Buying in Costambar

[biggun1221]

I am interested in moving to the Domminican Republic permanenrly. I am not a wealth person, I live on a pension. My question is, is it possible to buy there, and have a mortgage as we do here in the tates.
I have seen multiple realtor pages wanting to sell but what I read, it isn't clear if financing is available. Anyone with any input on this subjext, would be greatly appreciated.

[Lambada]

There are a number of financing options: bank mortgages if you qualify, owner financing and out of country financing if you qualify:
US Mortgage for DR real estate

There are a number of threads on this in the RE forum so suggest you do a search here. Here's one to get you started:
Mortgage Financing

[J D Sauser]

First of all R E N T for a good couple of months if not a year or so before committing any mayor sums of money in this or most any country and region you have not lived in a long time.

You may additionally also want to search the forum about post relative to CostAmbar and other developments and regions you are looking at. Most have been discussed many times over.

So has, as Lambada indicated, the subject of loans and mortgages. Most recently in a thread just currently just a few lines below yours:

http://www.dr1.com/forums/real-estate/88662-need-buying-advice.html
Where I posted following opinion:

Originally Posted by J D Sauser

Most owners expect to be paid at signing. If you bring 3rd party financing, that usually won't affect the seller as the bank will provide a check or deposit.
Some "developers" will have a "deal" with a bank or even offers some in-house financing at horrendous rates for first time buyers or people who feel they won't stand a chance at a bank anyway.
Few and mostly foreign private sellers will offer owner financing... usually between 6 to 12% in USD.

Banks may offer mortgage specials (feria) now and then regionally. The lowest rates I've ever seen in DOP in recent years was 12%... which given the inflationary and exchange rate, was a giveaway. However 16, 18 and easily higher percentages in the twenties are more common. Loan life is often limited to 5 or so years with a final balloon payment.

In other words, you will probably want to pay cash or bring money from an equity mortgage from abroad.

... J-D.

I advise always strongly not only, as said at the beginning, AGAINST new resident buying but also against wanting to believe that the mortgage situation here is anywhere similar to what one would be used to in the US or most central EU countries. To unite both, new resident buying AND this with third party funds is a ticked to disaster.

During the hight of the US and British real estate bubble, many were those who have taken out appreciated equity by the means of 2nd. or 3rd mortgages on their home properties to "import" loans for properties abroad, notably the Caribbean (incl. the DR.) to carry over their home country's mortgage conditions, thus driving the prices up here by some indiscriminate buying. Many of them, HAVE to sell now in order to repatriate those funds to be able to safe their own homes, now that the bubble burst.
So, again... diligence and some conservativeness is advisable before wanting to play "investor"... especially in a region where one has no experience nor ties.


... J-D.