Summary
Yes: in 2026 a US citizen can buy an apartment, house, villa or land in the Dominican Republic in their own name, with no residency and no local partner, and pays the same 3% transfer tax as a Dominican.
You're only the owner once the Registro de Títulos issues the title in your name. Before you pay anything big, get the registry certification of the property (about RD$1,000, or $16).
Americans are one of the largest foreign communities: a State Department report estimated about 300,000 US citizens living there (many of them Dominican-Americans), and about 2.5 million US travelers arrived in the first nine months of 2025.
You can close from the US with your passport and a power of attorney. Buying doesn't give you residency: the investor route needs a certified investment of at least $200,000, the retiree route a $1,500 monthly pension.
Owning through a company is legal but rarely worth it for one home: it adds Dominican filings and IRS forms like 5471 or 8938 that you avoid by buying in your own name.
Budget 4.5% to 6.5% of the price for closing costs, so $9,000 to $13,000 on a $200,000 home, or about 1.5% to 3.5% on a first purchase in a valid Confotur project.
Annual IPI property tax is zero below RD$10,695,494 of combined appraised value (about $174,000), then 1% of the amount above it.
Banks lend to some Americans, but expect to put down 30% to 50% and borrow over 10 to 15 years. The BCRD average housing-loan rate was 8.87% in dollars and 11.90% in pesos in June 2026.
A house you own in your own name isn't reported on Form 8938, but Dominican bank accounts count toward FBAR (over $10,000) and FATCA (over $50,000 at year-end if you live in the US).
There is no US-Dominican income tax treaty (IRS list, January 2026). You avoid double tax with the foreign tax credit: the 27% non-resident rate on rental profit and the new 10% tax on a resale gain can be credited on your US return.
Law 30-26 (June 2026) cut the Dominican tax on an individual's resale gain to a flat 10% and puts the mortgage registration tax at 2% in 2026, 1% in 2027 and 0 from 2028.
Since 1 January 2026, the US charges a 1% tax on remittances paid in cash or by money order. A wire from your US bank account isn't on the IRS list, so send your deposit that way.
Bottom line: buying is easy for an American; the work is a clean title, your own lawyer, a CPA who knows FBAR and the foreign tax credit, and cash for a 30% to 50% down payment if you borrow.
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Message a proYour rights as an American buyer: homes, land, documents and companies
Can I buy a home in the Dominican Republic as a US citizen?
Yes. In 2026, US citizens can buy any type of residential property in the Dominican Republic: apartments, houses, villas and land. The same property laws apply to you as to Dominicans.
The steps: you sign a notarized sale contract, pay the transfer tax to DGII (the tax authority), then register the title in your name at the Registro Inmobiliario, the official land registry.
The contract isn't what makes you the owner. The deal is done only when the Registro de Títulos issues the title in your name (or your company's name). Until then, don't treat it as finished.
Are there many Americans buying property and living in the Dominican Republic?
Yes, a lot. The last official estimate, from a 2019 State Department inspection report, put the number of US citizens living in the Dominican Republic at about 300,000. Many of them are Dominican-Americans with family there.
The US is also the first source of visitors: 2,522,049 US travelers arrived from January to September 2025, 4.2% fewer than a year before (Banco Central figures reported by Acento). That's in line with the "3 million a year" the 2019 report quoted.
American buyers and retirees cluster in Punta Cana and Cap Cana (La Altagracia province), Las Terrenas and Samaná in the northeast, Sosúa and Cabarete on the north coast, and the upscale areas of Santo Domingo like Piantini and Naco.
The usual reasons: lower living costs than in the US, the climate and beaches, short flights from Miami, New York and other US cities, and the fact that foreigners can own outright. Remote work and high US housing costs have pushed the trend over the last decade.
US arrivals come from Acento (October 2025), citing the Banco Central.
Do foreigners have the same buying rights as locals?
Yes. Under Dominican law, foreign buyers, US citizens included, have the same property rights as locals. There is no extra tax or restriction because you hold a foreign passport.
No property type or area is off-limits to foreigners. A beachfront condo in Punta Cana, a house in Santo Domingo or a plot in Samaná: you're treated like a Dominican buyer. The limits that do exist apply to everyone: the 60 m public strip from the high-tide line (Law 305-68) and condo bylaws (Law 5038), which can ban short-term rentals.
The beach rule comes from the Ministry of Environment's page on the 60-meter strip, condo rules from Law 5038 on Condominiums.
Can I buy property in the Dominican Republic without a residence permit?
Yes. You don't need residency to buy. The Registro Inmobiliario's transfer checklist asks for identity documents, not proof of residency.
