The Bahamas is an investment destination that’s ideal for people who want to live in a tropical paradise and have access to world-class golf courses, shopping malls, spas, and other luxury amenities. The Bahamas also offers one of the most favorable tax regimes in the world, making it an ideal location for investors. The country is also home to some of the most luxurious real estate properties in the Caribbean.
Foreign-born individuals who plan to buy a home in the Bahamas should be aware of the local property laws. In most cases, foreigners are not required to have prior government approval, but those who want to purchase residential properties larger than five acres must apply for a permit and provide assurances that the property will be developed. Also, if the buyer is not a local, the Bahamas Investment Authority will require a project proposal, financial projections, and employment needs.
The Bahamas offers a unique environment that attracts tourists, investors, and business executives alike. In addition to being a tax-free country, the Bahamas has a stable and democratic government, with plenty of incentives for foreign business and property development. The climate is tropical, with over 310 days of sunshine per year. The Bahamas is also home to a thriving expat community.
A buyer should also consider the VAT tax when purchasing a property in The Bahamas. This tax is 10% of the property’s value, and is shared between the buyer and seller. There are exceptions, though, such as property owned by a Bahamian in the Family Islands. Property tax exemptions are also available for commercial farm land.
The Bahamas government encourages foreign investment, and foreign-owned homes in the Bahamas are eligible for an annual residency card that allows the owner and their family to stay and work in the Bahamas. The annual residency card costs about $500 and is valid for a year. It is important to keep this in mind when applying for the annual or permanent residency permit.
Real estate tax rates are variable and depend on the type of property. The government imposes this tax as it is an important source of revenue for the country. In 1969, the government introduced the real property tax as a way to finance public services and meet local revenue needs. Besides paying property tax, foreigners also have to pay property tax on vacant land. Exemptions are available, but they are not automatic. You have to apply for the concession on the Application for Tax Concession Form.
albany bahamas for sale The Bahamas has a low crime rate, a stable economy, and a variety of residency options. The property market is also welcoming to foreigners who want to purchase a property. This makes the Bahamas an excellent investment destination.