A Guide to the Bahamas Property Market: What's Behind Its Enduring Appeal

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Reading Time: 3 min read
Published: October 23, 2026
Category: Property Investment
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Few Caribbean markets carry the name recognition of the Bahamas, and the fundamentals behind that reputation remain firmly intact. A record tourism year, tightening inventory in prime locations and a tax structure that continues to draw international capital have kept the archipelago near the top of the list for buyers considering the region. For Chestertons Global, it's a market that sits naturally alongside our growing Caribbean network.

A record year for tourism, a tightening market for buyers

Tourism is the clearest signal of the Bahamas' momentum. The country welcomed 12.5 million visitors in 2025, with arrivals up 11.4% and short-term rental demand growing alongside it. That demand has fed directly into pricing: home values rose nearly 12% year-over-year in 2025, even as the number of completed sales softened slightly — a pattern consistent with a seller's market that rewards realistic, well-researched pricing.

Infrastructure investment is reinforcing that trajectory. On Grand Bahama, major projects including the redevelopment of Grand Bahama International Airport and the Celebration Key development are scheduled to reach completion through 2025 and 2026, with property investors already responding to the improved connectivity.

A tax structure built for investors

The Bahamas' appeal to foreign buyers rests substantially on its tax position. The country levies no income tax, capital gains tax or inheritance tax, and the Bahamian dollar maintains 1:1 parity with the US dollar — a combination that removes much of the currency and tax complexity international buyers typically navigate elsewhere. Foreign ownership itself is straightforward: international buyers can purchase residential real estate with minimal restrictions, and the process is transparent when guided by local professionals.

For larger investments, residency follows. The Economic Permanent Residency Programme requires a minimum property investment of US$1 million, increased from US$750,000 in January 2025, and extends to family members with accelerated three-week processing available above US$1.5 million.

Where international demand concentrates

Nassau and Paradise Island remain the commercial and residential core of the market, while the Family Islands — Eleuthera, Abaco, Long Island — continue to draw buyers seeking lower-density living and land with long-term appreciation potential. Americans account for roughly 35% of foreign real estate purchases, drawn by proximity to Florida and the shared currency peg, while European buyers represent close to 30% of the luxury market, with growing interest from Caribbean, Asian and Middle Eastern buyers rounding out an increasingly diverse international buyer base.

Why the Bahamas matters to our network

For over two centuries, the Chestertons name has stood for trust and longevity in real estate. As Chestertons Global expands its affiliate network, the Bahamas represents one of the region's most established and internationally recognised markets — a place where buyers already arrive informed, and where an established global brand adds real credibility to a local agency's proposition. It's the same standard of locally grounded coverage we're building across the network, from Romania's latest quarterly market update to our look at what's really shaping buyer decisions there.

A conversation worth having

If you lead an established real estate business in the Bahamas and are considering how affiliation with a global brand could strengthen your position, we would welcome a conversation. Chestertons Global's affiliate model is built on partner autonomy — you run your business; we bring the brand, the network and the referral connections. Get in touch with our team to learn more.

Grayce Tan

About the Author

A strategy and growth professional supporting Chestertons Global's international affiliate network across the Middle East, Southeast Asia, and APAC. I craft content and business development initiatives that help local offices build trust and drive leads in their markets.

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frequently asked questions

The guide (Grayce Tan, 23 October 2026) says foreign buyers can purchase residential property with minimal restrictions.

The guide states there is no income tax, capital gains tax or inheritance tax, and the Bahamian dollar is pegged 1:1 to the US dollar. Confirm with a local adviser.

It requires a minimum property investment of US$1 million, up from US$750,000 in January 2025, extends to family members and offers accelerated three-week processing above US$1.5 million.

Nassau and Paradise Island form the commercial and residential core, while the Family Islands (Eleuthera, Abaco, Long Island) draw buyers seeking lower-density living and land.

Americans account for about 35% of foreign real estate purchases and Europeans close to 30% of the luxury market. Home values rose nearly 12% year over year in 2025, and the Bahamas welcomed 12.5 million visitors in 2025.

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