Guide for Canadians Buying Property in the Dominican Republic

Looking to buy property in the Dominican Republic as a Canadian? Learn more about the process, including where to start, how to pay for it, and how to get the best value on your overseas money transfer.

If you want to buy property abroad, the Dominican Republic might pique your interest as the second largest and most geographically diverse West Indies country. According to one study, the Dominican Republic is the most popular Caribbean nation, with its stunning tourist attractions, friendly people, and colourful environment.

Hearing all the good things about the Dominican Republic might prompt you to choose this country over others for your property purchase. This article explains the buying process for Canadians and how to get better value from your hard-earned money when paying for your property. It will also help you find the best place to buy property in the Dominican Republic.

Why buy property in the Dominican Republic as a Canadian?

The Dominican Republic occupies the more significant portion of the Caribbean Island of Hispaniola, which it shares with Haiti. There are many incentives for Canadians buying property in the Dominican Republic, including:

• Flexible real estate market: You can find something to suit your budget, whether you’re looking to spend $70,000, $10 million, or somewhere in between. Options include single-family homes, condos, villas, and gated communities with low property taxes.
• High-income potential: The Dominican Republic is the star attraction in the Caribbean, and owning rental property could mean a higher occupancy rate and ROI.
• Beautiful environment: The Dominican Republic is a dynamic place with high mountains, green valleys, breathtaking beaches, world-class resorts, and diverse parks.
• Outdoor activities: If you’re planning to join the Canadian expat community, you can enjoy various outdoor activities such as golfing, hiking, caving, mountain biking, river rafting, surfing, excellent whale watching, wind sports, diving, and snorkelling.
• Easy accessibility: The government is foreign investment friendly, and there are no restrictions on buying property in the Dominican Republic. In addition, the international airports are close with convenient connecting flights to Canada.

There are plenty of other reasons to tap into the real estate market in the Dominican Republic. You can enjoy the inclusive culture, the tropical climate, and one of the fastest-growing economies, whether you’re a small-time investor or interested in a multi-million-dollar project.

What are the best places to buy property in the Dominican Republic?

If you’re interested in buying a rental property or a vacation home in the Dominican Republic, here are some of the best places to buy Dominican Republic real estate for Canadians. This beautiful and diverse country could be a suitable investment, whether hosting long-term rentals or enjoying your getaway.

Punta Cana

Punta Cana is one of the most famous destinations in the Dominican Republic, known for its pristine beaches, luxury resorts, and vibrant tourism industry. The area offers many property options, from beachfront condos to upscale villas. It is an ideal location for those seeking a tropical lifestyle or investment property with high rental potential.

Cabarete

Cabarete is a paradise for water sports enthusiasts, renowned for its excellent windsurfing and kitesurfing conditions. This laid-back beach town offers affordable, luxury real estate, including beachfront condos and villas. It’s perfect for investing in a vibrant, active community with a strong expat presence.

Santiago

Santiago, the second-largest city in the Dominican Republic, is the cultural and economic hub of the Cibao Valley. The city offers a mix of modern amenities and a rich history, with real estate options ranging from urban apartments to suburban homes. It’s an excellent choice for those seeking city living with a more local feel, away from the tourist-heavy coastal areas.

Santo Domingo

The capital and largest city, Santo Domingo, is the country's political, cultural, and economic center. It offers diverse real estate options, from colonial homes in the historic Zona Colonial to modern condos and luxury apartments. Santo Domingo is ideal for those who want to be at the heart of Dominican life, with easy access to everything from nightlife to business opportunities.

Puerto Plata

Located on the northern coast, Puerto Plata is known for its beautiful beaches and historic sites, including the famous Amber Museum. The area offers a range of properties, from beachfront homes to mountain-view estates, at more affordable prices than other coastal areas. It’s an excellent location for those looking to blend beach life and cultural experiences.

La Romana

La Romana is home to some of the most luxurious resorts and residential communities in the Dominican Republic, including the famous Casa de Campo. The area offers high-end villas, golf course properties, and beachfront estates. It’s an ideal spot for those seeking a luxury lifestyle with access to world-class amenities like golf courses, marinas, and fine dining.

How to buy property in the Dominican Republic?

Step 1 - Start researching

The ultimate goal is to make an informed decision because the stakes are high when purchasing property overseas. Do your homework meticulously and investigate the Dominican Republic with a fine-tooth comb so you can confidently pay for your property when the time comes.

Step 2 - Explore your options

Take your research skills up a notch with a field trip to the Dominican Republic and familiarize yourself extensively with the place before buying. Explore other locations and options until you bag a big-ticket investment.

