Written by Oasis Land Development | Cayman Islands Land Specialists
Last updated: 21 January 2026

The landscape of Cayman Islands property investment is evolving, with new legislation introducing a targeted adjustment to stamp duty for high-value transactions. As of recent parliamentary approvals, the Cayman Islands Government has passed legislation to increase the stamp duty rate to 10% specifically for properties valued at or above CI$ 2 million. At Oasis Land Development, we believe that transparency is the cornerstone of any successful property portfolio. While headlines regarding tax increases can often cause uncertainty, it is crucial to analyse the specifics of this policy to understand its actual impact. For the vast majority of those looking to buy land in Cayman Islands, particularly raw land parcels that sit below this luxury threshold, the market remains as accessible as ever. This article breaks down the legislative changes in layman's terms, ensuring you can navigate your journey with clarity.

The New Stamp Duty Legislation Explained

The core of the recent legislative change is a targeted approach to revenue generation, rather than a blanket cost increase for all buyers. The Parliament has approved a stamp duty hike to 10% (previously 7.5%) strictly for properties valued at $2 million and above. This move is designed to capture additional revenue from the high-end luxury market to fund essential government infrastructure and housing initiatives. Importantly, this change does not affect the entire freehold land opportunities market. For investors and lifestyle buyers purchasing land or property below this monetary threshold, the standard rates remain unchanged. This distinction is vital; it preserves the attractiveness of the islands for those entering the market at a more accessible price point while leveraging the resilience of the ultra-luxury sector. Explore our available Cayman land lots here.

Market Reaction and Global Context

Reaction from the local industry has been largely measured, with real estate professionals noting that the increase is unlikely to deter High-Net-Worth Individuals (HNWIs). When viewed through a global lens, residency by investment and property ownership in the Cayman Islands remain competitively priced. Even at 10%, Cayman's one-time stamp duty compares favourably to jurisdictions like the UK, where Stamp Duty Land Tax (SDLT) can reach significantly higher percentages for additional properties, or Canada and Singapore, which impose hefty foreign buyer taxes. The consensus suggests that the 2.5% increase is a manageable absorption for the luxury tier, maintaining Cayman's status as a premier destination for Knowledge Hub readers and savvy investors alike. It is a sign of a maturing market confident in its intrinsic value.

Navigating Your Acquisition Journey

For our clients at Oasis, this legislative update underscores the importance of strategic planning. Whether you are looking to browse our land listings for a future retirement home or a legacy asset, understanding where your purchase sits regarding the $2 million threshold is key. Most raw land acquisitions fall comfortably below this cap, meaning the new 10% rate will not apply to your transaction. Furthermore, to assist with the acquisition process, we continue to offer our 0% interest-free payment plan, which helps manage capital outlay efficiently.  For more on available concessions, including how stamp duty and import duty incentives apply on the Sister Islands, see our recent blog: Cayman Import Duty Concessions Extended to 2030.

Please note, this article is for informational purposes and does not constitute financial advice.

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