Barbados, the most easterly of these eight Caribbean islands, has a population of nearly 300,000. Largely dependent on tourism and finance, it also receives significant inflows of foreign direct investment, totalling $720 million between 2018 and 2020.

The island’s prime residential market has performed well in 2022 to date, with prices growing in excess of 10% following several years of flat growth. Next year is also set to be a positive year for the prime property market on the island particularly now that pandemic-related travel restrictions have been removed. Non-resident foreign buyers must obtain permission from the central bank to purchase a property, though this is seen largely as a formality. 

Barbados has had a long-standing appeal for buyers from Europe and the Americas. Because of historical ties, British buyers dominate, accounting for 70% of purchasers. They are followed by Canadians who make up a further 10% of purchasers.

Most prime property is located on the west and south coasts where the most popular beaches and amenities are found, areas that also command the highest prime prices. A number of new developments have come to market in recent years, including Porters Place, Azzurro, and Ocean Grove. Apes Hill, set overlooking the Caribbean Sea has seen the addition of more than 80 new homes and a revival of the 18 hole golf course. Also on the west coast is the Sandy Lane development, which comprises of hotel rooms and suites, two golf courses and multiple private villas. These villas range in price from $2.5 million for a second hand residence in need of modernisation, up to just short of $10 million and with an average per square pricing of $700 to $800.

Barbados also aims to attract foreign buyers and investment through its Special Entry and Reside Permits (SERPs). Nonresidents can gain residency for five years in return for US$2m property investment, though there are some conditions to the scheme. The island was also one of the first countries to implement a ‘digital nomad’ visa which allows for workers employed at companies outside of Barbados to work in the country for up to a year. The island also has one of fastest internet speeds in the Caribbean, download speeds of 90.7 mbps, a further incentive to internet-dependent digital nomads.

The pandemic saw tourist numbers to Barbados plummet, along with most other locations, as lockdowns and international travel restrictions limited the movement of people. For an economy dependent on tourism, this had an outsized impact on the local economy and employment figures, especially as annual visitor numbers were reaching close to a million in 2019. However, since restrictions have lifted, the island has made a strong recovery with the government actively encouraging travel to Barbados. Figures for the year to date suggest 2022 will exceed a total of 400,000 tourists. This has also been reflected in prime residential transaction numbers and rental market values which have increased in line with the return of travel.