How to Purchase Property in the Bahamas

How to Purchase Property in the Bahamas

The costs involved in purchasing a property in the Bahamas are as follows:

Lawyer fees = 2.5% 

Vat on the Conveyance = 10% which is split between vendor and buyer

Real Estate Agent Fees (seller's responsibility) = 6% improved property and 10% vacant property

Foreign buyer = Registration fees $500.00

Vat on Real estate after July 1st, 2022 

Under $100K = 2.5%  
100k to 300K = 4%. 
300k to 500K = 6%  
500k to 700K = 8%  
700K to 1,000,000 = 9%. 
Over 1m 10%. 
1st time homebuyers exemption now 300K

Rate of Real Property Tax

Owner occupied property (property that the owner resides)

$0-$300K = Exempt

$300K-$500K = 0.625%

Over $500K = 1%

Cap on Real Property Tax valued over $6,000,000 is $120K


Commercial Properties (more than 4 units that are not owner occupied)

$0-$500K = 0.75%

$500,001 -2,000,000 = 1%

Over $2,000,000 = 1.5%

*Bahamian citizens are not taxed on unimproved property in the Bahamas