Citizens of the USA, Canada, UK, EU countries, and most Commonwealth & South American countries can stay on vacation in Bahamas for 3 months on a tourist visa which is automatically given on arrival.
Visitors wanting to stay longer than 3 months can apply for an extension of 6 to 12 months.
Individuals who are retired from work, financially independent and a person of good character can apply for Bahamas permanent residence.
Individuals who have permanent residency and have resided in Bahamas for 10 years or more are eligible to apply for citizenship by naturalization.
The Bahamas has 29 inhabited islands offering many real estate options to buyers, including luxurious condominiums, estate homes or one’s very own private island.
Foreign buyers can acquire real estate in the Bahamas. The Government of Bahamas welcomes investment from overseas investors.
Search for your perfect property.
Make an offer to purchase the property with the Real Estate Agent.
Engage a lawyer to perform a title search and land survey.
After signing the Agreement for Sale, pay a 10% deposit.
On settlement pay all taxes and fees.
Pay the balance of the purchase amount.
Please seek the advice of a local lawyer. Legal fees depend on the complexity of the transaction and the amount of work performed.
Total stamp duty is usually split equally between the buyer and seller – 10% of the value when over $100,000.
Exemption for First Time Home Owners
The exemption from stamp duty for first time home owners has now been extended to 30th June 2023.
The Value Added Tax Act has been amended to make all transfers of real property exempt from value added tax, with the exception of commercial leases which remain subject to value added tax.
A 12% Value Added Tax (VAT) is charged on real estate services, legal fees, commissions and insurance.
This applies to Bahamian citizens, permanent residents and second home owners who do not reside in their property for a minimum of 6 months.
As of 1st January 2019, an owner that resides in their property for less than six months in any given year will be required to pay real property taxes annually at the rate of 0.75% on that part of the market value which does not exceed $500,000.00 and 2% on that part of the market value which exceeds $500,000.00.
You will be able to repatriate the entire proceeds including any profits provided you register the purchase with the Exchange Control Department of the Central Bank at the time of purchase.
Citizens of the Bahamas do not pay taxes on income, inheritance, gifts, or capital gains. The Bahamian government raises revenue from sources like VAT, Real Property Tax and Stamp Duty.