Geography of the Bahamas

(Redirected from Bahamas Real Estate) Jump to: navigation, search

The Bahamas from space. NASA Aqua satellite image, 2009

The Bahamas are a group of about 700 atolls and cays in the western Atlantic Ocean, of which only between 30 and 40 are inhabited. The largest of the islands is Andros Island, located 120 miles (190 km) southeast of Florida. The Bimini islands are to its northwest. To the North is the island of Grand Bahama, home to the second largest city in the country, Freeport. The island of Great Abaco is to its east. In the far south is the island of Great Inagua, the second largest island in the country. Other notable islands include Eleuthera, Cat Island, San Salvador Island, Acklins, Crooked Island, and Mayaguana. Nassau is the capital and largest city, located on New Providence. The islands have a subtropical climate, moderated by the Gulf Stream. The islands are surface projections of the three oceanic Bahama Banks, the Little Bahama Bank, the Great Bahama Bank and the westernmost Cay Sal Bank. The highest point is only seventy meters above sea level on Long Island; the island of New Providence, where the capital city of Nassau is located, reaches a maximum elevation of only thirty-seven meters. The land on the Bahamas has a foundation of fossil coral, but much of the rock is oolitic limestone; the stone is derived from the disintegration of coral reefs and seashells. The land is primarily either rocky or mangrove swamp. Low scrub covers much of the surface area. Pineyards are found on four of the northern islands: Grand Bahama, Great Abaco, New Providence, and Andros. On some of the southern islands, low-growing tropical hardwood flourishes. Although some soil is very fertile, it is also very thin. Only a few freshwater lakes and just one river, located on Andros Island, are found in the Bahamas.

Property sell

What to consider when buying house & land packages in NSW as an investment
NSW house and land packages continue to be a shrewd investment strategy for astute property investors who are looking for capital gains, high rental income and gross yields and more control over their investment.

Declining housing affordability in Sydney is prompting more people to look at alternatives to buying. Renting is seen as a more cost effective and viable option to be able to live in popular Sydney suburbs.

Here are the important factors to consider when buying a Sydney house and land deal for investment purposes in NSW.

Location of property
Traditionally, new Sydney house and land developments are located in areas that have a high rental demand. It is important to research your desired location and check:
whether there are any major developments or infrastructure planned for your desired location such as a new shopping complex, highway or schoolwhat is the capital growth of the region you wish to buy a house and land package inwhat is the average rent and yield of similar new houses in the area and the projected rate of population growth and demographics of the region.
Remember investing in property is a long term strategy and the property market is a cyclical market so make sure you check previous reports, current reports and projected planning reports for the area.

Potential rental income and yieldThe high number of immigrants who choose Sydney as their home, the rising population growth and low supply of houses in desirable areas has contributed to low vacancy rates in NSW.

Make sure you check rental reports in the region where the new house and land development is located and find out how other similar properties in the area are performing.

Tenant friendly houses in Sydney (NSW) share some of the following attributes:

within 10kms of the Sydney CBDnear a Sydney beach side suburbs like Bondi or Coogeeclose to one of Sydney’s main shopping centre access to nearby schools or one of Sydney’s many universities such as the University of Sydney near to public transport and highways such as the M2, M4, M5 or M7 a short distance from restaurants and cafes such as Leichhardt or Newtown and located in a region with a diverse industry and employer base.

Investing in a new house with in a highly desired location will result in low vacancy rates, higher gross rental yields and strong capital growth.

Capital growth of the area
It’s important to research the capital growth potential of the area that you are planning to buy in. Houses generally have a greater potential for capital growth than apartments because of the land content, scarcity of land and high demand for quality properties in highly desired suburbs.

The advantage of buying a house is also the potential to add value such as extending the property, installing a new bathroom or removing internal walls to create spacious, open plan living. You are not restricted by a Body Corporate as you would be if you owned an apartment or townhouse but you do have to comply with local planning laws.

There is also a bigger resale market for houses as they are attractive to both investors and owner occupiers. Capital growth in Sydney for houses may be affected by the following factors:

If the house is bought off the plan and there is a long settlement period, there may be potential for capital growth when the property is finally completed. The location of the property. Historically, the best performing houses in terms of capital growth have always been within 10km of Sydney. Population growth, lack of affordability in Sydney and scarcity of land. Demographic changes to the region increasing a demand for certain types of property. Whether there are any major developments or infrastructure planned for your Sydney location such as a shopping complex or a new highway.

It’s important to research the capital growth potential of the area that you are planning to buy in as capital growth is the one of the main reasons why people purchase new houses as investment properties.

Tax advantages
One of the major benefits for buying a NSW house and land deal is that there are considerable tax benefits and savings such as no stamp duty.

If you own an investment property, you may be able to deduct capital works deductions which apply to the period your property is rented or is available for rent and are generally spread over a period of 25 or 40 years.

Any legitimate expense incurred in running your investment property should also be tax deductible against your overall income. These can include:

capital works deductions such as adding a garage, painting your roof or building a fence;loan interest and related bank fees; repairs and maintenance of fixture and fittings; insurances; property management fees; any legitimate expense incurred in running your investment property; depreciation – the ability to claim the cost of replacing fixtures and fittings such as carpets, curtains and so forth in advance of actual replacement.

Consult your accountant before buying an investment property to find out all the possible tax deductions you may receive.

Expenses
As well as the usual costs of buying an investment property, a house owned for investment purposes is also subject to land tax and it is calculated annually as at midnight on 31 December of the year preceding the year of assessment (i.e. 2010 assessment is based on land holdings at 31 December 2009) in NSW.

The advantage of buying a house over an apartment, unit or townhouse is that it does not attract any strata fees or have the high maintenance costs of an apartment such as elevators, gymnasiums and pools. Other costs to factor into your budget are:

conveyancing loan application and valuation feesmortgage insurance (if applicable) and a tax depreciation report.

Other ongoing expenses include building and home contents insurance, council and water rates, property management fees and landlord’s insurance.

The scarcity of land, the increasing population rate and the demand for quality properties is driving capital growth and pushing vacancy rates to a historic low in NSW. Some houses in Sydney located in popular suburbs such as inner city or beachside suburbs have almost doubled or tripled their value over the last ten years.

Buying a NSW house and land package will always be a popular investment strategy because of the land component and scarcity of land in Sydney, the potential for capital growth, the ability to add value to the property and more control over your investment.

Find Investment Property has listings for some of the best Sydney house developments currently available so start searching to find your next property deal and add a Sydney off the plan property to your investment portfolio.