Informational Buyers Guide: Buying and Owning Bahamas Real Estate, Moving To and Living in The Bahamas LAND OWNERSHIP POLICY Non-Bahamians who don’t own property here and who are buying less than five acres for single family use need only to register their investment with the government. The same principle applies to non-Bahamians buying improved property under 5 acres which is developed as a single family residential property. If a land purchase is for other than single family use or is over 5 acres in size, then a GOVERNMENT permit is required. Building Inspections Lawyers and Surveyors The Government Stamp Duty on Property Conveyances A graduated tax is payable on the conveyance of all real property based on the following value: • Up to and including $20,000.00 – 2% • $20,001 to $50,000.00 – 4% • $50,001 to $100,000.00 – 6% • $100,001 to $250,000.00 – 8% • $250,001 and over – 10% • The stamp duty is generally shared equally between buyer and seller - unless otherwise agreed upon. Real Property Tax Rates - Tax Act amended as of Jan. 1st, 2003 The first $250,000 on Bahamian and permanent resident owner occupied property is tax exempt. • On that portion over $250,000 and below $500,000, the rate of tax is 0.75% of the market value of the property; • On the portion over $500,000, the tax rate is 1% of the market value of the property. • The maximum annual tax shall not exceed $35,000. For unimproved property other than that exempt under the provisions of the Real Property Tax Act (section 39): • Upon that part of the market value that does not exceed $3,000 a fee of $30.00 • Upon that part of the market value which exceeds $3,000 but does not exceed $100,000 a tax rate of 1% per annum of the market value of the property. • Upon that portion above $100,000, the rate is 1.5%. For any other property, including non-exempted owner-occupied property: • Upon that part of the market value that does not exceed $500,000 a tax at the rate of 1% per annum of the market value; • Upon that part of the market value in excess of $500,000 a tax at the rate of 2% of the market value of the property. Exemptions: Property owned by Bahamians and situated in the Family Islands is exempt from a property duty. Property approved as commercial farm land (by the Ministers of Agriculture, Trade and Industry and Finance) is eligible for property tax exemptions. Also exempt from property tax: • Unimproved property owned by Bahamians (in New Providence or the Family Islands), meaning property without physical additions or alterations, or any works benefiting the land which have not increased the market value thereof by $5,000 or more; • Property used exclusively for charitable or public service from which no profit is derived. • All property located in Freeport, Grand Bahama. RESIDENCY/VISAS Application for Permanent Residency Major international investors and owners of residences valued at $500,000 receive speedy consideration for annual or permanent residency permits. Applicants must be of good character, show evidence of financial support and commit in writing they wish to live permanently in the Bahamas. Wives and dependent children (under 18 years) usually resident in a household may be endorsed on the certificate when the original application is made. For details contact: Bahamas Investment Authority Office of the Prime Minister Cecil Wallace Whitfield Centre PO Box CB 10980 Nassau, Bahamas Tel.: 242 327-5970 www.bahamas.com/investment email: biaphmi@batelnet.bs Immigration Visas are not required of citizens of the USA, United Kingdom, or Canada provided their stay does not exceed 3 weeks and that they have a return ticket leaving the Bahamas. Visas are not required of US citizens if stays are less than 8 months. Bahamas Immigration Department permits are needed to reside, work or engage in any business. Want to know about schools and utilities in the Bahamas? Need information on electricity and telephone services before you buy Bahamas Real Estate? Below is a list of private schools and utility corporations. New Providence, upon which the capital of Nassau sits, has several private schools – from St. Andrew’s, the international school, in the east to Lyford Cay School in the west. • St. Andrews School, Pre-School thru Grade 13 – Nassau East • St. Augustine’s College, Grade 7 thru Grade 12 • Queen’s College, early learning thru grade 12, Village Road • Blairwood Academy, Kindergarten thru Grade 12, Village Road • Kingsway Academy, Kindergarten thru Grade 12, Bernard Road • Xavier School: 322-3077 – West Bay Street • Tambearly School, Grade 1 thru Grade 9 – Behind SandyPort • Lyford Cay School – Lyford Cay HOSPITALS: • Doctor’s Hospital (Private) – Shirley Street • Princess Margaret Hospital (Public) – Shirley Street • Western Medical Plaza (Private) – Blake Road • The Lyford Cay Hospital/Bahamas Heart Institute (Private) - Lyford Cay UTILITY COMPANIES • Phone and DSL internet - Bahamas Telecommunication Corporation (BaTelCo): Tel: 242-302-7000, P.O. Box N 3048 • Electricity - Bahamas Electricity Corporation: Tel: 242-302-1000, P.O. Box N 7509 • Cable TV and internet - Cable Bahamas: Tel: 242-356-2200, P.O. Box CB 13050 • Water - Water & Sewerage Corporation: Tel:242-302-5500, P.O. Box N 3905 • Water (Lyford Cay) - New Providence Development Company: Tel: 242-362-4177, P.O. Box N 4820