ownership is less familiar to many people, but very common in Cayman. The following is an explanation of how it works:
If you buy a property which is part of a strata plan, you will have the freehold title of the house or apartment that is situated within the property in the plan. You will also own a share and have voting rights in the ‘strata corporation’ which owns all the land in the strata plan including estate roads, communal gardens, shared pools etc.
The strata corporation has an obligation to insure the strata property and maintain it for the benefit of the shareholders, along with the right to recover the costs of doing so from them. There will be rules and regulations governing how the strata company is run (known as strata by-laws) and an annually elected committee that is authorised to run the corporation.
Examples of monthly strata fees you might expect to pay are: CI$500 for an inland two-bedroom townhouse; CI$650 per month for a three-bedroom inland apartment; and for properties on the water, especially along Seven Mile Beach, you could easily pay between CI$800–CI$1,200 (CI$400 maintenance, CI$336 insurance and CI$64 sewage charge). Your realtor should be able to find the exact strata fees for you.