If you live in the US, you can buy without flying down: give a power of attorney to a local lawyer, who signs, pays the taxes and files the title for you. Sign it before a notary and get it apostilled: both countries are in the Hague Apostille Convention.
Buying doesn't give you a visa or residency. If you want to live there, you apply separately. The investor route needs a certified investment of at least $200,000 (a property can count). Most Americans use the retiree route (pensionado: a pension of at least $1,500 a month, plus $250 per dependent) or rentista ($2,000 a month of stable income).
The real difficulty for non-residents is distance: notarizing, paying taxes in pesos and answering registry requests all go faster with a lawyer you trust on the ground.
Residency thresholds come from the DGM pages for investor, pensionado and rentista residency.
Can US citizens own land?
Yes. US citizens can own land outright: house plots, beach lots and rural parcels, with the same full rights as a Dominican once the title is registered.
It's freehold: once the Registro de Títulos registers the title in your name, you own it with no end date. It isn't a time-limited lease like in some other countries.
No zone is closed to foreign landowners. Two things to check: some resort projects sell leasehold-style rights by contract, so make sure you get a registered title; and the land should have its own surveyed title (deslinde). Avoid lots held only with a "constancia anotada". If a deslinde is still needed, budget RD$18,000 (about $295) to RD$60,000 (about $975) and 30 to 90 days.
Deslinde cost and time come from 1122 Real Estate's 2026 closing-cost guide.
What documents will I need to buy?
As a US citizen buying in your own name, you'll need your valid passport, a second ID (a driver's license works), the notarized sale contract, the seller's Certificado de Título, proof the IPI property tax is paid, and proof the transfer tax has been paid.
Ask for the registry certification of the property's legal status: it costs about RD$1,000 (about $16) and lists mortgages, seizures and other charges. Get it shortly before closing.
Individuals buying in their own name are identified with their passport. If you buy through a company, the Registro Inmobiliario asks for the company's RNC (tax ID) and its corporate documents. If you later rent the property out, you'll need to register with DGII to declare the income.
A Dominican bank account isn't legally required, but it helps to pay local taxes and fees in pesos, and you need one for a mortgage. Banks and some sellers will ask for proof of funds. As an American, expect FATCA questions too: your Social Security number and a W-9 form when you open an account or move large amounts.
The certification fee comes from the Registro Inmobiliario FAQ.
Can a foreign-owned company buy property?
Yes. A foreign-owned company can buy residential property. The Registro Inmobiliario's process has requirements for companies: the company's RNC and proof that the person signing has the power to do so.
Some Americans hold property through a Dominican SRL (the local version of an LLC) for estate planning, co-ownership, liability or rental operations. It isn't required to buy.
A company doesn't usually lower your Dominican tax. It can even cost more: properties held by a company don't get the individual IPI threshold, and companies pay 27% on a resale gain where an individual now pays 10%.
On the US side, it adds work. Your stake in a foreign company is a reportable foreign financial asset (Form 8938 above the thresholds), and a Dominican corporation can trigger Form 5471. You also have to keep the company in good standing and file its Dominican returns every year. None of this applies if you simply own in your own name.
IPI and resale-gain rates for companies come from the DGII IPI page and Law 30-26.
What taxes and fees will I pay in the Dominican Republic in 2026?
What are buyer taxes?
The main buyer tax is the 3% transfer tax, charged on the higher of the price and DGII's appraisal. On a $200,000 (about RD$12.3 million) home, that's $6,000 (about RD$369,000).
If you borrow, add the mortgage registration tax: 2% of the loan in 2026, 1% in 2027 and nothing from 2028 (Law 30-26).
Then there's the yearly IPI property tax: 1% of the combined DGII-appraised value of all your Dominican property above RD$10,695,494 (about $174,000) in 2026. Below that, you pay nothing.
Americans pay exactly the same rates as Dominicans, and the transfer tax is the same for a main home and an investment. The big exception is Confotur: the first purchase of a unit in an approved tourism project skips the 3% transfer tax and usually gets an IPI exemption for 15 years. Check the project on MITUR's Confotur search before you count on it. Some low-cost housing programs also have exemptions, but they rarely concern foreign buyers.
Confotur rules come from MITUR's Confotur project search and Tropical Assets on Confotur; the mortgage tax from Law 30-26.
What are other closing costs?
Budget about 4.5% to 6.5% of the price in total closing costs, the 3% transfer tax included. On a $200,000 home, that's $9,000 to $13,000. On a first purchase in a project with a valid Confotur resolution, it falls to about 1.5% to 3.5% ($3,000 to $7,000).
