Dominican Republic Proposes New Rules to Regulate Short-Term Rentals
The Ministry of Tourism submitted two draft resolutions for public consultation aimed at formalizing and regulating the operation of short-term accommodations in the Dominican Republic. The proposals provide for the creation of new registries, requirements for properties, and responsibilities for property owners, administrators, hosts, and digital platforms.
One of the main measures would be the creation of the National Registry of Tourist Accommodations (Renatur), conceived as a platform to identify and register properties offered under this arrangement. Registration would be mandatory for villas, apartments, houses, rooms, bungalows, and other residential units intended for short-term lodging.
Each property would have to be registered individually. Once the process is completed, the Ministry of Tourism would issue a certificate that must be displayed in a visible location at the property and would include a link through which the corresponding information could be accessed.
Property Registration Requirements
The documents contemplated in the proposals include identification documents for the owner and administrator, where applicable; express authorization to manage the property; contact information and location details; corporate documentation, if applicable; and a civil liability insurance policy.
For properties subject to the condominium regime, documentation would also be required to establish that the condominium administration has no objection to the use of the property for short-term rentals. If such use is prohibited, the property could not be registered with the Ministry of Tourism.
For properties that are not subject to a formal condominium regime, the proposals contemplate submitting a declaration from the owners’ assembly confirming that this type of rental is permitted and establishing the applicable conditions.
Obligations for Administrators and Service Providers
The draft resolutions distinguish among the roles of the owner, administrator, service provider, and host, assigning specific requirements to each.
Administrators would be required to obtain a Single Tourism Registration (Registro Único Turístico), verify their identity, provide their contact information, and remain current with their tax obligations before the Dominican Republic’s Internal Revenue Agency (DGII). When acting on behalf of the owner, they would also have to demonstrate that they possess the corresponding authorization.
Service providers, meanwhile, would have to register the properties under their management, submit the required documentation, and identify the host responsible for assisting guests.
Responsibilities of Digital Platforms
Digital platforms used to advertise and book these accommodations would also assume new responsibilities.
If the resolutions are approved as proposed, platforms such as Airbnb and Booking would be required to verify that properties have the corresponding registration. Accommodations that fail to complete the process within the established time frames would no longer be advertised or marketed through these platforms.
The proposals also contemplate requiring platform operators to report to the Ministry of Tourism certain conduct that results in a property being removed or banned from a platform. Such reports could lead to the review or revocation of the property’s registration.
Safety and Hygiene Conditions
Properties intended for short-term rentals would have to comply with the applicable national regulations governing safety, hygiene, occupancy density, and consumer protection.
The Ministry of Tourism would be authorized to conduct inspections and verification visits. Failure to comply with the required conditions or the publication of misleading advertising could result in the revocation of the property’s registration and, consequently, prevent the accommodation from continuing to operate formally in this market.
The draft resolutions provide a six-month period for accommodation providers to complete the compliance process. They also establish deadlines for digital platforms to request and verify the registration certificates of advertised properties.
Potential Effects on the Tourism Real Estate Market
The eventual approval of these provisions would represent a significant change for the short-term rental market in the Dominican Republic. Property owners, administrators, investors, and real estate developers would have to review the legal, contractual, tax, and operational conditions applicable to properties used for this activity.
The provisions contained in condominium bylaws, purchase agreements, and other documents governing the permitted uses within each real estate development would also become increasingly relevant.
For the time being, these measures are not in effect. Because they are draft resolutions submitted for public consultation, their content may be amended before the final resolutions are issued.
Source: Diario Libre