Real estate sellers won’t get work permit carve-out
(CNS): Over the last decade around 150 work permits have been issued to real estate agents, according to numbers released by WORC. In the last year alone 25 permits have been issued in what realtors call a competitive market with limited inventory. But government is not contemplating carving out these jobs for Caymanians. While PACT has made prioritising work for locals a central policy platform, saying it is prepared to withhold permits from employers who do not follow the rules, the aim is to improve adherence to immigration laws through accreditation, not direct action that could disrupt the free market.
Following the recent revelations of record-breaking property sales in 2021 and indications from the real estate sector that there is currently very little property on the market to sell, agents are falling over each other to sell what is available in a fight for commission. CIREBA has dozens of real estate offices as members, with hundreds of agents working the market.
With commission rates ranging from 4% on the million-dollar-plus properties, up to 7% on those under a million and as much as 10% commission on commercial property, the business is extremely lucrative. But with so many properties being sold to overseas owners, there are those that feel the local property boom is not benefiting local people.
As real estate prices soar, young Caymanians are finding it difficult to buy a home and may struggle to meet mortgages or be unable to upgrade as their families grow. Having expatriate workers competing with local realtors is adding to concern about the impact the property market is having on the wider community.
Carving out real estate jobs as an area for Caymanians only is not a new idea. But as there is currently not enough business to go around, according to local realtors, the argument for making this a locals-only job has been raised again, with people calling for government to carve out real estate sales for Caymanians and place a freeze on permits.
However, Labour Minister Chris Saunders told CNS that rather than introducing blanket bans on specific types of jobs, the PACT Government is going to focus on accrediting good employers and penalizing the ones who are doing their best to circumvent the rules.
“We want to use an accreditation system to reward those who play by the rules and create opportunities for Caymanians, providing a smooth system for them to access permits when they are genuinely needed. But where employers have a reputation for failing Caymanians, then we will be watching applications closely,” he said.
“It’s about striking a balance. Many employers are Caymanian business owners as well, and we don’t want to disrupt the market with more draconian policies that would undermine what is a free market,” the minister added.
The idea is to avoid punishing good employers when they genuinely need staff, which would slow down their business, especially now when many small business owners are still struggling.
Saunders said this policy will apply to all sectors, including real estate, so when there is evidence that a real estate company has more agents on permits than it does local people, those employers will not get new permits.
“This is all part of a policy to focus on risk and intelligence,” the minister added. He said that carving out any specific type of job could undermine the future survival of Caymanian-owned businesses and the important thing would be an employer’s track record.
This means good employers with a strong balance in favour of Caymanians will be able to fast-track permit applications, while those who have not made an effort to train and recruit local people will find their applications are scrutinized much more.
According to its website, the Cayman Islands Real Estate Brokers Association has around 230 members, some working alone and others under a real estate office.
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Category: Business, Real Estate
Someone should set up a CIREBA agent rating website…we all know who’ll not be at the top of the most loved!
Squared!
The worst. Aggression off the charts.
Wish I had more than one like.
I’ll be the first to say that the cireba fixed commissions are beyond outrageous and such anti competitive collusion should be illegal.. but this notion that the agents set the price is nonsense, if they did every house would cost billions. It’s a free, if inefficient due to cirebas costs, market; prices are set by willing buyers and sellers and driven by supply and demand.
Listen dummies: with 285 licensed agents (includes many non-CIREBA) and only 25 permit holders, it’s probably a better Caymanian to permit ratio than the CIG. It looks like 12 to 1. How do we conclude from that data that there are more work permit holders than Caymanians? Are we really regressing back to the paper-Caymanian arguments again?
Signed a paper Caymanian or wannabe…right?
you obviously didn’t read the article. It said 25 in last year alone! PACT government only has teeth for the poor man. When you have money you play by different rules in Cayman.
You’re the dummy. There are tons of work permit holder real estate agents. Far more than 25. No one is complaining about paper Caymanians and to a lesser extent permanent residents.
It’s staggering that there aren’t more Caymanians in those jobs. Yes it’s commission but you don’t need any special training – all you need are sales skills. And there is a ton of money to be made.
This is both the fault of the agencies themselves who don’t do enough to hire and support Caymanians and Caymanians themselves who haven’t jumped all over this.
You don’t need to be connected to the rich and famous and sell SMB condos or Crystal Harbour make money in real estate, you can make a killing selling regular condos and houses in West Bay, Prospect, South Sound etc. You can even open your own brokerage. There are basically no barriers. The fact that foreign waiters, bartenders and secretaries are taking these jobs and making money goes to show that it’s about hustling. They shouldn’t be able to do it but they aren’t being crowded out by Caymanians who should be falling all over themselves for those positions.
I’ve owned a particular piece of property in a desirable neighbourhood since 1988. It’s never been on the market since I bought it, yet I have been approached by phone many times (unsolicited) by real estate agents (none with Caymanian accents) to sell the property. They finally got the point to “bug off”.
Seems like that the MO of some RE agents here.
I have some land in a desirable area and I took have been harassed unsolicited by foreign real estate agents to sell my property. I told them under no uncertain terms would I be selling and to forget my name and number. There is no money in this world that would make me sell my property and I have things set up that future generations will not so easily be able to do so either.
