Buying Real Estate in The Bahamas: 2025 Guide for Investors, Expats & Second-Home Buyers

Buying Property in The Bahamas

By Glenn Ferguson – Bahamas Real Estate Agent & Residency Consultant

Looking for Asset Security, Tax Relief, and a Waterfront Lifestyle?

In 2025, more investors, retirees, and mobile entrepreneurs are seeking countries where their money works harder—and their lifestyle doesn’t compromise. The Bahamas offers all the right fundamentals: no income or capital gains tax, secure property ownership, strong asset protection laws, and a direct path to permanent residency through real estate investment.

Whether you’re searching for a second home, planning to retire, or looking to expand your portfolio offshore, buying property in The Bahamas is a decision built on freedom, return, and long-term value.

Why The Bahamas Is a Strategic Real Estate Investment

Forget the cliché of a tropical escape—The Bahamas is a tax-neutral jurisdiction with a mature real estate market and a legal system based on British common law. That makes it ideal for high-net-worth individuals focused on diversification and lifestyle continuity.

Key Investment Benefits:

• 100% foreign property ownership permitted

• Zero personal income, capital gains, or inheritance tax

• Strong land title protections

• Permanent residency options for investors

• High rental yields in vacation markets

• Direct access from the U.S., Canada, and Europe

• Established legal and banking systems

• Access to international schools and medical care

Real Example: One client recently purchased a $1.5M condo in Ocean Club Estates. It now produces six figures annually through vacation rentals while meeting the threshold for fast-track residency.

Can Foreigners Buy Real Estate in The Bahamas?

Yes. Foreign buyers can legally purchase and fully own real estate in The Bahamas, with few restrictions.

You’ll only need a government permit from the Bahamas Investment Authority (BIA) if:

• The land is over 2 acres

• The property is for commercial use or rental purposes

• It includes a marina or resort component

A licensed Bahamian attorney will handle all applications on your behalf.

Quick Answer:

“Can Americans buy property in the Bahamas?”
Yes. U.S. citizens and other foreign nationals can purchase and own real estate in The Bahamas, including luxury condos, homes, and land.

Where to Buy: Best Areas for Value, Lifestyle & Income

Nassau & New Providence Island

The capital and commercial center of the Bahamas. Strong resale value, year-round demand, and full amenities.

• Best for: Families, long-term expats, professionals

• Prime zones: Old Fort Bay, The Grove, Sandyport, Palm Cay

Paradise Island

Exclusive, secure, and walkable. Near luxury resorts, golf, marina, and casino.

• Best for: High-end condos, investment rentals

• Top spots: Ocean Club Estates, The Reef Residences at Atlantis, Marina Village
  Investment insight: Condos at The Reef generate $6K–$10K/month in peak season.

Exuma

Secluded luxury, turquoise waters, and growing demand for boutique villas and eco-resorts.

• Best for: Private estates, beachfront villas, passive income

• Hot zones: Great Exuma, Little Exuma, February Point
  Usage trends: High-net-worth buyers are using these villas for events like destination weddings and wellness retreats.

Step-by-Step: How to Buy a Home in The Bahamas

The buying process is efficient with the right support. Here’s how it works:

1. Hire a Licensed Bahamas Real Estate Agent
   Work with a Bahamas Real Estate Association (BREA) member.

2. Find the Right Property
   Based on your goals—residency, rental yield, personal use, or legacy.

3. Submit Offer & Sign Sales Agreement
   Your agent and attorney coordinate this legally binding step.

4. Retain a Bahamian Attorney
   They conduct the title search, draft conveyance, and manage closing.

5. Apply for Government Permit (if applicable)
   Required only in special circumstances—handled by your legal team.

6. Close the Sale
   Pay the stamp duty and receive the title documents.

Residency by Real Estate Investment

Foreign nationals who purchase a residential property in The Bahamas valued at $750,000 or more are eligible to apply for Permanent Residency.

• $1.5M+ investments qualify for expedited processing

• Spouse and dependents may be included

• No annual stay requirement

• Long-term residency can support offshore wealth planning

Direct Answer:

“Do you get residency with real estate in the Bahamas?”
Yes. Foreigners who invest at least $750,000 in a Bahamas residential property can apply for permanent residency. Fast-track applications are available for $1.5M+ investments.

What Taxes, Fees & Costs Should You Expect?

Bahamas real estate is tax-efficient, with clear, predictable costs.

At Purchase:

• Stamp Duty: 10% (typically split buyer/seller)

• Legal Fees: ~1–2.5% of purchase price

• VAT on services: 10–12% (applies to legal and agency fees)

Annual Property Taxes:

FAQ About Buying Real Estate in The Bahamas

1. Q: Can foreigners buy property in the Bahamas?
A: Yes. Foreigners can legally purchase, own, and sell real estate in the Bahamas. Properties under 2 acres for personal residential use do not require government permits.

2. Q: How much is property tax in the Bahamas?
A: Owner-occupied homes under $250,000 are exempt. Rates range from 0.625% to 1%, with a flat 0.25% for properties valued over $5 million.

3. Q: Can I get permanent residency by buying real estate in the Bahamas?
A: Yes. A residential property purchase of $750,000 or more qualifies foreign buyers to apply for permanent residency. At $1.5 million or above, fast-track consideration is available.

Who’s Buying in 2025?

• Retirees seeking sun, safety, and zero taxes

• Digital entrepreneurs relocating for offshore status

• Investors looking for income-producing luxury assets

• Families seeking a second base with strong legal protections

Bonus Insight: Best Time to Buy in 2025

With inventory tightening in Nassau and Paradise Island, the first half of 2025 presents strong opportunity for buyers before tourism peaks and prices climb. Financing options are also increasingly available through local institutions for foreign buyers.

Quick Win: Pre-construction units in gated marina communities offer excellent entry points for value growth and residency eligibility.

Let’s Talk About Your Next Move

Whether you're buying for lifestyle, legacy, or investment, navigating real estate in The Bahamas takes more than listings—it requires insight, planning, and connections.

As your on-the-ground advisor, I offer full-service guidance, including:

• Custom property searches

• Legal introductions and closing support

• Residency application coordination

• Income strategy advice for luxury rentals

Download:

“The Smart Investor’s Guide to Buying Real Estate & Gaining Residency in The Bahamas (2025 Edition)”

Or book a private one-on-one consultation with me, Glenn Ferguson. Let’s structure your property purchase to deliver lifestyle, leverage, and long-term results.