If you are considering buying a condo in the Dominican Republic, you are not alone. Every year, more Canadians and Americans are drawn to the DR’s warm climate, oceanfront lifestyle, and attractive property prices. But if you are only looking at the listing price, you are missing the full picture.
This guide will walk you through what it really costs to buy a condo in the Dominican Republic, including legal fees, taxes, furnishing, monthly maintenance, and more. It also explains how to save significantly through the CONFOTUR law, and how most foreign buyers can complete the entire transaction without being physically present.
The Listing Price Is Just the Start
You might see a new pre-construction condo listed at $180,000 USD. That is your base cost, but here is what you should realistically budget for on top of that:
| Cost | Estimated Range (USD) |
|---|---|
| Legal fees | $1,500 – $2,500 |
| Title transfer tax (3%) | $5,400 (unless CONFOTUR) |
| Furniture package | $10,000 – $25,000 |
| Monthly maintenance (HOA) | $150 – $300 |
| Property insurance | $500 – $800/year |
| Utilities setup & deposits | $300 – $600 |
These costs vary by location, developer, and project type. Furnishing and HOA fees in particular can fluctuate based on property size and amenities.
Legal Fees and the Role of a Lawyer
In the Dominican Republic, property transactions are handled by lawyers rather than title companies. Your lawyer will:
- Draft and review the Promise of Sale and Final Sale Contract
- Conduct due diligence on the title
- Confirm the developer’s documentation
- Handle title transfer registration and tax filings
Expect to pay between $1,500 and $2,500 USD in legal fees for full service representation.
Do I Need to Be There in Person?
Most Canadians and Americans are surprised to learn they do not need to be physically present in the Dominican Republic to buy a property. In fact, most foreign buyers sign a Power of Attorney (POA), which allows their lawyer to act on their behalf for closing, title transfer, and related documentation.
The POA is a notarized and legalized document, typically signed in your home country and then apostilled or authenticated through a Dominican consulate. It is limited in scope and used specifically for real estate transactions. This is especially useful for pre-construction buyers, where closing may take place a year or more after signing the initial contract.
What Is CONFOTUR and How Does It Save You Money?
CONFOTUR is a government incentive program designed to encourage tourism-focused development in the Dominican Republic. If the project you are buying into has official CONFOTUR approval, you may benefit from significant tax exemptions, including:
- Exemption from the 3% title transfer tax
- Exemption from annual property taxes for up to 15 years
- Exemption from tax on rental income for up to 15 years
On a $180,000 USD property, the CONFOTUR exemption could save you over $10,000 in up-front and long-term taxes. However, these benefits only apply if the project is officially approved. Developers may advertise expected approval, but you should request proof of official CONFOTUR resolution and have it verified by your lawyer.
The True Cost of Furnishing Your Condo
Pre-construction condos are usually delivered completely unfurnished. Even if a developer advertises a furniture package, it may only include basic items. You may still need to purchase appliances, décor, bedding, and sometimes even air conditioning units.
Estimated furniture costs:
- Basic 1-bedroom condo: $10,000 – $15,000 USD
- Fully furnished 2-bedroom: $20,000 – $25,000+ USD
If you plan to rent out the unit, you will need to furnish it to a standard that appeals to international guests.
Ongoing Monthly Costs
Beyond your initial purchase, you will also have monthly and annual ownership costs to consider.
| Ongoing Expense | Estimated Cost |
|---|---|
| HOA / Maintenance Fees | $100 – $300/month |
| Internet and Utilities | $50 – $150/month |
| Property Insurance | ~$600/year |
| Rental Management (optional) | 15% – 25% of rental income |
If you plan to rent your unit short-term, you may also need to hire a property manager, cleaning service, and local guest support.
Why Choosing the Right Developer and Team Matters
Not all projects are created equal. While some developers in the Dominican Republic have strong reputations for delivering on time and honoring contract terms, others do not. It is critical to:
- Work with a developer who has a strong track record and clear documentation
- Always hire an independent lawyer (not one recommended by the developer)
- Verify CONFOTUR status and legal title up front
At Own Dominican, I work with a trusted network of developers, attorneys, and property managers who have experience working with foreign buyers. I provide guidance throughout the entire process to ensure you avoid common pitfalls.
Final Thoughts: Know Before You Buy
Buying a condo in the Dominican Republic can be an excellent lifestyle or investment decision, but only if you understand the true costs involved. Many buyers assume the price on the listing is the full amount, but once you include legal fees, taxes, furnishings, and monthly costs, the total ownership picture becomes much clearer.
If you are considering buying in the Dominican Republic, I can help you navigate the process confidently and connect you with reliable developers and legal professionals who work with foreign clients.
Interested in buying in the Dominican Republic?
Visit www.owndominican.com or book a free consultation using the button below.
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