Buying Real Estate In the Bahamas
The Bahamas is a highly sought-after destination for property buyers around the world, thanks to its stunning beaches, tax advantages, and welcoming investment climate. Whether you’re seeking a vacation home, retirement property, or investment opportunity, buying real estate in the Bahamas is a relatively straightforward process—even for foreigners.
Here’s a step-by-step guide to help you understand how the process works.
Determine the Type of Property You Want
Before diving into the buying process, consider your goals. Are you looking for:
• A beachfront condo or villa?
• A private home in a less populated area on an island or cay?
• A rental income property in a high-traffic tourist area?
The Bahamas offers everything from luxury estates on Paradise Island to more remote properties in the Family Islands
(also called Out Islands).
Hire a Local Real Estate Agent
It’s highly recommended to work with a licensed Bahamian real estate agent. Agents in the Bahamas are regulated by the
Bahamas Real Estate Association (BREA), and they can help you:
• Find properties that match your criteria
• Navigate the legal system
• Negotiate prices and terms
• Coordinate inspections and closings
Understand Foreign Ownership Rules
Foreigners are welcome to purchase property in the Bahamas. In most cases:
• Properties under 2 acres and intended for single family use do not require government approval.
• If the property is larger than 2 acres, or intended for commercial development, you will need a permit from the
Investments Board of the Bahamas.
• You should also register your purchase with the Bahamas Investment Authority (BIA) if it exceeds certain thresholds
or involves rental income.
Make an Offer and Sign a Sales Agreement
Once you find a property you like, your agent will help you make an offer. If accepted, a sales agreement is drafted by your attorney (both buyer and seller real estate agents typically retain their own legal counsel). At this point, you’ll pay a 10% deposit, which is held in escrow until closing.
Legal and Financial Considerations
• Hire a Bahamian attorney: They will conduct a title search, ensure the property has no liens, and prepare documents for closing.
• Title insurance: Optional, but some buyers choose to get it for additional peace of mind.
• Financing: Foreigners can obtain mortgages from local banks, but it’s more common for buyers to pay in cash or arrange financing through their home country.
Government Fees and Taxes
• Stamp Duty: A one-time tax shared equally between buyer and seller, currently 10% of the purchase price
(some exemptions may apply).
• Value-Added Tax (VAT): Also 10%, typically included in the stamp duty for property purchases.
• Legal Fees: Typically 2.5% of the purchase price, paid by the buyer.
• Real Property Tax: Annual tax based on property value (ranging from 0.75% to 2% for non-residents).
Closing the Deal
Once all legal checks are completed and the balance of the purchase price is paid, the deal can close. The transfer of ownership is finalized by recording the deed of conveyance with the Bahamas’ Registrar General’s Department.
After the Purchase
Foreign homeowners can apply for an annual 0homeowner’s residence card, which allows them to live in the Bahamas and enter freely. Note that this does not confer citizenship or permanent residency, but it’s a convenient option for frequent visitors.
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FINAL NOTES
Buying property in the Bahamas is a relatively secure and transparent process, especially when working with licensed
professionals. With its tax-neutral status (no income or capital gains taxes), political stability, and incredible natural beauty, it’s easy to see why purchasing real estate in the Bahamas is so desirable.
Abaco Estate Services
Abaco Estate Services offers professional one on one purchasing and listing real estate services throughout Abaco and surrounding cays. We are also members of the Bahamas MLS so our website listings database updates daily, its fast and a great one stop shop for all your Abaco real estate searches. We feature the best real estate opportunities that Abaco has to offer in all price ranges and property types, including luxury beachfront homes, Bahamas luxury estates, canal waterfront homes, ocean waterfront lots, canal properties, canal waterfront lots, condominiums and acreage on the Mainland of Abaco, Treasure Cay, Marsh Harbour, Leisure Lee and all the surrounding Cays.
Abaco Estate Services specializes in the second home and condominium market, focusing on luxurious vacation and retirement residences, plus a wide selection of choice vacant waterfront properties throughout the Abacos.
