Investing & Residency in The Bahamas

Page 1

EXPEC T BE T TER

F O R R E A L E S TAT E I N T H E B A H A M A S

Guide to Investing In Real Estate in The Bahamas


Investors Paradise The

Bahamas

is

an

investors

inheritance, withholding, profit

company, partnership, individual

paradise for a number of reasons.

remittance, corporate, royalty,

or joint venture

Some of them include investment

personal income, dividends, &

incentive policies, skilled professional

interest taxes is ensured

• Principals - investors, major beneficial shareholders, including

workforce, proximity to key markets,

• A politically & economically

their dates and places of birth, as

sound legal framework & stable

stable environment conducive to

well as passport or social security

government and economy.

private investment

numbers • Proposed location

Investment Environment

Investment Proposal

• Land requirements

The Bahamas government provides:

An international investor seeking to

• Start-up date

• An

safe

do business in The Bahamas should

• Employment

investment and expropriation

submit to The Bahamas Investment

number of Bahamian and non

of investment capital is not

Authority

Bahamian employees

considered.

containing:

atmosphere

• Essential

public

for

services,

including water, electricity and communications • Freedom from capital gains,

• Name

a

project

proposal

Projections

-

• Management/Personnel - years &

address

including

telephone • Executive summary • Type of Business - whether share

of experience, training and work permits for key personnel • Financial

arrangements

for

project, including bank reference


• Environmental impact - toxic

• Free Trade Zone Act

waste, disposal procedures, toxic

fees. Sometimes property owners list a n et sales figure, in which case

Areas Targeted For Foreign the agent adds those charges to the

input • Total capital investment in project

Investors

with a break down of items

• Touristic Resorts

and start up costs. Minimum

• Upscale condos, time-share &

investment is $750,000

second home development

price quoted to prospective buyers.

Stamp duty on mortgages is payable at a rate of 1% on the amount borrowed.

• Marinas

The Bahamas Bar association follows

Investment Incentives

• Information/Data Processing

a minimum scale fee for conveyances

Investment incentives under the

• Assembly industries

and mortgage transactions at 2.5%

following

• High-tech services

of the sale price plus out of pocket

• Ship registration, repair and

expenses.

Acts

include,

among

other incentives, exemption from the payment of customs duties

other ship services

on certain construction materials,

• Light Manufacturing for export

Value Added Tax (VAT)

related equipment and approved raw

• Agro-Industries

VAT charges of 12% will be levied

materials. Additionally, waiver of real

• Food Processing

on commissions, legal fees and

property taxes is available for certain

• Mari-culture

appraisals, as well as commercial

investments for periods up to 20

• Banking & other financial services

property transactions including the

years:

• Captive insurance

sales price, rentals and Common Area

• Export Manufacturing Industries

• Aircraft services

Maintenance (CAM). VAT is not

• City of Nassau Revitalization Act

• Pharmaceutical manufacture

applicable on real estate transactions

• Industries Encouragement Act

• Offshore medical centres

below $100,000.

• Agricultural Manufactories Act • Bahamas Vacation Plan & Time Sharing Act

Stamp Duty Stamp duty is now 2.5% on all Real

• Tariff Act

Estate Transactions. In property

• Hotels Encouragement Act

sales, the vendor and purchaser

• Spirits & Beer Manufacturer Act

each pay half the stamp duty unless

• Hawksbill Creek Agreement Act

otherwise agreed. Sellers generally

• Family Island Development Act

pay comission, stamp duty & legal


Residency in The Bahamas A non-Bahamian may enter The Bahamas as a visitor for

indicate a commitment to the leasing or purchase of a

an initial period of up to two months. It is during this time

“second home”, it is our feeling that such a position is

the visitor may apply for residency.

helpful to a successful outcome. The Government Fee for

There are three levels of residency available:

this permit is one thousand Bahamian Dollars (B$1,000)

• Annual Residence Permit

for the head of the household and twenty-five Bahamian

• Permanent Residence Permit

Dollars (B$25) for each dependent.

• A Home Owner’s Card Generally applicants must be of good character and at

The following documents are required:

least eighteen (18) years of age. However it should be

• Immigration Form completed and notarized with a

noted that the success of any application is subject to the discretion of the Board of Immigration and in the case of Home Owner’s Cards, the Director of Immigration.

ten dollar (B$10.00) Bahamian postage stamp • Two (2) passport-size photographs with signature on reverse of prints • Police certificate covering five (5) years’ residence

Annual Residence Permit This permit is for non-Bahamians wishing to reside in The Bahamas on an annual basis. The Bahamas Government is responsive to applicants for annual residence, and although it is not a requirement for the applicant to

dated not older than 6 months • Before the submission of application; Original Fingerprint Card • Medical certificate dated not earlier than thirty (30) days before


