Bahamas vs Cayman vs Turks vs BVI vs Florida | Property Tax and Cost Comparison 2026

Q: Is the Bahamas cheaper than the Cayman Islands for property investment?

It depends on the property value. The Bahamas charges annual property tax (up to 1% for owner-occupied, capped at $150,000) but lower transfer tax (10% VAT). The Cayman Islands has no annual property tax but charges 7.5% stamp duty (10% for properties over CI$2 million since January 2026). For a $2 million property held long-term, the Bahamas total ownership cost is typically lower because the Cayman stamp duty is a large upfront cost with no annual offset.

Q: How does Florida property tax compare to the Bahamas?

Florida property tax averages 0.79% of assessed value with no cap, applied from the first dollar (after homestead exemption of $50,000 for primary residents). Bahamas owner-occupied property tax exempts the first $300,000, then charges 0.625% up to $500,000 and 1% above that, capped at $150,000. For a $2 million home, Florida tax would be approximately $15,800 per year while Bahamas tax would be approximately $16,250 per year. However, Florida residents also pay federal income tax which the Bahamas does not have.

Q: What is the stamp duty when buying property in the Caribbean?

Stamp duty varies significantly. Bahamas: 10% VAT on conveyance (typically split between buyer and seller). Cayman Islands: 7.5% (10% for CI$2M+, effective January 2026). Turks and Caicos: 6.5-10% depending on property value and island. BVI: 12% for non-Belongers, 4% for Belongers. Florida: documentary stamp tax of approximately 0.7%.

Q: Who can help me compare Bahamas property investment costs?

Call Glenn Ferguson at 1-(242)-395-8495. Glenn is a licensed Bahamas real estate agent (BREA), Residency Consultant, and Bahamas MLS member with 24+ years of experience. He provides personalised carry cost pro-formas comparing total ownership costs including property tax, insurance, management, HOA, residency fees, and rental income projections for any Bahamas property.

The Bahamas lifestyle — zero income tax, zero capital gains, under 3 hours from Miami

Hi, I'm Glenn Ferguson, Licensed Bahamas Real Estate Agent (BREA), Residency Consultant, and Bahamas MLS member with 24+ years across all islands. Buyers comparing Caribbean jurisdictions need honest, verified numbers. This tool gives you exactly that. For a personalised total cost analysis on any Bahamas property, WhatsApp me or call +1-242-395-8495.

Select a Jurisdiction to Compare Against the Bahamas

The Bahamas vs...

Bahamas occupancy type

Property Value for Sample Calculation (USD)

Tax Category

The Bahamas

Bahamas

Comparison

Sample: $2,000,000 Property Purchase

Estimated costs for a foreign buyer purchasing and holding an owner-occupied property

Ready to Invest in the Bahamas?

Glenn provides personalised carry cost pro-formas comparing total ownership costs including property tax, insurance, management, HOA, residency fees, and rental income projections for any Bahamas property.

Call +1-242-395-8495 WhatsApp Glenn Send Enquiry

Glenn Ferguson — Expert Insight

After 24+ years helping international buyers compare Caribbean jurisdictions, I can tell you the biggest mistake people make is looking only at the tax rate. A jurisdiction with zero annual property tax but 10% stamp duty costs you more in year one than one with annual tax but lower upfront costs. The real question is: what does total ownership cost over your expected holding period? That's what this tool calculates. I also see buyers overlook residency costs, insurance differentials, and currency exposure. When I prepare a carry cost pro-forma for a client, I include every line item — property tax, insurance (1-3% in the hurricane belt), HOA, management fees, residency application costs, and projected rental income. That's the only way to make an honest comparison.

Glenn Ferguson — BREA Licensed Bahamas Real Estate Agent / Bahamas MLS Member / Residency Consultant / 24+ Years All Islands

Request Your Free Pro-Forma

Get Your Personalised Cost Analysis

Tell Glenn your target jurisdiction, property value, and goals. He'll reply with a carry cost pro-forma comparing total ownership costs — property tax, insurance, management, HOA, residency fees, and rental projections.

BREA Agent Bahamas MLS 24+ Years Residency Consultant

WhatsApp is typically answered within minutes.

Call +1-242-395-8495 WhatsApp Glenn Ask Glenn Online

Bahamas vs Caribbean Tax Comparison FAQs

Is the Bahamas cheaper than the Cayman Islands for property investment?

It depends on the property value and holding period. The Bahamas charges annual property tax (up to 1% for owner-occupied, capped at $150,000) but the Cayman Islands has no annual property tax. However, Cayman charges 7.5% stamp duty on purchase — increasing to 10% for properties over CI$2 million since January 2026 per GOV.KY — while the Bahamas charges 10% VAT on conveyance typically split between buyer and seller. For a $2,000,000 property held long-term, the Bahamas has lower upfront costs but higher annual costs. Both jurisdictions have zero income tax, capital gains tax, and inheritance tax. Cayman offers two residency tiers: CI$1M (~$1.2M) for a 25-year certificate or CI$2M (~$2.4M) for permanent residence. For a personalised comparison, WhatsApp Glenn.

Which Caribbean island has the lowest property tax?

