9 Steps To Buying a Home for the First Time in The Bahamas

Buying your first home is a big deal, especially when it's in The Bahamas. It's an exciting adventure, but it also comes with its own set of challenges and rewards. For many, it’s a major financial step, often tapping into lifetime savings or even retirement funds. 

With so much at stake, it's crucial to ensure you make the right choices when investing in real estate. That’s where the expertise of a reliable real estate agent comes into play. Navigating the Bahamian property market for the first time can be overwhelming, but having knowledgeable professionals by your side makes all the difference. 

They can guide you through every stage, helping you understand local market trends, avoid common pitfalls, and make informed decisions. 

Let’s simplify your experience by covering nine essential steps to buying a home for the first time so you can confidently secure your slice of paradise. With the proper support, you’ll be well-equipped to turn your dream of owning a home in The Bahamas into a reality.

Step 1. Set a Budget and Get Pre-Qualified for a Mortgage

Before you search, you must figure out what you can afford. A set budget will make the home selection and purchase smooth and stress-free. So, begin by assessing your financial situation—review your savings, income, and debts. 

To get pre-qualified for a mortgage, submit your financial documents to a lender. The lender will assess your financial profile and determine your loan amount. 

A pre-qualification helps streamline your property search by giving you a clear budget and making your offers more attractive to sellers. In The Bahamas’ competitive real estate market, being pre-qualified shows that you’re financially ready and improves your credibility. 

In The Bahamas, mortgage options vary depending on your residency status:

• Major banks offer mortgages with favourable terms for Bahamian citizens and permanent residents, such as up to 25 years and a minimum 5% down payment. 

• Non-residents from select countries can also secure financing but pay a heftier down payment, typically around 30%. The amount you can borrow depends on your financial profile, with an upper limit of US $2M at a rate of around 5% to 8% for up to 15 years. 

Owner-broker Peter Dupuch reassures his first-time buyers by connecting them with a lender. “We can help you get financing, connecting you with the best in the business when it comes to mortgages and financing; utilizing our network of colleagues in the banking industry to find the financial solution that works for you,” says Peter.

Expert Tip: Use our mortgage calculator to estimate your monthly payments. Making sure you are pre-qualified can save you a lot of time and heartache down the road.

Step 2. Find a Reliable Real Estate Agent

Finding a suitable property among some 700 islands of The Bahamas is like finding a needle in a haystack—unless you enlist the help of a local real estate agent.

Peter can’t stress the importance of partnering with a real estate agent more: "With almost thirty years of experience helping buyers, both local and from all over the world, we know how to locate the finest properties and negotiate the best deals. Our job is to know the current inventory and understand and anticipate the latest market conditions and trends.”

An experienced agent will show you properties that match your criteria and guide you through the complexities of property laws and zoning regulations.

For example, you may think you’ll add another floor when the kids grow up, but the regulations may not allow that. Your real estate agent would know that! 

Similarly, they can advise you about rental restrictions in some communities and help you find the most suitable property for your home-buying goals. 

Why Work with ERA Dupuch Real Estate?

With over 30 years of helping clients buy and sell homes in the country, Broker-Owner Peter is a veteran of the real estate market in The Bahamas. He’s a Certified International Property Specialist and a Certified Residential Specialist with the National Association of Realtors. 

His impressive portfolio includes properties ranging from quaint island retreats to large commercial ventures like the Sheraton Grand Hotel and the Palm Cay Resort and Marina.

Co-owner Helen Dupuch brings her expertise as a Certified International Property Specialist and Real Estate Brokerage Manager. Together, they offer a wealth of knowledge and a deep understanding of the Bahamian market.

The ERA Dupuch Real Estate team of expert real estate agents is renowned for its professionalism and precision. We offer personalized service to our clients with our friendly, local experts at your service on the island you wish to explore. 

Learn more about our real estate experts here

Step 3. Pick Your Ideal Location

Each island in The Bahamas offers a distinct charm and unique amenities. So, before you dive into property searches, choosing an island or two that aligns with your lifestyle is essential. 

Consider essential factors and ask yourself key questions. Proximity to quality schools and healthcare facilities might be a top priority for families and older adults. Outdoor enthusiasts may prefer islands known for fishing and boating, with extensive marina access.

Accessibility is another prominent factor: Do you prefer direct flights, or are you okay with multiple stops to reach your island? The budget also plays a pivotal role since properties are more affordable on some islands than others, and so is the cost of living once you’ve bought the house and are ready to settle in. 

Below, we highlight some top picks to help you start your search for the best island home.

