Dominica real estate buying guide

How to buy, maintain and sell properties. And travel the world visa-free

March 12, 2024
Reading Time: 9 min

Dominica is called a tropical paradise and the pearl of the Caribbean. It is a perfect place to watch whales from the terrace of a secluded villa and admire the sunsets over the Caribbean Sea from the pool. And this dream becomes real for those who have bought or rented a villa in this country. 

The cost of real estate in Dominica grows at an average of 4% per year. Learn how to choose a property that will bring income and allow you to obtain a second citizenship.

Can foreigners buy real estate in Dominica, and how much it costs

Foreigners are allowed to purchase properties in Dominica. Yet, they need to get a special licence to do that. Investors are exempt from this requirement if they participate in the Dominica citizenship by investment program.

The government of Dominica does not publish property price statistics. Real estate experts estimate that the minimum price for a square metre is $500. And it may reach a maximum of $5,000 per sqm.

Prices for property in Portsmouth, Soufrière, Salisbury and Roseau, the country’s capital, are about 10% higher than the national average. The demand for housing in these towns can be explained by the fact that beautiful nature is combined with developed infrastructure in these areas, and the main attractions are nearby. Therefore, renting out housing and selling it with profit is easy.

Additional costs when buying real estate in Dominica

The total cost of real estate in Dominica consists of the property price and expenses of processing the transaction. Costs differ for Dominica citizens and foreigners, who have to buy a special permit for the purchase of land called an Alien Landholding Licence.

The sale and purchase agreement can be concluded remotely if a buyer issues a power of attorney for a lawyer.

Let us see what expenses should consider the buyer in the example of buying a property with a plot of land. To buy a villa worth $1,500,000, a foreigner will spend from $1,725,000. 

5—16% of the property value is paid above its price

Property price$1,500,000
Alien Landholding Licence
10%, only paid by foreigners
$150,000
Legal support
1—2.5% of the property value
$15,000—37,500
Stamp duty
2% of the property value
$30,000
Judicial fee
1% of the property value
$15,000
Assurance fund fee
1% of the property value
$15,000
Total$1,725,000+

10 reasons why investors buy property in Dominica

The main reason investors buy property in Dominica is the opportunity to make money. Housing here is in demand all year round: it can be resold and rented out.

1. Earning by renting out. While owning the property, you can receive rental income from 4% per annum. The yield of a secluded villa with all amenities, four bedrooms, and a private pool is up to 10% per annum.

2. Getting income from the sale. Investors can buy an apartment, a cottage, a villa, or a share in a hotel and sell it at a profit a little later. Already a year after the purchase, you can sell the property for 2—5% more expensive.

3. Supporting eco-initiatives. Dominica's government supports ecotourism and eco-construction. World-famous operators like Kempinski, Hilton, and Marriott have built luxury hotels in the country over the past five years. These resort projects have different concepts but are united by a respect for wildlife.

4. Obtaining citizenship. Those foreigners who buy real estate in Dominica for $200,000 can get a passport of the country, which allows them to visit 146 countries without visas.

5. Property prices in Dominica are more affordable than in most Caribbean countries. As mentioned before, the minimum price for a square metre starts at $500. Due to the government’s control over the number of property investments in Dominica, the real estate market has remained stable in recent years.

6. The cost of living is relatively low compared to the United States or EU countries. Life in Dominica is 20% cheaper than in the USA and 17% cheaper than in France. The average utility bill for an 85 sqm apartment in Dominica is about $46 per month. The unlimited internet plan costs $65 per month.

7. Taxes. Tax residents in Dominica are not charged taxes on capital gains or inheritance. They are also eligible for various tax deductions. Real estate owners in Dominica pay a property tax of only 1.25% of the cadastral value. When buying property, investors pay a 4% stamp duty, which is the average rate worldwide.

8. Proximity to the USA. It is possible to get to the United States from Dominica in about 5 hours by plane. For Americans, Dominica can be a perfect place to purchase a vacation home. 

9. Safety. Dominica offers peace and a laid-back lifestyle. The country can boast of a low crime rate as well as political, economic, and social stability. In 2023, Dominica was named the safest country in the Caribbean and earned the 38th spot globally. The crime rate has decreased by 33% since 2020. The last registered rate was 754 cases per 100,000 people for burglary and 96 cases for robbery.