Step 3 - Find financing

The simplest way to purchase Dominican Republic property would be to pay cash for it, but if your savings don’t add up, you can explore options like:

• Financing from a bank in the Dominican Republic, preferably a multinational one that offers cross-border mortgages to Canadian citizens (Scotiabank comes to mind)
• HELOC or cash refinance your mortgage
• Private financing from the seller

Step 4 - Enlist the services of a broker and lawyer

The best way to buy real estate in the Dominican Republic is by working with a trusted and experienced broker. Depending on your taste and budget, they can discover the best opportunities and have the best-updated portfolios and insights.

Using a lawyer with your best interests at heart is also a good idea. Your lawyer will conduct due diligence, such as obtaining essential documents from the seller (a contract of sale or purchase agreement).

Step 5 - Begin your property ownership journey

Buying a property in the Dominican Republic is a long-term commitment, and once the property is in your name, you have to work out other issues, such as rental management. You also have the option to set up an existing home or build a new one.

Why does the USD/CAD exchange rate matter?

The official currency of the Dominican Republic is the peso. However, the US dollar is the most convenient currency for purchasing property in the country. You get more out of your transfer when you find a better exchange rate.

Otherwise, a lower exchange rate means losing a significant chunk of your money and paying more for your property than you have to. An inferior exchange rate also leads to continuous losses should you transfer smaller, regular payments to cover maintenance costs, utilities, and other long-term costs.

Finding the most cost-effective way to send money from Canada to the Dominican Republic is crucial, which is why the USD/CAD exchange rate matters. Use the MTFX live rate calculator now to check how this exchange rate trends before transferring money.

Where to find the best exchange rates?

Banks and other traditional financial institutions can facilitate overseas transfers, but they’re not the best option because they offer less-than-competitive exchange rates and high transfer fees. They’re also not a good option if you want to send money to the Dominican Republic quickly since turnaround times can be longer than five days.

The most optimal method is to use a currency specialist like MTFX, which offers competitive exchange rates (3%-5% lower than banks) and low transfer fees. Dominican real estate prices typically range from $400,000 to $600,000, meaning you can save as much as $20,000 to $30,000 when you send money via a specialist.

Paying online without going to the bank

Another benefit of using a currency specialist for overseas property payments is the convenience of transacting online. When you open your MTFX account, you can skip the bank and initiate a transfer from anywhere, 24/7. MTFX’s secure online platform has automated technologies that allow you to set up regular payments without stepping into a bank branch or waiting for banking hours.

Invest more in property with MTFX exchange rates

With a specialist foreign exchange service, you can access competitive exchange rates, low transfer fees, and convenient online payment solutions. You can also customize your international payments experience using a wide range of FX tools and personalized guidance from experts.

Register your account with MTFX today to make the most of your property purchase in the Dominican Republic.

FAQs

1. Can a Canadian citizen move to the Dominican Republic?

Yes. Canadian citizens can move to the Dominican Republic. However, you must first meet the country's immigration requirements and comply with their immigration laws.

2. What costs are associated with buying property in the Dominican Republic?

A list of costs to consider when buying a property in the Dominican Republic includes the real estate agent’s fee, notary fee, annual property taxes, and transportation costs.

3. Can a Canadian citizen legally buy a house in the Dominican Republic?

Yes, Canadian citizens can legally buy property in the Dominican Republic. The country has no restrictions on foreign ownership of property.

4. Do I need to live in the Dominican Republic to own property there?

No, you do not need to live in the Dominican Republic to own property. Foreigners can own property without any residency requirements.

5. Can owning property in the Dominican Republic affect my estate planning?

Yes, owning property in the Dominican Republic can impact your estate planning. It's essential to consider local inheritance laws and consult with an estate planning professional to ensure your assets are handled according to your wishes.

6. Is speaking Spanish necessary when buying a house there?

While speaking Spanish is helpful, it's not necessary. Many real estate agents and lawyers in popular areas speak English, and you can hire translators or bilingual professionals to assist with the process.

7. What are the most important factors when buying an overseas property?

Factors to consider include healthcare, security, the resale market, and the community or neighbourhood.

8. What’s the best way to transfer money to the Dominican Republic from Canada for my property purchase?

With MTFX, you can save more with competitive exchange rates and low transfer fees when you send large amounts of money overseas. In addition, we have expert foreign exchange tools to help you navigate exchange rate fluctuations and make your investment go further. Open your account in minutes, book a great rate, and send money online with your 24/7 secure account. We’ll do the rest by delivering the funds to your recipient’s bank account in the Dominican Republic within 24-48 hours or on the same day.