º£½ÇÂÒÂ×

short answer yes...

Welcome to the forums. First we don't suggest sharing your financial details publicly.

Your question is really broad but yes I think it's very possible.

Costs or apartments will vary from place to place as will rental costs.

Tourist areas will have higher costs and higher rental incomes.

Do you want long term or short term rentals?

Thank you for the reply. Just to clarify, this is not my finanical information, was just wondering, i know it may seem like a specific number, but i had to tranlate to dop from another currency. I was wondering, because in the country i come from, you cant even buy a small apartment for this price. You usually have to have double that, just for one 1-2 bedroom apartment/house, depending on the region. Was wondering because of the difference in living expenses, and because i have heard that it is possible, but want to find out as much as possible regarding the financial bit.

To answer your question, some of both, depending on the number of apartments we will own. Most long time rentals. But i know, that it will most likely be more to earn on short time rentals, like holiday rentals and such, but then again, more work i suppose..

The cost of construction in DR varies greatly dependent on where you live and the design of the property and to this you add land cost.

I have experience of constructing the Dominican way in the 'campo' so know I can get a lot for currently 15/18,000 pesos per square metre.

See attached for a good guide to construction costs a couple of years back:



But without knowing the market and having ears to the ground you will not likely buy for this cost when land cost etc. is added in. And in the 'campo' and barrios rentals prices are low.

That said there are people who have overstretched them selves in the 'campo' and barrios and bargains are there if you have the contacts

A basic 3 bed single storey house could be somewhere near 120/150 m2 , so up to 225,000 pesos in terms of construction cost alone. It suggests a multi bed apartment might be the best option to consider with the target market being say hospitality workers in La Altagracia but even here you will may to borrow some. 5 or 6 apartments renting at 6,000 pesos or more is achievable giving you the income sought.

Constructing for tourist lets will be at a much higher square metre cost of construction and the land cost will be a factor as will the area labour costs of construction.

Building and renting simple apartment blocks to rent is a mainstay for locals in the islands and here too.

Thanks for clarifying!

Where I live, in Santo Domingo, there are 3 bedroom apartments for sale for about 3 million pesos. Current rent on one of these units, unfurnished, is 19,000 rd monthly. 

I know of small apartments on the north coast selling for 2.5 million and renting for about 15,000 rd a month.

Again it's a big country and the variance in costs are  huge!

In my opinion is is better to rent in many parts of the country rather than buy and that is certainly the case in Santo Domingo where we have excess rental options and plenty of people still buying the new apartments going up in all the better areas as a long term investment.

I think there is a rental market which can earn the 30k monthly but it should be aimed at a number of rooms/apartments to let rather than one property, and I believe the numbers I have mentioned will allow someone to develop a plan.

I still believe it makes sense to rent in SD rather than buy, and my rent for a two bed apartment in a good quiet location just off the Malecon is slightly more than the maintenance costs for an apartment in one new blocks in the leafy suburbs north of Mirador Sur park or centre city. And for that I also get less traffic!

Simple economics.  Buy or build for $100,000 US, rent it for $500 a month, less maintanece, taxes, etc. Net $300 a month, how many months to recoup your investment before you begin to show a net income?  Buy small, rent small multiple units , bigger net income.  People think,OH, income on investments but when is the investment paid off?  @0, 30 years  where will you be & will you really care.  Smaller deals in volume will create , to my mind, a more secure life. Something goes awry, pecentage of loss is less. Just my thoughts. Whatever you do, good luck. Want to contact an expert? Let me know & I will refer you to the experts here on the north shore.

Let's stay on topic please. It's not about building or whether it's better to rent.  The OP asked a pretty specific question let's address that.

If you want to offer suggestions of where, great. If you want to compare prices in various areas, great.

Rent or buy is a lengthy discussion that needs it's own thread. You want to have that discussion, open a thread please. That helps people find the discussion easily using the search function.

planner wrote:

Thanks for clarifying!

Where I live, in Santo Domingo, there are 3 bedroom apartments for sale for about 3 million pesos. Current rent on one of these units, unfurnished, is 19,000 rd monthly. 

I know of small apartments on the north coast selling for 2.5 million and renting for about 15,000 rd a month.

Again it's a big country and the variance in costs are  huge!

Where is this 3 bedroom apartment for 3 million pesos situated in Santo Domingo? It seems a real bargain unless it's in Villa Mella.

On the original question, yes, you can buy a small studio or 1 bedroom unit (probably even 2) for that money and have an income to live on. Caribe Campo, Las Canas have units for 60,000-70,000 USD and even less. An average rental costs 400-600 USD per month in Sosua for a 1 bedroom unit. It goes higher if the property is oceanfront or a big secured residential project. That's what expats and snowbirds pay here.

Dominicans pay less but live in other locations (La Union, La Mulata, Charamicos if we talk about Sosua), you can get more properties there and rent them for less money. 10,000 RD is an average price for a 1 bedroom unit.
That doesn't mean you can't find expats in these places (not trying to segregate anyone), you can but there are much less.

Dream City - its Santo Domingo Este.  Its a very high growth area now.  Some great properties here.

Yes you can do ti but not easily.
First off is location.  Second are you going after the tourist of the local Dominican?
Third are you going to be here to manage it, if not be prepared to be ripped off.

We had a condo unit that we rented out in a tourist are and managed it ourselves as we lived in the next town.  It was a good investment for us.

Good luck

Bob K

Welcome back Bob!   Yes, manage the property yourselves.

Hey Bob K, we were thinking about long time lease for the most part, targeting the locals. . We will be living and managing the properties by our self. But, we are also thinking about starting to buy and lease at least one or two houses/apartments before we make the big move. My husband has alot of family, and his mother and father in law, lives there permanently, so in terms of having someone to take care of the leasing and houses when we're not there, will hopefully not be a problem.Maybe one apartment for tourist leasing, but that will not happen before we move and take care of things our selves.

Management is so much more than running ads, collecting rents. It means being ableto change faucets, hot water elements, knowing & dealing with the honest ,competent & reliable tradesmen. What to do if their dog or cat has a flea & worse, tick infestation.  A very good management firm will not be inexpensive, they also get kick backs from whom they hire for you. ( just normal cost of doing business). All these things can have a great resolution, if you have the experience & contacts here.  Patience, a sense of humor & the willingness to learn can provide a decent income. Network, make friends & the phrase,"due Diligence", truly has importance here. Rent to locals?  Can take more than a year to evict them & you never get the money owed.  Few are of that ilk, however, be aware.  Welcome & enjoy the beauty of life here.  Want to meet some lon time residents here? Never an obligation, meeting good folk.  Heel, I'm one of them!

Where is your family located? If they are helping when you are not here that will have a huge influence on where you invest!