Reference

Buying in the Dominican Republic

Plain explanations of the law, tax and process behind a Dominican property purchase. Written for buyers and for the agents who have to answer these questions every week.

• CONFOTUR, explainedWhat CONFOTUR is, which taxes Law 158-01 exempts, how a project qualifies, and how to verify a development really holds the exemption before you buy.
• Buying as a foreignerForeigners can own Dominican property outright. The step-by-step purchase process, the title types that matter, and the due diligence that prevents the common failures.
• Property taxesHow the 3% transfer tax and the 1% annual IPI property tax work in the Dominican Republic, who pays them, when they fall due, and how CONFOTUR changes both.
• Closing costsThe costs that sit on top of a Dominican property purchase price — transfer tax, legal fees, notary and registry costs — who pays each, and the typical closing timeline.
• Rental income and yieldHow short-term rental returns are built in Punta Cana, the difference between gross and net yield, the costs that erode it, and what to check in a rental pool agreement.

General information about Dominican Republic property law and practice, not legal or tax advice. Statutes are amended and thresholds are re-indexed; confirm anything you intend to rely on with a Dominican attorney and with the DGII before you act on it.