Partner, Licensed Real Estate Agent at Better Homes and Gardens MCR Bahamas

Timothy Smith was born and raised in Nassau, Bahamas to a respected real estate family.At 25, Timothy had already achieved the goal of Top Rookie of the Year at MCR Bahamas. Just one year later, he achieved the highest honor in the firm as Overall Top Producer of the Year. He won this award again the year after in 2020. In 2021, Timothy Smith was appointed as Partner of the firm and has established himself as one of the most respected Real Estate agents in The Bahamas.

What are current Bahamas real estate prices?

The average price of a house in The Bahamas can vary significantly based on factors such as location, size, and amenities.

The average price of real estate per square foot in The Bahamas ranges from USD $90 per square foot for an apartment outside the city center to about $2,500 per square foot for a luxury offering.

To compare this to the US market averages, the lowest square footage cost is in West Virginia where you can purchase a home for as low as $133.72 per square foot. The highest-cost state, Hawaii, offers properties up to $681.09 per square foot.

If you’re looking for luxury villas and mansions, The Bahamas doesn’t disappoint. In fact, the substantial amount of high-priced luxury real estate offerings in The Bahamas raises the national average home price.

For the most accurate and up-to-date information, it is recommended to consult local real estate listings, agencies, or recent market reports specific to the region of interest.

What is the average cost of a home in The Bahamas?

The average price of real estate in The Bahamas is about USD 3 million. But don’t feel discouraged if that’s outside your budget. The substantial amount of high-priced luxury real estate raises the national average home price.

If you’re looking for luxury villas and mansions, The Bahamas doesn’t disappoint. In the exclusive Lyford Cay neighborhood alone, properties can reach as high as $40,000,000.

But if you’re looking for something more affordable, our team of skilled real estate agents is happy to help.

Bahamas Real Estate Market: Average Bahamas Real Estate by Location

Given the above factors that influence Bahamian real estate, you’ll find a wide range of property prices depending on the neighborhood, city, island, and even property type.

The following figures will give you a good idea of the cost of real estate (in USD) in The Bahamas by location:

Albany, Bahamas Real Estate Prices

Albany is situated on the island of New Providence in The Bahamas, and it covers an expansive 600 acres. The community offers accommodations for travelers and world-class amenities such as a golf course, mega-yacht marina, a variety of dining options to suit every occasion, shopping, and more.

Albany showcases a diverse selection of residences, from the allure of beachfront villas to the opulence of custom homes and the contemporary charm of marina residences. Likely a testament to the success of the community and its offerings, real estate opportunities are few and far between.

Here’s an idea of what’s available at low, mid, and high price points:

Low: Golf course land lots start around $2.5 million
Mid-range: Condominium marina residences start around $10 million
High: Single-family luxury homes start around $25 million

See what’s available in Albany.

Nassau Real Estate Prices

Nassau is the capital island of The Bahamas, and as such, is the most cosmopolitan of the islands. A popular cruise destination, you’ll find a thriving tourist population, many resorts and rental homes, entertainment options, and other services you’d find in any major city.

Nassau is home to major financial institutions, offering mortgages for expats and other services. The island is also home to some of the best private schools in The Bahamas.

There are many real estate offerings in Nassau, to meet the diverse needs of every individual, family, and lifestyle. Expect the following price range:

Low: Vacant land lots start around $85,000
Mid-range: Mid-range condos, vacant lots, and single-family homes start around $800,000
High: Luxury homes (not part of resort communities) start around $5 million

View Nassau properties now.

Grand Bahama Real Estate

Grand Bahama, the northernmost of The Bahamas’ major islands, provides a captivating blend of natural beauty, vibrant culture, and enticing recreational opportunities.

The bustling city of Freeport offers an urban experience without the size and population of Nassau. Real estate opportunities include luxury and rural living, at generally lower price points than the capital.

Low: Vacant land lots and condos start around $100,000
Mid-range: Single-family homes and land lots, average around $1.5 million
High: Acreage lots, established businesses with property, and luxury homes average around $4 million

Browse Grand Bahama properties.

Eleuthera Real Estate Prices

If you’re seeking a more relaxed pace while savoring the beauty and history of The Bahamas, Eleuthera emerges as an ideal destination.

Renowned for its wind-swept pink sand beaches and tranquil island living, these enchanting islands offer a serene escape. Here’s what to expect:

Low: Vacant land lots, cottages, and single-family homes average around $400,000
Mid-range: Acreage lots, beachfront lots, and single-family homes, average around $600,000
High: Private islands (including residences), starting around $42 million

Discover Eleuthera properties now.

Exuma Real Estate Prices

The Exumas stand out as one of The Bahamas’ most renowned destinations, encompassing three distinct areas – Great Exuma, Little Exuma, and the Exuma Cays – each offering a unique charm. Great Exuma and Little Exuma exude a laid-back, carefree island lifestyle, while the Exuma Cays are synonymous with opulent private homes and tropical elegance.

Georgetown, the capital of The Exumas, boasts the convenience of the Exuma International Airport, providing regular direct flights to Florida, Atlanta, and Toronto. This accessibility is a key benefit for those wanting proximity to an international airport.

