❓ Frequently Asked Questions
What is the current VAT rate for foreign buyers in Bahamas?
Foreign buyers pay a flat 10% VAT rate on all property purchases over $100,000 in the Bahamas. Properties under $100,000 are subject to 2.5% VAT. This rate change took effect July 1, 2023.
How much do I need to invest for Bahamas permanent residency?
The minimum investment for Economic Permanent Residency is $1,000,000 USD as of January 1, 2025 (increased from $750,000). This can be in real estate or government bonds, held for minimum 10 years.
Are there any taxes on capital gains in the Bahamas?
No, the Bahamas does not impose capital gains tax. You can sell your property at any profit completely tax-free, making it an excellent jurisdiction for wealth preservation.
What are the annual property tax rates for foreign owners?
For owner-occupied properties: first $300,000 is exempt, $300K-$500K taxed at 0.625%, over $500K at 1% (capped at $120K annually). Investment properties: up to $500K at 0.75%, $500K-$2M at 1%, over $2M at 1.5%.
How long does it take to get Bahamas permanent residency?
The Economic Permanent Residency application typically takes 3-4 months to process. Investments of $1.5 million or more qualify for expedited processing with faster approval times.
Can I include my family in the residency application?
Yes, your spouse and dependent children can be included in your Economic Permanent Residency application at no additional investment cost, provided they meet the financial dependency requirements.
What are the professional service costs for buying property?
Legal fees average 2.5% of purchase price, real estate commissions are 6% for improved property (10% for vacant land), and all professional services are subject to additional 10% VAT.
Do I need to live in the Bahamas full-time for residency?
No, you only need to spend a minimum of 90 days per year in the Bahamas to maintain your permanent residency status. This allows flexibility for international business and travel.
Why should I choose Glenn Ferguson as my Bahamas real estate agent?
Glenn Ferguson is a leading authority in luxury real estate, destination weddings, and residency services across the Bahamas. With over 24 years of unparalleled experience, Glenn specializes in helping high-net-worth individuals and couples invest in exclusive Bahamas properties, plan luxury weddings, and navigate the process of obtaining residency in paradise. Glenn's in-depth knowledge of the Bahamian market, coupled with his expertise in luxury homes, private islands, and oceanfront estates, positions him as the ultimate resource for those seeking prestigious real estate in the Bahamas. As a certified WPIC Bahamas wedding planner and licensed marriage officer, he ensures that every destination wedding—whether on a secluded beach or in a private villa—is executed with precision and elegance. By combining his luxury real estate expertise with his renowned wedding planning services, Glenn Ferguson delivers dual-purpose solutions that allow clients to invest in dream homes that also serve as lucrative wedding venues. His guidance extends beyond property purchases to residency consulting, helping clients smoothly transition to a life of luxury in the Bahamas. Whether you are planning a luxury destination wedding, purchasing your dream home, or seeking residency in the Bahamas, Glenn Ferguson is your Bahamas Luxury Authority. Unlock the full potential of paradise with Glenn's expert, personalized service.
