Archives for category: Bahamas

Sea Abaco

There has been several articles in one of the local dailies regarding substantially increased property tax rates in Abaco and the wider Bahamas.  In case you missed it, here are the links:

Today the real estate and legal professions in Abaco met with the Property Tax department of the Bahamas Dept. of Inland Revenue. It was a productive meeting and the office heard complaints and queries from realtors and attorneys on behalf of their clients.

The key take away points are:

The Bahamas Government had moved the billing and valuation activity to a centralized system in Nassau.  This has created a hiccup which will be straightened out and it is an unfortunate side effect of trying to modernize and streamline systems.  This part of a longer term activity of switching the governments account to an accrual based system.

Property owners in Exuma, Long Island, Eleuthera and other parts of the Bahamas has been impacted similarly, while the tax office is working on correcting and updating records.

All persons who feel they have been assessed property tax on a value which they feel is inaccurate is asked to lodge an appeal for re-assessment with the tax office in writing.

The deadline for submitting the appeal is March 31st.

The tax office is encouraging persons to make a payment for property tax at the amount of the previously billed 2017 rate while they work through the large number of requests for re-assessment.  In some cases, persons may possibly receive a credit on their account if the taxes paid turn out to be higher than billed.

Lastly, any persons with outstanding arrears will need to bring the account current.  It was not stated but implied that if the property tax account was unpaid for several years, then the tax office will not likely give it a priority, whereas it seemed to be implied that persons who have their taxes current up to 2017 will be given preferential treatment.

If you have more questions or need advice on property tax matters in the Bahamas, I encourage you to contact your real estate agent or your attorney here to discuss your options.

As always, if you have a current appraisal report in hand from a BREA licensed appraiser when you got to visit the office and file an appeal the whole process will be much smoother and quicker.  Contact me for more information on having an appraisal prepared for you.




In the Abacos restaurants offer a variety of menu options to satisfy tour appetite. A few popular restaurants and some resorts in Marsh Harbour, Treasure Cay and The Cays offer fine dining, usually accompanied by ocean or harbor views.

Options on Great Abaco

“The Abaco Club” at Winding Bay is a member’s only club, but if you can get a reservation, the food, the service and the setting are excellent.  (242) 367-0077

“Wally’s” is open Monday-Saturday 10:30 am to 11:00 pm and on Sunday 11:30 am-3:00 pm.  They specialize in Caribbean, Seafood, Bahamian, Vegetarian Friendly, and Vegan Options. Wally’s offer: Takeout, Reservations, Indoor and Outdoor Seating, Accepts American Express, MasterCard, Visa, and has Free Wi-Fi. Phone: (242) 367-2074

“Snappas Grill & Chill” is a casual dining literally “on the harbour” in Marsh Harbour, open every day. Snappas is family friendly until 9pm, daily specials, friendly staff and live entertainment several nights a week.  Phone: (242) 367-2278

“Blue Hole” is a newly opened restaurant in Marsh Harbour, located at The Conch Inn Marina (replaced Curly Tails).  The restaurant offers excellent fine dining a very good wine list and is set to become Marsh Harbour’s “The Place”.

Pete’s Pub is perhaps the best food on the island, always freshly caught fish, barefoot chic. Pete’s is an off the beaten track, island beach pub and the only working sculpture foundry in the Bahamas. They are world famous for nature and oceanic inspired large sculptures, jewelry and its signature rum punch drink the Blaster. Phone: (242) 577-5487

Treasure Sands is stylish upscale beach club offers both indoor and outdoor dining, with stunning views of the beach and pool area. The lunch and dinner menu is influenced by different cultures and is complimented with an impressive wine list. Open daily 12:00 p.m. -10:00 p.m. Phone: (242) 365-9385

Angler’s Restaurant & Bar overlooking Boat Harbour Marina, the restaurant offers a delicious variety of menu options to satisfy your appetite. The food and service are generally good, while the setting overlooking the largest marina in the Bahamas is stunning.  A local favorite is the ‘Sunday Brunch Buffet’ that features Bahamian dishes only. Hours of operation: Monday-Sunday Breakfast and lunch is served from 6:00 a.m.-2:30 p.m.; dinner is served from 6:00 p.m.-10:00 p.m. Phone: (242) 367-2158

Dining on the Cays


Firefly Resort sited overlooking the Sea of Abaco, Hope Town, Elbow Cay. Be sure to catch a sunset cocktail here.  This option is perhaps one of the best in Abaco, the food is gourmet using as many locally sourced ingredients as possible.  Fresh and healthy fine cuisine, try the fried pickles and stone crabs when in season.  (242) 366-0145

“Harbours Edge”, Elbow Cay.  The Edge is a staple of Elbow Cay, locals often eat here at least once a week.  Occasional evening live entertainment.  Excellent food choices, the Edge Salad is delightful and many of the other menu options are equally satisfying.  Saturdays is pizza night.  The lighthouse keeps watch over this place.  Open daily and nightly except Tuesdays.

