Bahamas Real Estate Report: 2025 Market Recap + 2026 Outlook

The Bahamas remains one of the most compelling real estate markets in the world, and 2025 gave buyers, sellers, and investors plenty to think about.

Home prices continued their upward climb even as transaction volumes softened. Land held its ground as a serious investment category. Tourist arrivals hit 12.5 million, keeping rental demand robust across the islands. And with zero income tax, a dollar-pegged economy, and some of the most sought-after coastline on the planet, the fundamentals that make the Bahamas special haven't changed.

What has changed is the nature of the opportunity and where it's hiding.

In this report, we break down what happened in 2025 across residential properties, land, and the rental market, and share our outlook on where smart buyers and investors should be looking in 2026.

TL;DR: Bahamas Real Estate Market 2025 + 2026

• Home prices rose nearly 12% in 2025, even as the number of completed sales dipped slightly, reflecting a seller's market that rewards correct pricing

• Contracted sales jumped 15%, pointing to a stronger 2026 pipeline

• Land remains a serious investment category, particularly on Family Islands, where values still reflect early-stage potential

• The short-term rental market is growing: more listings, tourist arrivals up 11.4%, and no income tax on rental earnings

• 2026 will reward buyers who are prepared, decisive, and realistic about pricing

Bahamas Real Estate Market in 2025 

2025 was a year of quiet confidence in the Bahamas' real estate market. Transaction volumes softened slightly, but prices told a different story: home values climbed nearly 12% year-over-year (YOY), signalling that demand for quality property remains strong even as the pace of deals moderates. 

Buyers are more deliberate than they were a few years ago, doing more due diligence and taking longer to commit. But they’re still buying. And with contracted sales, a leading indicator of future completions, up 15% on 2024, the pipeline heading into 2026 looks healthy.

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Residential Properties

The residential market in 2025 reinforced a trend that has been building for several years: fewer homes available, higher prices, and buyers who know what they want.

New Listings: 1,130 new residential listings came to market in 2025, down from 1,195 in 2024. Inventory remained tight, and the modest contraction in new supply only added pressure to an already competitive market for buyers.

Contracted Sales: 566 contracts were signed in 2025, up from 492 in 2024, a 15% jump. Contracted sales are a forward-looking signal; more agreements initiated means more activity in the pipeline, which bodes well for 2026 completions.

Completed Sales: 348 homes sold in 2025, compared to 367 in 2024, a modest 5% dip. This slight decline is largely a timing effect; contracted sales typically take several months to close, meaning the surge in contracts signed in 2025 is expected to show up as completions in 2026.

Days on Market:  Homes took an average of 151 days to sell in 2025, up from 132 days in 2024. This is worth watching, but shouldn't be misread as a sign of weakness. In a market where buyers are more discerning, and transactions are more complex, particularly for international buyers, a longer sales cycle is a natural feature of a maturing market, not a warning sign.

Sale Prices:  The average sale price rose to $1,198,161 in 2025, up from $1,070,970 in 2024, an increase of nearly 12%. Fewer sales at higher prices is a consistent theme, and it reflects the enduring appeal of Bahamian property to a buyer pool that is largely cash-driven and internationally financed.

Learn more about how to buy a house in The Bahamas

Land

Land continued to play a significant role in the Bahamas market in 2025, and for good reason. In many island communities, residential inventory is so limited that buying land and building is simply the most realistic path to ownership.

New Listings: 1,129 new land listings came to market in 2025, roughly in line with last year’s 1,224, a modest pullback that mirrors the residential trend.

Contracted Sales: 507 land contracts were signed in 2025, up slightly from 493 in 2024, indicating continued buyer appetite for buildable lots across the islands.

Completed Sales: 304 land transactions closed in 2025, down from 353 in 2024. As with residential, some of this gap is expected to close in early 2026 as the contracted sales pipeline converts.

Days on Market:  Land took an average of 182 days to sell in 2025, up from 136 days in 2024. Land purchases naturally involve more planning. Buyers need to assess buildability, utilities, access, and development costs, so a longer timeline is expected. The jump this year suggests buyers are doing even more homework before committing, which is healthy for the long-term market.

Sale Prices:  The average land sale price was $251,317 in 2025, down from $296,067 in 2024. This moderation likely reflects a shift in the mix of what sold; more transactions on the Family Islands, where land remains comparatively accessible, rather than a broad decline in land values across the board.

This activity is translating into real development on the ground. In Exuma, for example, communities like Grand Isle, where owners can place their property into a managed rental pool, and Rokers Point, a private estate community for those building a custom home, show how land investment is evolving into something more structured and accessible. 

Buying vs. building a house in The Bahamas: Learn how to choose

Bahamas Rental Market

The short-term rental market in 2025 delivered a story that investors should read carefully, because the headline numbers undersell what's actually happening.