Oh, the inhumanity! Get well soon.
Don’t think you have to have a Caymanian accent to be Caymanian?
You can always tell who is actually Caymanian from who isn’t…if you cannot, you are definitely not from here.
Oooo, they are not ready for the accent argument! The wannabe North American English accent seems to be the standard around here. We are supposedly such proud people but show disdain and self-hatred towards things such as our very own unique accent. And we allow others to come in and dictate the way they would like to hear us speak and accept it.
If an agent calls you, it’s because a client has asked him/her to enquire on their behalf.
Don’t shoot the messenger for passing on a client request.
Pure BS. You think people afraid to make a call?
Instead of harassing people unnecessarily, the agent could let their “client” know that people do not like to be bothered by agents calling about land or homes that are NOT for sale.
How self important and xenophobic can you be? So what? I too have been asked several times. Sorry it’s not for sale. OK if you change your mind here’s my card. Thanks. Bye. … what a terrible hardship.
Poor you, having to pick up the phone. Good agents are on the lookout for new inventory all the time, but your suffering seems to be over.
Good agents do not unnecessarily harass people. Period. Being called over my home that is not for sale is a waste of my day.
The real estate business here functions much like the financial services business does (particularly the law firms). An expat works in the business for years, becomes “Caymanian”, then proceeds to hire nothing but expats. BS you say? Take a look at the websites for the prominent real estate companies and law firms on island. Tell me how many brown faces you see. And you can ramble on and on about how Caymanians are lazy, Caymanians are unreliable, Caymanians aren’t trustworthy, yada, yada, yada. The fact of the matter is, people come here with their own biases and preconceived notions of what “those people” are like, then proceed to look for evidence to support their biases. They do it at home, and they bring it here with them. You really think an entire nation of people are lazy and stupid? It’s the same BS game played all over the world. Label “those people” so you limit the competition. Its that simple.
1000% factual here. Truth over fame.
9:16 Well said
Caymanians come in all shades of color. I am a multi-generational Caymanian and my family tree has various shades of beautiful color. However, I do agree with you comment wholeheartedly. On all of the websites you can see they do not originate from Cayman.
Not all caymanians have brown faces .
I have owned several properties as a Caymanian. Starting with a ‘fixer upper’ then eventually made enough to buy a piece of land and build my own house. Every time I listed a property the first contact was from a realtor, even when I stipulated ‘no realtors’. They give you all the BS about how they can sell it fast at the best price etc, but I have managed on my own very well without them. I have no sales skills, I just present my work and let buyers decide themselves. All my properties sold quick. Realtors are just in it for the money grab and commision, they are disgusting people.
Not all are, I’ve met some really lovely realtors who are not in it for the transaction. Made true friendships over the years as well. We can’t pool them all together in that manner. Congratulations on selling your properties the way you wanted too!
Agreed, I know of a few who have made genuine connections with their clients that long surpassed the sale of their property. Not all are in it just for the money, of course who wouldn’t want to be paid, however it is not their sole drive.
8:41 agreed. My Aunt is in real estate and I know first hand that she puts her relationship with her clients first, regardless of the transaction price. There are sadly many who do not think this way and are in it for the money, however, we cannot paint them all with the same brush.
I like how you claim ‘Realtors are just in it for the money grab and commission.’ This can be said for many, many occupations. I expect you tried to get as much money for your properties!!! A money grab for you is good, a money grab for a real estate agent is not.
There is a difference between grabbing easy money and working for it. With my fixer uppers I put the work, time and money into it and then had it valued and sold all at or under the valuation. Do you see the difference?
@11:00am Yes, you forgot something and this is where your real estate agent could have assisted you.
You said you got at or under valuation price. Do you realize that there may have been someone out there willing to pay over valuation for your property? I wouldn’t underestimate or belittle all real estate agents in the same fashion. My real estate agent who is Caymanian had ready and willing buyers for my property. When he listed it, there were 4 people wanting to buy it, this caused a bidding war between them an I was able to to sell my home for 11% over the valuation price. This not only helped me but all the other owners in my neighborhood as my sale increased the value of their homes. The 5% fee I paid to the real estate company was well worth it.
THIS!!!!
If the rest of us colluded with the competition to fix prices at multiples of the fair price you’d be outraged too.
I have a solution, quit blaming expats for every Caymanian problem. get educated, work harder than your friend, work harder than the expat in the room, persevere.
Look here, not everyone blames your worthless hides for anything. We just want our Government to look out for our people and their well-being, as it should be in any country/island you go to. No locals should be struggling for work, housing, or daily necessities. Everyone should have access to jobs, a good education, and training. Yes, there are some that no matter what you do they won’t go farther than beyond their own nose. However, this is found world wide. Not just here.
Dr. Martin Luther King was a proponent of universal basic income which would give every American a basic monthly survival income. He was murdered before it could come to fruition.
President Richard Nixon was also a proponent of universal basic income, but that bill narrowly failed in congress, and we all recall the Watergate scandal.
Two very different people, but both acknowledged the need for basic support.
Millions of Americans are thankful for the social security and Medicare programs.
PACT should listen to this…it is the call of the entitled guest that Aldart created.
