Blog #1 The Real Estate Buying Process in The Bahamas

The Real Estate Buying Process in The Bahamas

Rudolph R. Dean, Sr

1. Go and get pre-qualified.

Take an up to date job letter to the bank and ask them to let you know everything that is required to purchase a piece of real estate. This includes the following:

a) What is the total amount you are qualified for?

b) How much would the payments be?

c) How long will the payments be for?

d) How much down payment is required?

e) What is their debt service ratio?

f) How much is your current debt service ratio?

g) How much is required for closing cost?

h) Do they allow weekly payments applied to the loan rather than interest?

i) Can you have a copy of the lawyer and appraisers list?

j) Is there a commitment fee and how much is it?

k) Do they allow Mortgage Indemnity Insurance and explain how it works?

2. Go shopping for a property.

a) Let everyone you know be on the lookout for the type of property you are interested in.

b) Shop online.

c) Call real estate companies.

d) Drive around.

3. Only deal with a Bahamas Real Estate Association member.

4. Upon selecting a property, thoroughly examine it physically.

5. For vacant lots, make sure it has the right zoning. Check with the Ministry of Works yourself.

6. Get advice from others who have been through the process.

7. Seeing that you are already pre-qualified, have all documents and money ready.

8. For buildings, have an inspection done.

9. For vacant land, physically examine the boundary markers.

10. Based on the inspection report, try to negotiate a better price.

11. Pay the down payment and sign the Sales Agreement.

12. Follow up with the banker constantly about the final approval.

13. Make sure it is within the Sales Agreement deadline.

14. Have the lawyer request more time in writing if more time is needed.

15. Upon approval, constantly follow up with the realtor and lawyer for a quicker closing.

16. Make sure that the property is registered in your name at the Registry.

17. Secure all original documents and also have a copy saved on a cloud.

18. This is a good time to update your will.

19. Enjoy your property.