The Bahamas archipelago is a scattering of thousands of islands near Florida with all the attributes of the tropics: palm trees, azure waters and white sand. However, of this entire massif, only a few dozen islands are inhabited, and 75% of the population lives compactly on the capital island of New Providence. It is logical that you can buy real estate for sale in the Bahamas there - other islands are being developed slowly.
Advantages of buying real estate in the Bahamas
Buying property in the Bahamas is almost the same as buying a property in the United States. It is the United States that is the main trading partner of the Bahamas, and up to 90% of all tourist flow to the island comes from there. Because of this, local prices for food, services and real estate are also largely similar, especially in comparison with neighboring Florida. Naturally, US citizens set the bar for the local service sector, which they have to meet.
The main currency of the islands, the Bahamian dollar, is directly tied to the dollar at a ratio of 1:1, so market fluctuations are insignificant here, and rental income is stable. By the way, it remains at the level of 6-10% per annum, especially in Nassau and Paradise Island.
Popular areas in the Bahamas for foreigners to buy real estate
New Providence is the leader in demand for real estate. The capital of the Bahamas, Nassau, is located here. The main infrastructure is concentrated here: an international airport, banks, shops, restaurants and casinos. A bridge connects it to Paradise Island with luxury resorts. Apartments cost from $250,000, villas from $1 million, and elite properties on Paradise Island - $5-20 million. But even for this price, they are difficult to buy - Paradise Island real estate is often distributed through private investor clubs.
Grand Bahama (Freeport and Lucaya) is the second most popular island. This is where the world's largest underwater cave system and the Freeport Free Trade Zone are located. Prices on Grand Bahama are lower than on the capital island, and on average start from $150,000 for apartments and from $500,000 for villas.
Abaco (Marsh Harbour and Elbow Cay) is an entire archipelago with more than 100 islands. The main local entertainment is yachting and tourism on uninhabited islands. Prices for villas start from $800,000, but the most interesting thing is the opportunity to buy your own island for $2 million or more.
Bahamas real estate prices
Bahamas property for sale prices are comparable to the United States, with the only difference being that the United States has a much larger land fund and, as a result, supply. On the islands, mid- and premium-segment housing dominates, among which villas with land plots are considered the most expensive.
The cost of Bahamas real estate by type of property:
| Property type |
Average cost |
Characteristics |
| Apartments |
$250,000–$700,000 |
1–3 bedrooms, often in complexes with swimming pools and security |
| Villas |
$600,000–$7,000,000 |
Area from 150 m², plots up to 0.5 hectares, ocean view |
| Land plots |
$120,000–$1,200,000 |
Area 0.1–1 hectares, suitable for individual construction |
Nuances of buying property in the Bahamas
A foreigner can buy property in the Bahamas without any particular difficulties, but you need to take into account the real estate transfer tax (Stamp Duty) of 2.5% for properties under $250,000 and up to 10% for properties over $500,000. The transaction is registered with the Foreign Investment Board (FIB), usually within 30-60 days. Certification of the transaction by a local lawyer is mandatory. For his services, you will have to pay another 1-2% of the value of the property. For registration, you will need: a passport; confirmation of the origin of funds (AML/KYC); a purchase and sale agreement certified by a local lawyer.