The Cayman Islands and Turks and Caicos have zero annual property tax per their respective government sources. The BVI has nominal annual property tax rarely exceeding $1,000 per year (land tax plus building tax at 1.5% of rental value). The Bahamas has tiered annual property tax: exempt on the first $300,000 for owner-occupied, then 0.625-1%, capped at $150,000 per the Real Property Tax Amendment Act 2023. Non-owner-occupied: 1% up to $500,000, 2% above $500,000. Jurisdictions with no annual tax typically charge higher stamp duty on purchase: Cayman 7.5-10%, TCI 6.5-10%, and BVI 12% for non-Belongers. Use the Bahamas Property Tax Calculator to estimate your annual tax.

Does the Bahamas have income tax or capital gains tax?

No. The Bahamas has zero income tax, zero capital gains tax, and zero inheritance tax. This applies to all residents and property owners regardless of nationality. Government revenue comes primarily from 10% VAT, import duties, and property tax. The Cayman Islands, Turks and Caicos, and BVI also have zero direct taxes. Florida has no state income tax but US residents still pay federal income tax at 10-37% and federal capital gains tax at 0-20% plus a potential 3.8% net investment income tax. Use the Bahamas Property Tax Calculator to estimate your annual tax.

How does Florida property tax compare to the Bahamas?

Florida property tax averages 0.79% of assessed value per the Tax Foundation with no cap, applied from the first dollar after a $50,000 homestead exemption for primary residents. Bahamas owner-occupied property tax exempts the first $300,000, then charges 0.625% up to $500,000 and 1% above that, capped at $150,000. For a $2,000,000 home, Florida tax is approximately $15,800 per year while Bahamas is approximately $16,250. However, Florida residents also pay federal income tax, federal capital gains tax on property sales, and potentially estate tax on assets above $13.99 million (2025 exemption), none of which the Bahamas has. Use the Closing Cost Calculator for your specific Bahamas purchase costs.

What is the stamp duty when buying property in the Caribbean?

Transfer tax varies significantly by jurisdiction. Bahamas: 10% VAT on conveyance, typically split between buyer and seller (effective buyer cost around 2.5-5% depending on negotiation). Cayman Islands: 7.5% stamp duty, increasing to 10% for properties over CI$2 million since January 2026. Turks and Caicos: 6.5% under $250,000, 8% for $250,000-$500,000, and 10% above $500,000 on Providenciales. BVI: 12% for non-Belongers, 4% for Belongers. Florida: documentary stamp tax approximately 0.7%. Use the Bahamas Closing Cost Calculator for your exact Bahamas closing costs.

Who can help me compare Bahamas property investment costs?

Call Glenn Ferguson at +1-242-395-8495. Glenn is a licensed Bahamas real estate agent (BREA), Residency Consultant, and Bahamas MLS member with 24+ years of experience across Nassau, Paradise Island, Eleuthera, Exuma, and the Abacos. He provides personalised carry cost pro-formas comparing total ownership costs including property tax, insurance, management fees, HOA, residency fees, and rental income projections. Whether you are comparing Bahamas vs Cayman, Turks and Caicos, BVI, or Florida, Glenn gives you the real numbers. WhatsApp Glenn to get started. Explore all 10 tools in the Buyer's Toolkit.

More tools and guides from Glenn Ferguson:

Buyer's Toolkit (10 Tools) Closing Cost Calculator Property Tax Calculator Residency Qualifier Quiz Residency Eligibility Checker Residency Cost Calculator AI Property Finder ROI Calculator Mortgage Calculator Relocation Cost Calculator Complete Cost Guide Best Caribbean Island Moving from the US Bahamas Tax Guide Pros and Cons Beachfront Condos Ask Glenn

Verified Sources (2023-2026)

Bahamas: Real Property Tax Act and Amendment Acts 2022-2023, Department of Inland Revenue
Cayman Islands: GOV.KY Stamp Duty (Rates of Duty) (No. 2) Regulations 2025 — 10% for CI$2M+ effective Jan 1, 2026; WORC residency requirements
Turks and Caicos: VisitTCI.com official stamp duty rates (July 2013+), PRC requirements
BVI: BVI Government taxation, Red Coral Properties, Legal 500 BVI Guide — 12% non-Belonger stamp duty
Florida: Tax Foundation property tax data (0.79% avg), AARP Florida Tax Guide 2025, Florida Revenue
Bahamas residency: Immigration Department, Fragomen Advisory (Jan 2025) — EPR threshold $1M effective Jan 2025
Cayman residency: IMI Daily, Global Citizen Solutions — CI$1M (25yr) / CI$2M (permanent)

Disclaimer: This comparison is for general informational purposes only based on published rates as of March 2026. Tax rates, exemptions, and regulations are subject to change. Actual costs depend on property value, classification, buyer nationality, residency status, and other individual circumstances. The Bahamas dollar is pegged 1:1 to the US dollar. Cayman Islands dollar (CI$) is pegged at CI$1 = US$1.20. Stamp duty and transfer tax calculations assume a foreign/non-citizen buyer purchasing in their personal name. This is not tax or legal advice. Consult qualified professionals in each jurisdiction for your specific situation. Glenn Ferguson is a licensed Bahamas Real Estate Agent (BREA) — not a lawyer, accountant, or tax advisor.