FAQ: Explore Property in the Dominican Republic: A Quick Guide

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Navigating Your Journey to Property Ownership in the Dominican Republic

Discover all you need about buying, investing, and living in the Dominican Republic right here. Our FAQ section answers your key questions on legal processes, financial details, investment prospects, and local lifestyle. Ideal for prospective homeowners, investors, or those contemplating a move, our guide simplifies decision-making. Dive in for clear, concise information to guide your journey in the Dominican real estate market.

What are the steps involved in buying property in the Dominican Republic?

After choosing a property, a deposit is made ($3000-$5000) to have the property taken off the market. Then you fill in the compliance form and sign the preliminary contract (you can do it in person, or in a scan copy and then mail the originals.). At this stage you will be offered to sign a contract with a local lawyer, who conducts due diligence of the object and will get at the end the certificate of ownership (title) for you. These services cost the same everywhere – 1.5% of the transaction value (minimal fee 2350$). You can invite your own lawyer to support the transaction. After signing the contract, you will have 30 days to pay the amount of down payment specified in it (from 10% to 80%, usually, the larger the down payment, the greater the discount). Then you pay the remaining balance until the construction is completed. If you buy an already built property – you individually negotiate the terms of payment. After the payments are finalized, you are invited to sign the final contract – you either have to come to the Dominican Republic or get a power of attorney from Dominican consulate in your country for your representative. Once the final contract is signed – you accept the property, get the keys, drink champagne, and your lawyer will get a certificate of ownership (title) for you within 3-4 months. 

Is it necessary to be a resident to buy property in the Dominican Republic?

To buy any property in the Dominican Republic you do not need to be a resident. Locals and foreigners are treated with equal rights in this matter.

What types of properties are available for purchase?

Our agency offers a wide range of properties – villas, townhouses, apartments, commercial real estate, plots of land – in different price ranges, under construction and already built, new construction and resale homes.

Can I buy property directly from a developer?

You can buy property directly from the developer or with the help of our agency – the price will be the same. We get our commission from the developer (seller), not from the buyer. In any case, you sign the contract directly with the developer (seller). Advantages of working with our agency – we work with different developers, we know the market and have more options for the buyer. The developer is primarily interested in selling his own object, but we can offer a choice of different objects, and the buyer can choose the best one.

Are there any restrictions for foreigners buying property?

There are no restrictions for foreigners to purchase real estate in the Dominican Republic. But both local and foreign buyers must provide proof of legal source of funds (compliance form).

How do I ensure the property I’m buying has a clear title?

For this purpose, at the first stage of the buying you will be offered to engage a local attorney. He will conduct due diligence and confirm to you that the title and other documents on your property are absolutely clear and legal.

What is the process for conducting a property valuation?

Our agents examine the property thoroughly, check the documents, analyze the location, additional amenities, infrastructure, compare it with similar properties on the market, and then make a recommendation on the cost.

Can I purchase property remotely?

You can conduct remotely all stages of the purchase of property if you make a power of attorney for your representative in the consulate of the Dominican Republic in your country.

What are the payment terms for buying property?

Different developers have different payment terms. Generally, the terms are about the following: 1) 3000-5000 dollars for the reservation of the property, 2) from 10 to 30% of the cost as a down payment (within 30 days), 3) from 30 to 50% of the cost during the construction period, 4) the balance upon completion of construction. When buying a resale property, the terms and conditions are negotiated individually. Most developers are flexible in payment plans and are ready to meet the client’s suggestions.

Are there any additional costs involved in purchasing a property?

The only additional costs when purchasing new property are the services of the local lawyers (1.5% of the price of the property, minimal fee 2350$). This is an optional cost, the client can invite his own lawyer. But we recommend to use the local lawyers, as they know the local specifics better.

What kind of post-sale support do you offer?

We offer post-sale support services – property management for rental, listing the property for sale, marketing services to attract clients, our partner company can offer finishing and renovation services, etc. This is negotiated individually with the client.

Can you assist with property management for rentals?

We provide property management services for rentals.

Do you offer services for property renovation or maintenance?

Our partner company can offer services for property renovation or maintenance.

How do I set up utilities and other services for my new property?

You can do this on your own with our guidance, or you can use a local attorney for this purpose.

Can you provide guidance on local contractors and service providers?

We have been in the local market for many years and we can recommend the best ones of local contractors and service providers.

What types of residency permits are available in the Dominican Republic?

  1. Temporary Residency: This initial permit is typically valid for one year and renewable annually. Applicants often need to show proof of income or a job offer.
  2. Permanent Residency: After five years of temporary residency, individuals can apply for permanent residency. This requires continuous income or investment in the country.
  3. Investment Residency: For those investing significantly in the Dominican economy, this program fast-tracks the path to permanent residency.
  4. Retirement Residency: Tailored for retirees with a stable pension or retirement income.
  5. Student Residency: For international students enrolled in Dominican educational institutions.

How do I apply for a residency permit as a property owner?

Property owners can apply for residency under the investment category. The process involves proving the property investment, submitting necessary documentation, and undergoing health and background checks.

What are the benefits of obtaining residency in the Dominican Republic?

Residents enjoy long-term stay options, legal employment and business opportunities, and access to local services. Permanent residents can apply for citizenship after a two-year period.

Are there any specific investment programs for obtaining residency or citizenship?

The Dominican Republic has investment residency programs for significant economic contributions, including real estate investments, with set conditions and minimum amounts.

How long does it take to obtain residency after purchasing property?

After purchasing a property, obtaining residency can take several months, depending on the residency category and efficiency of the application process.

Can owning property in the Dominican Republic lead to citizenship?

Owning property facilitates the residency process but does not directly lead to citizenship. Citizenship typically follows permanent residency, subject to eligibility and application.

Are there any requirements for maintaining residency status?

Residents must renew their permits (annually for temporary, less often for permanent), maintain a clean criminal record, and show continued financial stability.

How does residency status affect tax liabilities?

Residents pay taxes on global income after three years. Property owners are subject to an annual property tax on values above a certain threshold, with some exemptions.

Can my family members also obtain residency if I buy property?

Dependents of property owners can also apply for residency, following the primary applicant’s status and type.

What are the healthcare and education benefits for residents?

Residents access both public and private healthcare systems, with the latter offering high-quality services at competitive rates. Private health insurance is advisable for broader service access. The Dominican Republic also boasts a growing education system, with various international schools offering high-quality education, particularly in major cities.