The Dominican Republic shares the island of Hispaniola with Haiti and is the Caribbean's most visited country. It has beaches, mountains, a historic capital and a large community of North American and European retirees. Its residence programmes are some of the most accessible in the region.

Residence options

The Dirección General de Migración handles residence. Three popular routes skip temporary residence and grant permanent residence directly:

  • Pensionado: for retirees with a lifetime pension of at least US$1,500 a month, plus US$250 a month for each dependant.
  • Rentista: for people with stable passive income from abroad, such as rent, dividends or annuities, of at least US$2,000 a month.
  • Investor: for investing at least US$200,000 in a Dominican company, real estate or financial instruments.

Processing typically takes a few months with a lawyer. Pensionados and rentistas can apply for citizenship after two years. Other routes include work residence and residence through marriage to a Dominican citizen.

Tax benefits

Under Law 171-07, qualifying pensionados and rentistas are exempt from Dominican income tax on foreign-source income such as pensions, dividends, interest and capital gains, and can import household goods and a vehicle with reduced duties. Dominican-source income is taxed at progressive rates up to 25%, according to the DGII. VAT (ITBIS) is 18%. Use our tax calculator for Dominican income.

How much does it cost to live in the Dominican Republic?

Our Dominican Republic data puts an average one-bedroom at about $600 a month and a three-bedroom at about $1,100. Santo Domingo's Piantini and Naco districts and resort areas such as Punta Cana, Cap Cana and Casa de Campo cost more, while Las Terrenas, Cabarete, Puerto Plata and Santiago are popular with long-term expats. Groceries cost about $250 a month, and electricity is expensive; many homes have inverters or generators because power cuts still happen.

Healthcare

Private hospitals in Santo Domingo, Santiago and Punta Cana offer good care at moderate prices, and some are internationally accredited. Expats should hold private health insurance.

Daily life

Dominican life is lively and social, with merengue and bachata in the background, baseball on the television and family at the centre. Spanish is essential outside tourist areas. Santo Domingo's Ciudad Colonial is the oldest European-founded city in the Americas, with the first cathedral, university and fortress in the New World.

The trade-offs include petty crime, heavy traffic in the capital, uneven infrastructure and hurricane season from June to November.

Is the Dominican Republic a good place to move?

It suits retirees and people with passive income who want an affordable Caribbean life and fast permanent residence. Compare it with Central American options such as Panama and Costa Rica.