Residency in The Bahamas • Two (2) testimonials of good character;

marriage must be subsisting; and the couple must

• Copy of lease or deed

also be cohabiting as husband and wife

• Financial reference from a reputable bank verifying economic worth, i.e., citing a figure range • Confirmation of whether or not the applicant owns a home or property in The Bahamas, and if yes, the address • A statement of net worth stating a figure range and how it is comprised (asset classes) • Source of income including whether derived from employment,pension, investments, trust funds, etc. • Amount of time to be spent in The Bahamas • Civic or charitable affiliations • Reasons for seeking residence in The Bahamas

• Persons born legitimately outside of The Bahamas to a married woman, who is a citizen of The Bahamas, and whose husband is not a citizen of The Bahamas • Financially independent individuals or investors who are legitimate owners of a residence in The Bahamas (please note that persons purchasing a residence for B$1.5 million or more will get speedy consideration) • Doctors / Medical professionals after having been employed for a minimum of 20 years • Persons who have held legal status (work or resident permit) for more than 20 consecutive years • Applicants must be at least 18 years of age and of

• Ticket evidencing intended departure

good character and must state in the application

• Processing Fee of one hundred Bahamian dollars

that he or she intends to reside permanently in The

(B$100).

Bahamas.

Separate application forms must be submitted on behalf

Permanent Residence has become very popular and

of the applicant’s spouse and children. The application

accelerated consideration of application is given to

must be accompanied by a marriage certificate and a

major international investors and owners of residences

birth certificate or any other certificate evidencing the

valued at B$1.5 million or more. To qualify for economic

dependence of the subject of the application in the case

permanent residence a person must invest a minimum

of a dependent.

of seven hundred and fifty thousand Bahamian dollars (B$750,000) in The Bahamas.

Permanent Residence Permit

In addition to paying the one hundred Bahamian dollar

The following persons are among the category of persons

(B$100) processing fee the following documents are

who may apply for permanent residence:

required:

• Spouse of a Bahamian after 5 years of marriage; the


Residency in The Bahamas • Immigration Form completed and notarized with

• Spouse’s death certificate (widowed persons)

a ten dollar (B$10.00) Bahamian postage stamp

• Divorce decree (divorcees)

affixed thereon

• Financial statements from applicant’s financial

• A copy of the bio-data page of the applicant’s passport

institution citing a figure range, and verifying economic worth.

• Two (2) passport-sized identical colour photographs

The government fee for the permanent residence permit

of the applicant, with the applicant’s name printed on

is a one-time fee of ten thousand Bahamian dollars

the reverse side (photographs must not be more than

(B$10,000).

6 months old)

A person holding a certificate of permanent residence

• Police certificate covering five (5) years’ residence

who wishes to include his wife, or dependent child under

dated not older than 6 months before the submission

the age of eighteen (18) and ordinarily resident in his

of application

household, may have them endorsed on the certificate

• Original Fingerprint Card

at the time of his original application or at a subsequent

• Original birth certificate (In the case of certificates

date, subject to such conditions as might be laid down

that are written in languages other than English, an

by the Board. The government fee for the endorsement

English translation should be submitted, sealed by

is twenty-five Bahamian dollars (B$25) each for an

the appropriate Consular Office where applicable,

applicant’s spouse and dependent minors. Separate

with a ten Bahamian dollar (B$10) postage stamp

application forms must be submitted on behalf of the

affixed to it

applicant’s spouse and child (children, if more than one).

• An original medical certificate dated not more than 30 days prior to the submission of the application

Homeowner’s Card

• Two (2) original character references, written by

Non-Bahamians who own homes in The Bahamas may

Bahamian citizens known to the applicant for at least

apply to the Director of Immigration for an annual home

5 years

owner’s resident card that bears the holder’s picture. This

• Parents’

birth

certificate,

Parents’

marriage

certificate • Certified and apostilled copy of marriage certificate (married persons)

card entitles the owner, spouse and any minor endorsed on the owner’s card, to enter The Bahamas and reside here for as long as the validity of the card. The government fee for this is two hundred and fifty Bahamian dollars


Residency in The Bahamas (B$250) per annum. The intended purpose is to facilitate entry into The Bahamas with minimal formalities. There is no need for a return ticket and the Home Owner’s Card entitles the holder to stay up to one year. The following documents are required: • Immigration Form duly completed and notarized with a ten dollar (B$10.00) Bahamian postage stamp affixed thereon • Two (2) passport size photographs with signature on reverse of prints • Police certificate covering five (5) years’ residence dated not older than 6 months before the submission of application • Original Fingerprint Card • Certificate from The Bahamas Investment Authority • Copy of valid passport • Proof of ownership of property and/or investment in The Bahamas in the form of copies of conveyances, deeds or contracts; • Processing fee of one hundred Bahamian dollars (B$100) Although the form does not have to be completed and submitted until after the applicant’s arrival, please note that there are documents to be submitted with the application which would be appropriate to obtain or request prior to the applicant’s departure for The Bahamas.


