GENERAL INFORMATION ON THE ACQUISITION OF BERMUDA PROPERTY BY NON-BERMUDIANS AND PERMANENT RESIDENT CERTIFICATE HOLDERS ("PRC")
Non-Bermudians may only purchase property that is qualified by a minimum Annual Rental Value ("ARV").
The ARV is used to determine land tax and is not necessarily a reflection of market value.
The minimum ARV for houses is $177,000 and $32,400 for condominiums. In addition, condominiums available to Non-Bermudian purchasers must be in "designated developments".
The effect of these guidelines means that only the highest valued properties are available for Non-Bermudian purchasers.
Houses with a qualifying ARV start at around $3.5m and condominiums at around $550,000.
LICENSING AND FEES
Non-Bermudian purchasers must obtain a license from the Minister of Labour and Home Affairs; their application is made through a local attorney of their choosing. License fees are 8% of the purchase price of a house and 6% for a condominium. Current License Fees will increase as of October 1, 2014 to 12.5% for a house and 8% for a condominium. All properties within a designated resort development are 6.5%.
License fees for Permanent Resident Certificate Holders ("PRC") purchasers will be 4% for a house and a condominium. The License Fee will increase as of October 1, 2014 to 6%.
Applicants are required to provide a banker's reference and personal references (preferably Bermudian if possible).
The license application fee (which is refunded when the license is granted), is currently $1416.
Government has approved Non-Bermudian purchasing by application in Trust subject to (a) locally licensed Trustee, (b) limited to one generation and (c) after death, the property must be sold within 2 years.
MULTIPLE PROPERTY OWNERSHIP
Generally, a non-Bermudian will not be permitted to own more than one residential property at any one time. A non-Bermudian will be permitted to purchase a second property on the condition that he/she disposes of the original property within 12 months.
For more information, go to: www.gov.bm