The Dominican Republic is one of the most foreigner-friendly real estate markets in the Caribbean — and arguably in all of Latin America. The legal framework is clear, foreign ownership is fully protected, and the process, while different from what you may know at home, is straightforward when you have the right team on your side.
Here’s what you need to know before you buy.
Can Foreigners Own Property in the Dominican Republic?
Yes — 100%, with the same legal rights as Dominican citizens. The Dominican Constitution explicitly protects foreign property ownership. There are no restrictions on the type of property you can purchase, no requirements to use a local partner, and no limits on how many properties you can own.
This is a significant advantage over many other Caribbean and Latin American countries where foreign ownership is restricted or requires special permits.
Understanding the Title System
The Dominican Republic uses a Torrens title system, which is a government-registered land title registry. When you purchase property, you receive a Certificado de Título — a certificate of title registered with the Registro de Títulos (Title Registry). This is the gold standard for property security in the country.
Not all properties have clean Torrens titles — some are sold with Constancia Anotada (annotated records) or other types of documentation. It is absolutely essential to verify the title status of any property before purchasing. This is where a qualified Dominican attorney becomes indispensable.
The Step-by-Step Buying Process
- Find your property. Work with a trusted local real estate broker (like BuySamaná) who knows the market, can access properties that aren’t publicly listed, and can advise you on fair value.
- Due diligence. Your attorney will verify the title, check for liens or encumbrances, confirm that property taxes are current, and ensure the property’s legal boundaries match what’s being sold.
- Promise of Sale (Contrato de Promesa de Compra-Venta). This is the initial binding agreement between buyer and seller, outlining price, terms, and timeline. A deposit (typically 10-30%) is paid at this stage.
- Closing (Acto de Venta). The final deed is signed before a notary and registered with the Title Registry. The balance of the purchase price is paid, and the title is transferred to your name.
- Title transfer. The new Certificado de Título is issued in your name within a few weeks of closing.
Costs to Budget For
Beyond the purchase price, buyers should plan for the following transaction costs:
- Transfer tax: 3% of the property’s assessed value
- Legal fees: Typically 1-2% of the purchase price
- Notary fees: Regulated and modest
- Title registry fees: Small percentage of property value
- IPI (property tax): An annual tax of 1% applies to properties valued above approximately $185,000 USD. Many residential properties are exempt.
Financing Options
Most foreign buyers purchase in cash, as Dominican bank financing for non-residents is limited and typically comes with higher rates than buyers are accustomed to at home. Some sellers offer seller financing. U.S. buyers should also explore whether a home equity line on their U.S. property could fund a Dominican purchase.
Why Samaná?
Within the Dominican Republic, Samaná offers some of the most compelling value in the market today. Properties here combine authentic Caribbean character with strong appreciation potential, driven by growing tourism, limited development constraints, and improving infrastructure. Whether you’re buying for lifestyle, rental income, or long-term appreciation, the Samaná Peninsula deserves to be at the top of your list.
The BuySamaná team includes real estate professionals, local experts, and legal partners who specialize in guiding international buyers through every step of purchasing in Samaná and across the Dominican Republic. Contact us to start your search.
