Individuals can purchase real estate in the Dominican Republic by signing and notarizing a contract of sale with the seller of the property. They then transfer the funds for the purchase to the notary's trust account. The notary then transfers funds to the seller when the sale is final.Continue Reading
After the contract of sale, which includes a legal description of the property and the conditions of the sale, is signed, it is taken to the Internal Revenue Office of the Dominican Republic where individuals must pay the required taxes. Closing costs and taxes are usually about 7 percent of the sale price as of 2015, according to Caribbean Travel Magazine.
The contract of sale and the seller's certificate of title are delivered to the Title Registry Office so the sale can be recorded. The office creates a new certificate of title for the buyer to complete the transfer of ownership of the property.
The Dominican Republic allows foreigners to purchase real estate without restriction. Notaries in the country must have a law degree, but no licensing requirements exist for real-estate agents. Many real-estate purchases are completed in cash, although some Dominican Republic banks extend mortgages in U.S. dollars for foreign buyers.Learn more about Real Estate