The Bahamas is a pristine archipelago with hundreds of islands, with a favourable tax regime and world-class golf, shopping and spas. The country also has some of the most beautiful homes in the Caribbean. However, if you want to buy property here, you should keep several things in mind.
First, you should know the process for buying property in The Bahamas. Purchasing real estate in The Bahamas requires a government permit for non-Bahamians. If you want to purchase land that is over two acres, buy it for a residential property, or buy a condominium, you will need a government permit. Unless the property is being purchased for private use, non-Bahamians must first register under the International Persons Landholding Act, which was amended in 2007. After completing the registration process, you should contact the Bahamas Investment Authority, which is part of the Office of the Prime Minister. They can provide you with a list of required documents.
One of the most important things to keep in mind when buying a property in The Bahamas is its tax rates. Property taxes in The Bahamas are typically two per cent of the market value. However, if you own a property that is not owned by a Bahamian, property duty is only 2% of the market value. Also, if you plan to build a home or alter an existing structure, special approvals must be sought from the Town Planning Board and Ministry of Works. You may need to hire an architect or engineer to help you get the proper permits. Another important thing to consider is that taxes in The Bahamas are not taxed on inheritance or capital gains. Also, you can pay them in Bahamian or United States currency. However, you should note that failure to pay them on time will incur a penalty of five per cent per year.
Foreigners are allowed to buy property in The Bahamas. The country has the third largest shipping registry globally. Foreigners can purchase property for up to five acres, but they must obtain a permit from the Government before settling on it. Furthermore, you can buy property in The Bahamas as a resident or expatriate, but you must remember that you cannot work in The Bahamas until you have obtained a residence card or have become a resident.
The Bahamas has low taxes and a mature real estate market, which makes the process of buying a property in The Bahamas a relatively simple and secure one. In addition, the Bahamas’ real estate law is transparent and secure. Once you’ve chosen a property in The Bahamas, make sure to check the title. Any missing abstracts will decrease the marketability of the property. lyford cay rentals You must also ensure that the history of the property is accurate and correct.
The price of residential property in The Bahamas declined after the global financial crisis hit the country. According to the Engel & Volkers 2019 Real Estate Market Report, residential property sales decreased by 20 percent. Despite the recent downturn, the government decided to close its borders to international tourists in March 2020 to prevent the spread of the coronavirus. This resulted in a substantial drop in air and sea travellers. As a result, the country’s housing market is stabilizing.