Here’s what to expect:

Low: Vacant land lots and single-family homes average $250,000
Mid-range: Oceanfront single-family homes, acreage, cays, and villas average $3.5 million
High: Private islands, cays, and acreage lots range from $10 million to over $50 million

Explore Exuma properties.

Bimini Real Estate Prices

Bimini, often referred to as the “Gateway to The Bahamas,” sits just 50 miles off the coast of Florida, and is the closest Bahamian island to the United States. Divided into two main islands, North Bimini and South Bimini, the island chain offers a charming blend of relaxation and adventure.

As an easily accessible and popular getaway destination, visitors enjoy exploring its colorful coral reefs, world-class fishing, or soaking in the laid-back atmosphere of local establishments. Here’s a snapshot of Bimini, Bahamas real estate prices:

Low: Vacant land lots and condos average around $200,000
Mid-range: Condos and single-family homes average around $550,000
High: Luxury homes, harbor lots, and businesses with property, average of around $3.5 million

View Bimini properties.

Land in The Bahamas For Sale

The Bahamas, with its breathtaking landscapes spread across 30 inhabited islands, presents an array of enticing land purchase opportunities. Investing in Bahamian land is not just a financial decision; it’s a gateway to unparalleled possibilities.

From investment strategies to development opportunities, or building a custom home, buying land offers flexibility that traditional real estate purchases don’t. Moreover, buying land in The Bahamas provides residency opportunities for buyers and their families.

Low-range offerings average $300,000
Mid-range offerings average $1 million
Highest-priced offerings average $5 million

Discover land for sale in The Bahamas.

Factors Driving Real Estate Prices in The Bahamas

Bahamian real estate covers a large range. Usually, location is a top factor, with luxury communities like Lyford Cay and Cable Beach offering more expensive homes. But beach access is also a key determiner.

Let’s explore some factors driving the Bahamas’ real estate prices in more detail:

Real Estate Location

Mega-tourist hotspots like Cable Beach and luxury developments in Lyford Cay along the beach will cost you more than, say, an inland, isolated cottage in Grand Bahama. Some more affordable Bahamian real estate destinations include Cat Island, Nassau outskirts, and Andros Island.

Bahamas Beach Access

Who doesn’t want beach access? One rule of thumb in The Bahamas is beachfront properties will cost you more. For example, beachfront Bahamian property prices in one luxury Nassau development cost almost USD 5,000,000 more than inland homes.

But, experts still find that despite Bahamian inflation, beachfront homes in The Bahamas are cheaper than the equivalent in Florida. If you can afford it, the luxury of beach proximity is unmatched.

However, depending on your budget, the price surplus might not be worth it. Luckily you’re never too far away from a beach in The Bahamas.

Bahamas Real Estate Demand

According to Forbes, 2021 was one of the busiest, high-performance years in The Bahamas’ real estate market. Shorter supply pumps up prices, so high-demand periods influence the market.

How to Buy Real Estate in The Bahamas

Purchasing real estate in The Bahamas is an exciting venture requiring careful planning and consideration. This section provides a brief guide to help you navigate the process and make informed decisions.

1. Set a Budget

Before diving into the real estate market, it’s crucial to establish a realistic budget. Take into account your financial capabilities (are you earning an average salary, do you have existing debt), potential mortgage options, and any additional costs such as property taxes, maintenance, cost of living, and insurance. By setting clear financial boundaries, you can streamline your property search and ensure a more efficient buying process.

2. Choose Your Bahamas Island

The Bahamas is an archipelago comprising multiple islands, each with its unique charm and characteristics. Determine the island that aligns with your preferences, whether it be the bustling energy of Nassau, the serene beauty of Exuma, or the tranquility of Eleuthera.

Research the real estate market on your chosen island to understand property availability, trends, and potential investment opportunities. Consider things like proximity to airports or transportation hubs, nearby schools, local crime rate, etc.

Only you can determine the best place to live in The Bahamas that suits your personal lifestyle.

3. Consider Financing

Explore financing options early in your real estate journey. Local banks and financial institutions in The Bahamas may offer mortgage services to qualified buyers. Understand the terms, interest rates, and eligibility criteria.

It’s advisable to secure pre-approval to strengthen your negotiating position and streamline the buying process.

4. Work with the Best Bahamas Real Estate Agents

When delving into the intricate world of Bahamian real estate, having a seasoned local expert by your side is paramount. That’s where the best real estate agents in The Bahamas come into play. At MCR Bahamas, our team of seasoned professionals boasts a solid reputation, extensive experience, and an intimate understanding of the various islands and communities across The Bahamas.

Navigating the complexities of the Bahamian real estate market requires more than just knowledge; it demands expertise honed through years of dedicated service. With MCR Bahamas, you’ll have access to unparalleled guidance throughout every step of your real estate journey.

Whether you’re seeking a beachfront paradise in Nassau, an exclusive retreat in Exuma, or a luxurious estate in Paradise Island, our agents are here to turn your real estate dreams into reality. From property search to negotiation and legal processes, we ensure a seamless and successful transaction, tailored to your unique needs and preferences.

