Illustrative summary: all figures are example data and must be checked against official sources before publishing.
At its August meeting, the Central Bank of the Dominican Republic held its monetary policy rate steady at around 5.5% a year (example data). Inflation remains within the target range, and the peso has moved little against the dollar in recent months (example data).
What is the monetary policy rate?
It is the benchmark rate set by the Central Bank. It is not what a bank charges you on your mortgage, but it influences it: when it goes down, loans tend to get cheaper; when it goes up, they get more expensive.
Where are mortgage rates?
Peso-denominated mortgage rates averaged somewhere between 10% and 13% a year (example data). Dollar loans are usually a bit lower, around 7% to 9% (example data), but it varies a lot by bank, term and your profile. Several local banks offer products designed for Dominicans living abroad, with requirements adapted to foreign income.
Pesos or dollars?
If you earn in dollars or euros, a dollar loan shields you from swings in the peso. If you plan to live here and earn in pesos, a peso loan may make more sense. There is no single answer: it depends on which currency you earn and which one you will pay in.
What banks usually ask non-residents for
- Passport and Dominican ID (cédula), if you have one.
- Employment letters and several months of bank statements.
- Tax returns from your country of residence.
- A larger down payment than a resident would need, often 20% to 40% (example data).
Our advice
Get pre-qualified with more than one bank before reserving a property. Compare the rate, but also fees, mandatory insurance and whether the rate is fixed or adjustable. And never sign a purchase contract that depends on a loan you have not yet been approved for.
We walk you through it in financing for non-residents, and you can run the numbers with our tools.