Buying in George Town, Great Exuma should feel exciting, not overwhelming. Yet the word “escrow” can raise questions when you are purchasing in The Bahamas, especially if you usually buy in other countries. You want clarity on how deposits are held, what your attorney does, and how long it all takes so you can plan your move or investment with confidence.
This guide walks you through how escrow works for Bahamian property purchases in and around George Town, from the role of attorneys to a step-by-step timeline, documents, costs, and protections to verify in your contract. You will also find a practical checklist to keep your closing on track. Let’s dive in.
What escrow means in The Bahamas
Escrow in The Bahamas centers around attorneys. Your Bahamian conveyancing lawyer typically drafts or reviews the sale contract, holds the deposit in a client trust account, and coordinates title transfer and registration. This attorney-led model is standard for George Town and the wider Exuma market.
Attorney-led conveyancing
A Bahamian attorney conducts the title search, confirms encumbrances, prepares transfer documents, and manages settlement logistics. The attorney also coordinates with the local land registry to register your title after closing.
Who holds your deposit
Deposits are commonly held in a client trust or escrow account managed by the buyer’s or seller’s attorney. Some larger developments or international transactions may use an independent escrow agent if the contract specifies it. Your agreement should state exactly who holds funds, where they are held, and in what currency.
Who does what in escrow
- Buyer: Selects the property, signs the offer, pays the deposit, completes due diligence, secures financing if needed, provides AML and KYC documents, and wires closing funds.
- Seller: Provides valid title, disclosures, access for inspections, and clears encumbrances or discloses them in writing.
- Real estate broker: Markets the property, presents offers, coordinates viewings and inspections, and supports negotiations. A broker helps structure the deal but does not replace your attorney.
- Conveyancing attorney: Drafts or reviews the contract, holds the deposit in trust, performs the title search, obtains required approvals, prepares closing documents, and registers the transfer.
- Lender: If you finance, your bank’s appraisal and conditions become part of the escrow timeline. Banks follow strict AML and KYC rules, especially for international buyers.
- Surveyors and inspectors: Verify boundaries, structures, utilities access, and any environmental considerations.
- Registry/land records office: Records the transfer after settlement and payment of required fees.
Step-by-step timeline in George Town
The timeline depends on property type, financing, and buyer residency. A straightforward local closing can finish in 6 to 10 weeks. International transactions and approvals often extend to 12 or more weeks.
Pre-offer: 0 to 2 weeks
- View properties and refine terms with your broker.
- Obtain financing pre-approval if needed.
- Engage a Bahamian conveyancing attorney early.
Offer and deposit: Week 0 to 1
- Submit your written offer or conditional sale agreement.
- Once accepted, pay the initial deposit specified in the contract.
- The deposit is placed in the agreed escrow or attorney trust account.
Due diligence: Weeks 1 to 4+
- Your attorney performs the title search and reports any encumbrances.
- Order a current survey and property inspections. For coastal or cay properties, consider flood and coastal risk checks.
- If financing, complete appraisal and lender conditions.
- Non-Bahamian buyers begin any required government approvals.
Exchange and additional deposit: Weeks 2 to 6
- Some contracts use staged deposits. Confirm milestones that trigger any second deposit.
- Verify escrow instructions for releases or refunds tied to contingencies.
Pre-closing prep: Weeks 4 to 10
- Attorneys finalize the settlement figure, taxes, and fees.
- Seller prepares the deed and required declarations.
- You arrange cleared closing funds and provide updated identity and source-of-funds documents.
- Lender coordinates final mortgage documents if applicable.
Closing and registration: Weeks 6 to 12+
- Final payment is deposited per escrow instructions.
- Funds are disbursed to the seller once conditions are met and transfer documents are executed.
- Your attorney lodges documents with the local land registry in George Town for registration.
Post-closing: 1 to 6 weeks after
- Registration may take several weeks to appear on record.
- Update utilities and municipal or property tax accounts.
- Your attorney confirms registration and provides final title documents.
Key documents you will need
- Sale or purchase agreement.
- Proof of identity and address for AML and KYC checks.
- Source-of-funds documentation for international buyers.
- Title deed, prior transfer documents, and any mortgage or charge documents.
- Survey plan and boundary map.
- Inspection reports and relevant planning or permit records.
- Financing or mortgage documents if applicable.
- Transfer and registration forms for the land registry.
Common costs to budget
Budgets vary by price point, property type, and residency status. Plan for:
- Legal and conveyancing fees for buyer and seller.
