If you’ve ever dreamed of owning your own place in the Bahamas, then you might be thinking about buying a property there. The Bahamas is one of the most beautiful countries in the world, and you can have your own slice of paradise by purchasing property here. Not only is it an incredible place to live, but you can also get some priceless views. As long as you have the right plan and get your paperwork in order, buying property in the Bahamas is an excellent investment.
The buying process involves working with a local lawyer and architect. The buyer’s attorney will need to obtain permission from local authorities. A Bahamian attorney must represent both the buyer and the seller, and his fee is usually about 2.5% of the purchase price. An attorney will work to handle all applications, title search, and settlement, so make sure to hire a Bahamas-licensed attorney. This will save you time and money. However, a Bahamas-licensed professional will be able to give you more information on the buying process.
The cost of purchasing property in The Bahamas is fairly affordable. The cost of realtors, lawyers, and recording fees is between 15% and 20% of the net price. Purchasing property abroad is easy thanks to the International Persons Landholding Act, which replaced the Immovable Property Act of 1981. If the property is bigger than 5 acres, you may need to obtain a permit from the government, but this is only required if it is on undeveloped land. Once you have purchased the property, you will also need to register it with the Investment Board and Central Bank.
In general, foreign nationals can apply for mortgages through major banks in the Bahamas. Some of these banks offer mortgages with terms as long as 25 years with a low down payment. Foreign nationals can also apply for mortgages, but you should check their background first. Moreover, make sure to choose a legitimate source of money for the mortgage. The lender should be able to wire funds from an above-board financial entity. The interest rates, down payments, and restrictions on buying property vary between institutions.
When buying a property in The Bahamas, it is vital that you consult with a reputable attorney before making any final decisions. A lawyer is a valuable asset that will help you navigate the legal nuances and catch any potential pitfalls along the way. Property taxes in The Bahamas are based on the assessed value. Taxes on properties under $500k are approximately 1%. Owner-occupied property taxes are about $60,000.
As for the property itself, you should hire an attorney before you buy. Your attorney will check the title of the property to determine if there are any encumbrances on it. If there is a break in the chain of title owners or missing abstracts, the marketability of the subject property will suffer. Title insurance is not required in The Bahamas, but it can be beneficial in some situations. If you do opt for title insurance, you’ll need to know whether it is mandatory and what type of coverage you’ll need. albany bahamas real estate