Nassau: Best for Families with Kids

Nassau, the capital and located on the most densely populated island of New Providence, is known for its luxury developments and gated communities like Lyford Cay and Port New Providence. It’s a vibrant hub with high-end amenities, perfect for expatriates who enjoy a bustling city life. 

Peter praises Nassau for its accessibility because “that’s where all international flights go.”  Moreover, “Nassau/New Providence is perfect for families with school-age children because of its top international schools and retirees because of the hospitals, amenities, and many things to do. It has everything, so that is why it is very expensive.”

Exumas: Best for Fishing and Private Islands

The Exumas are famous for “boating and exploring, and that’s where the private islands are,” says Peter. “It’s a blend of island life and amenities. It has a lot of beaches and is quiet. But you still have the convenience of multiple food stores and restaurants,” He explains. 

So, if you seek private island living, exceptional fishing, and modern amenities while living among stunning natural beauty, the Exumas offers affordable and luxurious waterfront homes. Its clear turquoise waters are perfect for deep-sea fishing and snorkelling, and there are many secluded cays for exploration. 

Cat Island: Best for History Lovers

Cat Island is celebrated for its historical significance and tranquil atmosphere. As Peter says, “It's best for its peace and quiet and has real island vibes.” He stresses, “It's very quiet, very rustic and harder to get to than Exuma and Nassau,” which explains the island's unspoiled beauty, affordability, and tranquillity with little tourist traffic. 

Cat Island’s rustic homes and serene beachfront properties are an excellent choice for people looking for simple pleasures like relaxing in hammocks, unwinding on verandas, and living comfortably in quaint cottages, beachfront bungalows, and spacious villas.

Eleuthera: Best for Island Living

Renowned for its pink sand beaches and relaxed island lifestyle, Eleuthera is great for those wanting a peaceful island escape. The island offers a mix of charming cottages and beachfront homes. It is perfect for couples, nature lovers, remote workers, and snowbirds seeking a laid-back lifestyle surrounded by natural beauty.

Abaco: Best for Digital Nomads and Boating Enthusiasts 

Abaco is a top choice for digital nomads thanks to its excellent internet connectivity and modern amenities. It’s also very accessible—important for remote workers who may need to visit the US often. 

Abaco’s real estate caters to maritime enthusiasts, offering waterfront properties and homes near bustling marinas. 

The island has protected harbours, clear waters, and an extensive network of channels ideal for sailing, yachting, and exploring the cays. According to Peter, “It's one of the best for boating because it’s very close to the east coast of Florida.” 

Step 4. Search for Properties

Now that you’ve narrowed down a couple of islands, it’s time to evaluate their communities and neighbourhoods against your preferences. The Bahamas offers various properties with distinct features, so you have many options. 

It may sound overwhelming, but that’s where partnering with experienced and knowledgeable real estate agents really pays off. Let’s look at some of the real estate options you’ll likely come across: 

• Beachfront Homes:  Directly on the beach, offering stunning ocean views and immediate access to the sand and sea.

• Condos:  Convenient and low-maintenance, often in secure communities with shared amenities like pools and gyms. They’re usually facing the ocean with or without private balconies. 

• Inland Estates:  Spacious townhomes a few blocks from the ocean, typically with larger land areas and more privacy.

• Marina Homes:  Properties near or on marinas, such as Palm Cay and the Pointe, provide easy ocean access for boating enthusiasts.

• Luxury Villas:  High-end homes with premium features and finishes are often located in prestigious areas with scenic views like Paradise Island.

• Residential Lots:  Vacant land for custom-built homes, allowing buyers to design their ideal living space from scratch.

More developed islands like Nassau and Exuma have gated communities with 24/7 security, communal amenities, exclusive clubs, and sports facilities like golf courses and tennis courts.

The Bahamas also allows you to own your very own private island if that’s something you’d like to explore. These islands are aplenty in Exumas and offer ultimate privacy and luxury, ideal for investors and celebrities.

Step 5: Visit the Selected Properties

Visiting properties in person is crucial for decision-making as it allows you to evaluate the condition of the property, assess the neighbourhood, and determine whether the property meets your expectations.

At ERA Dupuch Real Estate, we understand that visiting all properties may be challenging and impossible for overseas buyers. We prioritise showing you only the most promising properties and offer both in-person tours and virtual visits. If you can’t make it to The Bahamas, our virtual tours let you view potential homes from anywhere in the world.

We were one of the first real estate brokerages in the country to adopt virtual tour technology and pioneered electronic storage/document platforms, enhancing your real estate experience.

