Hi, I'm Sherilyn Cooper, Professional Sales Associate at Realty One Group Bahamas.
One of the first things people ask when they’re thinking about buying property is:
“How much do I need to put down?”
And honestly, that’s a fair question. But the answer isn’t always as simple as people expect.
What You’ll Usually Hear
In most cases, it looks something like this:
- Value Added Tax (VAT)
- Legal fees
- Real Estate Commission
| Property Price (USD) | Bahamian VAT Rate | Non-Bahamian VAT Rate |
|---|---|---|
| Up to $100,000 | 2.5% | 10% |
| $100,001 – $300,000 | 4% | 10% |
| $300,001 – $500,000 | 6% | 10% |
| $500,001 – $700,000 | 8% | 10% |
| $700,001 – $1,000,000 | 9% | 10% |
| More than $1,000,000 | 10% | 10% |
So naturally, a lot of people start aiming for the lower end of savings.
But here’s where things get real…
The Part No One Warns You About
The down payment is just one piece of the puzzle.
There are other costs that don’t always come up in the early conversations, like:
- Legal fees (about 2.5% – 3%)
- Stamp tax or VAT
- Insurance and bank-related fees
And these aren’t small extras. They can add up fast.
What It Actually Takes
If you really want to be in a comfortable position, you shouldn’t just plan for your down payment.
A better rule of thumb?
Have an extra 5%–8% in cash on top of it.
That cushion can make all the difference. It helps you avoid last-minute stress, keeps your deal moving smoothly, and gives you breathing room after everything is finalized.
A Better Question to Ask
Instead of focusing on:
“What’s the minimum I can get away with?”
Try shifting your mindset to:
“What’s going to keep me financially safe?”
Because the truth is:
- Putting more down can lower your monthly payments
- It can improve your chances of getting approved
- And it makes the whole experience feel a lot less overwhelming
Finding The Perfect Home In The Bahamas
Click here to Contact Sherilyn Today!
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