“Captain Jacks”, Elbow Cay.  Jack’s is also on the harbour, a bit more casual and cozy, food is down home style and hearty.  A favourite haunt of the locals and the Abaco Rage crew.  Open daily for lunch and dinner except Sundays.

“Abaco Inn”, Elbow Cay.  The Inn is backed by a long history dating back to the 50’s when it was the “Fin & Tonic”.  The food and service is 5 star, excellent wine list.  Tom personally curated the wine stores and he will always make sure you have a good time.  The Bloody Marys are excellent.  Never had a bad meal here. Open daily breakfast, lunch and dinner.

“Seaspray”, Elbow Cay.  Seaspray is attached to the largest marina on Elbow Cay and the casual dining around the pool is delightful.  A change in ownership a few years ago has pulled up the socks and the food and service have improved tremendously.  A nice option on Elbow Cay for a pleasant relaxing atmosphere.  Open daily and nightly, lunch and dinner.

“Hope Town Harbour Lodge”.  The Lodge is another historic property in Abaco, perhaps the oldest lodging establishment in Hope Town.  Lunch between the beach and pool is stellar, dinner is served in the main dining hall and often spectacular.  Breakfast is not my favourite, but works in a pinch, as it is the only place to eat early in town.  Open daily breakfast, lunch and dinner.

Dock and Dine is located on the harbor side on the quiet island of Man-O-War Cay. Dock and Dine offers a hearty Bahamian inspired menu which is will be sure to satisfy.  This is a must stop for lunch if you are cruising the seas.  Lunch is served Monday-Saturday from 11:30 am – 3:00 pm. Dinner is served Monday – Saturday 6:00 pm until 9:00 pm.  (242) 365-6139

Hibiscus Café also on the harbour of Man-O-War Cay. They are best known for their burgers and salads and ice cream parlor.  A friendly, family owned restaurant option on the cay.

Nippers on Guana Cay.  Nippers is well known and no introduction is necessary as anyone who has been to Abaco has enjoyed (and maybe later regretted) a “Frozen Nipper” drink.  Perhaps you have been nipped too?  But what people often don’t realize is that the food is actually quite good, and the setting even better with views over the beach and Atlantic Ocean.

“The Green Turtle Club”, Green Turtle Cay.  The club is another place with some history, check out the dollar bills stapled all over the bar floor to ceiling, wall to wall.  Sunday brunch here is stellar.  If they have lobster thermidor on the menu get it.  Excellent bloody marys and eggs benedict.  Open daily breakfast, lunch and dinner.

There are many other places to dine around Abaco which I’ve missed off this list.  Take a trip and try them all out.  The last one I will mention before signing off is


Plymouth Rock Liquors – this charming ‘hole in the wall’ used to be Green Turtle Cay’s only liquor store.  If you like rum, be sure to check out Dave’s extensive collection of exotic rums.  I’m including this because I’ve had many a breakfast and lunch here.  It is an experience.  Simple homemade sandwiches, burgers, breakfast foods and more.  Plymouth Rock is a must stop if you are on GTC for any length of time.  It is sure to make your mornings a little smoother if you’ve had a rough night.

“Top Real Estate Trends Impacting You & Your Business”

My name is Dwayne Wallas, 12 years working in the real estate business with HG Christie Real Estate.  I moved to Abaco in 2007.


I’ve been asked to come here today and present some insight in the real estate market in Abaco.  As you all know Abaco is a unique part of the Bahamas and a unique part of the world.  In my view it is the people that make it unique.

But also and perhaps more importantly it is the geography – it is the only island in the Bahamas which has a relatively large land mass of 650 square miles similar to Grand Bahama or Andros while also having the 120 mile long chain of barrier cays.

This combination is not found anywhere else in the Bahamas or the Caribbean for the most part.  The ‘mainland’ of Abaco offers the ability for farming, logging, and more light industry or the option to have an estate or many acres with waterfront.  The tourism potential of Great Abaco Island is also very much untapped.

