Contents
Can Foreigners Buy Property?
Great News!
The Dominican Republic is one of the most friendly countries for foreign investment. Foreigners have the same rights as Dominican citizens to buy and own property, with no restrictions.
Yes, absolutely. The Dominican Constitution guarantees the right to property for everyone. You do not need:
- Permanent or temporary residency
- Special investor visa
- A Dominican partner
- Special government authorization
Requirements for Foreigners
Valid Passport
It is the only identification document required.
Purchase Funds
You can bring funds from abroad or use Dominican bank accounts.
RNC (Optional but Recommended)
The National Taxpayer Registry (Registro Nacional de Contribuyentes) facilitates tax procedures.
Purchase Process for Foreigners
The process is essentially the same as for Dominican citizens:
- 1
Search and Selection
Find the ideal property. You can do this remotely or by visiting the country.
- 2
Legal Due Diligence
Hire a local attorney to verify the legal status.
- 3
Contract and Deposit
Sign the promise of sale contract and make the initial deposit.
- 4
Fund Transfer
Transfer payment via international bank wire.
- 5
Closing and Registration
Sign the final contract and register the property in your name.
Buying Without Being Present
If you cannot travel, you can grant a Power of Attorney to a local attorney.
Types of Power of Attorney:
- 1Special Power of Attorney (Poder Especial): For a specific transaction. The most recommended.
- 2General Power of Attorney (Poder General): For multiple transactions. Use with caution.
Power of Attorney Requirements
Must be notarized in your country, requires a Hague Apostille, and must be translated to Spanish by a certified translator.
Fund Transfer
Payment Options
- • International bank transfer (SWIFT)
- • Cashier's check from a local bank
- • Dominican bank account
- • Services like Wise
Considerations
- • Document the source of funds
- • Consider USD/DOP exchange rates
- • Large payments require a declaration
- • Keep all receipts
Opening a Bank Account: Foreigners can open accounts in the DR with a passport, proof of address, and bank references.
Taxes for Foreigners
Foreigners pay the same taxes as Dominican citizens:
| Tax | Rate | When |
|---|---|---|
| Transfer Tax | 3% | At purchase |
| IPI | 1% annually | If exceeds exempt amount |
| Capital Gains | 27% | At sale |
Residency by Investment
Investor Residency
With an investment of US$200,000 or more, you can apply for temporary residency.
- • Initial duration: 1 year, renewable
- • After 5 years: permanent residency
- • After that: option for naturalization
Benefits of Residency: Longer stays, easier bank account access, ability to work legally, access to local services.
Tips for Foreigners
Hire a Local Attorney
It is essential to have legal representation familiar with the Dominican system.
Visit the Property
If possible, visit in person before buying.
Research the Developer
Verify their reputation and previous projects.
Consider Property Management
If you will not live there permanently, hire professional property management.