10. Pristine nature is one of Dominica’s unique features, which is why foreigners choose to relocate there. The local property market is composed of beautiful villas and hotels in the rainforest. Many properties have beaches, waterfalls, lakes, or bays in their vicinity.

Tourism in Dominica
Yachters, surfers, divers and ecotourists come to Dominica all year round

Best cities to invest in real estate in Dominica

Roseau. Foreigners who put the infrastructure first tend to purchase property in the capital of Dominica. Although real estate prices are the highest there, the city provides plenty of job and business opportunities. Roseau manages to combine modern amenities, historical sites, high-end property, and the beauty of nature.

Portsmouth is perfect for those who are seeking peace and tranquillity. It is the second-largest city in Dominica after Roseau, so the place does not lack hotels and restaurants. Portsmouth is a popular tourist destination for whale-watching and diving.

Soufrière is a village in the southwest of the island. The place is surrounded by tropical forests and is known for its breathtaking views. Property and living in Soufrière are more affordable than in the previous two cities.

Calibishie is a picturesque village on the north coast of Dominica. It offers a wide range of natural sights, from steep cliffs to palm-fringed beaches. Calibishie will be great for those who dream about a secluded villa overlooking the sea.

Marigot is quite a large village that is famous for having the best beaches. Dominica’s main airport is located there. Marigot also has stunning waterfalls nearby and excellent restaurants and hotels.

Conditions for buying property under the Dominica CBI program

When a foreigner plans to obtain a Dominica passport in exchange for property investment, they must fulfil the three requirements.

1. Purchase real estate approved for the investment program. Not all properties are eligible for the citizenship program: the selection is limited to a catalogue of government-approved projects. Yet, there is a bright side — a rigorous selection process minimises the risks for investors.

2. Meet the minimum investment amount. To qualify for Dominica citizenship, applicants must invest at least $200,000 in real estate. The minimum investment amount is enough to buy out a share in a resort complex or condominium.

3. Own the property for at least 3 years. Under the terms of the citizenship program, you can sell real estate three years after you get the passport. But if you wait five years, the new buyer will also be able to apply for Dominica citizenship by investment. Therefore, most investors sell real estate in five years, when it is easier to find a buyer.

Examples of investment properties on the Dominica market

1,500 investors and their families received Dominica citizenship in 2020 for the property purchase. The majority of applicants preferred to buy a share in resort complexes that are managed by international hotel operators. 

As a licensed agent of the Dominica citizenship program, Immigrant Invest conducts its own selection of real estate projects. We add the best options to our catalogue and invite you to consider them.

A five-star resort complex in Portsmouth is managed by Autograph Collections, a premium subsidiary of Marriott. It is a 128-room hotel with unique architecture and design. Guests can choose to stay in apartments, private suites with a pool or presidential suites. Outside, there will be a pool shaped like a lagoon.

Investors can buy shares worth $220,000 each and receive an income of 2% per annum during construction and 3.5% after the facility's completion. The resort is expected to open in the first quarter of 2024.

The Residence of Secret Bay is a 6-star eco-luxury resort near Portsmouth. The resort has six secluded villas, three private beaches, a spa, an open-air restaurant, a seawater pool, a fitness club, a daycare, and an art gallery, and it is set to expand to 28 villas.

In 2022, Secret Bay Resort won the prestigious World’s Best Award from Travel and Leisure magazine. The resort also has Green Globe Certification as proof of sustainability and eco-friendliness.

Investors can buy a share for $208,000 or a villa for at least $1,500,000. The rental yield is up to 7% per annum.

The hotel complex managed by Hilton is located on the coast near Roseau. The resort comprises a hotel with 73 rooms and villas with 1—3 bedrooms. The hotel is situated on a picturesque sea cliff and has direct access to two secluded beaches. There is also a world-class spa and wellness centre, gym, gourmet restaurant, swimming pool, gift shop and parking on the territory.

A share worth $220,000 is offered for sale. The expected annual income from the hotel’s operation is estimated at 3—7%.

