BUYING GUIDE — BERMUDIANS PURCHASING REAL ESTATE IN BERMUDA

• Stamp duty (ad valorem, sliding scale) applies on purchase.
• Land tax is annual and based on the property’s Annual Rental Value (ARV).
• Transfers must be registered with the Land Title Registry; a Bermuda lawyer is required.
• Real estate brokers/agents must be licensed.

STEP-BY-STEP BUYING PROCESS

1. Define budget and obtain mortgage pre-approval.
2. Choose a licensed real-estate agent.
3. View properties and negotiate terms.
4. Instruct a Bermuda lawyer for conveyancing.
5. Lawyer conducts due diligence: title search, zoning, covenants, taxes, utilities.
6. Exchange contracts and complete: deed executed, stamp duty paid, registration filed.
7. After completion: update land tax registration.

COSTS TO BUDGET FOR

• Stamp duty: progressive/ad valorem scale.
• Conveyancing/legal fees.
• Agent’s commission (commonly ~5% of sale price).
• Land tax (annual, based on ARV).
• Other fees: mortgage registration, survey, searches, disbursements.

LEGAL AND COMPLIANCE HIGHLIGHTS

• Freehold vs leasehold — confirm title structure.
• Stamp duty exemptions — first-time buyer or Bermudian relief (subject to current law).
• Brokers and agents must be licensed.
• Non-Bermudians face additional acquisition rules (context only for Bermudian buyers).

PRACTICAL CHECKLIST

• Identification documents
• Mortgage pre-approval
• Signed Sale & Purchase Agreement
• Title search instructions
• Written fee estimates
• Stamp duty and land tax verification

FAQ

Q: Do Bermudians pay less tax than non-Bermudians?

A: Stamp duty scale is the same, but non-Bermudians often face licence fees.

Q: Who pays stamp duty and legal fees?

A: Negotiable. Commonly shared unless otherwise agreed.

Q: How long does registration take?

A: Varies; first registrations may require more time.