Bank loans in Dominican Republic

Very important questions and information hopefully someone can inlight us about it.

Well this is a good thread.

It is very very difficult to get bank loans and or mortgages here  from the banks. As expats they do not like to deal with us.  The hoops you jump through will be pretty serious.

The interest rate will be significantly higher than you are looking to pay as well! 

You will sign over the deed or matricula for your house or vehicle until your loan is paid in full.  Should you leave for any reason and abandon your assets while there is a debt, then you will lose your assets!   

No bank is better than the other!  They are all difficult.   You cannot get a loan or mortgage without legal residencia!  Then you will be giving up your firstborn to make this happen.

There is owner held financing sometimes. There is developer financing sometimes!  Each will have their own set of rules but NO ONE will give you title until it is paid off in full.

In my opinion you are ALWAYS better to get a loan from  where ever you come from!

Thats like mission impossible..
What about salaried foreigners, base on their salary, they also have same issue?!

Exactly the same issues honey!

It is that old saying,"No money,  no honey."

the tinker40 wrote:

It is that old saying,"No money,  no honey."

I just read your post to this thread...to which I reply:



No money, no honey!!  Indeed!!

I may get the message late...but I do get the message!!

Blessings, good sir.

ExpatRusher

I´ve had good experiences with Banco Santa Cruz. As long as you have good credit the bank is willing to give you a loan.

The issue of course is expats have no good credit here. They have nothing.  Credit from anywhere else counts for nothing here.

And expats can get on a plane and leave the loans behind. That is why it is sooooo tough to get a loan here.

The banks like to see a minimum deposit maintained in ones account and a steady income before they will contemplate giving you a credit card too. It is less easy for me to get a credit card even though I am a long term permanent resident with good banking record for many years, yet my wife can get many and her security is being Dominican.

Getting a credit rating here takes time too and is asked for when you rent property in Santo Domingo. I understand is is easier to rent on the North Coast without these checks.

It is a chicken and egg scenario, in that you start building your local credit rating with on time payments to say Edesur and Altice for electricity and cable when you are in your rented apartment, but a credit reference is sought before you rent and to get around that you find a local to provide security. Now if you are an outright buyer you have assets as security here for the lenders so as long as they tie that in you become a lesser risk. And they ask for your cedula and authorization to do a credit check.

I've never had a credit check when renting in the capital but always need a "fiador" or guarantor....

And you are exactly right on the chicken or egg example!!!! So true.

Hi There,

its true, its very rare but we managed to get a mortgage with the seller and the full title !!]
We used the law firm Guzman.

Regards

I'm in the process now of getting a loan,closing on a property in bavaro.  I'm a foreigner from NY guys but I do have my cédula now, and properties here in the states. Will it be difficult for me to get a loan? The banks seem easy going so far. I can always get a HELOC and pay in full but I rather use the banks money in dr if I'm able to get a loan. I'm currently working with Lopez de Haro bank, but I have an account with Scotiabank

While banks will tell you it's easy and fast, it's not.  We have been working in a mortgage for 3 months. Constantly another document needed. And be aware of the rate you will pay. It's not pretty!

Ps honey this is an old thread.

@planner  We just got pre approved with Soctia and are looikng to buy a house, does that mean anything, or is it still unlikely they would approve an actual application? Thanks

Good for you, congrats.  What's your point?  You got approved, go buy a house

@planner geez. Why so rude?  He was just asking your opinion/advice. 

@planner

please be kind in this forum. We are simply sharing experiences and asking for guidance.

Spirit of the Season 🎄

Hahahahaha I responded in kind. I  provide hours and hours and hours of assistance on this forum.

The message was passive aggressive.  Two new posters want to jump on me. Have at it. 

A little "tough love" , or straight at you advice, is not a bad thing   

Hey guys im in need of an interior designer for an apartment in bavaro

    Hey guys im in need of an interior designer for an apartment in bavaro
   

    -@calvinfromwilliamsburgh

Please start a new thread since this one is on bank loans.

@planner Ummm, I am really confused. I have NO idea what I said that was passive agressive you are referring to? Someone had told me that the pre-approval means nothing from Scotia and they usually always deny you on the actual application, so I was just wondering if anyone knew if the pre-approval actually meant anything? I don't even know what there is to be passive agressive about, but did not mean to upset anyone.