Whether you’ve fallen in love with Roatán’s turquoise waters, Guanaja’s untouched beauty, or Utila’s laid-back diving vibe — purchasing real estate here is more attainable than you might think.
Sure, buying property in a foreign country can sound intimidating, different language, new systems, unfamiliar laws but that’s exactly why working with a local real estate professional who knows both worlds makes all the difference.
As a 15-year expert local realtor, I’ve been helping buyers and sellers understand how the process works and what to expect when investing in or selling their island real estate.
Let’s dive into the essentials of buying property in the Bay Islands and what every buyer should know before signing on the dotted line.
The Roatán MLS — Your Gateway to Bay Islands Listings
The Bay Islands of Honduras use the Roatán Multiple Listing Service (MLS), a centralized system where all licensed real estate agents list properties for sale. This means you can explore nearly every property on the market in one place, from luxury beachfront estates to secluded off-grid homes, giving you a comprehensive view of your options and simplifying your search for the perfect island property.
Because the market is small and interconnected, you might notice the same property listed two or three times; this happens when multiple agents collaborate to promote the same listing. The good news? It makes it easier for you to find your island property, no matter which agency you work with.
Can Foreigners Buy Property in the Bay Islands?
Yes — foreigners can legally purchase real estate in the Bay Islands. You can buy up to 3,000 square meters (about 0.75 acres) in your personal name.
If you’re eyeing a larger parcel or planning a development, you can easily create a Honduran corporation to complete the purchase. It’s a straightforward and common process. One that I help many of my international clients with every year.
How Does Financing Work?
Most property purchases in the Bay Islands are cash transactions, as local banks rarely offer mortgages to non-residents.
Many international buyers use financing from their home country — such as refinancing an existing property or using a home equity line of credit — to fund their Caribbean investment.
How Much Does It Cost to Build in the Bay Islands?
Construction costs vary depending on the island, materials, and design — but generally range between $120–$200 USD per square foot.
Wood homes: traditional, lightweight, and ideal for the island lifestyle.
Concrete homes: durable and better suited for oceanfront locations.
Partnering with a local architect and builder ensures your home fits the environment and complies with local regulations.
Homes vs. Condos — Which Is Right for You?
Your choice depends on your lifestyle and how you plan to use your property.
Condos are perfect for part-time residents and investors who want amenities, rental income, and low maintenance.
Homes offer more privacy, customization, and that “true island retreat” feel.
You’ll find both options across the Bay Islands from luxury condos in West Bay to secluded ocean-view estates in Guanaja.
Taxes and Closing Costs
When buying property in the Bay Islands, expect closing costs of around 5%–6% of the purchase price. This typically covers legal fees, property registration, and taxes.
Where Do Most Expats Live?
Expats are spread throughout the Bay Islands, depending on their lifestyle preferences. Some seek seclusion and privacy, while others prefer to be close to the action. Retirees and seasonal visitors often choose areas that suit their pace, but many expats only spend a few weeks or months on the island each year, enjoying a seasonal lifestyle rather than full-time residency.
In Roatán, the most popular areas include:
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West Bay – The island’s premier beach, home to luxury residences and condos.
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West End – A vibrant, walkable village known for its restaurants, nightlife, and local charm.
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Sandy Bay – A tranquil and centrally located residential area offering convenience and a peaceful atmosphere.
If you prefer more space and privacy, Guanaja or Roatán’s East End offer untouched beauty and large estate properties.
Do You Need Residency to Buy Property?
No — you don’t need residency to buy or own property in the Bay Islands.
Most foreign homeowners visit on a 90-day tourist visa.
If you plan to live here full-time or open a business, applying for Honduran residency can make life easier and I can connect you with the right attorney to help.
Getting to the Bay Islands
You can fly directly into Roatán International Airport (RTB) from the U.S., Canada, or mainland Honduras.
Guanaja and Utila are easily accessible by short domestic flights or ferry connections from Roatán and La Ceiba.
Why Invest in the Bay Islands?
The Bay Islands of Honduras are surrounded by the Mesoamerican Barrier Reef, the second-largest reef system in the world. a natural wonder that attracts divers, adventurers, and savvy investors alike.
Here’s why the Bay Islands are capturing the attention of international buyers:
- Turquoise waters and white sand beaches — pristine shores perfect for vacation homes and luxurious island living.
- Laid-back island lifestyle — “flip-flops, no shoes, no problem!” The relaxed pace and tropical vibe make it an ideal escape.
- Strong rental potential — select properties benefit from steady tourism, providing excellent investment opportunities.
- Lower property taxes than most Caribbean islands, keeping costs manageable.
- Expat-friendly, English-speaking communities — friendly locals and international residents make integration easy.
- Year-round tropical climate — enjoy sunny days, warm waters, and vibrant natural beauty every day of the year.
Investing in the Bay Islands isn’t just about real estate, it’s about securing a piece of Caribbean paradise that blends lifestyle, leisure, and long-term value.
Ready to Start Your Property Search?
Whether you’re searching for a beachfront condo, private villa, or land to build your dream home, I’m here to help guide you through every step l, from your first inquiry to closing day.