Don’t settle for anything less than the best.

Contact MCR Bahamas today and discover your next home in paradise.

The Economic Health of the Bahamas

The Bahamas has a relatively strong economy, heavily based on tourism. Unfortunately, like many other countries, The Bahamas took a hit during COVID, resulting in a loss of tens of thousands of jobs and an overall near $10-billion loss.

But, the economy and real estate market is jumping back up and experts predict a full recovery by 2024.

The Bahamas is also the richest country with one of the strongest economies in the entire Caribbean, with The Bahamas’ economy boasting:

Overall GDP: $11.21 billion
GDP per capita: $28,239.40
Unemployment rate: 13.7%

Pros and Cons of Owning Property in The Bahamas

When deciding on whether or not to become a permanent resident in The Bahamas (vs renting some luxury Bahamas property), it’s helpful to review some disadvantages and advantages.

Pros

Rental Income Potential: The Bahamas has an average monthly rental price of about $3,000 — keep in mind that’s likely for year-long leases. If you’re in the short-term rental market, you can earn that in a week, depending on the listing. And if you work with a great real estate agency or rental management company, renting your property can be very straightforward.
No Income Tax: The Bahamas doesn’t tax rental income — a novelty in the Caribbean. The typical tax rate for rental income ranges between 10-20%, while some countries creep even higher, like St. Vincent (30.58%!). In fact, the Bahamas is referred to as a tax neutral country or tax haven.

Rental Income Tax Rates Caribbean

Moreover, The Bahamas won’t tax your overall income if you become a resident. So you can bring in income from the U.S. if you own a business or work online–and receive rental income, and pay zero income tax on it.

This is a win-win for both family homeowners and landlords. Families keep more of their income to save or spend as they see fit, while landlords enjoy fewer expenses on their business.

Sure Path to Permanent Residency: Any foreigner can purchase Bahamian property to obtain permanent residency. The only catch? The home must be worth at least $750,000, or the property must be a commercial development that employs Bahamians.
High Quality of Life: Beaches, sunshine, watersports, palm trees, need we say more?
Stable Government and Economy: Overall, The Bahamas is one of the wealthiest Caribbean countries with a stable government. The government is democratic and respects resident, citizen, and tourist civil liberties.

Cons

Maintenance: Bahamian homeowners can spend a decent amount on home maintenance due to extreme weather and ocean-side living.
High Stamp Duty and Transaction Costs: While The Bahamas has no income tax, it applies a 2.5% stamp duty to every property purchase. However, first-time homebuyers might achieve exemption. Depending on the property type, you’ll also be subject to a 10% real estate tax and hefty closing costs.
“Locked-in” vacation destination: It’s common to want to get your money’s worth by flying to The Bahamas for every vacation, which might feel limiting to those who crave travel elsewhere. Our advice? Holiday in The Bahamas a couple of times before you buy, and consider renting out your property when you’re away!
Higher mortgage rates: If you’re borrowing money for your mortgage in The Bahamas, be prepared for higher interest rates compared to the U.S.

FAQs on Bahamas Real Estate Prices

Learn more about real estate prices in The Bahamas.

Is The Bahamas a good place to buy real estate?

Absolutely. The Bahamas is renowned for its stunning landscapes, vibrant culture, and welcoming atmosphere, making it an attractive destination for real estate investment. The archipelago offers a diverse range of properties, from beachfront estates to charming island cottages.

The stability of the Bahamian economy and its reputation as a tourist hotspot contribute to the overall appeal of those looking to buy real estate.

Can a foreigner buy a house in The Bahamas?

Yes, US citizens and other foreigners can buy property in The Bahamas. The government encourages foreign investment in real estate, and there are no restrictions on non-Bahamians purchasing property.

However, certain legal processes and approvals may be required, so it’s advisable to work with a local real estate professional who can guide you through the necessary steps and ensure a smooth transaction.

What is the cheapest island in The Bahamas to buy a house?

Determining the “cheapest” island in The Bahamas depends on various factors, including the property type, location, and amenities. Generally, some of the less developed Out Islands may offer more affordable real estate options compared to the bustling capital of Nassau or popular tourist destinations like Paradise Island.

Conducting thorough research and consulting with a local real estate agent will help you identify the island that best fits your budget and preferences.

Want to buy an entire Bahamas island? You can do that too.

What is the average price of a house in The Bahamas?

The average price of a house in The Bahamas can vary significantly based on factors such as location, size, and amenities. The average price of real estate per square foot in The Bahamas ranges from $90 per square foot for an apartment outside the city center to about $2,500 per square foot for a luxury offering.

Find Luxury Homes for Sale In The Bahamas

Owning Bahamian real estate is a pleasure for many of our clients. They adore the investment and income potential, tax benefits, and of course — the unparalleled laidback lifestyle of the beautiful Bahamas.

If you’re seeking a luxury home in the Bahamas, you’ve come to the right place. Contact us at MCR Bahamas to learn more about neighborhoods, pricing, and luxury options!