The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Bahamian real estate market underwent “normalisation after several fast-paced quarters” during the final three months of 2025 as “buyer activity cooled” while new home listings on New Providence and other islands increased by double-digits.

Morley Realty, in its analysis of 2025 fourth quarter data from the Bahamas Real Estate Association’s (BREA) Multiple Listing System (MLS), asserted that the market was showing “clearer signs of stabilisation” as the year drew to a close with a rise in new listings boosting available inventory for sale and helping to “balance improving supply with cautious demand”.

David Morley, Morley Realty's owner/broker, could not be reached for comment before press time but his firm’s just-released report showed that New Providence home sellers are still getting close to what they are asking with the list price-to-sale price ratio relatively flat at 93.3 percent compared to the 2025 third quarter and year-over-year.

And, in a sign that properly-priced properties are still being snapped up relatively quickly by buyers, New Providence homes that sold during the final three months of 2025 spent only an average of 77 days on the market - a 24.5 percent declined compared to the same period in 2024, and a 9.4 percent drop when measured against the 2025 third quarter.

“As 2025 came to a close, The Bahamas real estate market shifted into a more selective, strategy-driven environment across Nassau and Paradise Island, Abaco, Eleuthera, Exuma and Grand Bahama,” Morley Realty said. “Inventory generally increased in key markets, while buyer activity cooled compared to the third quarter - a healthy sign of normalisation after several fast-paced quarters….

“The takeaway from the fourth quarter is clear: This is a more balanced, opportunity-rich market — one that rewards smart pricing, strong presentation and informed guidance. Whether buying or selling, today’s conditions favour those who understand the nuances of each island and act with the right strategy.”

New Providence was among the islands benefiting from an increased supply of new home inventory available for sale, according to Morley Realty’s analysis of MLS data, with new listings increasing by 15.6 percent compared to the 2024 fourth quarter and by 35.7 percent when measured against last year’s third quarter. New listings of vacant land in the nation’s capital also rose by 12.9 percent and 6.1 percent on an annual and quarterly basis, respectively.

However, the pace of both contracted and completed real estate sales slowed on New Providence during the 2025 fourth quarter based on MLS data. Contracted home sales fell by 9.6 percent year-over-year, and 34 percent quarter-on-quarter, while completed sales dropped by 17.5 percent on an annual basis. However, the latter still represented an 8.3 percent improvement compared to the 2025 third quarter.

As for vacant land sales on New Providence, new deals or contracted sales dropped by 28.9 percent year-over-year in the final three months of 2025 and by 40.7 percent compared to the third quarter. And completed sales were down by 22.2 percent on both an annual and quarterly basis.

Other major islands also saw a spike in new inventory coming on to the market in the 2025 fourth quarter. Exuma enjoyed a 90 percent spike in new home listings available for sale on a year-over-year basis, and a 660 percent jump compared to the 2025 third quarter, while Eleuthera saw increases of 73.9 percent and 60 percent on an annual and quarterly basis, respectively. Abaco witnessed a 100 percent rise on a quarterly basis.

“In the 2025 fourth quarter, the Bahamian real estate market showed clearer signs of stabilisation, with listing activity rebounding in several regions while sales outcomes remained uneven across islands. Supply conditions improved modestly in select markets, but buyer behaviour remained cautious, particularly in the land segment,” Morley Realty said.

“New listing activity strengthened overall in the fourth quarter. Home listings increased year-over-year in Abaco, Eleuthera, Exuma and New Providence, with Exuma posting the largest quarterly jump. Grand Bahama was the primary exception, where home listings edged lower compared to last year. Land listings remained more mixed: Eleuthera and Exuma saw meaningful increases, while Grand Bahama experienced continued decreases in new land supply.”

It added: “Across the islands, homes generally outperformed land where longer days on market and more negotiation became the norm. Still, sellers in most markets continued to achieve strong results relative to asking prices, and buyers gained more room to be selective and strategic.

“Sellers generally continued to achieve strong results relative to asking prices. Most home markets maintained list-to-sale ratios in the low to mid-90 percent range, indicating that well-priced properties continued to attract committed buyers. Land ratios were more volatile, with some islands closing near or above list, while others experienced wider negotiation gaps.”

Mike Lightbourn, Coldwell Banker Lightbourn Realty’s president, yesterday agreed that real estate sellers are aiding transactions by pricing their properties according to what the market can bear, thus ensuring they do not remain available for long.

“It should be a good year,” he added. “The signs are good. People are interested in real estate and they are buying. I think it’s fair to say in all areas. People are, in a lot of cases, pricing sensibly. Sometimes people over-price but, generally speaking, I find people are being sensible. Things look positive but external forces could interrupt it.”

Morley Realty, in its analysis of 2025 fourth quarter MLS data, added: “Sales activity remained selective. Eleuthera homes continued to lead performance, posting year-over-year gains in both contracted and completed sales. Abaco homes also showed resilience, supported by steady buyer engagement.

“In contrast, New Providence and Grand Bahama homes recorded fewer contracted sales despite healthy listing volumes. Land sales were softer overall, with completed transactions declining across most islands, reflecting longer decision timelines and increased buyer scrutiny.

“Pricing trends diverged by market. Home prices held firm in several regions, with Abaco, Eleuthera, Exuma and New Providence all recording solid median pricing in the fourth qurrter. Average prices were more volatile, influenced by the mix of high-end versus mid-range sales, particularly in Exuma and Eleuthera,” it added.

“Land pricing weakened across most markets, with notable declines in average and median prices in Abaco, Exuma and Grand Bahama, signalling a shift toward smaller or lower-priced parcels being sold late in the year.

“Market pace varied widely. New Providence homes moved more efficiently, with days on market declining year-over-year. Eleuthera and Abaco experienced longer selling times, while Exuma remained around its normal market pace. Land transactions took significantly longer across all islands, with days on market rising sharply, especially in Abaco, Eleuthera and Grand Bahama.”

Summing up what this all meant, Morley Realty said: “Overall, the 2025 fourth quarter reflected a market balancing improving supply with cautious demand. Homes remained the more stable segment, supported by resilient pricing and buyer interest, while land markets softened further as longer timelines and price sensitivity took hold. As the market moves into 2026, inventory levels, pricing realism and buyer selectivity will remain key factors shaping activity across the islands.”