Officials say they expect the number of casualties to rise.
The 28 people on board were believed to have been Haitian nationals.
Reports say the boat, which set off from the island of Abaco on Sunday, developed engine trouble. It sank on the northern coast of the Bahamas on Sunday night.
Seven people have been found alive so far.
Haitian immigrants trying to reach the US can pay more than $500 (£300) for passage on an overcrowded wooden boat.
They often sail via the Bahamas, a collection of hundreds of islands, some of them only 80 km (50 miles) away for the US mainland.
SOURCE BBC.
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