Sotheby's International
Founded in 1976 to provide independent brokerages with a powerful marketing and referral program for luxury listings, the Sotheby's International Realty network was designed to connect the finest independent real estate companies to the most prestigious clientele in the world. Sotheby's International Realty Affiliates LLC is a subsidiary of Anywhere Real Estate Inc. (NYSE: HOUS), a global leader in real estate franchising and provider of real estate brokerage, relocation and settlement services. In February 2004, Realogy entered into a long-term strategic alliance with Sotheby's, the operator of the auction house. The agreement provided for the licensing of the Sotheby's International Realty name and the development of a full franchise system. Affiliations in the system are granted only to brokerages and individuals meeting strict qualifications. Sotheby's International Realty Affiliates LLC supports its affiliates with a host of operational, marketing, recruiting, educational and business development resources. Franchise affiliates also benefit from an association with the venerable Sotheby's auction house, established in 1744.
Kerry Sullivan
Real Estate
We take pride in being a boutique real estate firm committed to providing our clients with unsurpassed service and professionalism. We are keenly aware that one cannot be all things to all people, so our commitment is to be laser focused on the areas where our agents live, work and play: Hope Town, Treasure Cay and Marsh Harbour. We specialize in property sales of luxury homes, cottages, vacation homes, beachfront property, development opportunities, commercial property, and private islands. We also offer a handful of select rental properties. Our motto is that we will not rent a property that we, ourselves, would not want to stay in! Broker and owner, Kerry Sullivan, has been practicing real estate on Elbow Cay in Abaco since 2001, and has earned a reputation of being a top producer in Abaco. Kerry believes that continuing education, work ethic, and alignment with trusted industry partners are a key factor to the success of her agents and company. The main office for Kerry Sullivan Real Estate is located in the heart of Hope Town Settlement on the island of Elbow Cay, just steps from the lower public dock. We welcome you to come visit!
H.G.Christie
Christie's International Real Estate
Your online home for Bahamas Real Estate and property for sale. As The Bahamas' largest full-service real estate agency, we specialize in Luxury Homes and Condos, Vacation Homes, Beachfront Properties, Development properties and Private Islands, as well as a full selection of rental properties throughout our beautiful country. H.G. Christie Ltd. is the Oldest Real Estate Service in The Bahamas and is proud to be the exclusive Bahamas Affiliate of Christie’s International Real Estate. Our main offices are located in Nassau and Grand Bahama with Out Island offices in Abaco, Eleuthera, and Exuma. We have been providing the most extensive selection of property listings for over 100 years throughout The Bahamas.
Morley Real Estate
We’re Morley, a real estate company owned and operated by Bahamians with experience spanning four generations. We continue a family tradition of fair business practices and hospitality to navigate clients through the nuances of buying and selling property in The Bahamas.
We’re Morley. We are Here for Good
Your advocate in every detail of island real estate
We’re Morley, a real estate company owned and operated by Bahamians with experience spanning four generations. We continue a family tradition of fair business practices and hospitality to help clients navigate through the nuances of buying and selling property in The Bahamas.
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More experience, better results
Yes, our team brings deep experience to the business of real estate here. But we also bring decades of industry insight, good judgment, and a great reputation.
That’s more than experience. That’s wisdom.
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Our roots, your advantage
In The Bahamas, our name means something. It means four generations of doing the right thing for our clients, our customers, and ourselves. We’re more than a company with solid morals. We have a network of relationships that benefits our clients on every transaction.
Maison Bahamas
Forbes Global Properties
"No other real estate company in The Bahamas has the backing of a 100-year-old global media powerhouse. Our exclusive alliance with Forbes Global Properties means we have the unique ability to expose your property to the wealthiest individuals in the world–at no extra cost to you. Not only that, the Forbes Global Properties network comprises the top luxury brokerages in major markets around the world....."
The MAISON Difference
