Avoiding DR inheritance laws validating US will at cancillera PLEASE ADVISE ASAP

My partner and I (both US) are about to purchase a condo (we will not reside there permanently) in the Samana peninsula. I am aware of Dominican inheritance laws and the possibility of buying real estate as corporation 9but not tax advantageous for us). Lawyer in the DR is dusting the following (but am skeptical ?):

Please forget all about the creating a company here in the DR, too much headaches with tax declaration on a montly basis, yearly, plus you will have to pay 1% every year of the total value of the property. Now here is the solution: You and X purchase the apartment as planned, after we get the title in your names, you will take that document to the States and once there, you will make two Wills. Because under the american Law there is a survivorship, but not here in the DR, therefore, in case something happen, what the survivor has to do is to take that Will to the Dominican Consulate for legalization or apostille, bring it here to the State Department "La Canciller?a", and then through a Lawyer present that document along with the original title, into the Civil Court to validate it, and the to the Land Court to eliminate that Title and issue a new one with the survivor's name on it only. That Will will be valid here because you are americans, and the Will was properly made in America.

DOES THIS MAKER SENSE? PLEASE ADVISE ASAP, THANKS.

No nothing am not telling as no point making a post without full disclosure.

Am worried as DR, Timbuktu, or US, 'no survivorship' is a strange legal setting. Several of the law firms website in the DR recommend buying as a corporation and when my lawyer advises against it -with a simple way to resolve the issue- am a little skeptical. As far as I know (at least now), hard to resale a place (comfortable with that, taking that risk) so -as we are both about to retire- certainly cannot exclude death of one partner (at some point). To find out then that one faces legal hurdles to maintain (or sell) property is a potential issue to us. Do you have views as to whether one should buy as a corporation (kind of complicated, does not seem worth it to me). And yes, I will owe DR property tax as my fiscal value is above the government threshold. Thanks.

Thanks for your response. Useful.

Dear JuanDolioLiving,

We are buying the property in BOTH names -as you are suggestion (so both of us on the title). We are a same-sex couple (will be legally married in the US but NOT in the DR as not recognized) and we do not have children. (If we were husband and wives with kids, I would have no problems with DR inheritance law). We both have sisters. Not that our sisters would claim anything but we would be in a mess (plus all type of paper work to prove that someone else has no claim, etc.).

MANY THANKS FOR YOUR RESPONSE AND ASSISTANCE (am fluent in Spanish so no problem reading the contract).

JuanDolioLiving said:

Dear BBNY I am a real estate broker and my advice to you is to buy the property on both and your husband names, why create problems when there isn't one. If you own the property and you are legally married regardless if you buy it together the other person gets 50% of the value of the property when one of you die and your kids get the other 50% value of the property for which they will have to pay inheritance taxes if they claimed and if they don't claim it them the surviving party will have to pay 3% taxes on other 50% of the property value when he or she decides to sell it. Don't get involve into forming a corporation and do not hire Guzman Ariza for that because it will take about 4 months for the process to be completed when it normally takes between 30 to 45 days if all the documentation for the property that you are buying are in order. I just sold properties to Americans guys at the end of January of this year and they got their title 3 weeks ago.

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I 'trust' the lawyer but there are so many warnings (e.g., in Guzman's website) about how fraudulous things can be that I feel a bit overwhelmed. The driving, for example, is not to my liking and the list goes on (corrupt police, etc.) I am buying in a very secure and high end condo (Xeliter Vista Mare) so no issue there but, unlike Las Terrenas or North Coast, it is isolated (both a + and a -). Thus, mastering the art of driving around conchos (day and night) is an absolute must. If you have an email,, you do not mind sharing with me, I will email you a couple of questions. (Are you based in Juan Dolio?). Thanks.

YES, we will have a car since -as you correctly point out- it would be insane to be there without a car. Of course, at least for newcomers like us, it adds all the issues of driving in the DR. Correct, we would not rely ion public transportation has this would defeat the purpose. I agree that Samana is very average at best. I love Las Galeras for the scenery and LT is a bi too much (average beach, but great restaurants). Thanks.

donP said:

If it is the Vista Mare in Saman? you want to think twice...
A secure condo and then taking conchos at night???? :cheeky:

It's about 14 kms into Saman? (Santa B?rbara), which is a rather boring town with very limited shopping facilities.
Unless you'll have a car to go to LT you won't like your place after a few months...

donP

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