Purchase & Financing
To purchase property in the DR, you likely can’t get a standard mortgage from your domestic bank the way you would when purchasing in your home country. Most banks in the United States and Canada won’t finance the purchase of foreign property because they won’t take a foreign asset as a security for the loan.
Dominican Banks will sometimes provide mortgages to foreign buyers. However, the rate isn’t great compared to what you’d get in North America and the application process can take a really long time.
- At Dreaming DR, when you purchase a home at Ocean Village Deluxe, in-house financing IS available. The rate is 5%, with only US$100K required for a downpayment.
- For both Villas Marinas and Seawinds, there is NO in-house financing.
Other possible sources of financing:
- Funds in your retirement account
- Equity from your primary residence in your home country
- Business or personal loans for a down payment
- Certain banks, like HSBC, that offer mortgages for international borrowers
Yes, we strongly encourage it.
We call it the Test Drive. It’s the best way to see if owning your own vacation home in the Dominican Republic is right for you.
Here’s how it works:
- Stay at one of the homes in our community. Rent for a weekend, a week, or longer and enjoy a great vacation.
- Experience firsthand what living in a North Coast vacation home is like. Get a feel for each of our communities and a better understanding of everything the North Coast lifestyle has to offer.
- We’ll pick you up and drop you off at the Puerto Plata airport.
- See everything you’d need as an owner. Go for groceries, visit beaches and restaurants, shop and meet your neighbours.
- Meet developer Bernie Tietz and the rest of the Villas Marinas team. See the great support we provide our owners when they’re here AND when they’re away.
- Absolutely no pressure to buy. We give you the space to relax and enjoy yourself. We’ll help you do your research so you can make an informed decision.
Watch this video of Bernie Tietz, co-developer, who describes what you’ll experience during your Test Drive.
We have 3 different developments:
- Homes at Villas Marinas range from $250K to $425K.
- Homes at Ocean Village Deluxe range from $492K to $1M.
- Condos at Seawinds start at $349K
We’re confident that you won’t find better valued vacation homes in the DR—or anywhere else in the Caribbean. The quality of the construction is second-to-none. And all are in oceanside communities with great amenitities right onsite and easy access to everything the North Coast has to offer.
Foreign property investments are also encouraged by incentives, which according to the country’s tourism office, include:
- Tax-free receipt of pension income from foreign sources, including the possibility of moving belongings to the country.
- Foreign buyers receive a 50% exemption from property tax.
- Exemption of taxes on the payment of dividends and interest, generated within the country or overseas.
- Foreign buyers receive a 50% exemption on taxes on mortgages, when the creditors are financial institutions that are regulated by Dominican financial monetary law.
- Exemption on payment of taxes for household and personal items.
- Exemption from taxes on property transfers.
- Partial exemption on vehicle taxes.
Depending upon which development you choose to purchase in, there are different ways to pay.
- Villas Marinas and Seawinds: You will need to have the cash on hand. Often buyers will use equity in property back home to raise the funds to purchase.
- Ocean Village Deluxe: Offers competitive financing in-house. You need to put $100K down and can finance the rest. The interest rate is 5% and terms are 20-30 years.
Note that North American banks will rarely finance property in foreign countries such as the Dominican Republic.
And financing through Dominican banks isn’t usually worth it. You won’t get a competitive term or rate, and the the process takes a long time.