Does anyone have a list of Caymanian realtors? Actual
Caymanians, not ones who join the real estate game and bought their way to stay here. Would be nice to know who to give business to!
Kiara McLaughlin at Century 21 is a born and raised Caymanian. She attended Clifton Hunter High School and has represented the island many times in her track abilities.
9:24 Wonderful to know! Are there any others?
Jennifer Powell and Dwayne Dixon
Century 21 seems to be one of the only companies hiring locals lately…pleasant surprise since they used to be anti-caymanian discouraging people from joining real estate because they “lacked experience”. Although, those I have heard joined have yet to be announced on their website or social media.
MOD Realty Ltd is an independent agency and has a FULL caymanian team and not paper caymanian either
http://www.modrealtycayman.com
Phenomenal! Definitely a company I would list with in the future
There may be Caymanians hired as agents, the question is whose interest’s are they representing working in these expatriate and cayman status holder directed firms.
How else are they supposed to get into Real Estate? Can’t win for losing with you lot, complain about everything under the sun.
You must be from South Africa
Your comment makes no sense.
Jennifer Powell at Property Cayman. The brokers themselves are questionable but she is a gem!
Jennifer Powell. A superstar at Property Cayman (and there are other Caymanians there).
She is the only one there that I is actually Caymanian. Their two new hires are foreigners.
Not true. Carol Ann Balls and Michael Joseph, both Caymanians. There are others. Carol Ann is even a former Miss Cayman.
Yes, a list would be very helpful! I have heard that there are some new agents coming into Real Estate, for various companies, who are Caymanian. It would be good to get the names of these ambitious Caymanians out there so that they can get our business.
Here a list of born and bred Caymanian professionals that I know in the Real Estate business. Be kind and give one of them a call and show your support when next you decide to buy or sell. Wish the list could be longer but these are great people to work with..
Pam Parsons
Phillip Wood
Edna Ebanks
Roy Powell
Harriett Lott
Kiara Mclaughlin
Alex Cowan
Bessanio Dilbert
Bianca Alberga
Maria Alberga
Brian wight
Dave Scott
Chaz Clifford
Cindy Raymond
Dale Crighton
Tammy Crighton
Duke Tibbetts
Olson Anderson
Courtney Henderson
David Gordon
Matt Brown
Charley Brown
The list is longer.
Howard Mclaughlin
So now we have the Saunders rule, with no basis in law, that if your workforce is less than 50% Caymanian you don’t get any more permits? Well OK, but good luck enforcing that unless you actually get off your butt and pass a change in the Immigration regulations. Oh I forgot, it’s was a throw away comment to try and avoid criticism – you have zero intent of actually applying it, do you? At a stroke you would decimate the ranks of the realtors in this island and attract the wrath of all the real estate business owners who are milking their crews of realtors for agency fees and a proportion of their commissions in exchange for branding and web site access. And that’s before the financial services sector weighed in terrified the same rule would be applied to them.
One question: Why are you still here if the Cayman Islands are such a horrible place to live?
Yeah, because only an expat would criticize government policy on immigration. You realize the post was crucial of government not having the cohones to make real changes, right? Where in the post do I smash Cayman is a terrible place to live – it’s criticism of the government and the real estate mafia. But your reaction is the same old don’t let the plane door hit you in the ass. You know what, we deserve the government we get when we elect spineless or corrupt idiots.
7:42 am You are correct, “… milking their crews of realtors for agency fees and a proportion of their commissions in exchange for branding and web site access.” That is precisely what is happening.
Saunders is a joker touting this accreditation system nonsense which is what Franz was pushing years ago. It was rejected then because it would not benefit Caymanians. If he truly wants to help Caymanians, especially our young, educated young people, he would get the chutzpah to stand firm and slap a moratorium on any more work permits (including renewals) for real estate agents. He would have discussions with CIREBA with a view to establishing a proper training program, open to all Caymanians to gain a license to become a realtor. Negotiate a reduction in fees and have a more level playground for Caymanians in real estate. At the same time he would ask Franz for a list of foreigners who are working in the civil service. Then he and his Cabinet would put a stop to these people being allowed to work in positions indefinitely, thereby blocking Caymanians from employment. He should also ask Franz for a copy of his succession plan for positions throughout the civil service, enabling upward mobility for Caymanians. Trust me there is no real plan. Look at the many foreigners who have cemented themselves in this country through their civil service positions? You really want to help Caymanians Chris? Ok, good. Now go do it! Stop playing games and falling for elaborate presentations about accreditation systems, and other distractions, that are not grounded in reality. Those of us who helped put you where you are are watching you Chris and not all of us are fool fool.
If he really wanted to help young Caymanians, not just those who wanted to become damn realtors, he’d ban price fixing by cireba which allows them to charge the highest real estate transaction fees on the planet.
The Cireba price fixing cartel should be illegal. 7% commissions even 4% are ridiculous. In the UK it’s under 1%. If this government cares one bit about the cost of living here they would shut this scam down now!
Oh shut the hell up. The UK is the biggest joke, who wants to follow their lead?
Yes, who would possibly want to pay a fair price for what is a straightforward service? Madness.