- Stamp duty or transfer tax and registration fees.
- Real estate broker commission as set in the listing or agreed terms.
- Survey and inspection costs.
- Government approval fees for non-Bahamian buyers when required.
- Disbursements such as searches, notarization, and couriers.
- Bank transfer fees and any currency exchange costs for international wires.
Protect your deposit with clear terms
Your contract and escrow instructions should spell out how funds are held, when they are released, and when they are refunded. Confirm these items in writing:
- Escrow holder details: attorney or third-party escrow, bank name, and account type.
- Release conditions: the exact documents or milestones required for disbursement.
- Refund triggers: failed title, unmet contingencies, or approvals not granted.
- Interest: whether the trust account pays interest and, if so, to whom.
- Default remedies: what happens if either party defaults.
- Dispute resolution: governing law in The Bahamas and any arbitration or mediation terms.
- AML and KYC compliance: the escrow holder’s right to refuse or hold funds that do not meet compliance standards.
Pitfalls to avoid in Exuma
- Assuming escrow works like your home country. Confirm the attorney trust structure and Bahamian accounting rules for client funds.
- Underestimating approval timelines for non-Bahamians. Start applications early to avoid closing delays.
- Skipping thorough title checks. Insist on a full title search with clear reporting of easements, liens, or rights-of-way.
- Misjudging wires and currency timing. Coordinate with your bank on expected wire times and confirm exchange arrangements. The Bahamian dollar is commonly used alongside USD.
- Overlooking island utilities and access. On Great Exuma and nearby cays, verify water, septic or sewage, power sources, and road or boat access.
- Leaving cost allocations vague. Clarify in the contract who pays stamp duty, commissions, and fees.
- Relying only on your broker for legal matters. Retain an independent Bahamian attorney for escrow and registration.
Buyer checklist for George Town closings
Use this quick reference to stay organized.
Before you offer
- Engage a licensed Bahamian broker and a conveyancing attorney.
- Confirm property type: freehold, leasehold, or Crown land.
- If financing, secure pre-approval.
At offer and entering escrow
- Get the offer in writing and confirm the deposit amount.
- Identify the escrow holder and bank details in the contract.
- Request written escrow instructions covering release and refund conditions.
- Start the title search and request a copy of the current title or deed.
During due diligence
- Order a current survey and boundary verification.
- Book structural, pest, and environmental inspections as needed.
- Verify utilities connections and any planning or permit history.
- If you are not Bahamian, begin required approvals immediately.
Pre-closing
- Review the settlement statement with your attorney, including taxes and fees.
- Confirm wire instructions in writing and send cleared funds early.
- Review and approve final transfer documents.
Closing and after
- Confirm the deed is lodged for registration.
- Update utilities and any municipal or tax records.
- Keep copies of all contracts, receipts, and registered title documents.
Ready to move forward?
Escrow in George Town is straightforward when you have the right team. A local attorney coordinates title, funds, and filings, while your broker manages the deal and due diligence steps that keep your investment secure. With advance planning on deposits, approvals, and timelines, you can move from offer to keys with confidence.
If you want a seamless, concierge-led experience in Exuma and across The Bahamas, connect with our team at My Bahamas Realtor Limited. We coordinate trusted legal introductions, cross-border financing referrals, and smooth post-sale services so your ownership is as effortless as island living.
FAQs
Who usually holds the deposit in Bahamas escrow?
- In many Exuma transactions, a buyer’s or seller’s attorney holds the deposit in a client trust or escrow account. Some contracts for large or international deals specify a third-party escrow agent.
What is a typical deposit amount for Exuma purchases?
- Deposit practices vary by property and contract. It is often a meaningful percentage of the price set in the agreement, and some deals use staged deposits. Confirm the schedule in writing.
How long does registration take after closing in George Town?
- Registration time depends on the land registry’s workload and any municipal steps. Even after settlement, allow several weeks for administrative registration before you receive final title documents.
Do foreign buyers need approvals to buy in The Bahamas?
- Some purchases by non-Bahamians require ministerial permissions or investment-related approvals. Confirm your requirements with a Bahamian attorney at the start of the process.
Is title insurance common in The Bahamas?
- In some Caribbean markets, a lawyer’s title opinion is more common than title insurance. Ask your Bahamian attorney which protections are recommended for your specific property.
What government and local offices are relevant in Exuma?
- Expect coordination with the local land registry or records office in George Town, the Bahamas Investment Authority for certain foreign acquisitions, the Bahamas Bar Association, and the island’s planning authority for permitting records.
