What are my closing costs and tax liabilities?
A. You should expect to pay approximately 5% of the total sale price for taxes and closing costs. This expense includes a transfer tax of 4.48%, document taxes, special stamps for registration, and tips. Taxes must be paid before recording the purchase at the Title Registry Office. Property taxes in the Dominican Republic are extraordinarily low, and annual taxes will be negligible for most homeowners unless you purchase an extremely expensive property. If you are unsure as to what comprises your tax liabilities, consult with your attorney for advice. Q. Should I have the property surveyed? A. Verification that the property being sold is the same as the one shown on the survey provided by the seller should be assessed by an independent surveyor. Even when the seller provides a government-approved plat, the survey should be checked for compliance. Exceptions are made if the property in question is located in a previously inspected subdivision.
