27/02/07 - Tourism Driving Property Demand in the Dominican Republic

With the Dominican Republic’s incoming tourism increasing by nearly 6% in 2006, MRI Overseas Property has seen a leap in demand for overseas properties on the island...

With the Dominican Republic’s incoming tourism increasing by nearly 6% in 2006 on the previous year, MRI Overseas Property has seen demand for overseas properties on the island continue to increase amongst British investors over the past twelve months and expects this demand will continue in 2007.

The Minister of Tourism, Yvor Nassief, this week commented tourists are choosing to visit the Dominican Republic as a result of its culture and eco-adventure opportunities, and the Dominican’s Punta Cana is now the most visited destination in the whole of the Caribbean.

As a result of the Dominican Republic’s position as one of the easiest to access Caribbean islands, incoming tourism is fuelling strong demand for holiday rentals on the island. Demand is particularly high amongst North American tourists as the U.S. and Canada are just a couple of hours’ flight away. Daily flights operate to the Dominican from all over Europe, North and South America and there are many connections with other Caribbean islands.

Popular with Brits

And it's not just holidaymakers the island is popular with - one in seven (14%) people in the UK who are considering buying an overseas property would consider buying in the Caribbean.

With the growth in tourism and demand for holiday rentals, the Dominican provides a sound investment opportunity, especially for buyers looking for a second home overseas with rental income potential, says MRI Overseas Property.

Not only does the Dominican offer access to some of the world’s most beautiful beaches and an average of 320 days a year of sunshine, but the recent $5million investment in the expansion of the island’s infrastructure is also boosting the potential for property investment.

Jayson DeLeon, US and Caribbean Sales Director, MRI Overseas Property, said: "The Dominican Republic has been fast gaining popularity with both holidaymakers and property investors over the past few years and is now firmly the Caribbean property hotspot of the moment. With the recent investment in the island’s infrastructure and the increasing number of regular flights to the Dominican, the island looks set to become an even more popular tourist and second home destination in 2007.”

Dominican Republic fast facts

* Flights from the UK: Approximately ten hours’ flying time from most UK airports. Airlines operating direct flights from the UK are Thomson Fly and First Choice
* Currency: Dominican peso (£1: 65 DOP)
* Cost of living: Loaf of bread – approximately £1; bottle of wine - £5-9
* Cost of property: From £85k for a budget buy; from £300k for a luxury villa
* Property purchase fees: Expect to pay approximately £3,000 in lawyer’s and notary’s fees on a £100,000 property