There is no need to be a resident to own property. Private ownership is not subject to immigration status in the DR.
In a real estate transaction in the Dominican Republic, buyers and sellers must be present or duly represented by power of attorney at the closing.
Using a lawyer from a different country may help understand the process better by using familiar terminology. Still, unless that lawyer has experience and formation in real estate laws of the Dominican Republic, he will not be able to cover the details to make sure that all paperwork is in good standing and that the property is free and clear. Therefore, we recommend using a Dominican real estate lawyer, preferably based in the area where you are buying your property.
In normal circumstances, the average time will be from 2 to 4 weeks; however, the timeframe for the due diligence will be dictated by the potential problems and situations that we will find out when performing researches and paperwork revision.
Transferring the title to the new owner takes about 2 to 3 months.
At the moment, the DR does not offer title insurance.
Every case is different, especially in terms of asset protection and tax savings; however, in terms of ownership, there is no difference. When buying in the name of a corporation, there will be additional obligations in terms of company maintenance, bookkeeping, and taxes.
Transfer tax in the Dominican Republic is 3% on the highest amount between the purchase price and the register value.
Property tax in the Dominican Republic is 1% a year, based on the property’s registered value; the first, approximately US$150,000.00, is tax-free. Therefore, the exemption is based on a natural person’s total real estate patrimony, meaning that the total amount of the exemption will be the same whether having one or multiple properties. This exemption does not apply to corporations.
