Mortgage from bhd banco

LionKing64

New member
Jun 3, 2020
24
18
3
Michigan
Hi, All

So, I read some of the past conversations about the difficultly in getting a mortgage in the Dominican Republic. I can only imagine since the process for me to get a bank account as a non-resident was painful at least from a state side perspective. So, Why get a mortgage since as many have already reported you need 30-40% down and they only finance for like 12 years. Well, One word, investment protection. I assume that the bank who knows all the tricks that many of the sellers play will always make sure to protect their investment. I don't mind spending some extra money to protect my investment. Any thoughts? I'd like to hear from someone that has actually gone through the mortgage process in the Dominican Republic.

Thanks

- Lion
 

2020

Active member
Apr 10, 2012
342
65
28
Las Terrenas
Since 2012, we've purchased 3 properties in the DR and sold 2 of them. I have spoken to numerous real estate agents throughout the years and everyone says the same thing. Getting a mortgage for an owner-occupied home from Scotia Bank or any financial institution in the DR is next to impossible. The process is not only lengthy but you'll end up going through lots of rabbit holes with no end in sight. It's cash only, amigo
 

LionKing64

New member
Jun 3, 2020
24
18
3
Michigan
Since 2012, we've purchased 3 properties in the DR and sold 2 of them. I have spoken to numerous real estate agents throughout the years and everyone says the same thing. Getting a mortgage for an owner-occupied home from Scotia Bank or any financial institution in the DR is next to impossible. The process is not only lengthy but you'll end up going through lots of rabbit holes with no end in sight. It's cash only, amigo
Did you use an attorney to handle the transaction? My biggest issue is making sure the title is clean and no liens are on it.

Lion
 

2020

Active member
Apr 10, 2012
342
65
28
Las Terrenas
Did you use an attorney to handle the transaction? My biggest issue is making sure the title is clean and no liens are on it.

Lion
Absolutely. It's imperative. About 1% of the transaction price for an experienced real estate attorney with a good reputation. Make sure his fee includes full translation to English of the purchase agreement if you aren't fluent in Spanish.
 
  • Like
Reactions: CottageCountry

Buffness

I don’t argue online …for free.
Oct 9, 2014
243
70
28
The process is not only lengthy but you'll end up going through lots of rabbit holes with no end in sight. It's cash only, amigo

True . Been there . Done that . Gave up after 3 months . Paid cash …bank and lawyer told us “ You should have done that 3 months ago”. Only in DR.
 

LionKing64

New member
Jun 3, 2020
24
18
3
Michigan
Absolutely. It's imperative. About 1% of the transaction price for an experienced real estate attorney with a good reputation. Make sure his fee includes full translation to English of the purchase agreement if you aren't fluent in Spanish.

That's a fair price to pay. Do you have any suggestion besides Guzman in Punta Cana?
 
  • Like
Reactions: pularvik

reilleyp

Well-known member
Dec 12, 2006
784
301
83
Just tried to buy a piece of land from a guy who had a title for over 10 years. HE has a solid title with deslinde. What could go wrong? Some clown shows up halfway through the process with documents showing he bought the land. None of the lot numbers match between the survey, sales agreement, title, etc. All have different numbers. Argued back and forth now for two weeks, and finally he admitted in so many words "hey it was worth a shot . . . where was the landowner anyway? He has not been around for 10 years" He basically admitted that he tried to scam the land from someone else. Make sure you have a good title and make sure you have a good border around your property and do not let anyone graze their cows or plant things or build a small hut on your land. Otherwise you will have a long battle. Despite him admitting he tried to scam the owner, this guy is still showing up and sending me messages disputing the surveyor's markings. What does it matter to him? He does not own anything!!!!!
 
  • Wow
Reactions: CottageCountry

Liberator

Luck is for the unprepared
Jan 23, 2021
122
56
28
Europe
Hi, All

So, I read some of the past conversations about the difficultly in getting a mortgage in the Dominican Republic. I can only imagine since the process for me to get a bank account as a non-resident was painful at least from a state side perspective. So, Why get a mortgage since as many have already reported you need 30-40% down and they only finance for like 12 years. Well, One word, investment protection. I assume that the bank who knows all the tricks that many of the sellers play will always make sure to protect their investment. I don't mind spending some extra money to protect my investment. Any thoughts? I'd like to hear from someone that has actually gone through the mortgage process in the Dominican Republic.

Thanks

- Lion
When purchasing a new apartment (if that's the case), the project developer often offers a financing option. Maybe in your case an option to look at this?
 

JD Jones

Moderator - Covid 19 in DR & North Coast
Jan 7, 2016
6,225
3,585
113
Absolutely. It's imperative. About 1% of the transaction price for an experienced real estate attorney with a good reputation. Make sure his fee includes full translation to English of the purchase agreement if you aren't fluent in Spanish.

I checked with them and they don't, It's up to the buyer.
Do you have a bank account with the bank you want to use for financing?
 
  • Like
Reactions: CottageCountry

bachata

Silver
Aug 18, 2007
4,551
576
113
I lost three days of my 15 days vacation just trying to open a bank account in DR.

I am Dominican / US citizen = employment letter translated apostillada by a court authorize attorney, 2 years income tax, W2 two personal reference etc...
 

XTraveller

Active member
Aug 21, 2010
429
201
43
I lost three days of my 15 days vacation just trying to open a bank account in DR.

