The Bahamas has a property for every budget; condos from $200,000 to $20M dollar estates. With a safe investment climate, close proximity to the US and no end of visitors to this world class vacation destination, Buying property in The Bahamas is a great real estate investment.
Whether you plan to buy a vacation property or you want to settle down and retire to The Bahamas, there will be a lot of questions about the process. This is a brief summary of the more common questions buyers have about purchasing property in The Bahamas.
Can non-Bahamians buy property in The Bahamas?
Yes, The International Persons Landholding Act, 1993, allows for the sale of property to non-Bahamians.
Do I need a Lawyer when purchasing property?
Technically no, but we highly recommend you do as they can give you an Opinion on the title (ie title insurance).
What are the costs involved in buying a property?
The buyer is responsible for 50% of the government stamp tax on the purchase and their legal fees.
How Much is the Stamp Duty?
Stamp Duty is calculated according to value; here are the breakdowns:
- Up to $100,000, the rate is 2.5%
- Over $100,000, the rate is 10%
As mentioned above, the stamp duty is generally split between the buyer and seller.
What are the Licensing Issues if I want to Build a Home?
You will need a building permit and approval from the Town Planning Board. Your builder or architect can assist you in this process.
How Much are Property Taxes in the Bahamas?
Property taxes are based on the most recent selling price of the property. Here is the breakdown of amounts owed:
Owner occupied properties:
- First $250,000 – Exempt
- $250,000 to $500,000 – 0.75%
- Over $500,000 – 1%
- Over $5,000,000 – .25%
On vacant land (non-Bahamians):
- First $7,000 -$100
- Over $7,000 – 1.5%
*Any improvements to the property should be reported for the purposes of re-evaluating your property value.
All other property types the tax breakdown is as follows:
- First $500,000 – 1%
- Over $500,000 – 2%
What are the Requirements to Live/Work in The Bahamas?
Like most Caribbean islands, in order to qualify for a work permit, the employer must demonstrate that there is not a Bahamian qualified and able to take that position.
Buying property in The Bahamas is not as difficult as it may seem. Talk to us today about financing your piece of paradise in The Bahamas!
