The adjustment, applied in accordance with Law 189-11 and its amendments, also raises the exempt amount of real estate assets for individuals, which goes from RD$10,190,833 to RD$10,695,494.
SANTO DOMINGO – The Dominican Republic's Internal Revenue Service (DGII) set the new price ceiling for low-cost housing for 2026 on Thursday, January 15. This decision sparked reactions in the construction and real estate sectors, with warnings about price increases due to price comparisons, stricter credit requirements, and the persistent limitation of purchasing power among local buyers.
Through resolution DDG-AR1-2026-00001, the tax collection agency reported that the maximum value for the qualification of these homes will be RD$5,450,851.12 for the current year, equivalent to an increase of 4.95% with respect to the previous limit of RD$5,193,655.47.
The adjustment, applied in accordance with Law 189-11 and its amendments, also raises the exempt amount of real estate assets for individuals, which goes from RD$10,190,833 to RD$10,695,494.
Following the announcement, El Inmobiliario interviewed brokers, agents, and developers linked to the low-cost segment, who offered their assessments of the scope of the new rating.
Opinions
Alenny Garabito, a veteran real estate agent and CEO of TimeHomes Real Estate, said that updating the price cap usually generates immediate movements in market prices.
He explained that “many construction companies, as soon as they receive this news, raise prices. It also creates a 'snowball effect,' because homes that aren't in that price range also rise in price due to comparison and excitement.”.
Garabito pointed out that, although the Housing Bonus increases proportionally, the income of buyers has not shown equivalent growth. “People want to buy, but what they need to earn to be able to do so isn't enough,” the real estate leader added.
Credits
Real estate agent Jade de la Cruz, who specializes in low-cost projects, indicated that the new cap could increase the credit capacity required to access a home.
He explained that “regarding the adjustment of the price cap for low-cost housing, this could increase the cost of units available on the market. The credit capacity a client would need to purchase would be greater, especially if mortgage rates also increase,” he stated.
He noted that by 2025 many interested parties were already facing limitations. “Last year I had many clients who, unfortunately, did not qualify for low-cost projects because their monthly income and credit capacity did not allow it,” he said.
Promoters
Engineer Rafael Durán, a real estate developer, considered that the increase in the price cap does not change the economic conditions of potential buyers.
Durán stated that “for me, as a real estate developer, this is neither good nor bad news. It’s simply news, because the issue isn’t that the price ceiling for low-cost housing is increasing. The real point here is that people have purchasing power.”.
He also pointed out that even formally trained professionals face difficulties qualifying for housing. “Two married teachers, who today earn 50, 60, or 70 thousand pesos each, still have difficulty acquiring a home that costs more than 4 million pesos,” he stated.