General Information Demographics

Infrastructural Development

Starting 60 miles off of the coast of South Florida, The

Recent and substantial infrastructural development

Bahamas is a 700 island archipelago. Most inhabitants

initiatives include the redevelopment of the country’s

live on the major islands; New Providence, Grand

principal airport; the deepening of Nassau Harbour,

Bahama, Eleuthera, Abaco, Exuma, Long Island, Inagua,

and the creation of a new cargo port. In April2011, the

Cat Island, Bimini, Andros & San Salvador.

government privatized the local telecommunications company, with the expectation of wider and higher

Currency

quality services, as well as reduced cost to the consumer,

The legally acceptable currency of The Bahamas is The

in particular to the business community. Each of these

Bahamian Dollar. The U.S. dollar is accepted throughout

initiatives have served more effectively to connect the

The Bahama Islands. The Exchange control is administered

Bahamas internally and to the international markets to

by The Central Bank of The Bahamas.

which we cater.

Government

Green Incentives

The Constitution of The Bahamas proclaims the islands as

Import duties have been substantially reduced or

a sovereign democratic state, sets forth requirements for

eliminated on many green products including energy

citizenship & guarantees fundamental human rights. The

efficient appliances and fixtures, solar equipment, plus

Bahamas has had over 300 years of stable democracy.

electrical cars.


Inventory Lock & Leave Condos

Gated Communities

We have many secure second home options available,

If you want to be completely secure, a gated community

condo living can be a wonderful choice for a carefree

if right for you. We have a number of gated communities

lifestyle & can also offer a source of income if you wish to

to choose from ranging in price and amenities offered.

rent out your space.

Commercial Centers Estate Homes

Looking to do business in the Bahamas we have a few

If sprawling estates are your preferecne we have a number

commercial centers to choose from. Locations can vary

of elaborate homes on beautifully manucured properties

based on your needs and type of business.

to offer. In both gated & stand alone settings.

Private Islands If privacy is more up your alley why not buy an island. We have a number of developed and un developed islands for sale in The Bahamas. You can choose from being near an airport, the main land or being completely remote.


Services Selling with MCR

Appraisals

Rentals

MCR Bahamas is known for its results

Property values fluctuate constantly.

MCR Bahamas Group works on the

in marketing The Bahamas’ most

With more than 30 years of combined

client’s behalf to obtain the most

spectacular properties for the best

experience in appraising properties in

favorable terms and remains as

price possible. Our expertise in the

the United States and The Bahamas,

client representative throughout the

luxury market and extensive market

Mario Carey, Raymond Antonio,

transaction. Our Agents have full

knowledge of New Providence’s

Andrew

Antoine

access to properties listed for rent,

premier neighborhoods means our

Adderley are among a handful of

as well as properties that are not

homes can be seen in publications

Bahamian appraisers whose stamped

publicly listed. You will have a greater

related to luxury real estate, but

report is accepted universally.

likelihood of finding a rental that

more importantly on some of the

MCR Bahamas Group’s appraisal

works for you.

best luxury real estate sites on the

experience runs the gamut from

With an experienced and talented

world wide web. Our team will make

high-end residential to commercial

team of highly qualified real estate

moving to the Bahamas or simply

property, and our commitment

professionals, Our goal is to find out

buying a home in the Bahamas easy!

to

guides

exactly what the client desires and to

We are passionate, always striving

everything we do in the world of

vet and select only the rentals which

for perfection. Your needs are our

real estate. MCR Bahamas Group

most closely meet their needs.

priority.

appraisers are at your service.

Seymour

professional

&

integrity


Our Agents Believe in PAIGE Value

Vision

Mission

Passion – to stimulate energy to

To be everyone’s preferred real estate

To create exceptional real estate

a higher level of inspiration and

company driven by consumer’s

experience by:

emotion

lifestyle requirements now and into

Empowering our agents with the tools,

the future.

technology, and business support

Authenticity – being exactly what

necessary to transact business in a

we claim to be

competitive marketplace.

Inclusion – to embrace all people and

Nurturing our clientele beyond

ideas

the actual real estate transaction by keeping them engaged and

Growth – to have increasing influence

Excellence – to consistently exceed expectations

connected to the lifestyle content.


Contact us today for all of your Real Estate needs! 242.677.8255 954.773.8256 www.bettermcrbahamas.com Follow Us:


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