In recent years the Dominican Republic real estate market has emerged as one of the strongest overseas property markets in the Caribbean.
Why exactly is that, you may ask?
Well, of course the country offers an incredible mix of magnificent beaches, landscapes ranging from lush rainforest-covered mountains to idyllic tropical islands, as well as good quality infrastructure, a wide selection of hotels from budget to luxury and affordable airfares from multiple destinations – all of which are factors that are attractive to property buyers.
Sustained Tourism Growth
However, much of the country’s success in luring real estate investors comes down to a sustained growth in tourism.
With such a strong tourism sector, buyers of vacation rental properties are confident of income from a steady stream of guests generating a strong Return on Investment.
So, purchasing property in the Dominican Republic provides buyers with not only a second home for family vacations but also an investment that can be extremely financially lucrative.
Last year, total visitor arrivals climbed to a record 6,187,542 – up by 3.8% / 228,195 visitors compared to the previous year – according to the Central Bank of the Dominican Republic
Last year’s rise follows successive years of growth in visitor arrivals and has firmly established the Dominican Republic as the top tourism destination in the Caribbean.
The country’s largest source market for overseas visitors is the USA but it has achieved a lot of success in diversifying source markets as part of efforts to achieve the objective of welcoming 10 million visitors per year by 2023.
For example, with 837,000 visitors in 2017 (up 3.9% on 2016), the Dominican Republic officially ranked as Canada’s most popular Caribbean destination, second only to Mexico for sunny vacation destinations.
Canada is only one example of where the Dominican Republic’s tourism sector is achieving major success.
Visitors from Europe have significantly grown too and during the first 10 months of last year, the number of Russian tourists visiting the Dominican Republic surged by 112.3% to 196,153 compared to the same period in 2016.
Flights & Hotels Full this Easter
The most recently released data indicates that this trend is set to continue.
During the recent Easter break, between 108 and 110 flights landed and took off every day, with all flights from the US, Puerto Rico, Panama, Venezuela, Aruba, Curacao, France, Spain and others arriving full and all hotels in Boca Chica, Los Guayacanes, Juan Dolio, San Pedro de Macoris, Bayahibe, La Romana, Punta Cana and Bavaro full.
Airlines Expanding Capacity
Airlines are consistently expanding capacity too.
In the UK, Thomas Cook Airlines has announced plans to add an extra flight from Manchester to Punta Cana this summer while British Airways plans to increase the number of seats on its three weekly flights to the Dominican Republic from 280 to 332 passengers.
In the USA, JetBlue will launch nonstop daily flights between Newark’s Liberty International Airport and Las Americas International Airport in Santo Domingo this May.
Very Rosy Outlook for Dominican Real Estate Market
All these indicators considered together suggest that tourism growth in the Dominican Republic will remain exceptionally positive, which bodes very well for the property market.
So, with growth in visitor arrivals forecast to rise again this year and 20,000 new hotel rooms in the pipeline over the next few years, the outlook for the real estate market in the Dominican Republic is looking very rosy indeed.