According to Brookes & Company, the Bahamas' property market is making a comeback with buyers.
After the global financial crisis of 2007, the Caribbean property market, like the rest of the world, has suffered. According to the recently released Savills Prime Residential Retreats 2014 Report, property in the Caribbean lost about 30% of its value in the years following the economic downturn. Real estate prices in some areas, such as the Bahamas, dropped by as much as 40% between 2007 and 2010. Qatar For Sale - Property Hunter
On the other side, the Caribbean seems to be reviving.
As previously reported by World Property Channel, Savills has identified resort investments in top locations such as the Baha Mar Resort, Atlantis Resort, and Royal Ocean Club in the Bahamas as some of the hottest property investments in the global marketplace. The two most important words in the study were'retreat' and'resort,' with investment in exclusive vacation destinations on the rise.
According to the report, "the recovery that started in cities in 2009 is now spreading to the hinterlands and boltholes occupied by equity rich homeowners during weekends and vacations."
"The economic downturn had an undeniable effect on the Caribbean luxury property market, especially the Bahamian market," says Philip Button, Managing Director of property investment specialists Brookes & Co. "However, now that rates have bottomed out, we're seeing a huge rise in demand, with clients seizing the opportunity to buy five-star properties at lower prices, expecting price rises in the months and years ahead." Investors in the Bahamas are looking for high returns, which is why the Royal Ocean Club on Grand Bahama has received so much attention. Clients are keen to get a piece of the resort before prices in the Caribbean return to their former peaks, with deposits as low as £29,790 and ocean front units starting at £99,300, plus non-status developer financing at 70% LTV." According to the Caribbean Tourism Organization's Latest Statistics 2013 report, released in early 2014, the Bahamas attracted 1,136,898 stop-over arrivals in 2013. According to the numbers, the Bahamas is the fifth most popular Caribbean destination for the year.
Many tourists fall in love with the Bahamas' allure, which includes everything from crystal-clear waters teeming with darting, brightly colored fish to rum cocktails sipped on powdery white sand beaches to spicy and delicious cuisine using the islands' rich natural food sources. The Bahamas' tax advantages appeal to buyers as well, with many choosing to take advantage of the home owner's residence scheme as well as the lack of taxes on income, sales, estates, inheritance, and real estate capital gains.
With so many attractions, it's no wonder that the Bahamas is one of the most exciting property investment markets in 2014, with investors rushing to pick up bargain properties and participate in the islands' revival.