It is not as straightforward as you may think. I am beyond grateful for the realtor we used as she made the process very easy and stress free for us.
If you need your hand holding to the tune of 7% through a simple real estate purchase that’s your issue.
When you land yourself into legal issues and wish you had a Realtor to guide you, don’t come crying.
Total BS, never used a realtor. I have always used a lawyer, no realtor in sight and none needed. They like to fool you with exactly that type of comment though.
Lol. Pretty certain the last time I bought property my lawyer charged me about 2 grand. You know a real lawyer not a hairdresser with cireba certificate.
Lol. It’s really very basic. That’s why you can be a bar tender one week and a realtor the next.
Yay the UK is a joke we want to pay 7 times as much for a basic service. You’re either an idiot, a realtor or both.
Hi realtor!
At the end of the day, the Real Estate company/agents are the ones that are driving up the price. So, i say get rid of the foreign agents, send them back to sell in their own country and let caymanians sell Cayman Islands properties. So that also means whether the company is owned by a Caymanian/family or not PACT should force them to hire Caymanians only. No excuses because there are some Caymanian business owners that only look to hire foreigners and use the excuse about lazy Caymanians to justify getting cheeper labor and cut Caymanians out of work.
Completely agree, Saunders and PACT should make it law that going forward ONLY Caymanians can be realtors. They may not be able to currently revoke the work permits, but the second they are up, send those people packing. It is ridiculous that the real estate market is flooded with foreigners selling Cayman. Disgusting really. It you look at any of their websites you are hard pressed to find an actual Caymanian. They are almost all expats, currently on permit or managed to wriggle their way to status. Crying shame.
Tyree and 8:04, I couldn’t agree more with your sentiments
Fully agree, Caymanian realtors ONLY!!
So the concept of demand and supply driving price is come wrong – it’s all down to the real estate agents. Got it. And I am sure that Caymanian rea estate agents would charge a lower commission because they are just nicer people.
The CIREBA Cartel is artificially increasing the cost of real estate by adding their ridiculous commission to the cost of the property. They are convincing sellers their property is worth more than it actually is worth. They have zero skills in the proper valuation of property and rely on comparisons from recent sales.
If the Government is serious about wanting to make home ownership accessible to all Caymanians, it should regulate the rate of realtor commission to around 2% on property under 1000,000. Mr Panton and Mr Saunders, please follow up on your promises to your people and stop the greed that is making home ownership impossible.
That is not how pricing works but okay, go off sir.
Chris, stop pussyfooting around with the real estate companies.
From ÁLL aspects it would benefit if only Caymanas could be real estate agents.
Chris, time for you to now put Caymanians first.
Stop pandering to you foreign and rich controllers.
Agreed! PACT has more than solidified themselves as being a one term government. All they did during their campaign was blow hot air…they were never for our people. Their actions,or lack there of probe that every day
Leave the gun — take the cannoli BoBo
Let’s pretend that my name is XX and I am willing to purchase a house/condo from YY. If YY is desperate to sell, XX may be able to purchase for less than the assessed value, and if XX is desperate to buy, YY may sell it for more than the assessed value. Either way, without getting into any exceptions, the buyer pays government a transfer fee of 7.5% of the assessed value or purchase price, whichever is higher.
Note that there is no need for either XX or YY to have a real estate agent involved in the transaction. That is a choice usually made by the seller in the hope that the real estate agent will bring in a buyer more quickly, and for which the seller is willing to pay a commission. The sales agent does not get one red cent of the government’s transfer tax.
Now let’s look at some facts. The value of real estate transactions last year was in excess of $1 billion, which means government collected around $75 million in transfer tax.
You didn’t have to attend Ms. Kippy’s Business School to see that the more people involved in encouraging others to buy and sell property, the more money will flow into government coffers. On top of real estate agents assisting with the flow of money into government coffers, they also have to pay government for their permits!
Now if anyone thinks that canceling real estate sales permits for foreigners will suddenly drop $200,000 in sales commission in their lap for telling someone about an expensive condo for sale on 7MB, it’s not as simple as that.
Your MP will tell you whatever you want to hear as that’s the nature of a politician, but they will never take any action that might slow down the gravy flowing into their personal slush fund.
Real Estate agents collected $70M in commissions. What is your point?
It was a read and comprehend post. Not intended for you.
Quit listing with expats, problem solved.
I would never list with one, that’s for damn sure. Only ever used Caymanian realtors. Not helping to line their pockets or give them reason to stay here. Go back to where you come from.
8:10 Preach. Would not give those foreigners the time of day, they are constantly hounding me for properties I own. I refuse to assist any of them in making a sale off of me.
Caymanians needs to look at all of these real estate companies and seek to buy, sell, and invest in properties with the Caymanian realtors. That will certainly send a message. There are far too many expatriate realtors in these islands, it is highly discouraging.
Caymanians boycotting expat realtors will be a mosquito bite on the commissions and real estate turnover. Who do you think is buying the multi million dollar homes and condos? You think an expat lawyer here on a work permit will boycott a fellow expat? You think a New York millionaire looking for a holiday home will insist on a Caymanian realtor? or even understand the difference?
It would be a step in the right direction. There are still many Caymanians who own great properties here, listing with a Caymanian agent would make a big difference rather than listing with a foreigner.