Besides the tax, the main items are your lawyer (usually 1% to 1.5%, so $2,000 to $3,000 on $200,000), the notary (RD$15,000 (about $245) to RD$45,000 (about $730), sometimes 0.10% to 0.25% of the price) and small registry fees. The agent's 3% to 5% commission is usually paid by the seller.
The lawyer's fee is the one you can negotiate: it isn't set by law. Registry and notary fees leave little room. Get your lawyer's scope in writing: title check, lien check, seller identity, tax and HOA debts, transfer filing.
What surprises people most is due diligence on a messy file: title history, boundary surveys, lien searches and condo checks. A deslinde alone costs RD$18,000 (about $295) to RD$60,000 (about $975). Don't skip these to save money.
Ranges come from 1122 Real Estate (July 2026) and Inmobiliaria Puntual.
Are there hidden fees foreigners miss in the Dominican Republic right now?
They're not really hidden, just easy to forget at the start. Plan a few hundred to a few thousand dollars on top of the closing costs.
The three most common: apostilles and translations of US documents (power of attorney, marriage or company papers), usually a few hundred dollars; slower bank onboarding because of FATCA checks, sometimes with fees for international wires; and developer or HOA "transfer fees" in condo and resort projects, which are contractual and come on top of government costs. Ask for these in writing before you sign.
After you buy, owners most often underestimate three yearly costs. IPI: a property appraised at RD$14 million pays about RD$33,000 (about $535) a year, and DGII appraisals are often below the market price. HOA fees: they vary a lot from one building to the next, so ask for the last 12 months of statements. And a property manager if you don't live there full time; short-stay managers usually charge 20% to 25% of revenue.
Management fees come from Host My Spot.
Ask an expert who knows
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Visas, residency, what to do first.
Message a proWhat does Law 30-26 change for an American owner?
Law 30-26, the tax reform passed in June 2026, is in force. It didn't touch the right of foreigners to buy, the 3% transfer tax or the IPI threshold. It changes what you pay when you borrow, rent and sell.
Selling: an individual now pays a flat, final 10% on the gain. Before, the gain was taxed at 27% after an inflation adjustment. Gains on a main home are exempt if you reinvest in a new main home within 6 months, and so are sales of a main home by owners over 65. A company still pays 27%.
For an American, the 10% is good news twice: it's lower, and it's a foreign income tax you can credit against the US tax on the same gain. Buy at $200,000, sell at $250,000: about $5,000 goes to the Dominican Republic. If your US long-term rate is 15%, the US tax is about $7,500, minus the $5,000 credit, so about $2,500 more to pay in the US (before any state tax or the 3.8% net investment income tax).
Borrowing and renting: the mortgage registration tax drops from 2% of the loan in 2026 to 1% in 2027 and 0 from 2028. Withholding on rent paid by a company to an individual went from 10% to 15%.
Confotur: the law didn't repeal it, but it says you can't use two incentive regimes on the same operation. Lawyers at Pellerano & Herrera say the effect on Confotur projects is still unclear. If the tax savings are a big reason to buy a unit, ask your lawyer to confirm them in writing.
Can I get a mortgage as a US citizen in the Dominican Republic in 2026?
Do banks lend to US citizens?
Yes, some do in 2026, but they pick carefully. Banco Popular publishes a specific list of requirements for foreign borrowers and Dominicans living abroad, and Banreservas has a product for residents abroad.
Americans are treated like other foreigners, with a bit more paperwork: Dominican banks must identify US persons for FATCA and report their accounts to the IRS.
That extra compliance is why some smaller banks prefer to avoid American clients. The large banks used to income earned abroad are your best bet: start with Banco Popular and Banreservas, then compare BHD and Banco BDI.
No bank publishes approval rates for foreigners. Your chances are best with stable, provable income, a clean source of funds and a property in an established area like Punta Cana or Santo Domingo, ideally in a project the bank already finances. Mortgage lending is growing: the outstanding stock reached RD$466.9 billion (about $7.6 billion) in July 2026, up 11.5% in a year.
We also used Banreservas and El Dinero on the mortgage stock.
What down payment do American people need?
Brokers report that non-residents usually put down 30% to 50% of the price. On a $200,000 home, that's $60,000 to $100,000, plus closing costs and the 2% mortgage tax on the loan ($2,000 to $2,800 on a $100,000 to $140,000 loan).
The low end (30%, so a 70% loan) is for well-documented borrowers buying in projects the bank likes: Banco Popular advertises a dollar product up to 70% over 15 years. Less local credit history or income that's hard to check pushes you toward 40% to 50%. Americans who already have Dominican residency and local income usually get better terms.