Examples of approved investment property in Dominica

Associated costs under the CBI real estate investment option

In addition to the cost of housing, the investor must pay for the Due Diligence check, as well as state fees and bank commissions. The total additional expenses will depend on the family's composition.

The minimum threshold for entering the program is $200,000, which remains unchanged for any number of applicants. This fact makes the option attractive for large families. Investors may add spouses, children, parents and siblings to the program.

Additional expenses for a single investor applying for Dominica citizenship under the property option are $34,631. It is the best offer of any Caribbean citizenship program. 

All additional expenses

State fee$25,000 for a single investor

$35,000 for a family of up to 4 people

$50,000 for a family of up to 6 people

$75,000 for a family of 7 people or more
Due Diligence fee$7,500 for a single investor

$4,000 per family member over 16
Application fee$1,000
Passport fee$361 per family member
Bank commissions$270
Processing fee$250 per family member
Naturalisation certificate fee$250 per family member

Real estate maintenance and management costs

Ownership. Only property located in the largest cities, Roseau and Canefield, is subject to annual ownership tax, which is charged at 1.25% of the property value.

Rent. Most investors start renting out their property as soon as they buy it. Searching for tenants on your own is unnecessary: the management company undertakes this task. Expenses on maintenance, repairs and insurance are usually included in the cost of the management company services and are approximately 40% of rental income. If buying a share, investors do not incur maintenance costs or pay a management fee.

Rental income in Dominica is taxed at a progressive rate of 15 to 35%. You can assign the tax payment to the management company.

Rental income tax rates in Dominica

IncomeTax rate
Up to $7,400 per year15%
$7,400 to 18,500 per year25%
Over $18,500 per year35%

Step-by-step process of buying real estate in Dominica

As an investor, you need to go through 5 key steps to purchase property under the Dominica Citizenship by Investment Program: 

  1. Choose a property from the list of pre-approved real estate projects.
  2. Contact an authorised agent. Immigrant Invest lawyers will help you prepare the necessary documents and submit them to the Dominica CBI Unit.
  3. Undergo a Due Diligence check. All applicants over 16 must attend a mandatory interview. After the application submission, applicants usually need to wait around 3 months for approval.
  4. Make an investment if your application has been approved. You conclude a purchase and sale agreement with the real estate developer, transfer the money, and pay state fees.
  5. Obtain your passport. Once the bank confirms the investment, the CBI Unit will issue your new passport and certificate of naturalisation. Immigrant Invest lawyers organise the delivery of the documents.

As an independent buyer, you can buy property in Dominica by following these steps:

  1. Find a property that interests you and make an offer.
  2. If your offer has been accepted, hire a lawyer to draw up a purchase and sale agreement.
  3. Find a certified surveyor who will value the property and prepare the necessary documents for the title transfer.
  4. Pay a 10% deposit for the seller’s lawyer to hold in escrow.
  5. Obtain an Alien Landholding Licence from the Dominica government.
  6. Pay the rest of the sum and all the required fees. Once it is done, you will obtain a Memorandum of Transfer.
  7. Submit the Memorandum of Transfer and other relevant documents to the Land Registry to get registered as the new owner of the property.
Dominica real estate prices
Half of a 74 square metres duplex villa in the rainforest costs $255,000

How to sell real estate profitably

Residential properties in Dominica grow in price by an average of 4% per year. After 5 years of ownership, the investor can earn 15—20% on the price difference. The income will at least cover the duties and fees the investor paid when applying for citizenship.

Upon selling real estate, investors pay a stamp duty of 2.5% of the transaction amount.

Legal and realtor services cost 1 to 2.5% of the sale. Participants of the Dominica real estate investment program do not need these services: a management company finds a buyer in cooperation with the licensed agent of the program.

Benefits of the Dominica citizenship program

Since 2017, the Dominica program has been a solid leader in the ranking of citizenship programs. Let us list the main advantages of a Dominica passport.

146 visa-free destinations. Dominica citizens enter the Schengen States, Philippines, Malaysia, Singapore and 115 other countries without a visa.

Long-term US visa. The United States issues B-1/B-2 visas to Dominica citizens for 10 years. On such a visa, investors can freely enter the USA on business or vacation. You can stay in America for up to 90 days a year.