It is not necessary to block the permits, simply make the cost compatible with earning POTENTIAL. Make the cost similar the a law firm managing partner. Many of these “agents” are really useless and have little ability except the to smooth talk sellers and buyers. None are really necessary and do very, very little “work” for the excessive commission.
Another possibility is to legally set the commission level to 2% across-the-board regardless of the property value.
You clearly do not understand all of what an agent does. Furthermore, while there aren’t many, there are Caymanian agents and we should not look to cripple them.
Oh I actually do know what they do. It is not very much and very simple. I have actually been involved with 2 long-time CIREBA certified agents that handed over the signed transfer document days BEFORE the money was paid to close the transaction. Knowledgeable? I think not.
A small flat commission rate and high GOL would make many agents drop out. Thus leaving the property pie to be divided into fewer pieces. Therefore the local agents stand to get more listings and thus make more. Also it would assist with the cost of living since a commission is a percentage.
Why isn’t the Realtors charged the same licensing fees as banks? Sales in excess $1B which equates to $100M tax free to those Real Estate companies. Mr. Saunders Tax Free income. That is more profits than banks.
The Labour (National Minimum Basic Wage) Order 2016.
Section 3(2):
‘No more than 25 per cent of the National Minimum Basic Wage of an employee who works on a commission basis may be comprised of commission payments and, for the purposes of the computation of that employee’s wages, that is to say, no more than $1.50 (Cayman Islands Dollars) per hour may be allocated from the commission earned by the employee and put towards meeting the National Minimum Basic Wage of that employee under this Law.’
A ‘commission only’ arrangement would not comply with these provisions, and it is not possible to contract out by reason of the operation of section 5(2)of the Labour Act.
Many companies get around this because they say that the agents are independent contractors, so essentially they work for “themselves”. So this doesn’t really apply in that instance….loophole
Funny that. The work permit applications say they are employees. Are you suggesting criminal fraud, in addition to breaches of pretty much every regulatory law?
Depends on the company, some have employees and some do not.
Why don’t you look into it if you are so well versed?
Lest we forget the Real Estate sales over the last two years resulted in a large Stamp Duty collection by GIG.
Where do you think the budget surplus and ability to pay the stipends came from?
It came from the foundation of a welcoming community that is now rolling up the mat. Well done Eric and Alden. You pushed it too far. Class Act.
It came from the private funds law and the accounting firms primarily
something something financial services.
private funds act !?!
So what? You think people only bought property in Cayman due to the brilliance of our realtors? Lol
For the most part, yes. They brought in the big money investors.
Realtors are just like vultures. Never used one in my life. Incredibly easy to buy and sell these days because of this thing called the internet.
Just bought a place in Florida this week using a title company. Cost – $1,100 instead of a commission that would have been $14,000 using a realtor.
The place I bought here basing my offer on the MLS sheet… Come to find out was not even valid correct information.
Yeah, I’ll pass on a realtor.
@1:40
If you paid $1,100 in Florida to BUY a property, the joke is on you, Bobo. In the Cayman Islands, sales involving CIREBA brokers and agents, the commission is paid by the SELLER NOT the buyer. Shall I lend you a towel to wipe the egg off your face? LOL
Because out of 300 agents 30 are caymanian and the other are foreigners.
Cireba gives out exams easy and giving everyone a new ride with there new branding.
30 Foreign real estate agents making most of the sales in Cayman.
It is senseless to make policies to carve out jobs for Caymanians when you are creating thousands of experienced new Caymanians every year. How can our young children compete with them?. Isn’t it time to stop this madness.
PACT, especially Saunders, shows their true colors in this. It is beyond ridiculous that he cannot take a stand to keep these real estate jobs for Caymanians only! Bodden Town West, I hope that you all are paying attention and can see past the friendly emails and school kits. What a let down. Those of us few Caymanians in real estate should be protected from the expats on work permits competing with us for sales. You Mr Chris is now in charge of permits so go and see the immigration status of all workers at real estate companies. See how many your staff and Boards are giving out status, PR and work permits to these people.
They’ve got the commissions backwards; should be less for the small fry and more for the millionaires who can afford it. Dismantle the cartel
THIS 😀
Honk honk
Is it really that difficult to train Caymanians to be real estate agents?
It is if they refuse.
Exactly. I applied for a job with them as a bright young Caymanian college graduate and they refused to move forward on the basis I had no experience. Imported bartenders and dive masters told me I had no experience. That was 25 years ago. It has not got any better (except for those imported former bartenders and dive masters).
Might help if they actually turned up for work on time and didn’t take 3 hour lunch breaks.
Being a Real Estate agent is essentially one never ending lunch break.
Yes. Just as hard as training them to be accountant, lawyers, fosters checkout workers, bar tenders or pilots. Of they were willing and capable, no one would pay work permit fees and the island would not be 50 per cent expats. Fact is they are not capable.
Actually, the island would still be 50% expats, 20,000 Caymanians can’t fill 40,000 jobs no matter how hard you try. The best you could achieve would be for Caymanians to have all the best jobs but… here’s the rub… you can’t force a company to hire someone who can’t do the job any more than you can force a square peg in a round hole. They always have the option of not hiring anyone.
