Low-Cost Housing Bonus
Homes classified as low-cost in the Dominican Republic are exempt from the 3% transfer tax and qualify for the Ley 189-11 ITBIS bonus. Work out what that means for you.
Low-cost housing calculator
The tax is computed on the GREATER of the appraisal and the deed value.
The ITBIS bonus is separate and cannot be estimated here: it equals the ITBIS actually paid on that project's construction. The trustee requests it from DGII, and it can top up the down payment or be applied to loan principal.
The DOP 5,450,851 cap applies to contracts signed from Resolución DDG-AR1-2026-0001 onward and is re-indexed annually for inflation. Confirm the current figure before signing.
Requirements
- • Be the buyer of a first and only home.
- • The project must be classified as low-cost by INVI and registered with DGII.
- • The home must be occupied by the buyer or by relatives to the first degree.
- • Be registered in the Registro Nacional de Contribuyentes (RNC).
- • Bank financing is not required.
How it is applied for
- • The trustee files the request with DGII on the buyer's behalf.
- • The sale contract must be less than one year old.
- • If filed with a promise-to-sell contract, the unit must be at least 80% built.
Indicative calculation based on Ley 189-11 and DGII publications. Not tax advice, and not a guarantee that a project qualifies.
What counts as low-cost housing
Ley 189-11 created a regime for homes classified as low-cost by the Instituto Nacional de la Vivienda (INVI). Qualifying brings two distinct benefits.
1. Transfer-tax exemption. Transferring a property normally costs 3%. Low-cost homes are exempt from 4 November 2021 (Ley 338-21). That is the saving this page computes.
2. The low-cost housing bonus (bono ITBIS). A compensation of the ITBIS paid during the project's construction, usable to top up the down payment or applied to loan principal. Its amount depends on the ITBIS actually paid on that project, so there is no published table: the trustee requests it from DGII on the buyer's behalf.
The cap is re-indexed annually by the Central Bank's annualised CPI.
Frequently asked questions
What is the 2026 low-cost housing cap?
RD$5,450,851.12, per DGII Resolución DDG-AR1-2026-0001. It is re-indexed each year by the Central Bank's annualised CPI.
How much does the exemption save?
The transfer tax is 3% of the greater of the appraisal and the sale price. On a RD$5,000,000 home that is RD$150,000.
How much is the ITBIS bonus?
There is no published amount or percentage. It equals the ITBIS actually paid during that project's construction, so it varies by project. Ask the trustee.
Which value is the tax computed on?
The greater of the property appraisal and the deed value. If the appraisal comes in above the price, the appraisal governs.
Why do I see different cap figures?
Because several circulate. DGII's own page writes the 2025 amount in words beside the correct 2026 numeral, and search results surface caps from earlier years. The figure here comes from Guía del Contribuyente No. 26, where the words and the numeral agree.
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Official sources
The cap and conditions come from DGII publications.
Figures verified on 1 August 2026. Cap: Resolución DDG-AR1-2026-0001.