Land for Sale in the Dominican Republic
Caribbean has enjoyed being a hot tourist destination for decades now. People from all over the world come to the different touristy spots of the Caribbean to have a blissful time. Dominican Republic though a new addition to this list, is climbing up the charts at an unfathomable speed. And today, it is not just a place for vacations, it is the place to invest, to buy land in and even reside permanently!
So are you interested in buying land for sale in the Dominican Republic? Well, here is the good news. You can and that too hassle free. The DR government, which has always gone an extra mile, as far as promoting tourism here is concerned, has been encouraging foreign investment in DR real estate for a while now. So buying that perfect property in the Bavaro beach area, getting your mortgage at a reasonable interest and living here indefinitely has gotten a lot easier in recent times!
Most people wanting to invest in land in DR are often confused about the tax procedures involved. Here are some things you need to keep in mind about the taxes before purchasing land for sale in the Dominican Republic:
- The buyer has to pay 3% of the purchase price of the property (as in the sales contract) or the price resulting from the valuation carried out by the DGII, whichever one is higher.
- If the property is purchased by the purchase of company shares, then the buyer is liable to pay 1% extra tax.
- The taxes have to be paid within six months of signing the sales contract.
- The taxes are only the buyer’s responsibility, unless stated otherwise in the contract or mutually agreed by both parties involved.
Depending on the situation, some people may even be exempted from paying property taxes. This may be applicable to:
- Housings valued less than Five Million Pesos (RD$5,000,000.00)
- Housings whose owners are 65 years of age or older, and
- These housings have not been transferred in the past fifteen (15) years, and
- Owner only possesses such housing as his/her only real estate property
- Buildings and lots owned by:
Ø Dominican State
Ø Beneficial Institutions
Ø Religious Organizations
Ø Diplomatic Delegations
With the help of a good Dominican Republic Real Estate Broker, choosing a property and getting done with the transfer procedures can be finished smoothly and in time. Make sure to do your homework, before opting for a real estate agent for buying your perfect property in the Dominican Republic.