Bahama Island

Bahama Island

Fast Facts:

3rd richest country in the Western Hemisphere

Not pay income taxes, either by residents or nonresidents.

Capital = Nassau

Population = 323,000

Currency Dollar =

Economic

Has everyone got their Pina Coladas ready? All you have one of those little umbrellas? A piece of pineapple and maybe some nutmeg sprinkled on your affection? Ok J? Great!

Now, take your first sip and think "She's Bahamas ……… and you suddenly see yourself taken to a turquoise sea filled with marine life and sandy beaches that stretch miles. You sit in your beautiful villa, while served shrimp cocktail and seafood crayfish, whereas tips Sun Bronze feeling ……… So ….. want to go?

Although tourism is a major player in keeping the economy afloat, is not the only thing this island paradise:
No income taxes, taxes on capital gains or inheritance taxes paid, either by residents or nonresidents.

The laws are for the tenant and the landlord only properties valued at less than B $ 25,000 are subject to the Rent Control Act.

The Economic and Political Environment is stable and GDP per capita is among the highest in the Caribbean.

The rental income Property season top 10 to 12% by season.

Looking at the GDP per capita has been an increase in the 1990s when growth was a constant 3% GDB.
The plague only in this stable GDP per capita growth was in the 1990s when inflation peaked at just over 6%
But even high inflation could not keep the tourists away as seen in tourist arrivals.

Inflation has been a spiral of decline sustained since 1990 and therefore this has driven growth of GDP.

Even when the economy depends heavily on the U.S. economy to ensure growth, the numbers of tourist arrivals have remained stable since the early 1990s.

Property Market Review

So, although the Bahamas is strongly based on the U.S. economy to ensure growth, the housing market remains very much in favor of investors …….

Here's why:

Foreigner restricting the purchase of Property?

There are no restrictions on foreigners buying property:

The only exception is government permission before the operation, if the property is undeveloped land and more than five hectares.

Rental yields are stable?

Yields are about 5% to 6% for properties located in coastal areas of Nassau and other islands.

Rental yields are good in the gated, because there are many expatriates accountants and lawyers.
Properties with seasonal rates have efficiencies of 12% to 15% in Grand Bahama is so close to the U.S., many travel backwards and forwards.

It's the Law of the Bahamas, Pro-Pro-owner or tenant?

The Landord and tenant act of the Bahamas is Pro-Owner:

Rents can be freely agreed long-term leases and short term.

The landlord must give the tenant proper notice of rent due and possible eviction for unpaid rent.

If the tenant fails to pay rent on time, the owner can call the local police and recover the property.

Even through a warrant is not required for tenant eviction, most owners put delinquent tenants to court and ask for income foregone.

How much tax will I pay on my property?

No taxes on income, taxes on capital gains or inheritance taxes paid, either residents or nonresidents.

The maximum real estate tax is 2% for properties worth more than $ 500,000 (GBP: 250,000 ZAR: R3, 500,000)
As an investor, the only restriction "that raises the Bahamas is the purchase of the costs involved in the purchase process:

Registration Fees: The buyer must pay the fees of several of the property to be registered. These fees are minimal and not expected to exceed 0.5% of property value.

Stamp Duty: Stamp Duty must be paid upon delivery of the property. Stamp duty is typically split between buyer and seller.

Up to 20,000

2%

20,000.01 to 50,000

4%

50,000.01 to 100,000

6%

100,000.01 to 250,000

8%

Over 250,000

10%

Legal fees: Each party pays its own attorney. Attorney fees are determined according to the value of the property:

First 500,000

2.5%

Next 500,000

2.0%

Next 4,000,000

1.0%

More than 5,000,000

0.5%

Fee Real Estate Agent's: The fees for real estate agents are set by the Bahamas Real Estate Association.

Rates are determined as follows:

Undeveloped vacant land / in all the islands except Great Bahama

10%

Improved residential properties on the islands of the output

8%

All types of property in Grand Bahama

15%

Improved residential properties (houses, condominiums) in all other islands, including New Providence (Nassau instead of) 6%

Conclusion

At first glance, I could see the Bahamas as unattainable paradise, reserved only for the rich and powerful. Exclusively frequented by celebrities to escape the attention and for us mere mortals simply watch and wait …….

But in the current Indeed, the Bahamas is a place that has all the elements that the results of investors across the eyes: there is no income tax in favor of law and good landlord rental yields:)

Horizon Consultancy believes in transparent business ethics and we ensure that all our clients are fully aware of the purchasing process. We have specialised personnel who guide our clients through the process, on a step-by-step basis.

Historic Shark Feeding at Legends of Diving off shores of Grand Bahama Island

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