Active Listings:  The number of active short-term rental listings across the Bahamas rose to 4,839 in 2025, up from 4,800 in 2024. More property owners are entering the rental market, reflecting growing confidence in the income potential of Bahamian real estate.

Occupancy Rate:  Occupancy edged slightly lower in 2025. The average rate for entire-place listings dipped to 47.6% from 48.6%, and hotel-comparable listings moved from 50.0% to 48.5%. That’s a YOY dip of 1% and 1.5%, respectively.

What does this mean for the rental potential of your property? Let’s put it in perspective. Since the inventory grew faster than total bookings, this isn’t a demand problem. Tourist arrivals rose 11.4% to 12.5 million in 2025, and the number of renters did not fall. The market simply added more supply (hence more rental listings) than it could absorb in a single year, which is a natural growing pain in an expanding market.

Short-Term vs. Long-Term: Nassau leads the islands in rental scale, with over 2,049 active listings and an occupancy rate of 65% for entire-place listings. Exuma follows with 624 listings and a 61% occupancy rate, among the highest in the archipelago, reflecting the island's premium appeal to high-spending visitors. Abaco, with 519 listings, ranks among the strongest YOY listing growth of any major island.

Daily Rates and Revenue:  Rental income potential varies significantly across the islands. Nassau is the most accessible entry point, with an average daily rate of $297 and ~$42,300 in annual revenue per listing. Exuma commands a $742 daily rate with ~$102,700 in annual revenue, while Hope Town sits at the ultra-premium end at $1,100 per night and ~$151,700 annually. The trade-off is simple: Nassau offers volume and accessibility, Exuma and Hope Town offer significantly higher yields, all in a jurisdiction with no income tax on rental earnings.

Learn more about income properties in The Bahamas

Bahamas Real Estate Market in 2026: Here’s What We’re Seeing…

The Bahamas' real estate market is maturing into a healthier, more sustainable rhythm. Buyers are more informed and deliberate than ever. Sellers who price correctly are still selling. And across the islands, from Nassau to Long Island, development activity and land purchases signal that investor confidence is very much intact.

The contracted sales increase of 2025, up 15% on 2024, suggests more activity moving through the pipeline, which points to a potentially stronger year for completions in 2026.

Factors Influencing the Real Estate Market in The Bahamas

Understanding what drives the Bahamas' real estate market can help make sense of the bigger picture. These factors influence what’s happening now and give us a pretty good idea of what to expect next, so if you're considering investing, this is what you should know.

Tourism:  With 12.5 million visitors arriving in 2025, an 11.4% increase YOY, the tourism engine that drives rental demand, hospitality investment, and broader economic confidence is firing strongly. More visitors mean more prospective buyers discovering the islands for the first time, and more demand for short-term rental properties.

Foreign Investment:  Major development projects have been announced across the islands. In Abaco, redevelopment of the Serenity Beach Resort is set to transform the island's luxury credentials. In the Berry Islands, the $35 million acquisition of Great Harbour Cay signals growing interest in less-explored corners of the archipelago. 

Development activity of this scale raises the profile of entire island communities, and historically, early buyers in those markets have benefited most.

The Family Islands:  Perhaps the most significant long-term trend is the spreading of buyer interest beyond Nassau and major islands like Exuma and Eleuthera. Islands like Long Island, Andros, and the less-developed corners of Abaco and Eleuthera are attracting a wave of buyers drawn to the tranquillity and the prospect of getting ahead of the curve. 

Land purchases in these markets today represent some of the most compelling value propositions in the entire archipelago.

Economic Stability:  Inflation in the Bahamas was effectively flat in 2025, marginally negative, in fact, meaning buyers' purchasing power held firm. Unemployment continued to fall. The Bahamian dollar remains pegged to the US dollar. These are not exciting headlines, but they are exactly the conditions that give long-term investors confidence.

Pricing Discipline:  One of the defining features of 2026 will be the continued importance of correct pricing. The days when a seller could list at any price and wait for the market to catch up are gone. Today's buyers are knowledgeable, have done their research, and are comparing options carefully. Well-priced properties are selling. Overpriced ones are sitting, and the longer a listing sits, the harder it becomes to recover momentum.

2026 will reward the prepared. Buyers who know what they want, price their expectations realistically, and move decisively when the right opportunity appears will find a market that still has plenty to offer.

If you're thinking about buying, selling, or investing in the Bahamas in 2026, we'd love to help you navigate it. Get in touch with the ERA Dupuch Real Estate team to start the conversation.

Sources:

BREA MLS: Data compiled across five islands: Abaco, Eleuthera, Exuma, Grand Bahama, and New Providence. 

AirDNA

Central Bank of The Bahamas