CONFOTUR Law in the Dominican Republic: A powerful lever for real estate investment
Introduction
For several decades now, the Dominican Republic has been a destination of choice for foreign investors, particularly in the tourist real estate sector. To encourage this influx of investment, the Dominican government introduced Law 158-01, better known as the CONFOTUR Law.
This tax and legal scheme is designed to stimulate the tourism and real estate sectors by granting significant tax exemptions to purchasers of property located in strategic zones.
In this article, we’ll explore the concrete benefits of this law, the eligibility requirements and its impact on the real estate market in the Dominican Republic. You will also find suggested images to illustrate each section and enrich the reading.

1. What is the CONFOTUR law?
Promulgated on October 9, 2001, the CONFOTUR Law (Law 158-01) was designed to stimulate real estate and tourism investment in the Dominican Republic.
It gives investors access to exceptional tax benefits when they purchase property located in government-defined tourist development zones.
🔹 Main objectives of the law :
✔ Facilitate the purchase of real estate by foreigners by reducing tax burdens.
✔ Encourage the development of tourism real estate by facilitating investment in residential complexes, hotels and resorts.
✔ Stimulate employment and economic growth by attracting foreign capital.

2. The tax benefits of the CONFOTUR law
Properties located in zones eligible for CONFOTUR benefit from an extremely attractive tax regime, which increases their profitability and reduces acquisition costs.
✅ Major tax exemptions :
1️⃣ Exemption from the Real Estate Property Tax (IPI)
→ Abolition of the 1% annual tax on real estate worth more than US$170,000, for a period of 10 to 15 years.
2️⃣ Exemption from Property Transfer Tax
→ Savings of 3% of the purchase price, i.e. a significant reduction in acquisition costs.

3. Who can benefit from the CONFOTUR law?
One of CONFOTUR ‘s main assets is its universal accessibility. There are no nationality or residency requirements.
🔹 Types of eligible goods :
- Tourist residential complexes
- Apartments and villas in strategic locations
- Hotels and resorts
- Medical tourism and wellness facilities
🔹 Areas eligible for the CONFOTUR Law :
Properties located in certain defined tourist areas benefit from the advantages of the law. Among the most popular areas:
📍 Punta Cana – Bávaro
📍 Las Terrenas – Samaná
📍 Bayahibe – Dominicus
4. Why is the CONFOTUR law a major asset for foreign investors?
Investing in real estate in the Dominican Republic under CONFOTUR offers many strategic advantages for foreign buyers.
🌍 Specific advantages for international investors :
✔ Zero restrictions on buying property in the Dominican Republic.
✔ Significant reduction in acquisition costs thanks to tax exemptions.
✔ Attractive rental yields, with strong tourist demand.
✔ Legal stability and investment protection guaranteed by the government.

5. Economic and social impact of the CONFOTUR Act
Since its introduction, the CONFOTUR Law has profoundly transformed the real estate and tourism landscape of the Dominican Republic.
🔹 Key figures :
📈 More than $6 billion in approved tourism investments.
🏗 +30% increase in hotel and property stock in 10 years.
👷 Tens of thousands of jobs created in construction and tourism-related services.

6. How do I buy property under the CONFOTUR law?
🔹 How to benefit from the advantages of the CONFOTUR Law :
1️⃣ Check the property’s eligibility with a property developer or specialist lawyer.
2️⃣ Sign a notarized sales contract mentioning the CONFOTUR exemption.
3️⃣ Register the property to activate tax benefits.

Conclusion
The CONFOTUR Law represents an exceptional opportunity for investors wishing to acquire real estate in the Dominican Republic. Thanks to its advantageous tax exemptions, it maximizes profitability and reduces acquisition costs, while guaranteeing a secure legal framework.
✔ Exemption from property and transfer taxes
✔ No restrictions for foreign investors
✔ A booming real estate market
Whether you’re a seasoned investor or an individual looking to buy a second home in the tropics, the CONFOTUR Law lets you invest with peace of mind and profitability in the Dominican Republic.

Would you like to find out more?
🔹 Contact us to to guide you in your purchasing project.
🔹 Explore the range of properties eligible for CONFOTUR and seize the best opportunities!