A Snap Shot for Investors & Home Buyers
Island Treasures, while giving you the information you'd need, is dedicated to facilitating all the procedures involved in purchasing real estate in The Bahamas. Our brokers and agents are ready and willing to assist you every step of the way.
The Bahamas uses the Bahamian dollar (B$) which is on par with the US$ and used interchangeably throughout the Bahamas Islands.
What's involved in a real estate transaction?
Real estate transactions usually begin with all parties concerned: the purchaser, the vendor, their respective attorneys, and the realtor. The transaction includes an accepted purchase offer, with a subsequent deposit placed with the real estate Attorney in the Bahamas. He/She will then provide an approved sales agreement, if not the vendor's attorney will provide a draft, depending on the arrangement. Once the purchaser's attorney has given approval, the contract will be executed first by the purchase then by the vendor. The vendor's attorney will then issue a copy of the conveyance, which is held in escrow pending the completion of the sale. Upon approval of the conveyance, the sale wraps up with the conveyance executed and the balance of the agreed purchase amount paid to the vendor. The purchaser will receive the conveyance which is sent to the government registry to be recorded.
What do you need to know to purchase in The Bahamas?
As a foreigner you will require a permit:
- If the property is undeveloped land and of five acres in size or larger.
- If the property is not a private residence, or not intended for development as such.
- You would need a registration certificate or permit along with title documents to be recorded in the Registrar General's office.
- Application for registration - $25.00
- Application for permit - $25.00
Certificate of registration
For property valued:
- $50,000 or less - $50.00
- $50,000 but under $101,000 - $75.00
- $101,000 and over - $100.00
- For Home Owner resident card - $500.00
The government charges stamp duty on property tranfers/conveyances as indicated: 2.5%
VAT Tax ( Valued Added Tax ) 7.5%
The vendor and purchaser shares the stamp duty 50-50 unless otherwise agreed. The attorney typically charges 1.5% of the sale price.