👉 Got Questions About Bahamas Real Estate? Click to Ask Glenn 

1. Can foreigners buy property in The Bahamas?

Absolutely. Foreigners have the same rights as Bahamian citizens when it comes to property ownership.

• There are no restrictions on the type of property you can buy, whether it’s a luxury estate, a vacation rental, or a private island.
• For properties exceeding $2 million, buyers may qualify for accelerated permanent residency.

2. What taxes should I expect when purchasing property?

The Bahamas is known for its tax-friendly environment. Here’s what to expect:

• Stamp Duty: Typically 10% of the purchase price, shared equally between buyer and seller unless otherwise negotiated.
• VAT (Value Added Tax): Included in the stamp duty calculation.
• Annual Property Tax:
  • Properties under $250,000: Exempt.
  • $250,001–$500,000: 0.625% of the market value.
  • Over $500,000: 1% of the market value.

3. How can property ownership help me qualify for residency?

Purchasing property can open the door to residency in The Bahamas.

• Permanent Residency: Available for properties valued at $750,000 or more.
• Accelerated Processing: Properties valued over $1.5 million may qualify for faster residency approval.
• Owning a home doesn’t automatically grant citizenship, but residency allows you to enjoy all the lifestyle benefits of living in The Bahamas.

4. Are there financing options available for foreign buyers?

Yes, both local and international banks offer financing options for foreign buyers.

• Loan Terms: Typically 10–15 years for foreign buyers, with competitive interest rates.
• Requirements:
  • Proof of income.
  • Down payment (usually 30%–50% of the purchase price).
• I can connect you with trusted financial institutions and mortgage providers for seamless financing.

5. What are the ongoing costs of owning property in The Bahamas?

Here are the key costs to budget for:

• Property Maintenance: Costs vary depending on the property type, size, and location.
• Homeowners Association (HOA) Fees: Common in gated communities and condominiums.
• Utilities: Electricity, water, and internet services are readily available but may be higher than mainland rates.
• Insurance: Essential for waterfront properties, covering hurricanes, floods, and general damages.

6. What makes The Bahamas a strong real estate investment?

The Bahamas offers unique advantages for investors:

• Rental Income: Vacation rentals in tourist-heavy areas like Nassau and Paradise Island generate significant returns.
• Value Appreciation: Limited land availability and high demand for luxury properties ensure steady appreciation.
• Tax Benefits: No income, capital gains, or inheritance taxes make it a tax-efficient investment destination.

7. How long does the property buying process take?

The timeline for buying property in The Bahamas typically ranges from 60 to 90 days.

• Offer Accepted: Once an offer is made, the seller accepts or counters within a few days.
• Due Diligence: Includes property inspections, title verification, and legal checks, which take 30–45 days.
• Closing: Final paperwork, payments, and transfer of ownership can take another 15–30 days.

8. What should I look for in a real estate agent?

Your agent should have:

• Local Expertise: Knowledge of the market, pricing trends, and desirable locations.
• Network: Connections with legal, financial, and property management professionals.
• Proven Track Record: Experience working with foreign buyers and luxury properties.

9. Can I rent out my property when I’m not using it?

Yes, short-term vacation rentals are a popular way to earn income from your property.

• High Demand: Areas like Nassau, Paradise Island, and The Exumas are popular among tourists.
• Property Management: Hiring a professional management company can handle bookings, maintenance, and guest communication.

10. What’s the cost of living like in The Bahamas?

While living in paradise has its price, the quality of life is unmatched.

• Housing: Luxury properties and waterfront homes command premium prices.
• Utilities: Higher than mainland averages due to the cost of importing resources.
• Groceries: Imported goods can be more expensive, but local produce and seafood are readily available.
• Transportation: Driving is the most common mode of transport, with ferries and flights connecting islands.