Citizenship by investment programs has made the Caribbean Community (CARICOM) a popular destination for a second passport among investors over the years. Of the 13 sovereign states and 12 overseas territories, a couple of island countries have stood out as the most sought-after, including Antigua and Barbuda, St Kitts and Nevis, St Lucia, Dominica, and Grenada. But before you can relocate to a new country, it is important to understand the different cost of living associated with each.
- The cost of living in the Caribbean varies significantly by island, with Dominica, Grenada, and St Lucia being the most affordable, and the Bahamas among the most expensive.
- Housing costs fluctuate based on location and demand, with luxury properties in Antigua and Barbuda, St Kitts and Nevis, and the Bahamas reaching high price points, while more affordable options exist in Dominica, Grenada, and St Lucia.
- Utility costs are generally high in the Caribbean due to warm climates and reliance on imported energy.
- Food costs depend on local agriculture; islands like Grenada and Dominica benefit from affordable fresh produce, whereas places like Turks and Caicos and the Bahamas, which rely on imports, have higher grocery prices.
- Public transport costs differ per island, with some offering affordable bus services and others requiring taxis or ferries, which can be costly.
- Healthcare and insurance expenses vary, with some countries offering universal healthcare while others require private insurance, often a requirement for citizenship by investment programs.
General Cost of Living in the Caribbean
The cost of living in the Caribbean varies depending on the island and your lifestyle. According to Numbeo and expat testimonials, Haiti, the Dominican Republic, and Cuba are the most affordable states. For a single person, the average cost of living is around $300 to $700 (excluding rent).
The Cayman Islands, Turks and Caicos, and Barbados have the highest cost of living among the Caribbean islands, with monthly expenses for a single person exceeding $1,500 (excluding rent).
Housing and Rent Costs in the Caribbean
Real estate costs in the Caribbean change constantly, influenced by external factors like citizenship by investment programs, which attract high net-worth individuals to the country. Island states like Antigua and Barbuda are also popular for tourism, leading to high real estate prices. The average monthly rental costs vary from $700 to $1200. Places like the Bahamas have the highest utility costs – up to $350 monthly. Meanwhile, the Dominican Republic and Panama have the lowest costs.
We break down some of the most popular Caribbean countries’ housing and rent costs below:
Dominica
Dominica has one of the lowest cost of living in the Caribbean. For a one-bedroom apartment in Dominica, it costs $300 per month. This also depends on whether you live in or outside the city. For a three-bedroom apartment in the city, it costs $1,160. Outside the city, it is $740.
You can purchase luxury eco-friendly villas for as little as $255,000, or four-bedroom properties in St George for $270,000.
Grenada
Also one of the most affordable places to live in the Caribbean, a one-bedroom apartment outside the cities of Grenada costs $440 per month. A three-bedroom apartment outside the city is $660. A one-bedroom apartment in the city costs around $780 per month. A three-bedroom apartment in the city costs around $1,700.
To purchase a property costs between $160,000 to $7,000,000.
St Lucia
In St Lucia, a one-bedroom apartment ranges between $320 per month outside the city and $510 monthly in the city. A three-bedroom apartment is $650 per month outside and $890 monthly in the city. This makes St Lucia one of the more affordable places to live in the Caribbean.
St Luca also offers various apartments, villas, resorts, condos, and historical colonial homes to purchase. A local home’s price starts at $200,000, modern condos and bungalows go for around $300,000, and beachfront villas are over $1,000,000.
Antigua and Barbuda
In Antigua and Barbuda, the average property price for a square meter is $1,680. Modern tourist apartments and prime properties currently cost $5,000 to $8,000 per square meter, however, with some luxury homes going up to $12,500 per square meter.
Rent in Antigua and Barbuda varies depending on whether you live in a city or rural area; a one-bedroom apartment is $1,000 per month in the city and $760 per month in other areas.
St Kitts and Nevis
St Kitts and Nevis is slightly more expensive, with one-bedroom apartments ranging between $610 and $1,000 per month, and three-bedroom apartments between $1,560 and $3,500 per month.
Purchasing an apartment is also quite costly, ranging between $4,000 and $5,000 per square meter.
Barbados
In Barbados, renting can cost anywhere between $1,500 and $8,000 per month for a house, or $1,000 to $2,0000 per month for a one-bedroom apartment. One of the benefits of purchasing property in Barbados is that the cost stays the same whether you are looking in or outside the city, at $3,500 per square meter.
Bahamas
The Bahamas has one of the strongest economies in the Bahamas, with its Bahamian Dollar pegged 1:1 to the US Dollar. This, combined with the fame it has garnered from celebrities, makes it one of the most expensive places to live in the Caribbean. One-bedroom apartments in the capital city, Nassau, can cost up to $3,000 monthly. In other areas, rent for a one-bedroom apartment is much lower at $800 per month, while some three-bedroom apartments cost $1,350 monthly.
The average cost to purchase an apartment is $5,340 per square meter. The average purchase price for a home is around $3.5 million, although in some areas it can go as low as $591,830.
The Caribbean is an attractive option for investors and retirees looking for a combination of economic opportunity, lifestyle benefits, and financial incentives. While the cost of living varies across different islands, there are affordable options for housing, healthcare, and daily expenses, particularly in Dominica, Grenada, and St Lucia. High-net-worth individuals may find value in premium real estate markets in Antigua and Barbuda, St Kitts and Nevis, and the Bahamas.
In these countries, property investment can lead to citizenship and tax advantages. But purchasing the property is not the only cost you have to keep in mind. Understanding the nuances of living expenses, tax policies, and investment opportunities is essential before making a financial commitment.
FAQ
The cost of living depends on the island and lifestyle choices. For a modest lifestyle, expect to spend between $1,500 and $3,000 per month, excluding rent. In more expensive areas like the Bahamas or Cayman Islands, costs can be significantly higher.
Antigua and Barbuda, Barbados, Dominica, and Grenada all have a “level one” travel advisory, meaning you can exercise normal caution when visiting these countries.
Dominica, Grenada, and St Lucia are among the most affordable, with low rental costs and affordable food prices.
Dominica and Grenada offer some of the most affordable real estate options, with entry-level properties starting at around $100,000. These islands have lower property taxes and residency incentives, making them attractive for investors looking for budget-friendly opportunities.