And giving Caymanians an entitlement to the best jobs would remove the incentive for them to work hard enough to earn them. It’s a catch 22.
You don’t get it. Train your,self,,, your comment says it all. Caymanians expect it for free! Expats willing to work for it
This is exactly why we despise you pieces of driftwood that wash up on our shores.
Impossible. They’ll have to smile, be polite and helpful.
Someone of your wonder why Caymanian’s hate you and show that hatred. The anger and hatred stem from small minded comments like yours that class all Caymanians as one. There are bad apples in every country but not all people should be pooled together. If you do not like Caymanians why are YOU in OUR country? Go tf home.
When I got out of school in 2013, I wanted to be Real Estate Agent young and vibrant….I got discourged when I was told by an expat…wont say the company…. That the market was terrible and it would be a struggle if I got the job.
It’s called eliminate the competition. I’m sure they also said that to other expat’s who would want to take their jobs. Sorry, it’s not always ‘poor old you!’ And who knows, he/she may have been correct – – you would have to actually hustle for your commission. Were you actually expecting to be told – ‘Hey, this is a super easy job and you’ll get rich tomorrow.’
Have to protect the cartel, $70M in commissions this year.
Given the cost of property in Cayman now, there is no reason why real estate companies should not reduce or even waive their commission on properties under 500k, to 3% and Government could do the same with stamp duty, or maybe reduce it to an acceptable rate of say 2%. Local youngsters will never be able to afford anything in their own country.
Given that there’s so many properties of 1 million and up – there’s still plenty of money to be made by these greedy real estate agents.
The ignorance of these comments is so typical. So a rich Physician should cut their fees by 1/2; a prominent Accountant should simply work for less. I suppose if you start a successful business you will then simply start giving away your profits. Sheesh some folks are dumber than a bag of sand.
The commissions are ridiculous. It the same amount of work, possibly less to sell the same condo as 5 years ago, yet you have to pay twice as much.. If you don’t play by their rules they blacklist your property, the agents work together like an oligarchy to ensure they can keep getting their outrages fees.
You dont have to use a real estate agent if you dont want.
And a real estate agent/firm doesnt have to join CIREBA.
You can sell your property on your own. Good luck with that.
Thanks for informing the public of this. It also has nothing to do with luck, it’s how we caymanians historically dealt with land and real estate transactions on our own quite fine before you lot showed up.
There are Caymanian realtors who we SHOULD be supporting.
Same old crap! So basically we will create more pointless positions where they are not really needed to do meaningless work that will have exactly zero positive impact on those who really need it, but will add additional red tape and burocracy to an already convoluted process which in the 30 plus years it has been in existence cannot be honestly proven to have benefitted anyone, either local or expatriate.
We need to focus on inclusion – what is it that us Caymanians need so that we too can join the Cayman Dream, obviously exclusión has not worked or this discussion wouldn’t still be going on all these years since the very first Cayman Protection Board.
Lol
What nobody seems able to discuss is the globalisation of the Cayman economy. Look I get the difficulties with local employment BUT and this is a big but…when you open up your economy to compete internationally, you need the best people to serve that economy. That talent comes with a wealth of experience and skills. Experience and skills that aren’t available locally. The industries, tourism, finance and real estate are global. Do you really think an island with circa 30,000 locals, only say 12,000 of which are in the right age range can compete with a global talent pool of 7 billion people? Be careful what you wish for Cayman because with global home working there is more than one way Cayman based firms can employ people.
LOL. 230 agents on these tiny islands
Best people? How many of these brokers came here years ago as restaurant servers, dive masters and other service industry workers?
In some jurisdictions a realtor is a financial services professional and is registered with the respective securities commission/financial advisory oversight body. That’s far from the case here and Cayman’s barrier to entry is a lot lower. Don’t get me wrong as I recognize the necessary skills of learning the local market, applying customer service and above all putting in the hustle, but let’s not pretend that this industry is only available to those with an elite education and background.
My suggestion would be to require each firm implement a training program to bring up young workers and have then shadow the brokers to learn the various aspects of the trade. Demonstrate how to research property transactions, inspect a property, conduct meetings, take photos and market to your audience etc.
Of course there’s always the fear that you’re creating potential competition, but if the demand is as great as you say then you should be confident of growing your talent pool.
The law has required them to train locals since 1972. They haven’t. No one has made them. The lack of enforcement is directly related to corruption.
Bro, it takes close to 0 talent to sell real estate. Some charisma and white teeth. That’s it.
I might buy your global talent argument if you’re talking about something for which multiple years of tertiary education is required.
If you gave them a MENSA test the collective score of the top 10 brokers wouldn’t beat out some kid at Cayman Prep.
They got lucky- right place right time.
True of those jobs that need significant experience and professional qualifications. Real estate agents 😂😂
A lot of young Caymanians are thinking of leaving to the UK because there is no land or affordable housing here anymore. Even with a good job, it’s hard. Our governments past and present have really failed us.
The land is cheap and plentiful in America too.
4.45pm But they don’t have U.S. Passports, only U.K. ones.
A U.S. passport will lead to better weather than the U.K.
