Can Foreigners Buy Property in the Dominican Republic?
Yes — completely and unreservedly. The Dominican Republic's constitution guarantees equal property rights for nationals and foreigners. There is no foreign ownership cap, no need for a local partner, and no restrictions on which types of property you can purchase (residential, commercial, agricultural, or coastal).
Step 1: Find the Right Property
The search starts on a platform like Meridian, where you can filter by city, property type, price range, number of bedrooms, and features. The DR's main luxury and investment markets are:
Punta Cana / Bávaro — The Caribbean's #1 tourist destination. Highest rental demand, best-developed infrastructure for short-term rentals. Properties range from $120K condos to $2M+ villas. Cap Cana — Ultra-luxury gated community with private marina, golf courses, and white-sand beaches. Prices start at $350K. Santo Domingo — The capital. Best for long-term rentals and urban appreciation. Luxury apartments from $180K. Las Terrenas (Samaná) — The hidden gem. A French and Italian expat community with boutique villas and some of the highest rental yields in the country.Step 2: Hire a Dominican Attorney (Notary)
A notary (notario público) is required by DR law. Your attorney will conduct a title search, verify there are no liens, draft the purchase agreement, and handle the title registration.
Attorney fees: typically 1–2% of the purchase price.
Step 3: Title Search & Due Diligence
Your attorney requests a Certificado de Título from the Registro de Títulos. This confirms who legally owns the property, whether there are mortgages or liens, and the zoning classification. This process takes 1–3 weeks. Do not skip it.
Step 4: Sign the Purchase Agreement
The Promesa de Venta (Promise of Sale) is a legally binding contract that specifies price, payment schedule, and closing date. A deposit of 10–30% is typical, held in escrow.
Step 5: Closing Costs
At closing, expect to pay:
- Transfer tax (ITP): 3% of the assessed value
- Attorney fees: 1–2%
- Registration fees: ~0.5% Total closing costs: approximately 4–5% of the purchase price — significantly lower than the US.
- Annual property tax (IPI): 1% on value above ~$155K USD. Tourism-zone properties may qualify for exemptions under Law 158-01.
- Capital gains: 27% on profits. Primary residences are exempt.
- No wealth tax or estate tax for foreign nationals.
Step 6: Title Registration
Your attorney submits documents to the Registro de Títulos. Within 30–60 days, a new Certificado de Título is issued in your name.
How Long Does It Take?
From offer to keys: 45–90 days total.
Taxes to Know
Can Buying Property Get You Residency?
Yes. Law 171-07 grants permanent residency to foreign nationals who invest at least $200,000 USD in Dominican real estate. The process takes approximately 45–90 days.
Common Mistakes to Avoid
*This article is for informational purposes only and does not constitute legal advice. Consult a licensed Dominican attorney before completing any property transaction.*