The Costly Reality of Online Booking Platforms
International platforms take a substantial cut from your rental income. In addition to their 15-20% commission, property owners in Jamaica often suffer from:
International Wire Transfer Fees – Many banks charge upwards of $35 USD per transaction, just to send or receive money from abroad.
Unfavorable Exchange Rates – Banks and payment platforms often offer rates that are far lower than market value, further reducing your earnings.
Withholding Taxes – Depending on the platform, you may be subject to additional tax deductions before you even receive your money.
Chargebacks and Disputes – If a guest disputes a charge, these platforms tend to side with the customer, often leaving property owners at a loss.
Why Realtors Offer a Smarter Alternative
Renting through a licensed Jamaican realtor eliminates many of these hidden costs and headaches. A local agent handles payments in JMD or USD, allowing owners to avoid unnecessary international banking fees.
Dean Jones, a seasoned Realtor Associate in Jamaica, puts it plainly:
“Why should property owners be the ones suffering? You invest in your property, maintain it, and provide a service, yet you’re the one losing out on both ends. The system is designed to take more than it gives.”
With a realtor, you benefit from:
Lower Fees – Instead of paying 20%+ in commissions, realtors charge a flat rate or a much lower percentage.
Direct Bank Transfers – Payments go straight to your Jamaican account without additional international fees.
Local Legal and Tax Compliance – Realtors help you navigate Jamaican rental laws, tax obligations, and tenant agreements with ease.
Pre-Screened Tenants – No worrying about fraudulent bookings, cancellations, or last-minute disputes.
Long-Term Stability – Realtors often facilitate long-term rentals, ensuring consistent income instead of unpredictable short-term stays.
Understanding the Tax System for Jamaican Property Owners
When renting out property in Jamaica, taxation can be another burden that international platforms don’t help you manage properly. As a property owner, you may be liable for:
Income Tax on Rental Earnings – Depending on your residency status, rental income may be taxed at standard rates.
General Consumption Tax (GCT) – If you earn over a certain threshold, you may be required to register for GCT and charge 15% on rental services.
Property Taxes – These must be paid annually and vary based on the location and value of the property.
Realtors like Dean Jones stress the importance of proper tax planning:
“Too many property owners ignore taxes until it’s too late. Booking platforms won’t save you from penalties, but a good realtor can help you structure your rental business legally and profitably.”
Making the Switch to a More Profitable Model
While online platforms promise exposure and convenience, they ultimately take more than they give. Working with a local realtor provides financial transparency, stability, and greater profitability for Jamaican property owners.
Instead of paying ridiculous fees to middlemen, consider renting through a trusted real estate professional. In the long run, you’ll keep more of your hard-earned money where it belongs—in your pocket.
Thinking of making the switch? Contact a licensed Jamaican realtor today and take control of your rental income.