The barrier cays offer unique boating experiences together with wonderful communities.  Put the two together and the potential is tremendous.

I believe Elbow Cay is a perfect example of a thriving development model for the Bahamas.  It offers several small scale hotels together with restaurants and most importantly ATMOSPHERE.

The data I will be showing is derived from the Bahamas MLS.  Therefore it only takes into account sales transactions that have had a broker involved.


What is selling in Abaco?

Hope Town is booming.  The rest of the Abacos have had a banner year but it all trails way behind Hope Town.  The community has managed to strike a balance between authenticity and capacity.  This year you could not rent a golf cart on the cay unless you booked it well in advance.  The real estate market on the cay is similarly very strong.

Treasure Cay is the close second for driving the economy of the Abacos.  The area sees a strong tourism market as well as posting a strong year for the real estate market.  The condominium market in Treasure Cay was in terrible shape, but the past 2 years have finally seen the inventory reduced and the market is beginning to normalize.


The Marsh Harbour market is a tough nut to crack.  The market for Bahamians is starting to normalize as the banks are starting to ease lending requirements, but the property values are still depressed.  On the other hand the luxury or foreign investor market in Marsh Harbour (MH) is still very much stagnant.  I see lots of growth potential for the centre of Abaco, but it is suffering as a tourism destination.

Marsh Harbour is generally just a transit point and a shipping/business centre.  There is an opportunity to grow the tourism market here and by extension improve the foreign second home owner market.  From what I see MH seems to lack the charm and “islandy feel” visitors expect when they arrive at the airport.

Baker’s Bay is in full steam construction mode and providing tons of employment but not affecting the real estate market of Abaco at all.  It is its own microcosm and has little direct effect on the Abaco economy apart from the jobs.

Similarly the Abaco Club at Winding Bay is in slow growth mode and provides good employment but has little to no effect on the real estate market anywhere else in the Abacos.  The new developer, Southworth, is slowly rebuilding the prestige and demand.

My last point on this topic, as you can see from the chart, the strongest areas of Abaco are Elbow Cay and Treasure Cay.  The remote parts of Abaco have limited demand.

There are some good opportunities in the remote areas, but be aware that you will be in for a long haul.

Similarly the vacation rental market is only really functioning in Treasure Cay or Hope Town.


So What about Abaco Compared to the Rest of The Bahamas?  

It is often said that Abaco is a more vibrant economy than Grand Bahama and this chart certainly shows that, although it is given that Grand Bahama is more than just real estate sales.  There is industry in Freeport which we lack here in Abaco.  Maybe for the better, maybe not?

Point is, Abaco is a strong real estate investment market, high sales volume and a high average price point.  Prices in Abaco are not too far off Nassau and second in the country.


It is, I believe, an economic model to be learned from and encouraged to blossom.  The current test case of locally operated property tax collection on Elbow Cay is interesting and I’m keen to see how it works out.

Chart of Sales Growth Abaco


Over the past 7 years the data shows growth of sales volume of 18% per year.  Despite the growth in the market and strong activity levels, I’m seeing property values are still dropping somewhere around 5% per year.

I anticipate this trend to turn around in the next 12 months.  As inventory is absorbed, we should see prices start to stabilize and begin to push up a little.


Government Stimulus to Real Estate

Current incentives of 1st time buyers and Family Island Encouragement Act are having positive impacts.  I believe they should continue.

I believe the taxes on the purchase and sale of real estate is too high.

Stimulating the real estate market and providing incentives to buy here will further stimulate the wider economy.  It is said that a new home owner will further spend an additional 10-20% of the purchase price on furniture or remodeling etc.  That adds up to a significant amount of money being circulated around the economy.

I would urge the government of the Bahamas to further incentivize the real estate market and encourage home buyers, both local and foreign.


The Acreage and Development Market is completely dead…

There has not been a single transaction of a tract of acreage in Abaco in 10 years.  There are many factors at play but the 2 key reasons I believe to be

  1. Restrictions on foreigners purchasing tracts of land via Foreign Investment Board
    • I believe this market should be liberalized.
    • Keeping it restricted does not benefit the Bahamas.
    • The tax revenue on the sale of large tracts of land is a good reason to encourage the market not restrict it.
    • The vast tracts of raw land are not benefiting anyone by sitting dormant.
    • It is all too common to have a large tract of land owned by 10 or 20 people who inherited it and they will never reach a decision on what to do with it.
  1. The cost of developing land in the Bahamas for sales of lots has risen beyond the ability to realize a profit. The cost of utilities, road paving and legal expenses, plus marketing costs are significantly higher than the price one could sell a residential building lot for right now.
    • A Non-waterfront residential lot on the main island of Abaco sells for an average of $30,000
    • Cost to develop a subdivision of lots for sale in Abaco is around $30,000
    • Therefore No incentive to develop.


