FAQ & GLOSSARY
(1) Can Foreigners purchase property in the Bahamas.
(2) What is required of a non – Bahamian to purchase property in the Bahamas?
(3) Is an Attorney needed when purchasing property?
(4) Is Title Insurance available in the Bahamas?
(5) What costs are involved in buying or selling property?
(6) In what form is title to property given?
(7) May the proceeds of a sale be repatriated after purchase?
(8) Do you need special approval to build or renovate?
(9) Can you provide a list of qualified Bahamian Architect,Contractors and Engineers.
(10)May I use the service of a non Resident Architect?
(11)Are Real Estate Brokers and Sales Agents in The Bahamas licensed?
(12)Are Bahamian Real Estate Brokers and Sales Agent Licence?
(13) What is the cost of construction?
(14)Can non – Bahamian or permanent Resident get financing locally?
(15) What taxes are there in the Bahamas?
(16) How do you obtain Residency in the Bahamas?
(17) How would my property be advertised?
(18) How to obtain Bahamian Citizenship?
(19) How do I get to Acklins once I reach Nassau?
(20) Can you provide me with a list of qualified Bahamian Lawyers?
(21) Where do I stay once I arrives at Acklins?
FAQ & Glossary – Answers
Q1 – May non-Bahamians purchase property in The Bahamas?
The International Persons Landholding Act, 1993, provides for the sale of real property in The Bahamas to non-Bahamians.
Q2 – What is required of non-Bahamians to purchase property in the Bahamas?
The International Persons Landholding Act requires non-Bahamian to have a Permit, if the property being purchased is greater than 5 Acres.
The objective is to encourage commercial property development .Non-Bahamians who purchase land for which a permit is not required must register their purchase with the Foreign Investment Board under the mentioned Act. Non-Bahamians also have to register their investment with the Exchange Control at the Central Bank of The Bahamas, to ensure that on resale they will be able to remit the net proceed of sales outside the Bahamas in the currency of the original investment.
Q3 – Do you need an Attorney when purchasing property?
No, but the appointment of a local attorney is highly recommended. Apart from insuring that the documents of title are properly prepared and are in good order, the local attorney representing the buyer gives an Opinion on the title to the property. This Opinion is considered to be the same as title insurance as the lawyer is liable should the purchaser find that there is a defect in the title. Local lawyers carry indemnity insurance.
Q4-Is title Insurance available in The Bahamas?
Yes. There are companies in the Bahamas offering Title Insurance. The risk premium generally runs between .20% to .27% of value.
Q5 – In what form is title to property given?
The vast majority of property is sold Freehold. There are few exceptions of leasehold properties which are generally Crown Lands (Government owned properties) leased for agricultural or development purposes. The Bahamas Government generally, does not sell its properties.
Q6-May the proceeds of a sale be repatriated after purchase?
Yes. You will be able to repriated the entire proceeds including any profits provided you register the purchase with Exchange Control Department of the Central Bank at the time of purchase.
Q7- Is special approval needed to build or to renovate?
Yes. You will need to obtain approval from the Town Planning Board and a building permit issued by the Ministry or Works. A local architect or engineer is also required.
Q8- How qualified Bahamian are Architects, Contractors and Engineers?
Most if not all Architect, Engineers, Contractors, Mechanical and Civil Engineers, were either schooled in the United States, Canada or the United Kingdom. However some of smaller Contractors have benefitted from those that travelled abroad who have obtained their International Degrees.
Q9
Q10 – May I use the service of a non-resident Architect?
Yes, but that architect cannot work in the Bahamas without a permit to do so. All building plans submitted to the Town Planning Board and the Ministry of Works must be signed off by a local licensed architect and local engineers. As in any jurisdiction there are local customs and procedures required in getting the job done and it is recommended that you utilize the service of a local professional.
Q11 – Are Real Estate Brokers and Sales Agents in The Bahamas licensed?
Yes. Brokers and sales agents are licensed in the Bahamas, under the Bahamas Real Estate Association (BREA).
Q12 – What is the cost of Construction?
Construction costs in the Bahamas, as you might imagine, vary widely depending on the location of the construction site, the design of the building, the materials used and the finishes. Cost may be as low as $65.00 – $80.00 per square foot for low cost housing. However, a modest or minimum structure consisting of concrete block construction, timber roof framing and asphalt roof shingles cost $100.00 to $150.00.An average home will cost about 65% more in the Bahamas than Florida. However it should be noted that most of this increases is due to Transportation cost, Government taxes, Freight and the building code in the Bahamas is very strict, with most homes built with blocks poured concrete and steel bars, in foundation, column and Belt course.
Q13 Is local financing available to non-Bahamians or Permanent Resident?
Yes, but the loan facility may only be given in US$’s at international rates and the down payment required is generally on the order of 40% of value.
Q14 – What taxes are there in the Bahamas?
The Bahamas Government main source of revenue is from Custom duties on all goods entering the Country. We have no Income Tax, Capital Gain Tax, Sales Tax or Inheritances Taxes.
Q15 – How do you obtain Residence in the Bahamas?
The Government of the Bahamas has set specific guidelines that allow non-Bahamians to establish permanent residency in The Bahamas. There are two categories of permanent residency: – Permanent residency with the right to work and permanent residency without the right to work. One of the criteria for permanent residency is the investment of a minimum of $500,000. In The Bahamas. This investment may take the form of the purchase of real property with a minimum value of $500,000 to $1.5 million. Non-Bahamians who own property in The Bahamas may apply to the Director of Immigration for an annual homeowner’s residence card. This card is renewable annually and entitles the owner, spouse and any minor child/children endorsed on the card to entry into The Bahamas with minimal formalities.
Q16 – What are the advantages to establishing permanent residency in The Bahamas?
Apart from the opportunity to live and work in a warm and pleasant environment there are also significant tax advantages for citizens of countries with high personal and corporate income taxes as well as inheritance taxes. The advantages vary depending on the citizenship of the applicant and the tax laws of the applicant’s home country.The Investment Policy Act,has just been ammended to allow foreigner with Permanent Residency to invest in Restaurant and Entertainment facilities,an area that was reserved for Bahamians.
Q17 – How to obtain Bahamian Citizenship?
Citizenship is normally given to long term Permanent Residence and Spouses of Bahamian.
Q18 – How to obtain a work permit in The Bahamas?
In order to obtain a work permit, the Bahamian employer must demonstrate that there is willing, able or qualified to fill the position. Without these safeguards the Bahamas would be overrun with illegals.
Q19 – How do I get to Acklins once I reach Nassau?
There are to main Airlines that travel to Acklins. Bahamas air airline is a 50 seater, which travel on Wednesday and Saturday at 8:30am.Roundtrip tickets cost $266.00. The next airline is Pineapple Air, a 19 Seater, which travels on Monday and Friday at 8:30am.Roundtrip ticket cost $280.00.
Q20
Q21 Once you arrives at Acklins you can stay at the following Lodges,& Guest Houses:
(a) Airport Inn Restaurant & Bar – Springpoint – 242-344-3600
(b) Chester’s Bonefish Lodge & Restaurant – Chester – 242-344-3297
(c) Chester’s Highway Inn Bonefish – Chester -242-344-3114
(d) Grey’s Point Bonefish Inn – Pinefield – 242-344-3210
(e) Salina Point Bonefish Lodge – Selina Point – 242-344-3694
(f) Acklins Island Lodge – Mason Bay – 242-344-3500
(g) Top Choice Bonefish Lodge – Mason Bay – 242-344-3628
(h) Nai’s Guest House – Spring Point – 242-344-3089
