Considerations for foreigners buying real estate

Buying property in the Dominican Republic as a foreigner is a process that, although generally straightforward, requires attention to certain details to ensure a successful transaction. Here are the key steps and tips:

Steps to purchase:

• Legal advice:

• Hiring an attorney with experience in Dominican real estate is essential. The attorney will help you with due diligence, reviewing contracts, and ensuring the transaction complies with the law.

• Property Search:

• You can search for properties through real estate agents, such as Navetta Properties, who guarantee comprehensive support.

• It is advisable to visit the properties in person to assess their condition and location.

• Offer and contract:

• Once the desired property is found, a formal offer is made to the seller.

• If the offer is accepted, a promise of sale contract is drawn up, which establishes the terms of the transaction.

• Due diligence:

• Your attorney will conduct a thorough investigation of the property's legal status, including verification of the title, the existence of liens or encumbrances, and compliance with zoning regulations.

• Closing of the transaction:

• Once due diligence is completed and final terms agreed upon, the transaction is closed before a notary public.

• The purchase price is paid and the final sales contract is signed.

• Property Registry:

• The purchase agreement is registered in the corresponding Deeds Registry to transfer ownership of the property to your name.

• payment of transfer taxes.

Tips for foreigners:

• Know the law:

• Learn about real estate laws in the Dominican Republic.

• Foreigners have the same property rights as Dominican citizens.

• Verify ownership:

• Make sure the seller is the rightful owner of the property.

• Request a certification from the Title Registry to verify ownership and the existence of any liens or encumbrances.

• Consider the location:

• Evaluate the location of the property based on your needs and preferences.

• Consider proximity to services, infrastructure, and security.

• Total budget:

• Aside from the cost of the property, there are transfer taxes, attorney fees, and other closing costs to consider.

• Financing:

• Learn about the financing options available to foreigners in the Dominican Republic.

• Real Estate Agents:

• Working with a reputable real estate agent can greatly simplify your search for the property that best suits your tastes, and they can assist you through the legal process. Navetta Properties guarantees full support.

• Taxes:

• Learn about transfer tax and real estate property tax (IPI).

General documentation required:

• Valid identity document (passport).

• Proof of funds.

• Copy of Property Title.

• IPI Certification.

• Certification of Legal Status.

• Purchase/Sale Contract

• Taxes

• Documentation required by the attorney and notary participating in the closing.

Navetta Properties