Cost of Buying Real Estate in 2025

Purchasing real estate in the Bahamas involves several costs that potential buyers should consider. Below is a breakdown of the main expenses associated with buying property in this tropical paradise.

1. Purchase Price

The most significant cost is the actual purchase price of the property, which can vary widely depending on location, type of property, and market conditions.

2. Closing Costs

Closing costs typically range from 3% to 8% of the purchase price and may include:

• Stamp Duty: Generally between 2.5% and 10% of the property value.

• Legal Fees: Usually around 1% of the purchase price.

• Title Search Fees: Costs associated with verifying property title.

• Registration Fees: Fees for registering the property with the government.

3. Property Taxes

Annual property taxes in the Bahamas are relatively low, typically around 1% of the assessed value of the property.

4. Homeowners Insurance

Insurance costs can vary based on the property value and location, but it is essential to protect your investment against natural disasters and other risks.

5. Maintenance and Utilities

Ongoing costs include:

• Utilities: Water, electricity, and internet services.

• Maintenance: Regular upkeep and repairs for the property.

• Homeowners Association (HOA) Fees: If applicable, fees for community services and amenities.

6. Financing Costs

If financing is required, additional costs may include:

• Mortgage Fees: Application and processing fees charged by lenders.

• Interest Rates: Varying rates based on market conditions and borrower qualifications.

7. Additional Costs

Consider potential additional costs such as:

• Inspection Fees: Costs for property inspections before purchase.

• Survey Fees: To determine property boundaries and land characteristics.

In summary, while the allure of owning property in the Bahamas is strong, it is crucial to budget for these various costs to ensure a smooth purchasing process.