Buy property in the Dominican Republic with confidence by following this legally proven process. Here’s everything you need to know step-by-step.

How to Complete a Real Estate Transaction in the Dominican Republic

Purchasing property in the Dominican Republic is a straightforward process when following the correct legal steps. Below is a comprehensive guide to ensure a smooth transaction.

1. Selecting the Right Property

Before making a purchase, it is essential to:

• Identify the type of property (apartment, villa, land, or commercial space).
• Consider the location and its potential for investment or personal use.
• Conduct market research and visit properties in person or virtually.

2. Promise of Sale (Contrato de Promesa de Venta)

After reaching a verbal agreement, the buyer’s attorney prepares the legally binding Promise of Sale (Contrato de Promesa de Venta), which includes:

• The proposed purchase price

• Payment terms and conditions

• Any contingencies or special agreements between the buyer and seller

Once the draft is reviewed and approved by both parties, the Promise of Sale is signed in the presence of a notary. The buyer then deposits an initial amount (typically 10–20% of the purchase price) into the notary’s escrow account. This agreement is legally binding and formally initiates the real estate transaction under Dominican law.

3. Legal Due Diligence

After the Promise of Sale (Contrato de Promesa de Venta) is signed and the initial deposit is placed into escrow, the buyer’s attorney proceeds with full legal due diligence to safeguard the buyer’s interests. This process includes:

• Verifying the Certificate of Title (Certificado de Título) to confirm legal ownership

• Ensuring the property is free of mortgages, liens, encumbrances, or legal disputes

• Validating the cadastral survey (Deslinde) to confirm property boundaries

• Confirming the seller has no outstanding tax liabilities or utility debts

• Checking for any unresolved labor claims related to employees on the property

• Reviewing applicable building permits and zoning compliance (if construction is involved)

This legal examination ensures that the property is fully transferable and that the buyer receives clean and undisputed title under Dominican law

4. Finalizing Legal Clearance

Once the Promise of Sale is signed and initial due diligence is completed, the buyer’s attorney finalizes any remaining legal verifications before proceeding to the final transfer. This step may include:

• Updating the title verification to ensure no new liens or claims have appeared

• Confirming that all escrow terms and payment conditions have been met

• Verifying the final status of property taxes, utilities, and administrative compliance

• Ensuring all legal documents required for closing are prepared and accurate

This final legal clearance ensures a smooth and uncontested transfer of ownership at the signing of the Final Purchase Agreement (Contrato de Compraventa).

5. Payment of Fees and Taxes

The buyer is responsible for various costs, including:

• Property Transfer Tax: 3% of the assessed property value.
• Legal Fees: Typically around 1% of the purchase price.
• Notary Fees: Required for signing official documents.
• Registration Fees: Costs associated with registering the new title.

6. Signing the Final Sale Contract and Property Transfer

After all conditions are met, the Final Purchase Agreement (Contrato de Compraventa) is signed before a notary. This step includes:

• The payment of the remaining balance by the buyer.
• The transfer of property ownership.
• The seller receiving the full payment for the sale.
• The buyer obtaining all necessary documentation for the lawyer to begin the process of registering the property under the new owner’s name.

7. Receiving the New Title and Property Registration

The final step includes:

• The buyer receiving the new property title in their name.
• The registration of the property at the Dominican Real Estate Registry.
• The transfer of utility services and tax obligations to the new owner.

8. Property Ownership Options

Buyers can choose to acquire real estate as:

• An individual (personal name ownership).
• A legal entity (corporation or company), which can have tax benefits and legal advantages.

Final Considerations

• Foreign buyers do not need residency to own property.
• Working with licensed professionals (real estate agents, lawyers, and notaries) ensures compliance with local laws.
• Understanding the three main stages (Offer, Preliminary Contract, and Final Sale Contract) helps streamline the purchase process and secure a successful transaction.

By following these steps, buyers can confidently navigate the property acquisition process while protecting their investment.

Verbal Agreement and Transition to Legal Documentation

Unlike in the United States or Canada, real estate transactions in the Dominican Republic do not begin with a written offer. Instead, the buyer and seller typically reach a verbal agreement regarding:

• The purchase price

• Payment terms

• Closing timeline

⚖️ Only after this verbal agreement is reached does the legal process begin, and both parties transition to the formal written phase of the transaction.

🔹 Step-by-Step Process for Purchasing Property in the Dominican Republic

1. The buyer selects and signs an agreement with a licensed Dominican attorney.

   (The attorney represents the buyer’s legal interests and notifies the seller or real estate agent.)

2. The buyer pays the attorney to initiate legal due diligence.

   (This includes checking the Certificate of Title, liens, encumbrances, taxes, legal disputes, labor claims, and validating the cadastral survey [Deslinde].)

3. The buyer and seller agree on the final terms of the sale.

4. The Promise of Sale (Contrato de Promesa de Venta) is drafted by the buyer’s attorney.

   (This is a legally binding preliminary contract that defines the purchase price, payment schedule, contingencies, and closing date.)

5. Both parties sign the Promise of Sale in the presence of a notary.

6. The buyer deposits 10–20% of the purchase price into the notary’s escrow account.

7. The attorney finalizes any remaining legal clearances before closing.

   (For example, confirming updated title search, taxes paid, and utility clearance.)

8. The buyer transfers the remaining balance to the escrow account.

9. The Final Purchase Agreement (Contrato de Compraventa) is signed before a notary.

   (Ownership is formally transferred at this stage.)

10. The attorney registers the transaction with the Dominican Land Registry (Jurisdicción Inmobiliaria), and the buyer receives the new Certificate of Title.

1. (This is the final step confirming the legal transfer of ownership.)

✅ With proper legal guidance and adherence to the Dominican Republic’s real estate procedures, property acquisition is safe, transparent, and fully protected under the law.
By following these steps with the support of a qualified attorney and a trusted real estate advisor, foreign and local buyers can enjoy full legal ownership and peace of mind.

💼 At Aguasol24, we ensure every client receives expert guidance from start to finish — making property ownership in the Dominican Republic a smooth and secure experience.