7.00pm This must be sarcasm given all the recent storms and flight cancellations in the north east.
Enough Caymanians are born in Miami…
True. But they aren’t going to find good paying jobs that help them buy in the UK either… Get an entry level job and work up. Or do what is easiest and get elected to office so you can grift your way into affording a fancy life.
At least there will be a level playing field in the UK. That is all Caymanians need. With a college degree you can move up and have opportunities for advancement (including training)…unlike in Cayman even Masters degree will get not even get you a job currently occupied by a work permit holder. Employers generally prefer someone on a work permit rather than invest in training a Caymanian
If a lot of young caymanians are thinking of upping sticks to the UK to seek affordable housing then I’m afraid they’re in for a shock.
Property prices within 50 miles of London in any place you’d actually want to live are eye watering versus the salaries people earn. And then there’s the (rising) taxes to consider. Of course, you could live somewhere cheaper further out. But then good luck finding any kind of work that’s going to pay you much more than the equivalent of about CI$35k. And then you’re taxed on it.
The idea that Cayman is the only place on the planet experiencing a crisis of affordability is completely wrong. Housing in the UK has been unaffordable by virtually any historical measure you choose for well over 20 years.
Cayman isn’t unique.
Pastor Alfredo
Emigrating to the UK is not a solution, as was once thought to be. Most Caymanians that emigrated during the first wave in the early 2000s have long returned home, albeit not really a better position than when they left. Full British Citizenship to overseas territories citizens was only reinstated in the British Overseas Territories Act 2002. But don’t take my word, try it for yourself. You will be disappointed.
Caymanians have failed themselves. Taking responsibility for your life is not taught in this culture and it shows. Those that do will live and thrive. Those that don’t will fail and complain and blame to the end.
But they continue to get their business licensing, Caymanian ownership, labor law and health insurance carve outs, right? Pretty much the whole industry would fail any regulatory scrutiny so it’s good to know there is no risk. We cannot have people thinking laws are there to be followed all of a sudden, especially in a field prone to risks of money laundering.
WORC has never been about securing employment of Caymanians…their mandate has been dictated by weak leaderships…..merely tasked with making permit processing and regulation circumvention easier for the employers……..first PPM and now PACT both stupid shortsighted men.
It helps to keep the civil servants dumb. It makes them much more compliant.
So far, so good.. So what!
Grab your popcorn. The comments section will be a treat!
The last thing we need is more imported Real Estate Agents. There should be complete block out of work permits for these positions.
Where are the comments glorifying Bermuda now?
Ban on work permits for real estate agents has been in place there for donkey years.
Caymanians selling all the empty property and Caymanians, Caymanian government all approving the building of some of these ultra high end South Beach type monstrosities and tearing down of the beautiful greenery. Don’t blame ex-pats or foreign buyers on this one.
Compare how many buyers and sellers are 1st and 2nd generation Caymanians vs. local multi-generational Caymanians.
In case you are new to this, 1st and 2nd generation ARE “ex-pats and foreign buyers” who have simply exploited legal loopholes, to obtain “status”, that were left open and foolishly expanded during the tenure of the last government of 8 years. Their dispositions of unethical dealings are just starting to come to the light of day.
Don’t conflate all newcomers with all locals. Those social circles rarely mix willingly anyway, unless there is some financial or personal benefit involved.
Facts or truth?
How about tying their permit renewal fees to their previous years sales commission.
Those numbers would never be honest
All the brokerages are Caymanian owned or licensed offices of international real estate multinationals. With 285 agents (includes non-CIREBA) and only 25 permit holders, it’s difficult to understand why anyone has an issue with that kind permit-ratio. It might be a better ratio than the CIG.
They are all Caymanian owned.
Almost all a scam. Few would survive proper regulatory scrutiny, if anyone actually applied our laws.
There is a fine line between being good at what you do and having a monopoly. Once you cross that line you control the market, the costs and the competition. If there was competition then commission rates wouldn’t be anything like they are. On a billion dollars of sale last year, and an average of 7%, the realtors collectively pocketed approx $70mio. Some very rich people controlling this pie!
I’ll never understand why CIG ever issued a single realtor wp. Way too late now. Hundreds of millions of dollars in commissions gone to wp holders and now status holders. It’s not like anyone ever chose to buy in Cayman because of our ‘world class’ realtors, except perhaps non-resident investors.
CIREBA is a private organization that some seem to think is Government protected with their commission rates. It is a cartel…it’s that simple, a cartel. If you are a non-CIREBA broker or private seller on Ecay or Facebook, good luck getting any interest from brokers UNLESS you agree to give them massive commissions for doing nothing.
In the UK, the AVERAGE Real Estate Commission is just over 1%. See link below.
There is no reason for Govt to continue to look the other way with the CIREBA cartel. All commissions should be set by GOVT simply due to the clear and unjustifiable heights the current CIREBA cartel rates sit at.
