The International Persons Landholding Act, 1993
|
| Registration |
| The International Persons
Landholding Act 1993 encourages foreigners or companies owned by
them to purchase a second home in The Bahamas as this area was
thought to have the most significant potential. If a foreigner
acquires a single family dwelling or vacant land to be used in
the construction of such a dwelling then he no longer need
obtain a permit from the Government (specifically the
Investments Board) prior to the purchase. He need only register
the acquisition subsequently with the Investments Board.
Permanent residents of The Bahamas and foreigners who inherit
property in the Bahamas are now treated more kindly. In neither
case are they to obtain a permit before acquiring land but must
merely register subsequently. |
|
Permit |
| The foreigner will require a permit
however if (1) the property is undeveloped land and of five
acres in size or larger, or (2) the property is not a private
residence, or it is not intended for development as such.
Failure to obtain a permit will render the acquisition null
and void but the foreigner will be entitled to recover all
monies paid in consideration of the acquisition less any
legitimate deductions. If a permit has been granted for the
acquisition of land and the intended usage changes then the
permit must be varied by the Board otherwise it will be invalid.
A registration certificate or permit must be included along
with title documents to be recorded in the Registrar General's
Office otherwise the recording will be null and void. |
|
Mortgages |
| The new act is not
intended to be a stumbling block for legitimate credit
transactions. It provides that licensed banks, trust and
insurance companies who acquire an interest in or take
possession of property under a Court Order must register that
acquisition or fact of possession. Acquisition by way of
foreclosure under a mortgage or of land acquired by an
authorized foreign state will not require a permit but must be
registered. |
Incentives
|
| In line with its policy of actively
encouraging foreign investment, the government has included in
this Act a provision that a foreigner no longer pays a double
rate of stamp duty. He now pays the same single rate as a
Bahamian.
Furthermore, a foreigner who owns a home in the
Bahamas may now obtain an annual home owner resident card upon
application and payment of a fee to the Director of Immigration.
The Card authorizes the entry of the holder and his immediate
family. Their stay in the Bahamas is authorized provided there
are no restrictions for policy reasons or under the Immigration
Act. |
|
Schedule of Fees |
Application for registration -
$25.00
Application for permit - $25.00
Certificate of registration:
(a) the value of the property is $50,000 or less - $50.00
(b) the value of the property is over $50,000 but under $101,000
- $75.00
(c) the value of the property is $101,000 and over - $100.00
Home owner resident card - $500.00 |
|
