HELP!Buying a House

I can't recommend a real estate agent but would suggest that getting a good lawyer is more important, as not all can be trusted. Most people on this site recommend Guzman Ariza who have an office in Santo Domingo. This is their website, and there is also information there in English about buying property.
http://www.drlawyer.com/

I checked with Liliana Abel, a Casa de Campo realtor who says that her office frequently will open an escrow account for the client who makes a partial deposit to separate the property while the purchase documents are worked on. From what she explained to me, only the better realtors will do this.

She commented that houses in the better neighbourhoods of Santo Domingo will go for US$400,000, more than the US$250,000. On the lower end, you may search for someone who needs to sell.

What is valid for Casa de Campo will be valid for Santo Domingo.

She shared info from the Casas in Campo book on real estate sales that explains about applicable taxes:

There is a 1% of the assessed value of the home that is determined by the amount of square meters of the house and its appraised value. If the property is to be owned by a corporation, the applicable tax is tax over the assets (impuesto sobre activos) but a company must pay the higher value of either the 1% tax over assets or 25% over its net income. Companies that only own property are generally subject to the 1% tax over its assets and that asset is normally the real estate.

Regarding getting the deed at closing and transfer tax:
If the transaction is a transfer of real property, the Seller must provide you with the Deed of Title Duplicat elf Owner (Certificado de Titulo duplicate del Dueno) along with other documentation required to record the transfer at the land registry. Before you record the transfer of title, you must pay your transfer taxes (3% of the value of the property) at the Department of Taxes (DGII) which issues the receipt evidencing you have paid. If the transaction is a transfer of shares, then the Seller must provide you with the shares and the Deed of Title Duplicat elf Owner.

Closing costs will be your attorney fees.

The booklet notes that it is common in the DR to perform due diligence on the property to make sure it is free of liens and encumbrances, that the seller is up to date in payment of property tax, and that the surface area of the property is what the seller says it is, etc.

Taxes and procedures are the same for foreigners and Dominicans. She commented that in some cases, foreigners can apply for 10-year tax exemptions when being the first owner of a property in a tourism development. But explains that this circumstance is unlikely for Santo Domingo.

You can have mine for 325usd with everything in it plus my car. Only problem is its a 2 hour commute to SDQ. But the good news is its a lovely drive on the new highway and your work problems will be forgotten by the time you get home

www.grupoactua.com.do has a Santo Domingo specialist, Iris Berges...a bilingual w/ Cdn experience

Look at their website....... full explanation of the buying process

$300-$400,000
http://grupoactua.com.do/advance-se...&bed=&bath=&min-price=300000&max-price=400000

Not your question, but what kind of house are you looking for? I'm considering selling. 2 story house in a closed project of 10 houses.

Between 250 and 400k there are lots of options in SD BTW.

finding what you like is a big problem and remember your on an island the land is $$$

I will be selling my house in zona colonial next year ..four bedrooms , two bathrooms , four living rooms and a patio in the centre..and in a quiet street . At the lower end of your price range ..

LeCroix said:

Hello!

I am going to buy a house in the summer 2016 in SANTO DOMINGO. My budget is between $250,000 and $400,000. I am paying all cash and just wanted to know TRUSTED real estate companies. I've heard of people disappearing with the money once you've paid, so an escrow account is a must.

What TAXES or FEES do American have to pay when purchasing a house?
Should i become a Dominican Citizen so the process goes smooth and MAYBE avoid some TAXES?

PLEASE explain the process of BUYING A HOUSE IN CASH???


THANK YOU EVERYONE!

Click to expand...

Your best move is to hire a very honest and reliable attorney. Call Guzman. Secondly being a citizen will not change the taxes you pay on the purchase. If you are going to put money in escrow do it through the attorney and not a real estate agent. It matters not what country you are from as to the closing costs you will pay. There is a formula for the tax you pay on the purchase price and filling for the title. Get a lawyer and he can explain it all. If you home is valued (by govenment standards, not selling price) of more than $150,000usd than you are technically on the hook for taxes each year. It won't amount to much either way. The big question is how long have you spent in the DR. Buying is a big step and if you are not going to live in the DR the majority of the year I would suggest you rent. You will also need to apply for residency. This process starts in your home country and you need to check with the closest Dominican Consulate as to the documents required. Good luck.

The prices on the website link here seem a little high but are in the general ball park. From recent experience I think you could knock 50-80 k off the apartment prices although house prices are difficult to move lower in the Capital.

In other parts of the country that money could could you a detached house bordering on luxury. In SD you are looking at a very nice apartment or a house that will either have a small yard or a bigger yard but requiring upgrades/

LeCroix said:

Hello!

I am going to buy a house in the summer 2016 in SANTO DOMINGO. My budget is between $250,000 and $400,000. I am paying all cash and just wanted to know TRUSTED real estate companies. I've heard of people disappearing with the money once you've paid, so an escrow account is a must.

What TAXES or FEES do American have to pay when purchasing a house?
Should i become a Dominican Citizen so the process goes smooth and MAYBE avoid some TAXES?

PLEASE explain the process of BUYING A HOUSE IN CASH???


THANK YOU EVERYONE!

Click to expand...

I would seriously recommend to rent out a place here first and take some time to buy something. Remember-it is not very easy at all to sell a property here, if you later change your mind.

jimmythegreek said:

I would seriously recommend to rent out a place here first and take some time to buy something. Remember-it is not very easy at all to sell a property here, if you later change your mind.

Click to expand...

Rent is very cheap here, especially if you take a bit of time on the ground and/or know some Dominican person who can help you.
Why not rent, and put that money away? You might pay less in rent than you do in taxes, maintenance fees, etc., if you buy! I pay 9000 pesos for a very spacious, 3 bedroom/2 bath condo, newer, well-maintained, tasteful, gated, secure building with a well, on the beach (not in SD, but you get the idea).
Plus, since i don't like it here, I can just up and leave. I can't imagine what a nightmare it would be to be stuck here, unable to sell, taking a huge loss, just in case you change your mind.
This is not really a stable environment, it is a banana republic really, so property is not necessarily the "good investment" that it is elsewhere.
I would never sink a bunch of my money into this country because I don't think I would ever get it out.
So unless you are absolutely 100% sure that you want to own a house in Santo Domingo, a city that a previous poster referred to as "an open sewer" (teehee) just come and rent for a year or 2 and see if you still feel the same.

I can say with certainty that renting first is the wisest choice and in your best interest.
That money is not going to make a profit any time soon. We do not know your circumstances
so unless you have money coming out of your ears I suggest you do not invest your hard earned
cash in (any) developing nation.
The market is saturated with high end luxury rentals where the landlord's problems are not yours
and your money will not be held up. You can always move if El Chapo (yeah I know he's Mexican)
or Fefita buy a vacation home next door.

E?


Sent from my SCH-I545 using Tapatalk

bonao99 said:

E?

Click to expand...

That's pronounced Eh?

Please listen to those who are telling you to rent before you buy.