What is the process to buy investment properties in the Dominican Republic?

The Beach development Downtown Bavaro Punta Cana

What is the process to buy investment properties in the Dominican Republic?

Buying investment properties in the Dominican Republic generally involves these key steps:

1. Research and Identify Property: Investigate the market to find properties matching your investment goals, considering location, type, and price.

   
   

2. Hire a Local Real Estate Agent: Engage a reputable local agent to assist with finding properties, understanding market trends, and guiding you through the process.

   
   

3. Legal Due Diligence: Retain a local attorney experienced in real estate to verify property titles, check for liens or debts, and confirm seller ownership.

4. Make an Offer and Sign a Purchase Agreement: Negotiate terms and sign the "Contrato de Promesa de Compra-Venta" (purchase agreement).

5. Pay a Deposit: Usually about 10% of the purchase price to secure the property; some projects offer discounts for bigger deposits.

   
   

6. Obtain a Tax Identification Number (RNC): Foreign buyers need this for property transactions, and your attorney will assist with this process.

7. Complete the Sale (Escritura Pública): Sign the final deed before a notary public and pay the remaining balance.

8. Register the Property: Register the deed at the Property Registry (Registro de Títulos) to formalise ownership; again, your attorney will assist with this part of the process.

10. Pay Applicable Taxes and Fees: Including transfer taxes (3% if the property price is above the tax-exempt limit), attorney/notary fees, and registration fees.

    
    

    

    Piece of mind should be top of your list to enjoy your new Caribbean paradise home.

    
    
    
    

Working with professionals, such as real estate agents, attorneys, and notaries familiar with Dominican property law, is essential to ensure a smooth and secure transaction.

Additional context for investors:

• Investing at least US$200,000 in real estate can qualify foreign buyers for entry into the residency program in the Dominican Republic, with a process involving document submission, review, and provisional residency granting within 6 to 12 months.

  
  

• The Dominican Republic’s booming tourism (projected 12 million visitors in 2025) is driving demand for vacation rentals, increasing rental income potential and property value appreciation.

  
  

• Financing options are available locally for foreign buyers who can prove stable income and creditworthiness.

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