Purchasing a home can be an overwhelming process. Whether it’s your first home or if you’re an experienced buyer, our team of professional agents are here to guide you through the entire process. We will listen to your needs and wants and search out the property that best fits these. Once you’ve found the home that’s right for you, we are here to guide you through the process which include making the offer, negotiating the terms of any counter offers, assisting you with any conditions you have included such as an inspection or financing, and closing the sale.
Fees associated with purchasing real estate in The Bahamas
- VAT – Shared equally by purchaser and seller (Unless otherwise specified by both parties unless otherwise specified in an agreement of purchase and sale)
- Legal fees – Each party responsible for their own legal costs
- Real estate commission – Paid by the seller ((Unless otherwise specified by both parties in an agreement of purchase and sale)
Vat Rates
- 2.5% where the value does not exceed $100,000
- 4% where the value exceeds $100,000 but does not exceed $300,000
- 6% where the value exceeds $300,000 but does not exceed $500,000
- 8% where the value exceeds $500,000 but does not exceed $700,000
- 9% where the value exceeds $700,000 but does not exceed $1,000,000
- 10% where the value exceeds $1,000,000.
Commission
Unless otherwise stated, the commission on real estate transactions in The Bahamas is paid by the seller. On developed property the commission rate is 6%. On vacant property (Land) the commission rate is 10%. Legal fees can vary but the norm is charged at 2.5% of purchase/sale price
Real Property Tax
Owner-occupied property (owner resides and uses as primary dwelling)
- $0 – $300,000 = Exempt
- $300,000 – $500,000 = 0.625%
- Over $500,000 = 1%
Ceiling for Properties valued over $6,000,000 = $120,000
Commercial Properties
- $0 – $500,000 = 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.