The newly appointed PLP Government passed the 2012/2013 budget which goes into effect today, implementing numerous changes, which include but are not limited to, the reduction of stamp duty percentage from 12% to 10% (for homes selling for over $250,000.00) and a ceiling of $50,000.00 per annum on Real Property Taxes. This reduction is a huge relief for the Bahamian people as it allows a bit of “wiggle room” for the required amount of money needed to close on a sale.
See below an excerpt from the Speech from the throne dated May 23rd, 2012
“My Government, in an effort to stimulate the real estate market, will also make good on its commitment to lower the maximum rate of stamp duty on land sales from 12 per cent to 10 per cent; and will also re-introduce a maximum cap on real property tax.
My Government will also enact amendments to the Subdivisions Act to make the building and planning process more efficient and less costly.
My Government, in an effort to help reduce the cost of rental housing, will reform the Rent Control Act and will seek to promote the construction of new rental units at more affordable prices.
My Government will aggressively pursue the expansion of affordable housing especially for lower income Bahamians. My Government regards this as a social priority that requires focused and sustained attention.
My Government will also seek to provide additional land for home ownership through the purchase of vacant and abandoned lots as a part of the Urban Renewal Initiative.
My Government will create a reliable land register and a proper system of land registration.
My Government will also review and amend as necessary the laws relating to commonage land so as to allow for greater commercial use and beneficial enjoyment of land by commoners.”
For further information on Real Estate in The Bahamas,
Contact: Lamond Davis