Moving to The Bahamas from the US

What Americans Need to Know Before Moving

The Bahamas is the closest Caribbean nation to the US mainland, with direct flights from Miami in under 3 hours, no language barrier, a dollar pegged 1:1 to the USD, and zero income tax. It is the most popular Caribbean relocation destination for Americans — and for good reason. But moving here involves more complexity than most guides admit: IRS obligations don't stop at the border, residency requires navigating multiple pathways, import duties can double the cost of your household goods, and the cost of living is meaningfully higher than most of the US.

This guide covers every practical detail — residency options, first-year costs, US tax obligations, healthcare, schools, where to live, and the relocation timeline — with verified 2026 data and links to the interactive tools that let you run the numbers for your specific situation.

Residency Pathways for Americans

EPR threshold increased to $1M effective January 1, 2025. 90 days annual presence required for EPR. Spouse and dependents under 18 can be endorsed. Source: Bahamas Immigration Department.

First-Year Relocation Costs

Does not include property purchase or closing costs (add 8–11%). Vehicle duty: approximately 65–85% of vehicle value including duty, VAT, and fees. Import duty on household goods: 25–45% of declared value + 10% VAT on duty-inclusive amount.

Glenn's relocation advice: The single biggest cost surprise for Americans is import duty. A $40,000 vehicle can cost $70,000+ by the time it clears Bahamas customs. Most of my clients either buy a vehicle locally, or import a reliable used car rather than their primary US vehicle. For household goods, I tell everyone: if you can replace it in Nassau or Miami, don't ship it. Ship only sentimental items and anything impossible to source locally. That approach typically saves $10,000–$30,000 in duty alone.

US Tax Obligations — They Don't Stop at the Border

Consult a US tax advisor experienced in expat taxation before relocating. The Bahamas has zero income tax, but US citizens cannot escape US tax obligations by moving.

Cost of Living — Nassau vs US

Data from Numbeo cost of living comparison (2025–2026). Prices in USD (BSD pegged 1:1). Import duties of 25–45% on most goods drive higher grocery and consumer prices. Local produce and seafood can be more affordable.

Healthcare for Americans in The Bahamas

Nassau facilities: Doctors Hospital is the primary private hospital (JCI-accredited). Princess Margaret Hospital is the main public facility. Private clinics offer general practice, dental, and some specialist care. Quality of routine care is good; complex or specialist procedures typically require travel to Miami (under 3 hours each way).

Insurance: Most American expats carry international health insurance ($5,000–$15,000+ per person annually). Medicare does not cover care in The Bahamas. Some expats maintain both a US-based plan (for specialist visits when stateside) and a local or international plan for day-to-day care in Nassau.

Out Islands: Healthcare facilities are very limited outside Nassau. Medevac insurance is essential for anyone living on Eleuthera, Exuma, Harbour Island, or the Abacos. Air ambulance services can evacuate to Nassau or Miami.

Schools for American Families

English is the official language. Homeschooling permitted — must register with Ministry of Education. King's College School opened in 2022 as part of the Inspired global group (120+ schools worldwide) — purpose-built 10-acre campus with 25m pool, science labs, and arts studios. Out Islands have limited school options; most expat families with children choose Nassau. Tuitions verified from school websites (2025–2026).

Best Areas for American Expats

Glenn's area recommendation for Americans: For families with school-age children, I almost always recommend Palm Cay or Sandyport — gated, safe, community-oriented, and within 15–20 minutes of the international schools. For couples or retirees who want resort-adjacent living, Cable Beach condos offer the best combination of amenities and value. For those seeking ultra-privacy, Lyford Cay and Albany are world-class but come with world-class price tags. I show every area on buyer trips so clients can feel the difference firsthand.

Glenn Ferguson — Expert Quote: After 24 years helping Americans relocate, I can tell you the three things that catch people off guard: import duty (a $40,000 vehicle costs $70,000+ after customs), the non-owner property tax rate (which doubles if you rent your property even occasionally), and healthcare costs (international insurance runs $5,000-$15,000 per person). I walk every relocating family through a complete first-year cost projection before they commit — because the lifestyle is worth it, but only if you budget correctly from the start. The Americans who love it here are the ones who came in with their eyes open.

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

Relocation Timeline

Glenn coordinates property purchase, attorney referrals, and residency applications simultaneously to compress the timeline. School enrollment should begin 3–6 months before arrival — popular schools fill quickly.

Banking for Americans

Major Bahamas banks include FirstCaribbean International Bank, Royal Bank of Canada (RBC), Bank of The Bahamas, and CIBC. Opening a local account requires proof of residency or a Bahamas address, passport, reference letter from your US bank, and proof of income or funds. The BSD is pegged 1:1 to the USD, so there is no currency exchange risk.

Under FATCA, Bahamas banks report US account holders to the IRS. Most American expats maintain both US and Bahamas accounts — US for ongoing obligations, Bahamas for local expenses and property-related payments. Glenn introduces clients to banks experienced in working with American property buyers.

Run Your Numbers — Free Calculators

Use these interactive tools to model your specific relocation scenario before making any commitments.

Frequently Asked Questions

Related Guides

Sources

1. Bahamas Immigration Department (immigration.gov.bs) — Permit to Reside, EPR requirements, HORC
2. Bahamas.gov.bs — Permanent Residence application, requirements
3. Bahamas.com — Visa and entry requirements for US citizens
4. Fragomen Advisory, January 2025 — EPR threshold increase to $1M
5. IRS.gov — Foreign Earned Income Exclusion ($130,000 for 2025), FBAR, Form 8938
6. Numbeo — Nassau vs US cost of living comparison (2025–2026)
7. MovebuddHa — Cost to move to The Bahamas from the US (2025)
8. Bahamas Customs Department — Import duty rates, vehicle import costs
9. Doctors Hospital Nassau — JCI accreditation, services
10. St. Andrew's School, Lyford Cay International School — tuition, curriculum
11. King's College School (kingscollegeschool.bs) — Cambridge/IB, tuition $15,750–$25,305, Inspired group
12. Central Bank of The Bahamas — BSD:USD peg, Exchange Control
13. Bahamas Power and Light (BPL) — residential electricity tariff

Your Move Starts with a Conversation

Moving to The Bahamas from the US is genuinely achievable — visa-free access for up to 240 days, multiple residency pathways, zero local income tax, and a lifestyle most Americans only experience on vacation. But the costs are real (import duty, utilities, insurance), the IRS follows you (FEIE is your friend), and the right area and property make an enormous difference to your quality of life. Glenn Ferguson has guided Americans through this process for more than 24 years — property, residency, and the practical details that turn a dream move into a smooth transition.