In 2026, Bermuda has officially reclaimed the title of the most expensive place to live on Earth, surpassing the Cayman Islands and Switzerland. According to the latest cost-of-living indices, everyday expenses in Bermuda are 23.5% higher than in New York City.
For high-net-worth individuals, the island offers a trade-off: world-leading prices for an unparalleled tax-neutral environment.
1. The 2026 Housing Market: Premium for Paradise
Real estate is the primary driver of Bermuda’s high costs. In 2026, apartment prices have seen a 20% year-over-year increase as demand for high-end “Work-from-Island” bases remains at an all-time high.
| Property Type | Typical Monthly Rent (BMD/USD) | Prime Districts |
| Luxury 1-BR Condo | $5,500 – $7,750 | City of Hamilton, St. George’s |
| 3-BR Modern House | $11,000 – $14,000 | Paget, Pembroke |
| Waterfront 5-BR Villa | $16,500 – $25,000+ | Harrington Sound, Smith’s |
2026 Insight: Renting is often preferred over buying for expats, as non-Bermudians are generally restricted to purchasing high-Annual Rental Value (ARV) properties, which typically start above $2.5M.
2. Taxes: What “Zero” Actually Means
Bermuda is world-famous for having 0% personal income tax and 0% capital gains tax. However, high-net-worth expats must navigate the “Indirect Tax” model:
- Payroll Tax: While there’s no income tax, employers often pass on the “employee portion” of the payroll tax. For high earners (over $200k), this is effectively a 11.5% to 12.5% deduction.
- Stamp Duty: High-value estates face progressive stamp duties that can reach 21% on values exceeding $2M—a critical factor for long-term estate planning.
3. Lifestyle & Education Costs
- Groceries: In 2026, groceries are a “sticker shock” category. A gallon of milk averages $16.79. Even with the “Affordable Bermuda Basket” government initiative, staples remain roughly twice the price of US equivalents.
- Schooling: Elite private education is a standard expense for expat families. Tuition for the 2025/2026 academic year at institutions like Warwick Academy or BHS averages $23,000 – $26,000 per child.
- Utilities: Expect the world’s highest electricity bills. A 3-bedroom villa with central AC can easily run $600 – $900 monthly during the summer months.
4. Navigating the Island with Skybridge
- Flight Tickets: Book your flights to L.F. Wade International (BDA) via Skybridge. In 2026, the terminal serves as a boutique hub for direct private and commercial flights from NYC (90 mins) and London (7 hours).
- Private Transfers: As a high-net-worth traveler, skip the taxi dispatch. Pre-book a private transfer with Skybridge for a seamless, chauffeured arrival at your Paget estate or the Hamilton Princess.
- 8-Seater Hire: Moving your household or hosting a corporate retreat? An 8-seater minivan hire is the most practical way to transport groups across the island’s narrow, scenic roads.
The Verdict:
- Choose Bermuda if: You prioritize safety, a 90-minute commute to Wall Street, and a tax-neutral status that offsets the world’s highest grocery and utility bills.