The Tribune has recently published 2 articles on land registration reform, one from the president of the Bahamas Bar Assocation, the other form the president of the Bahamas Real Estate Association.  To quote Mr. Elsworth Johnson

“A registered land system would divulge the number of frauds that cause people to be dispossessed of their land. It would also reduce the amount attorneys are able to charge [for real estate transactions]”

Thank you all very much for the opportunity to share some of my thoughts today.


Have a wonderful day.

Check out my latest listing, its luxury, its future investment, its the most prestigious estate on the market in the Beautiful Abacos.


Last week, the Prime Minister who is also the Minister for Finance in the Bahamas gave a budget communication which had very significant changes to the real estate landscape in the Bahamas.

The changes that have been made are a follow on from the introduction of Value Added Tax in the Bahamas. For the first 6 months of this year, 2015, VAT was not applicable to the sale of real estate itself. Any attorney fees or a broker commission or any other service related to a real estate transaction was “Watable” however the actual sale of the real estate was exempt from the tax.

Beginning July 1st though, real estate transactions will now be subject to Value Added Tax in the amount of 7.5% of the price in addition to a 2.5% flat rate Stamp Tax. Gone is the graduated scale which elicited lower tax rate at the lower price transactions.

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What are the actual implications?

Real Estate sales under $100,000 are exempt from paying VAT, therefore the sale of a piece of land for $60,000 will not only attract a tax rate of 2.5%, whereas previously that same transaction would have attracted a stamp duty rate of 8%. This is an extremely positive move for the lower price range of real estate. Closing costs for land and homes under $100,000 has been dramatically reduced which will have very positive effects on the market place.

A purchase of a home for $250,000 will attract the same amount of tax now as before. Before the applicable tax was 10% Stamp Duty, NOW it is 2.5% Stamp Duty + 7.5% VAT. In essence the closing costs on a $250,000 purchase will remain the same. And this is effective at all price ranges above $100k up to the multi millions.

Of particular note, is that by converting the tax payable from Stamp Duty to VAT, the government has dramatically lowered the transaction costs for a Bahamas VAT registered business in purchasing or selling real estate. The VAT registered business can now credit their real estate purchase tax liability back. In essence for VAT registrants, the closing costs on real estate have changed to 2.5% stamp duty instead of the 10% is was previously. (+Attorney fee +Broker Fee).

There was also mention of a pending change to the Bahamas Real Property Tax Act whereby a new ‘category’ will be created for ‘Residential’. At the moment there are 2 categories for property tax in the Bahamas, ‘Owner-Occupied’ and ‘Non Owner-Occupied’. Essentially if you live in your home you see a drastically lower tax rate, and everything else including commercial, retail, industrial, residential rental properties, even a home you own but don’t rent and don’t live in could attract the higher rate of 1.5% of the value.

With the creation of a Residential tax category, all Residential properties whether lived in or rented would be within this category. This is a substantial concession for owners of duplex and triplex residences who would have had to pay a relatively hefty property tax on the rental apartments. The ‘Residential’ category will likely incur the same rate as the current ‘owner-occupied’ rate of 0.75% however the legislation has not yet been tabled or approved, but the communication indicated the change would occur prior to the October bills going out this year.

These two adjustments which may seem minor on the surface will have significant impacts on the ownership of real estate in the Bahamas. In essence improving the attractiveness and lowering the soft cost of acquiring, holding and selling real estate here.

Also of note was the elimination of import duty on bicycles, so everyone go out and buy a bike, get out and see the Bahamas on 2 wheels.

And a reduction of duty on ‘Stuffed Pasta’??? Someone has a food fetish there hey?

Lastly, another important point was the extension of the “Family Island Encouragement Act” whereby home construction and repair is permitted to bring in building materials duty free. The spirit of the legislation is to spur economic growth and create short and long term employment through the development and construction of homes. The Act is supposed to be extended to Eleuthera and Abaco which previously were excluded. I welcome feedback from someone who access the Act benefits in Abaco.

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