A bigger down payment helps: less risk for the bank, faster approval, fewer conditions and sometimes a slightly better rate.
Broker ranges come from Tropical Assets on financing as a foreigner; the 70% / 15-year product from the Banco Popular mortgage page.
What interest rates do US citizens get?
No bank publishes a rate for non-resident Americans. The best guide is the market: the BCRD average housing-loan rate was 8.87% for dollar loans and 11.90% for peso loans in June 2026.
Banco BDI's May 2026 reference rates were 8.9% to 9.9% for preferred dollar loans, 9.9% to 11.4% for ordinary dollar loans and 14% to 15% in pesos. Banks price on your risk profile and the currency, not your passport. The old "6% to 7%" figures you still see online are out of date.
Most loans have a rate fixed for a short period, then reviewed by the bank. For non-residents, terms are usually 10 to 15 years (Banreservas goes up to 20 years for residents abroad). The Central Bank raised its policy rate to 5.50% in September 2026, so don't count on cheaper loans soon.
If you earn in dollars, borrow in dollars: a peso loan adds currency risk on top of a higher rate. What moves your rate most is clean, provable, stable income.
Can I use US income to qualify in the Dominican Republic right now?
Yes. Most Dominican banks that lend to foreigners accept US income, as long as you document it clearly.
Expect to provide recent pay stubs or an employer letter, your last two to three US tax returns, several months of US bank statements showing regular deposits, and sometimes a US credit report or a reference letter from your US bank. US documents usually need an apostille and a Spanish translation.
If you're self-employed or your income is irregular, some banks accept CPA-certified financial statements or business tax returns instead, or ask for a bigger down payment to make up for it.
Ask an accountant in
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What you pay each year, and when you sell.
Message a proHow do US taxes interact with owning property in the Dominican Republic?
Do I have to declare the property to the IRS from the Dominican Republic?
Not the house itself, if you own it in your own name. The IRS says real estate held directly isn't a "specified foreign financial asset", so it doesn't go on Form 8938 (the FATCA form for individuals).
If you own it through a foreign company, trust or partnership, your stake in that entity can be reportable on Form 8938, and can trigger other forms like Form 5471 (foreign corporations) or Form 3520 (foreign trusts).
A home you only use yourself doesn't trigger any special IRS filing. As soon as you earn rent, sell at a gain or hold it through a foreign entity, you have US reporting to do, because the US taxes its citizens on their worldwide income.
Will I pay tax twice in the US and the Dominican Republic?
You could, without planning. The US taxes its citizens on worldwide income, and the Dominican Republic taxes income earned on its soil, like rent from a Dominican property or the gain when you sell it.
There is no income tax treaty between the two countries: the IRS treaty list (last reviewed 3 January 2026) doesn't include the Dominican Republic. So there's no treaty rule to cut the tax at the source.
The tool Americans use is the US foreign tax credit (Form 1116): the income tax you pay in the Dominican Republic reduces your US tax on the same income. As a non-resident, budget Dominican tax on your rental profit at the general non-resident rate of 27%, which is above most Americans' US rate on that income, so the credit usually wipes out the US tax on it. Unused credit can be carried forward for up to 10 years.
The IPI is a property tax, not an income tax, so it doesn't count for the credit. On a home you use yourself, foreign property taxes aren't deductible on your US return (since 2018, and the 2025 US tax law didn't change that). On a property you rent out, it's a rental expense on Schedule E, along with HOA fees, management and depreciation (30 years for foreign residential rentals). Check the details with your CPA.
The non-resident rate comes from the DGII income tax page; the foreign property tax rule from Taxes for Expats on the 2025 US tax law.
Do I need FATCA reporting when buying?
Not for the purchase itself. FATCA is about foreign financial accounts and stakes in foreign entities, not a house you own in your own name.
What can push you into Form 8938 is the money around the house. If you live in the US and file alone, you file it when your foreign financial assets pass $50,000 at year-end or $75,000 at any time in the year ($200,000 and $300,000 if you live abroad). Dominican bank accounts and a stake in a Dominican company count.
The FBAR (FinCEN Form 114) is a separate filing. If your Dominican accounts together pass $10,000 at any point in the year, you file it, in addition to any Form 8938. Holding the deposit for a purchase in a Dominican account is enough to cross that line. The US and the Dominican Republic signed a FATCA agreement in September 2016, so your Dominican bank reports your accounts to the IRS anyway.