It would be FASCINATING how many CIREBA agents disappear if rates were more reflective of the UK levels…i’d suggest, 90% gone overnight. CIREBA agents also police themselves which is laughable. of course, it’s a real talent to stick up a sign and host an open house so getting $500,000 on a condo commission is fully deserved!!! Maybe i’m just jealous, but in truth, there is no justification for these rates. The party should end OR let them have high rates for 2nd home buyers but any local permamant residents are all at 1%? Maybe that’s the way to help us try to afford something here too.
https://www.movewise.co.uk/articles/estate-agent-fees
the most recent figures put the average estate agent fee for a sole agency contract at 1.18%+VAT. So including VAT that’s 1.42%. That means if your home sells for £275,000 and you agree to this fee, you’ll be paying the agent £3,905.
In our opinion, this is reasonably good value for money. However, for higher-value properties – such as those over £500,000 – agents are often prepared to accept lower fees, which is worth bearing in mind.
The rates here are a clear anomaly. They only exist due to the price fixing of CIREBA. In a free market I expect they would drop to UK levels, the number of agents would be decimated and the average agent would sell multiples more than they do.
Why does a realtor need outsiders to sell/rent properties at all, this is not a special skill job and there are many dynamic local youngsters with splendid gift of the gab, why not groom locals for this particular job. Have wondered this forever.
The value of property has doubled or tripled in the last 5 to 6 years but rates have remained the same.
A $3 million condo on SMB is probably now selling for $6 to $7 million. So a $240 to $280K commission now vs $120K a few years ago. Certainly there is no incremental effort required merely because the price went up!
Very little property for sale? There are 1,011 sales listings currently on the CIREBA site.
There is ample opportunity for a Caymanian that is poised, with some education (and no criminal record), to join almost any real estate firm in place of a expatriate if they wanted. Most of the large firms have substantial difficulty in attracting Caymanians and thus have to seek expatriates.
But they have to be willing to accept an uncertain income, and have to work their way up — they arent going to be allocated a $10 million listing at WaterMark on day one!!
Lies. There are MANY young Caymanians, myself included, who want to get into real estate in our beautiful islands. We are TURNED AWAY because “lack experience” just for these same companies to bring in their expatriate cronies who have NO relevant experience.
The only one who seems to have unrealistic expectations on day one is you… no young Caymanians expect to get a grand listing such as the one you mentioned off the bat. They are more than willing to start small and work their way up; they just need to be given the opportunity.
This area should definitely be only for Caymanians.
However, the commission paid to agents should also be reduced.
Gov should charge a surcharge for purchashers who don’t actually live in Cayman. Need not be a HUGE amount, it won’t deter the wealthy who are merely buying here for investment and to add to their real estate portfolio.
Cayman in a nutshell.
Foreign devlopers funding development in Cayman.
Construction companies that hire foreigners (and ownership is predominantly foreign – DECCO for example)
Stamp duty waivers given up the wazoo
Foreign buyers that buy the property
Foreign real estate agents that sell the property and make commissions.
Gov could have fixed the issue 25 years ago by charging these overseas buyers a higher rate. Why, as a local must i pay the same stamp duty % on a residential house that a foreign investor pays on an investment property.
Why are stamp duties being waived for institutional developers. Why are they even charged the same rate if not waived?
Easy answer – Gov doest care. Gov really messed up the strategy with property here. The cut of the cake locals and gov get is miniscule in comparison to what the private companies get.
I am a ‘paper’ caymanian. Even as someone who moved here i think the way its run is completly wack.
Well this is quite a departure from the PACT campaign promises. Big money firms will keep ‘selling Cayman’ and taking care of their own expat work force. PACT all showing us their true colors now. Develop, sell and rich get richer. Nothing in this for Caymanians.
Not many caymanian real estate agents. And it’s even less dark skin agents. Ask yourself why.
Because very very few locals will work at commission only jobs !
You can be Caymanian and white you know !!
You understand commission-only jobs are illegal in Cayman, right? Do not take too much comfort from the fact that inept or corrupt regulators are yet to do anything. Karma is coming for her cut of the action, with interest. It is well past due.
No point in voting that comment down. It is a fact. Commission-only jobs do lot comply with the minimum wage laws of the Cayman Islands be anyone purporting to employ someone on the basis of commission only is committing an offense.
How about a job with minimum wage, significant commissions s, and employee fees to use the office as a sales base, use the brand etc which conveniently amount to the minimum wage element or exceed it ?
Sure, as long as $6.00 an hour is paid by the employer, WITHOUT recovery from the employee, for every hour of sick leave and vacation, then it would be legal. But for most it is not. So it is not legal, and the cabal are frequently outside the rules.
Not a problem though. It is not as if they are prone to risks of money-laundering or anything important like that.
Please add a link to where the law says that commission only jobs are illegal in Cayman. Or state the law and details as to where it can be found. Not just a general statement but which law, which section which paragraph.
Labour Act. In particular the sections as to minimum wage. Just because our civil servants are too corrupt or inept or under funded to enforce it (and if under funded, because their masters are corrupt or inept) does not mean it is OK.
The Labour (National Minimum Basic Wage) Order, 2016.
Now that we have established that the cartel is in many cases literally acting unlawfully, what you going to do? Bad boys, Bad boys …
S.22(1) Labour Act (2021 Revision).
There is no much thing as a white Caymanian. They are mixed, some are just light skinned. Though there are man unwilling to accept their blackness and want to pose as white.
8:56 This is a discussion many are not ready for.