Required Real Estate Agent Licensing in the Dominican Republic: Proposed Law Still in Discussion

New real estate law in the Dominican Republic could impose fines of up to 50 minimum wages and suspend operations for violations

A real estate agent is a professional specializing in the leasing, sale, and purchase of real estate assets. This activity operates within the Dominican Republic real estate market, a sector that handles billions of dollars in both local and foreign investment, making it one of the most dynamic industries in the Caribbean.

However, there is currently no comprehensive real estate regulation in the Dominican Republic governing this profession. As a result, unlicensed and untrained individuals have entered the market, contributing to real estate fraud in the Dominican Republic. These practices include offering properties without valid titles and promoting projects with misleading or false claims, putting both local and international investors at risk.

For buyers and investors, the lack of regulation increases exposure to property scams in the Dominican Republic, absence of legal safeguards, and unreliable intermediaries, often leading to significant financial losses.

Status of the Real Estate Regulation Bill in the Dominican Republic

To address these concerns, a proposed real estate law in the Dominican Republic aims to regulate agents under the supervision of the Ministry of Housing, Habitat and Buildings (MIVHED), through its Department of Registration, Control, and Real Estate Intermediation.

According to Alberto Bogaert, President of the Dominican Association of Real Estate Companies and Agents (AEI), the bill has been under discussion since 2023 in both the Senate and the Chamber of Deputies, but has yet to be approved.

“One of the main obstacles delaying its progress is the lack of legislative prioritization, limited awareness of the economic impact of the real estate sector, and insufficient institutional pressure to move it forward. Over the past three years, we have met with various legislative committees to highlight the importance of this bill,” Bogaert explained.

Although the government has shown openness toward the initiative, it is not yet considered a national priority within the broader framework of Dominican Republic investment regulations.

Key Provisions of the Proposed Dominican Republic Real Estate Law

If enacted, the bill would introduce mandatory real estate licensing in the Dominican Republic, requiring promoters and developers to obtain official authorization before operating as agents or marketing properties.

The proposal also defines misleading real estate advertising as any communication—across digital or traditional media—that could confuse consumers about a property’s characteristics, availability, pricing, delivery timelines, or sales conditions. This provision aims to increase transparency in Dominican real estate transactions.

Additionally, agents would be prohibited from conducting transactions involving properties they do not own or from misusing client funds. These measures are designed to strengthen consumer protection in real estate and improve trust in the market.

Sanctions and Compliance Requirements for Real Estate Agents

The bill outlines strict compliance rules and penalties to ensure accountability within the Dominican Republic property market. Real estate intermediaries would not be allowed to:

• Acquire properties they were assigned to sell without proper authorization
• Manipulate or simulate offers to influence property prices in the Dominican Republic
• Charge undisclosed fees or commissions not agreed upon in writing

Agents could also face legal consequences if they recommend transactions while being aware of potential legal or financial risks without advising clients to seek legal counsel—an essential step in ensuring secure real estate transactions in the Dominican Republic.

Furthermore, agents would be required to inform clients before initiating any transaction, reinforcing transparency and ethical practices in the industry.

Finally, the law would formally recognize any transaction documented through a contract involving the transfer, lease, or usufruct of real estate assets, including payments, contributions, or exchanges—bringing greater legal clarity to property transactions in the Dominican Republic.