See a US CPA before you buy. Ask: does my structure (own name or company) trigger IRS forms? Do my Dominican accounts need an FBAR and Form 8938? How do I report the rent and what can I deduct? How will the foreign tax credit work for my rent and a future sale? And if you sell your main home there, the US exclusion on a main-home gain ($250,000, or $500,000 for a married couple) can apply to a foreign home too.
How do I send dollars for the purchase, and get them back out?
Since 1 January 2026, the US charges a 1% tax on remittances sent abroad when you pay with cash, a money order or a cashier's check. On a $60,000 down payment sent that way, that's $600. A wire from your US bank account isn't on the list, so wire from the bank (the IRS published proposed rules on 10 April 2026).
Prices in the Dominican Republic are mostly in US dollars, and you can hold a dollar account at a Dominican bank. Expect source-of-funds questions from the bank, the notary and the developer: keep your US bank statements and the sale or savings records that explain the money.
The peso matters for the costs paid in pesos (taxes, notary, utilities, HOA in some buildings). It started 2026 at about 63.5 per dollar, strengthened to about 59 to 60 in March and is about 61.5 in October 2026. So your dollar buys about 3% fewer pesos than in January.
Getting money out: there's no published cap on sending documented sale proceeds abroad. The bank will check the paperwork and the tax: keep the deed, the transfer tax receipt and proof of the 10% gain tax paid, since you'll also need them for your US foreign tax credit.
Related blog posts
- What can you buy in the Dominican Republic with $100k, $300k or $500k?
- Moving to the Dominican Republic? Here's everything you need to know
- Will property prices keep rising in the Dominican Republic?
- What are housing prices like in the Dominican Republic?
- How much is rent in the Dominican Republic?
- Can foreigners buy and own property in the Dominican Republic?
Our methodology
This article explains what a US citizen can buy and own in the Dominican Republic in 2026, which documents to bring, what you pay at closing and every year, how Americans borrow there, what Law 30-26 changes, and how US tax and reporting rules (FATCA, FBAR, foreign tax credit, the new remittance tax) apply to a Dominican property.
Ownership and title rules come from the Constitution, Law 16-95, Law 108-05, the Registro Inmobiliario and Law 5038 on condominiums. Closing-cost ranges come from 2026 broker guides (1122 Real Estate, Inmobiliaria Puntual). Mortgage figures come from BCRD averages (June 2026), Banco BDI's May 2026 reference rates, bank pages and broker reports, and the mortgage stock from the Superintendencia de Bancos. The number of Americans comes from a 2019 State Department report and Banco Central arrivals for January-September 2025.
Dominican tax rules (transfer tax, IPI, mortgage tax, rental and resale-gain tax) come from DGII and the text of Law 30-26, with Pellerano & Herrera's reading of the Confotur overlap. US rules come from the IRS (treaty list, Form 8938, remittance tax) and the US Treasury's FATCA agreement. Residency thresholds come from the Dirección General de Migración.
We checked these figures in October 2026. Conversions use about 61.5 Dominican pesos per US dollar.
Where we had no direct figure, we estimated it and say so: the cost of apostilles and developer transfer fees, and the resale example. US tax depends on your bracket, state and filing status, so treat our examples as orders of magnitude. Your own costs will depend on the property's title, the project, your bank profile and whether you live in the country.
Key sources used for this analysis include Constitution of the Dominican Republic, Foreign Investment Law No. 16-95, Law 108-05, Registro Inmobiliario (title transfer requirements), Registro Inmobiliario FAQ, Law 5038 on Condominiums, Ministry of Environment on the 60-meter strip, DGII property transfer brochure, DGII Resolution DDG-AR1-2026-00001, DGII IPI page, DGII income tax page, Law 30-26, Presidency on Law 30-26, Pellerano & Herrera on Confotur and Law 30-26, MITUR Confotur project search, Tropical Assets on Confotur, 1122 Real Estate closing costs 2026, Inmobiliaria Puntual closing costs, Host My Spot, DGM investor residency, DGM pensionado residency, DGM rentista residency, Banco Popular (foreigner mortgage requirements), Banco Popular mortgage page, Banreservas mortgages for residents abroad, Banco BDI reference rates (May 2026), Tropical Assets on financing as a foreigner, BCRD policy-rate decision, BCRD exchange-rate reference, Banco Central de la República Dominicana, Law No. 189-11, Superintendencia de Bancos, El Dinero on the mortgage stock, US State Department OIG - Embassy Santo Domingo report, Acento on US arrivals (October 2025), IRS - US Income Tax Treaties A-to-Z, IRS - Form 8938 Q&A, IRS on the remittance transfer tax, US Treasury - FATCA Agreement with the Dominican Republic and Taxes for Expats on the 2025 US tax law.
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