Confotur Dominican Republic (2026): 15-Year Property Tax Exemption & 3% Transfer Tax Savings Explained
Confotur is one of the most powerful tax advantages available to real estate buyers in the Dominican Republic. Yet many investors don’t fully understand how Law 158-01 works — or how much money it can actually save them.
If you’re considering buying property in Punta Cana or another tourism-designated area, understanding Confotur could mean saving thousands of dollars in upfront and long-term taxes.
In this guide, we explain what Confotur is, who qualifies, how the 15-year property tax exemption works, and whether it makes sense for your investment strategy.
What Is Confotur in the Dominican Republic?
If you’re researching real estate in the Dominican Republic, you’ve likely seen the term “Confotur.” But what does it actually mean for buyers?
Confotur is the short name for the Tourism Incentive Law 158-01, approved by the Dominican government to stimulate tourism development and foreign investment.
The law grants major tax exemptions to developers and buyers in approved tourism zones — making certain real estate purchases significantly more profitable.
What Is Law 158-01?
Law 158-01 was created to encourage tourism infrastructure development across the country.
Originally focused on hotels and large resorts, the law now applies to residential condominiums, villas, and mixed-use developments in designated tourism areas.
Projects must receive official Confotur approval from the Dominican government.
Not every property qualifies.
What Are the Real Confotur Benefits for Buyers?
1. 3% Title Transfer Tax Exemption
Normally, buyers must pay a 3% property transfer tax when registering a title.
With Confotur approval, this tax is waived.
Example:$300,000 property → Save $9,000 immediately.
2. 15-Year Property Tax (IPI) Exemption
Properties above the government threshold (approx. US$168,000 equivalent) are normally subject to a 1% annual property tax.
Confotur-approved properties receive up to 15 years of exemption.
That can mean tens of thousands in long-term savings.
3. Increased Resale Value
Because the tax exemption remains attached to the property (not the first buyer), resale demand often increases.
Future buyers also benefit from the remaining exemption period.
This improves liquidity and resale positioning.
4. Residency Through Investment
Foreign investors may qualify for residency under Dominican investor visa programs when meeting the minimum investment threshold.
Confotur-approved properties often help meet those requirements.
Where Is Confotur Active?
Confotur has been heavily used in:
Punta Cana
Punta Cana has the highest concentration of Confotur-approved developments due to its large-scale tourism infrastructure.
Many new condo projects here are structured specifically around Law 158-01 benefits.
Emerging Areas
Other tourism-designated regions may receive approvals depending on development plans.
Currently, North Coast projects are more selective, but new approvals may expand outside Punta Cana.
Who Should Consider Confotur Properties?
Confotur makes the most sense for:
- Investors seeking rental income
- Buyers above the IPI tax threshold
- Foreigners planning long-term ownership
- Buyers interested in future resale flexibility
If you’re purchasing below the tax threshold, the 15-year exemption may not be as impactful — but the 3% transfer tax savings still applies.
Important: Not All Projects Qualify
Only government-approved developments receive Confotur status.
Before purchasing:
- Confirm official approval documentation
- Verify exemption duration
- Check whether the project is fully registered
- Consult a local real estate attorney
Tax laws can evolve.
Is Confotur Worth It?
For many investors, yes.
A $300,000 property could save:
- $9,000 upfront
- $3,000 annually in IPI (if taxable)
- Potentially $30,000–45,000 over 15 years
That dramatically changes total return calculations.
However, Confotur should not be the only reason to buy.
Location, rental demand, developer quality, and long-term market fundamentals matter more.
FAQ: Confotur Dominican Republic
How long does the Confotur tax exemption last?
Up to 15 years from project approval.
Does every property in Punta Cana qualify?
No. Only government-approved projects.
Do foreign buyers automatically qualify?
Yes, as long as the project is Confotur-approved and properly registered.
Is Confotur permanent?
Law 158-01 remains active but approval is project-specific.
Final Takeaway
Confotur is one of the strongest tax advantages available to real estate investors in the Dominican Republic.
A 3% transfer tax exemption plus 15 years of property tax savings can significantly improve total returns — especially in tourism-driven areas like Punta Cana.
But tax benefits alone don’t guarantee a good investment. Always evaluate rental demand, location, and developer credibility before purchasing.