Expert Tip:  Create a list of features and amenities, noting your ‘must-haves’ and ‘nice-to-haves’ to identify deal breakers. As you visit properties, use this list as a comparison point. But also remember to note how you feel about a particular house or condo—sometimes, our gut is more accurate than a checklist. 

Step 6. Make an Offer

Once you like a property, it’s time to make an offer, which is best left to the agents. A knowledgeable agent will help you craft a competitive offer based on current market conditions, the property value, and your budget.

Peter explains, “Once you've found a place that catches your eye, we'll look at comparable properties in the area to help determine a purchase offer. Then we'll negotiate on your behalf with the seller to make sure you get the most favorable terms.”

The offer is crafted by considering repairs, renovations, outstanding taxes or other fees, closing dates, and other contingencies to ensure you secure the best deal.

Expert Tip:  It’s not advisable to negotiate yourself. Real estate agents are adept at securing the best deal for you since they better grasp the local market conditions and average home prices in the area.

Step 7. Hire a Local Attorney

Hiring a local attorney is mandatory when buying property in The Bahamas. An experienced real estate attorney ensures that all legal aspects of the transaction are handled correctly, protecting your investment and providing peace of mind.

Attorneys are indispensable in navigating Bahamian property laws, closing the deal, and handling necessary paperwork on your behalf. The following are some of the basic legal considerations and paperwork that would be handled by your attorney.

• Title Verification:  Ensures the property title is clear and free of encumbrances.

• Contract Review:  Reviews and negotiates the terms of the purchase agreement.

• Permit Applications:  Assists with obtaining necessary permits for non-Bahamians, such as for commercial properties or residential plots over two acres.

• Property Registration:  Assists in registering the property with the Foreign Investment Board and Central Bank of The Bahamas for exchange control, facilitating the remittance of sale proceeds when selling the property.

• Tax Exemptions:  Advises on available property tax exemptions and strategies for maximising benefits.

Expert Tip:  Ask your real estate agent for referrals. They can refer you to experienced attorneys they’ve worked with and can make an excellent team to represent your interests. Peter says, "It's essential to liaise with your real estate agent and build a team that collaborates to get the job done."

Step 8. Close the Deal

Closing the deal is the culmination of your home-buying journey, and it’s essential to approach this step with care and attention. Your agent and attorney will handle the process, so it's important to communicate with them openly if you have any last-minute concerns or questions. 

Here’s a checklist to help you navigate this process smoothly:

• Complete Inspections and Appraisals:  Finalise any necessary property inspections and appraisals. Ensure that the property meets all standards and has no unexpected issues.

• Secure Financing:  Confirm that your mortgage financing is in place and that all paperwork is complete. Work with your lender to ensure that funds are available for closing.

• Transfer Funds:  Arrange for the transfer of funds to cover the down payment and closing costs. This typically involves wiring funds to the escrow account.

• Obtain Title Insurance:  Purchase title insurance to protect yourself against potential property ownership disputes.

• Final Walkthrough:  Before closing, conduct a final walkthrough of the property to ensure it is in the agreed-upon condition.

• Review and Sign Documents:  Carefully review the purchase agreement and all related documents. Ensure that all terms are as agreed upon before signing. Sign the final paperwork and officially transfer ownership. Once everything is signed and funds are transferred, you’ll receive the keys to your new home.

Step 9. Settle In and Enjoy Your New Home

Congratulations! You’ve completed the home-buying process and closed the deal on your new house. Now comes the exciting part: settling into your new home and making it truly yours. 

This transition is not just about unpacking boxes; many essential one-time tasks await you at the last step to buying a home for the first time.

• Set Up Utilities:  This is a top priority because you need to ensure they’re set up correctly before you move in. Contact your community office or local providers to ensure all services are set up correctly in your name to avoid any inconveniences.

• Internet and Cable:  Your agent and/or community manager will connect you with trusted providers. Starlink is the most significant internet service provider in The Bahamas. 

• Change of Address:  Notify banks, postal services, and other institutions to ensure your mail is seamlessly forwarded to your new home.

• Furnish and Decorate:  Ask your agents to connect you with a moving company to bring your belongings to your new home. You’ll probably need to buy new furniture and decorate your space to reflect your lifestyle.

With these steps to buying a home for the first time, we hope your home-buying journey will be smooth sailing. Owning a property in The Bahamas is an exciting opportunity and our guide is built to make it easier for you. 

From setting your budget to finding the perfect property, each step is crucial to ensuring a smooth experience. As you embark on this adventure, remember that having experienced agents by your side can make all the difference. 

For personalised support and expert guidance tailored to your needs, contact us today to turn your dream home in paradise into a reality!