Property tax in Bermuda
See what Bermuda's tax rules do to your property portfolio.
What Freeholt models for property, income and retirement in Bermuda, and what it does not.
Free to start. No card. Rules reviewed 2 July 2026.
Modelled here
- Tax on rental income
- Duty on purchase (approximate)
BMD · Rates as at 2 July 2026 · Estimates, not advice
No income tax or CGT, but non Bermudian landlords need a rental permit and pay a 7.25% rental tax, and only high value homes may be bought by non Bermudians (12.5% house / 8% condo licence fee).
How rental income is taxed in Bermuda
For a resident owner: There is no tax on residential rental income. For an owner living abroad and renting this out: A flat 7.25% on gross rent.
Capital gains on a sale
There is no capital gains tax on residential property.
Annual property tax while holding
An annual property or land tax is not modelled here, which is not the same as there being none. Treat holding costs on this page as excluding it.
What it costs to buy
Freeholt estimates this at 7% of the price. That is an average rather than the published rule, which is not modelled here yet. For a foreign buyer Freeholt adds 12.5% on top, as a single figure standing in for a rule that is not a single rate. Non Bermudian licence fee 12.5% (houses) / 8% (condos) on top of stamp duty (sliding to ~7%); minimum ARV rules limit which homes qualify.
Where the tax actually lands
Bermuda taking nothing does not mean nobody does. An owner who is tax resident somewhere that taxes worldwide income generally pays tax on the rent and any gain from this property THERE, at that country's rates, with credit for anything paid here. That makes the owner's country of residence the thing that decides the tax bill on this property, not the country the property sits in. Freeholt models the residence side separately, so setting a country of residence in the app shows the whole picture rather than a zero.
How Freeholt models Bermuda
Every rate above is priced from Freeholt's own table for Bermuda and runs through the whole projection: rental income, a modelled sale and the annual holding costs all use the same figures. They cannot be edited yet, so a position that differs from the defaults has to be read with that in mind. The estimate assumes an individual owner rather than a company or trust, and where a rule is not modelled it is listed below rather than quietly priced at zero.
What running this property costs
In Bermuda this covers the ARV based annual land tax (progressive, steep at the top), insurance, maintenance and management.
How borrowing works here
Non Bermudians usually buy cash; local mortgages are conservative. The BM dollar is pegged 1:1 to USD.
What actually happened here
We hold no measured run of our own for this country yet, so there is nothing to draw. We will not fill the gap from a neighbouring market.
What Freeholt models here
- ModelledTax on rental income
- Resident and non resident rates, with interest and losses treated under the local rule.
- None hereCapital gains on a sale
- No general capital gains tax; the page says what applies instead.
- ApproximateDuty on purchase
- Carried as one national average rather than the published scale, which differs by band and often by region.
- Not yetAnnual property or land tax
- Not priced here; the page says where the charge falls instead.
- Not yetIncome tax beyond the rent
- Not modelled for this country yet.
- Not yetDividends, interest and share sales
- Not modelled for this country yet.
- Not yetRetirement savings
- Not modelled for this country yet.
- Not yetInheritance and what happens on death
- Not modelled for this country yet.
What Freeholt does not model here
- Any annual property or land tax, which may still exist here
- Inheritance and estate tax
- Treaty relief between this country and the owner's country of residence
Coverage deepens country by country. Every figure is an estimate, not advice.
Compare with another country
Each page is built from the same table the app runs on, so the figures line up side by side.
Compare Bermuda with another country — rent, gains, annual tax and duty, side by side.
Questions people ask
- Does Freeholt model Bermuda property tax?
- Yes. Rental income tax and duty on purchase are priced from Freeholt's own rate table for Bermuda. Duty on purchase carries a simplification that the page names beside the figure. Bermuda levies no capital gains tax, so there is nothing to price. Annual property or land tax is not priced here, and the page says so rather than showing a zero. The rates are not editable yet, so one that differs in a particular case cannot be overridden. Every figure is an estimate, not advice.
- How is rental income from Bermuda taxed if I live somewhere else?
- A flat 7.25% on gross rent. Tax may also be due in the country of residence, with credit for what was paid here. Estimates only, not advice.
- What are the Bermuda figures as at?
- The rate table for Bermuda was last reviewed on 2 July 2026. Freeholt date stamps every country rather than implying all of them were checked on the same day. Estimates only, not advice.
Model a property in Bermuda alongside everything else you own: see the year your portfolio starts paying you back.