Soneva Villa Ownership Frequently Asked Questions

This can take from 6 to 24 months depending upon customisation.

Villa ownership is structured on a sub-lease basis for the duration of the lease of the Island by Soneva and the Maldivian Government. Any future lease extensions will be passed onto the buyer at a formula equal to (1/total number of villas) x lease extension price for the island. At Soneva Jani, the remaining lease stands at 89 years (as of December 2024), and at Soneva Fushi the remaining lease stands at 70 years (as of April 2024).

Currently there are no mortgage facilities offered locally for international buyers.

Ownership of a villa is transferred pursuant to Tourist Resorts (Transfer of Rights) Rules No: 2010/R-14 published in the Maldivian Government Gazette on 9 December 2010. On handover of the villa, an application will be lodged with Ministry of Tourism to obtain a ‘strata title’ which will be a conclusive evidence of ownership of the villa.

Villa owners are primarily liable to two taxes i.e. (i) Tourism Goods and Service Tax @ 16% payable on the gross invoice value at time of purchase; and (ii) Withholding Tax @ 10% on the net profit from rental revenues. These rates are in accordance with the current laws in the Maldives.

Ownership insurance provides the resort and villa owners with insurance coverage against damage to the contents of villas and liability for accidents. This insurance includes buildings cover, personal accident, plant and machinery, electronics, natural perils and fire. More information can be provided on request.

Ownership is Sub-leasehold. The villa ownership will be on a sublease basis for the duration of the lease of the island by Soneva and the Maldivian government. Any future lease extensions will be passed on to the buyer at a formal equal to [(1/total number of villas) x lease extension price for the island].

Ownership will be structured via a series of onshore and offshore legal agreements. These agreements comprise, but are not limited to, a Reservation Agreement, a Lease Agreement evidencing the buyers’ lease rights on the land, a Villa Management Agreement, showing Soneva’s exclusive right to manage the property on behalf of the buyer, and a Villa Rental Agreement, which shows the terms of rental of the villa.

Soneva uses in house expertise, top contractors and construction companies in the Maldives. For any new build villas, we commit to a two-year construction period, with construction commencing on the following low season (from May 15th of every year). Usually the villas are built well within the one year period.

You may choose to resell your villa once full payment for your villa has been received and only after construction has been completed.

Soneva is offering to resell your villa for an assignment fee of 3% of the resell price. The owner can alos decide to resell the villa through their own channels. The owner has the right to decide on the selling price, however, Soneva has right to the first offer. This investment is not capital-guaranteed. Please seek your own legal and financial advice prior to any investment.

The developer’s written approval is necessary if you wish to modify the floor plan/layout of the villa, the exterior of the villa or the materials used in the villa’s construction. Villa owners who elect not to join the Rental Pool may alter their villas to the extent that the alterations do not affect the exterior of the villa itself or the appearance from the exterior.

The developer offers a five year construction warranty on the newly built villa. It should be noted that all villas at Soneva are constructed using the highest quality materials, which have been selected specifically for their durability in order to withstand the demands of a tropical climate. All internal fixtures and fittings come with a manufacturer’s warranty.

The payment schedule for a new plot on a villa yet to be built:

• A 10% deposit is required to secure your villa (refundable, on cancellation within 30 days)
• An additional 30% is due upon contract execution
• A further 30% due upon ‘roof on’ stage
• The remaining 30% is due upon completion/handover of your villa