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For a small archipelago, the Turks and Caicos Islands deliver in a big way as a popular Caribbean beach destination among the wealthy for second or third homes. White powdery sand, electric blue waters and some 350 days of sunshine a year are the draw. The absence of income, property and capital gains taxes seal the deal.
The British Overseas Territory is attractive to buyers in the United States and Canada, the top two countries that feed the luxury home market. Other Caribbean residents account for the third spot, followed by European buyers.
Of the territory’s 40 islands, eight are inhabited and becoming more developed. Providenciales is the most populated and most popular with tourists, particularly the Grace Bay area with a 13-mile stretch of beach and some of the priciest spreads in the territory.
The brightest spots in the 2023 residential housing market were in the luxury and single-family segments, where prices rose significantly and sales dipped only slightly.
The two top-selling homes in 2023, both in Grace Bay, included a 20,000-square-foot, 12-bedroom villa that sold for $33.5 million and a 12,737-square-foot six-bedroom villa that went for $19.5 million.
Sunny Bay Estates, Chalk Sound, Providenciales. Presented by Grace Bay Realty
Overall, the islands saw a 113% leap in the volume (in dollars) of single-family home sales compared with 2022. The median sales price in 2023 rose to $3 million—far outpacing the median sale price of just over $1 million in 2022. The number of transactions was down 2.42%.
Condominiums and townhouses saw a deeper drop in the number of sales, largely due to a lack of inventory. The volume of condo sales (in dollars) was down 37% over the prior year, and the number of sales was down 39%. The median selling price dropped to $655,000 in 2023 from $724,500 in 2022.
The top-selling condo sales, also in Grace Bay Beach, were a four-bedroom residence at the Regent Grand priced at $6.38 million and a four-bedroom residence at Point Grace Resort for $6.25 million.
In shorter supply, townhouse transactions dropped to eight from 16 in 2023 with the median selling price jumping from $405,000 to $790,000.
Lyle Schmidek, co-owner and broker at Grace Bay Realty describes the islands as “low-key, English-speaking, safe, with little unemployment or fast food.” Miami is a 70-minute flight away.
Schmidek and co-owner, Beth Atkins-Charles, say a home in the islands is “Plan B” for those who want to escape political uncertainty in their homeland or want to leave urban areas in favor of a quieter outdoor lifestyle. (As for quiet, celebrities who own lavish homes in the islands enjoy the discrete anonymity and peace of mind that the island brings.)
Casa Q, Sandy Point, North Caicos. Presented by Grace Bay Realty
Both are optimistic about the high-end home market in 2024, particularly the sales of villas. They say people now view their island home as a more permanent residence. “The market has been quite prosperous,” Schmidek says. “so owners are taking their profits and trading up or moving into other islands.” That’s freeing up inventory.
Those islands include North and Middle Caicos, South Caicos and Grand Turk, which are experiencing new development.
Atkins-Charles credits careful low-density developments with keeping Providenciales’ low-key vibe intact. The water between the world’s third-longest coral reef and the famous Grace Bay beach, for example, is a national park where motorized water vehicles are prohibited. Low-density building guidelines also mean that, on an average day, “you won’t find a crowded beach even though every resort is full,” she adds.
Also, waterfront development centered on Grace Bay keeps amenities within reach. Nothing is more than a half-hour away, the time it takes to drive from one end of Providenciales to the other.
Currently, the airport is undergoing upgrading and near future expansion, allowing for bigger jets from the U.S. West Coast and Canada, as well as other transatlantic locations. Atkins-Charles says its developed infrastructure will keep Turks and Caicos a top luxury home destination. “People can work from here,” she says, “and have real-time access to the world.”