Fast-track citizenship route. Dominica citizenship can be obtained within 4 to 6 months. For comparison, to get a passport of an EU country, you need to wait at least 1 year, 5 years on average.

Key points about real estate in Dominica

  1. Foreigners have no restrictions on buying property in Dominica. However, non-citizens need to obtain a special licence for 10% of the transaction amount. Participants of the Dominica citizenship by investment program are exempt from this requirement.
  2. Property in Dominica might be a profitable investment since owners can receive income from 4% by renting it out or selling the property later for 2—5% more expensive. 
  3. The most popular cities to purchase real estate are Portsmouth, Soufrière, Salisbury, and Roseau. The perfect combination of beautiful nature and developed infrastructure can explain the demand in these areas. 
  4. Foreigners can obtain a Dominica passport in exchange for property investment of $200,000 or more. Dominica citizenship can be obtained within 4 to 6 months.
  5. Dominica passport holders can travel to 146 countries visa-free. They are also eligible for a 10-year tourist visa to the USA on simplified terms.

Frequently asked questions

Can foreigners buy property in Dominica?

Yes, foreigners are allowed to buy real estate in Dominica. Yet, they need to get a special licence to do that. The Alien Landholding License costs 10% of the sale. Foreigners are exempt from this requirement if they participate in the Dominica citizenship by investment program.

How much do apartments cost in the capital of Dominica?

Roseau is the capital of Dominica and the island’s most developed city in terms of infrastructure. A small apartment of 30 to 40 sqm, 300 metres from the sea, costs about $35,000.

Do Dominica citizens pay property tax?

In Dominica, only property located in the largest cities, Roseau and Canefield, is subject to annual ownership tax, which is charged at 1.25% of the property value.

Rental income is taxed at a progressive rate of 15 to 35%

Can I buy real estate in Dominica remotely?

Yes, investors can buy housing in Dominica remotely: a lawyer at Immigrant Invest will represent them. The lawyer signs the contract only after they check the legal purity of the property and the terms of the buyer’s interests.

The processing of the transaction takes up to 30 days. The investor receives documents on the ownership of the real estate by mail.

Can I move to Dominica after buying property in the country?

To live in Dominica, foreigners need an official status in the country: a residence permit or citizenship. Certain property investments entitle you to citizenship. In other cases, you need to apply for a residence permit.

How fast can I buy property in Dominica and become a citizen of the country?

The standard period for obtaining Dominica citizenship is 4 to 6 months. As a licensed agent of the country’s investment program, Immigrant Invest will help you choose a property and undergo the application procedure.

First, Immigrant Invest lawyers collect documents for participation in the citizenship program. The investor selects the property and pays 10% of the property value for the reservation agreement and Due Diligence fee. Then the lawyers submit an application to the program department.

When the investor’s application is approved, they fulfil the program’s conditions: pay the remaining 90% and related payments.

The investor receives their naturalisation certificate and passport by mail approximately two weeks after all payments.

Why do investors choose the Dominica CBI Program?

The Dominica citizenship program is one of the fastest and most inexpensive in the Caribbean and throughout the world. The program has been operating since 1993 and has been repeatedly recognized as the most convenient and profitable for investors.

Properties in Dominica generate income from rent and resale. A Dominica passport allows investors to travel to 144 countries visa-free and get a 10-year US visa.

How much does it cost to build a house in Dominica?

The cost of building a three-bedroom house in Dominica is $300,000 to 350,000. This includes the price of land and construction costs. The price varies depending on the size and location of your property.

Is it worth investing in real estate in Dominica?

Property investment in Dominica has plenty of advantages. Apart from being a tropical paradise, the country offers luxurious and, at the same time, eco-friendly properties. Purchasing real estate in Dominica for at least $200,000 gives you an opportunity to obtain a passport of the country. Investors can rent out the property or sell it profitably after 3 or 5 years of ownership.

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Schedule a meeting at one of the offices or online. A lawyer will analyze the situation, calculate the cost and help you find a solution based on your goals.

Zlata Erlach
Caribbean Investment Program Expert
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