Buying property in the Dominican Republic

Foreigners can own property here outright, with the same rights as Dominicans. The process is simpler than most buyers expect, as long as the title is checked properly. This is how a purchase runs, step by step.

The process, the costs and what to check before you reserve, written for buyers from abroad.

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1. Choosing and offering

Once you have found the property, your agent presents a written offer to the seller. Offers are usually in US dollars for the kind of property on this site. When price and terms are agreed, you move to the reservation.

2. Reservation and the promesa de venta

A reservation deposit, typically 1% to 2% of the price or a fixed amount around 5,000 to 10,000 dollars, takes the property off the market while the title is checked. The deposit is held by the attorney or the agency in escrow, not paid to the seller.

The main contract is the promesa de venta (promise of sale), a notarised agreement that fixes the price, the deposit (usually 10%), the closing date and the conditions. From this point both sides are bound: a seller who backs out returns the deposit plus a penalty, a buyer who backs out without cause forfeits it.

3. Due diligence: the title check

Your attorney, who should be independent of the seller, obtains the certificado de título from the Registro de Títulos and checks that the seller is the registered owner, that there are no liens, mortgages or oppositions, that the IPI tax is paid, and that the property has a deslinde. For a condo, the attorney also reviews the condominium declaration and the association's accounts.

Allow two to four weeks. A property without a deslinde can still be bought, but the survey should be done before closing or priced in, because without it the parcel's boundaries are not legally fixed.

4. Closing

At closing you sign the contrato de venta definitivo before a notary, pay the balance (usually by wire to the attorney's escrow account), and the attorney files the deed with the Registro de Títulos. Transfer tax of 3% is paid to the DGII at this stage. The new certificado de título in your name is issued in a few weeks to a few months, depending on the registry's workload.

Closing costs for the buyer come to roughly 4% to 5% of the price: the 3% transfer tax, attorney's fees of 1% to 1.5% plus ITBIS, and notary and registration fees. The calculator below gives you the breakdown for any price.

5. Owning: taxes and upkeep

The yearly property tax (IPI) is 1% of the appraised value above an exemption threshold set each January by the DGII; most properties under about 180,000 dollars pay nothing. CONFOTUR-approved tourism developments are exempt from IPI and transfer tax for up to 15 years. Condo fees cover security, pools and common areas and vary from 100 to several hundred dollars a month.

Residency is optional. Many owners spend part of the year here on tourist entry and never apply. Those who want to stay longer than the entry allows, or to bring a vehicle or household goods duty-free, apply for residency through an immigration attorney.

A note on what this guide is

This page explains how purchases usually run so you can plan. It is not legal advice, and the details of your purchase depend on the property and on you. Your attorney gives you the exact figures and the final word; we are glad to recommend several and you choose.

Closing costs calculator

Enter a price to see what buying costs on top of it.

Closing costs in the Dominican Republic run around 4.5% of the price.

Purchase price (US$)

Price: US$ 250,000
Transfer tax (3%): US$ 7,500
Attorney's fee (1.25%) + ITBIS: US$ 3,688
Notary, title and filings: US$ 1,875
Closing costs: US$ 13,063 (5.2%)
Total to budget: US$ 263,063
Yearly property tax (IPI): US$ 737 / year

First buyer in a CONFOTUR project (no transfer tax)Attorney's fee

Estimates with 2026 rates for a cash purchase. Your attorney gives you the exact figures before you sign. Read the buying guide

Frequently asked questions

Can a foreigner own property in the Dominican Republic?

Yes, outright and in their own name, with the same rights as a Dominican citizen. No residency, local partner or special permit is needed. Some buyers hold through a Dominican company (SRL) for estate planning; your attorney advises on whether that suits you.

How long does a purchase take?

From accepted offer to closing, four to eight weeks is typical: two to four for the title check, then the closing date set in the promise of sale. The new title certificate follows some weeks after closing.

What is a deslinde and do I need one?

The deslinde is the official survey that fixes a parcel's boundaries in the cadastre and gives it its own title. Properties with a deslinde are safer to buy and easier to resell or mortgage. A property without one can be bought, but have the survey done or priced into the deal.

Do I need to be present to buy?

No. A power of attorney, legalised at a Dominican consulate or by apostille, lets your attorney sign for you. Many of our buyers close from abroad after one or two visits.

Can I get a mortgage?

Dominican banks lend to foreigners, but at rates and terms (often 9% to 12% with shorter amortisation and a large down payment) that make cash or home-country financing the usual choice. Most purchases on this coast are paid in cash.

What are the yearly costs of owning?

IPI property tax of 1% on the appraised value above the exemption threshold (nothing for most properties under about 180,000 dollars), condo fees where applicable, insurance, utilities and upkeep. Budget about 1% of the price a year for upkeep on a villa.

Is title insurance available?

Yes, from international underwriters through local agents, and some buyers take it. A thorough title check by an independent attorney is the first line of protection and is what most buyers rely on.

What is CONFOTUR?

Law 158-01 on tourism incentives. A development approved under it passes exemptions to its buyers: no transfer tax on the first purchase from the developer and no IPI for up to 15 years. Ask whether a new development has CONFOTUR status before comparing prices.