Bahamas 💰 BSD Last updated2026-05-28

Mortgage Calculator Bahamas

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Quick answer (Bahamas)

A B$400,000 mortgage at 6.0% over a 25-year term works out to a monthly payment of about $2,577, with total interest of $373,162 over the full term.

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Mortgage Calculator

USD

Home Value

LTV 80% · No PMI ✓

Loan Amount

Interest Rate

Term

Total Monthly

$3,244

PITI

Principal + Interest

$2,577

48% goes to interest

Total Interest

$373,162

over 25 years

Monthly Breakdown

Principal & Interest$2,577

Property Tax (1.1%/yr)$458

Homeowner's Insurance (0.5%/yr)$208

Total Monthly$3,244

Principal vs Interest Split

52% principal

48% interest

✨ Live recalculation·Includes P&I, property tax, insurance. Estimates only — consult a licensed lender for exact rates.

Reviewed by

Aisha Rahman, CFP®, MBA LinkedIn ↗

CFP® with 12+ years in mortgage & retirement planning.

Local context

Mortgages in Bahamas

Typical loan

$400,000

in Bahamas

Typical rate

6% p.a.

prime borrower, 2026

Typical term

25 years

most common

Market overview

The Bahamian mortgage market is led by Royal Bank of Canada (RBC), Commonwealth Bank, Bank of The Bahamas, Scotiabank Bahamas and Fidelity Bank, with the state-owned Bahamas Mortgage Corporation providing affordable-housing finance. The Central Bank of The Bahamas has held its Discount Rate at 4.00% through 2026 and maintains the long-standing 1:1 peg of the Bahamian dollar to the US dollar. Property demand remains strongest in New Providence (Nassau) and high-end second-home corridors in Exuma, Abaco and Eleuthera, supported by ongoing post-Dorian reconstruction.

Why 6% is the typical rate

Mortgage rates sitting near the Prime Rate of 4.25% plus a 1.5–2.5 point margin reflect the USD peg and the central bank's tight liquidity management.

Tax & regulatory notes

Stamp duty/VAT on real estate is levied under a tiered structure to 10% on transactions above B$100,000, governed by the Stamp Act and Value Added Tax Act 2014. The International Persons Landholding Act requires non-Bahamians acquiring more than two acres or non-owner-occupier property to obtain a permit from the Bahamas Investment Authority. The Real Property Tax Act exempts owner-occupied properties below B$300,000 entirely and caps annual tax at B$120,000.

🧮 Worked example

A B$400,000 mortgage at 6.0% over a 25-year term

Loan amount

$400,000

Annual interest rate

6%

Term

25 years (300 months)

Monthly payment

$2,577

Total interest paid

$373,162

Total paid (principal + interest)

$773,162

❓ FAQ (Bahamas)

Common questions in Bahamas.

Do non-Bahamians need permission to buy property in The Bahamas?

Foreign buyers may purchase a single-family dwelling under five acres without prior approval under the International Persons Landholding Act, but must register the transaction with the Investments Board. Larger holdings or rental properties require a formal permit.

Can I get a USD mortgage in The Bahamas?

Most local mortgages are denominated in BSD, which is functionally identical to USD because of the 1:1 peg. RBC and Scotiabank do offer formally USD-denominated products to non-resident buyers, useful for those funding from US accounts.

What is the Bahamas Mortgage Corporation's role?

The BMC is a statutory lender focused on first-time Bahamian buyers and affordable housing under the Prospect Heights and other government subdivisions. It typically offers below-market rates and longer amortisations than commercial banks.

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