I am Dominican / US citizen = employment letter translated apostillada by a court authorize attorney, 2 years income tax, W2 two personal reference etc...
Did you actually get the account in 3 days, thats fast for here what bank? Of Course being Dominican helps.
Hi, All

So, I read some of the past conversations about the difficultly in getting a mortgage in the Dominican Republic. I can only imagine since the process for me to get a bank account as a non-resident was painful at least from a state side perspective. So, Why get a mortgage since as many have already reported you need 30-40% down and they only finance for like 12 years. Well, One word, investment protection. I assume that the bank who knows all the tricks that many of the sellers play will always make sure to protect their investment. I don't mind spending some extra money to protect my investment. Any thoughts? I'd like to hear from someone that has actually gone through the mortgage process in the Dominican Republic.

Thanks

- Lion
Banks will protect their investments but interest rate are very high so in the long run you are not saving on Lawyers fees. A good lawyer will also make sure that everything is right.
I used Guzman in Santo Domingo and they are very professional and know all the tricks in the business. They are not cheap but they will give you the cost upfront in a contract that explains all the detail and process and you have to make a deposit. In both properties I bought they found minor irregularities and even help the seller make the corrections. ( told the seller what was need or would not recommend the sale). If the sale does not go thru they will reimburse you in proportion to how much work they did all explained in writing ahead of time no hidden fees. If you mention you are a DR1 member they give a small discount.
I highly recommend them. Disclosure I am not affiliated with them in any way except a satisfied returning client.

It would be a error to try and save $$ on lawyer fees for buying properties here.
 

LionKing64

New member
Jun 3, 2020
24
18
3
Michigan
I lost three days of my 15 days vacation just trying to open a bank account in DR.

I am Dominican / US citizen = employment letter translated apostillada by a court authorize attorney, 2 years income tax, W2 two personal reference etc...
It took me two trips to DR and around 45 days to complete the opening of my account. I had to show 3 years of income, W2, bank statements ...etc
 
  • Like
Reactions: bachata

bachata

Silver
Aug 18, 2007
4,551
576
113
I went to two different banks, Banco de Reservas which is a government bank.
I won't recommend this bank, to much burocracy and the Internet was down when I finally though everything was ready.
Scotia bank was a lot easier, customer service is exelent, they still require same US documents but the background check is faster specially if you have a bank account with Bank Of America which I do.

Yes I got the accounts in three days!

JJ
 

Rachelvaldes23

New member
Apr 14, 2020
13
7
3
I went to two different banks, Banco de Reservas which is a government bank.
I won't recommend this bank, to much burocracy and the Internet was down when I finally though everything was ready.
Scotia bank was a lot easier, customer service is exelent, they still require same US documents but the background check is faster specially if you have a bank account with Bank Of America which I do.

Yes I got the accounts in three days!

JJ

Hi, I had the same experience with Scotia Bank, opening an account, lots of paperwork, they even ran our credit from USA, but got it done on 3 days.

We initially open this account with the intentions of getting a Mortgage but after hearing all the nightmares we decided to Pay Cash.

This account now serves other purposes. !
 
  • Like
Reactions: bachata

bachata

Silver
Aug 18, 2007
4,551
576
113
Hi, I had the same experience with Scotia Bank, opening an account, lots of paperwork, they even ran our credit from USA, but got it done on 3 days.

We initially open this account with the intentions of getting a Mortgage but after hearing all the nightmares we decided to Pay Cash.

This account now serves other purposes. !
Yes I am buying cash too but needed a Comercial back account to wire the money.
Asociación Cibao or San Jose most popular among Dominican people but they are not in the network with international banks.

JJ
 
I found the OP intriguing, and after more research and reading I believe now that Xtraveller may be closest to my thoughts. For now. Thanks.
Hi, All

So, I read some of the past conversations about the difficultly in getting a mortgage in the Dominican Republic. I can only imagine since the process for me to get a bank account as a non-resident was painful at least from a state side perspective. So, Why get a mortgage since as many have already reported you need 30-40% down and they only finance for like 12 years. Well, One word, investment protection. I assume that the bank who knows all the tricks that many of the sellers play will always make sure to protect their investment. I don't mind spending some extra money to protect my investment. Any thoughts? I'd like to hear from someone that has actually gone through the mortgage process in the Dominican Republic.

Thanks

- Lion
Did you actually get the account in 3 days, thats fast for here what bank? Of Course being Dominican helps.

Banks will protect their investments but interest rate are very high so in the long run you are not saving on Lawyers fees. A good lawyer will also make sure that everything is right.
I used Guzman in Santo Domingo and they are very professional and know all the tricks in the business. They are not cheap but they will give you the cost upfront in a contract that explains all the detail and process and you have to make a deposit. In both properties I bought they found minor irregularities and even help the seller make the corrections. ( told the seller what was need or would not recommend the sale). If the sale does not go thru they will reimburse you in proportion to how much work they did all explained in writing ahead of time no hidden fees. If you mention you are a DR1 member they give a small discount.
I highly recommend them. Disclosure I am not affiliated with them in any way except a satisfied returning client.

It would be a error to try and save $$ on lawyer fees for buying properties here.
 

CJL56

New member
Mar 21, 2020
8
6
3
The easiest bank that I found to open an account with was Banco Reservas, Just with my passport from U.S., in 3 days I had an account for U.S. dollars as well as a Dominican peso account. If you are on the North Coast there is a branch in Playa Dorada which is very tourist friendly. Some of their ATM's accept deposits as well, especially the one at Jumbo where they recently opened another branch in the back. Hope this helps.
 
  • Like
Reactions: campesinadeatl