Jumbo Mortgage in The Bahamas

Mortgage financing in The Bahamas is similar to that of other Caribbean destinations; difficult. Bank financing is an option for those who qualify, but not always a quick or easy process. Island time is not just a term reserved for the laid back lifestyle. This can be extremely frustrating for those needing to complete projects in a timely fashion as time is money.

In order to qualify for one of our jumbo private mortgage with Carib Capital, you will need 50% equity (down payment) in the property. You must be a US, Canadian or UK citizen, and be able to show you have the wherewithal to carry the mortgage.

Home Loan Options

The financing options in Bahamas include local banks, mortgage funds and private investors. Although they come at a higher cost, our non-bank options provide timely funding with much easier qualification than the banks. The banks are not always a reliable lending partner, which is why we work with so many different types of lenders.

We offer financing on both residential and commercial properties. Construction financing is also an option for us here, although location is important. We lend in a number of Bahamian islands, although the smaller outer islands can be a challenge due to the marketability of those locations.

What is a Jumbo Mortgage?

A jumbo mortgage loan is designed for high net worth clientele, looking to purchase or refinance residential homes worth $1M US or more. The maximum loan to value is 50%, with a minimum loan of $500k US. Obviously this loan will not appeal to everyone, but the financing options in the Bahamas are not as plentiful as you would expect.

Our jumbo loan is a non qualifying mortgage with a minimum 1M USD property value (500k USD minimum mortgage). These loans can be approved and funded much quicker than the banks, who often need to send your mortgage out of the country to be reviewed and adjudicated.

What is Private Mortgage Funding

Private financing is a form of loan funded by individuals (or groups of individuals) rather than banks. It is a marriage of convenience between those who need access to quick, easy funding and those who want a better return on their investments. Private financing usually has little qualification outside of equity on a marketable property.

The rates and fees on our private financing are quite a bit higher than bank rates. These loans will not be your best deal, but they may be the best option for you today. For some loan types such as construction, it may be the only option. Due to the unreliability of the banks, private lenders fill a very important void in the market. Construction loans must be a minimum of 1M USD, with a value of over 2M USD.

Buying Real Estate in The Bahamas

A politically stable, English speaking country, and close proximity to the US, makes The Bahamas an ideal location for offshore business. There are no income tax, inheritance, capital gains or corporate taxes in The Bahamas, and The their dollar is on par with the US dollar.

Although mostly known throughout the world for its natural beauty and Caribbean climate which attracts millions of tourists every year, it is also becoming more popular for international real estate investment. A friendly business environment coupled with all the perks The Bahamas has to offer make it an ideal location to purchase a second or vacation home.

Questions about Purchasing

This chain of islands has a home for every budget; condos from $200,000 all the way up to $20M dollar estates. There is a safe investment climate, and no end of visitors to this world class vacation destination. This is key if your purchase is being used for investment.

Whether you plan to buy a vacation villa or you want to settle down and retire in this piece of paradise, 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?

Yes, The International Persons Landholding Act, 1993, allows for the sale of a premises to non-Bahamians.

What are the costs involved in buying?

The buyer is responsible for 50% of the government stamp tax on the purchase and their legal fees.

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 citizen qualified and able to take that position.

If you are looking for financing options in The Bahamas, we can help!