NASSAU, BAHAMAS — Prime Minister Philip Davis has lamented that homeownership has been out of the reach of many Bahamians, stating: "We must resolve to change this reality."
"As we maintain our focus on reducing the cost of living and creating more opportunities for Bahamians, affordable homeownership opportunities are an essential component of our blueprint for a fairer, more prosperous Bahamas," Prime Minister Davis said while delivering remarks at the Construction Tour of Renaissance at Carmichael on Thursday.
"For many families, owning their first home is often the first step toward building wealth. Homes become assets they can pass on to future generations, building equityton provide the foundation for future ventures."
He added: "Unfortunately, homeownership has often been out of reach for many hardworking Bahamians. We must resolve to change this reality."
Prime Minister Davis further noted that the government has a pivotal role in removing the barriers and securing opportunities for homeownership for Bahamians.
"Our rent-to-own project is a cornerstone of our mission. It's about giving you a chance to own a home, even when traditional paths seem out of reach. The First Home Owners Stamp Exemption is another critical step. By waiving VAT duties on conveyance and mortgage instruments, we're directly reducing the costs for first-time homeowners," he said.
He also noted that the government raised the exemption for stamp duty on homes up to $300,000 and offered VAT refunds on construction materials and services.
"But our commitment to affordable housing goes beyond direct homeownership. It extends to better facilitating the transfer of land between family members and loved ones. Reducing VAT on property transfers and eliminating it on land transfers between joint tenants is about respecting your heritage and valuing the land passed down through generations," Prime Minister Davis said.
He noted that the government welcomes the recent decision of the Central Bank of The Bahamas to ease guidelines for domestic banks and credit unions regarding residential mortgages.
"This move, reducing the minimum equity requirement and eliminating the mortgage indemnity insurance for lower down payments, is a significant step forward. It promises to lower the cost burden for many aspiring homeowners and expand credit access to additional qualified borrowers. This policy change, aligning with our government's commitment to affordable housing, marks a pivotal moment in making the Bahamian dream of homeownership more attainable and financially manageable for our citizens," he said.
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