# Mistakes foreign buyers make in Punta Cana

> Brochure yields, the CONFOTUR zone myth, skipping an independent lawyer, pressured off-plan deposits and HOA blind spots — the mistakes that cost buyers most.

Source: https://canakeys.com/diligence/mistakes
Publisher: Cana Keys (A&M Caribbean Group SRL), Punta Cana, Dominican Republic
Last reviewed: 2026-08-27
Language: en
Licence: quote and cite with attribution and a link.

Most bad Punta Cana purchases are not scams. They are ordinary mistakes: believing a brochure yield that ignores HOA and vacancy, assuming CONFOTUR applies to a zone rather than a project, using the developer's lawyer, paying an off-plan deposit under a deadline invented by a salesperson, ignoring the HOA fee per square metre, and buying Cap Cana with a Bávaro rental model in the spreadsheet. Each one is avoidable with a document request and a week of patience. Everything here is 2026 orientation, not a guarantee and not legal advice.

## The six that cost the most
- Believing the brochure yield: Advertised returns are usually gross, sometimes on a peak-season rate multiplied by an occupancy nobody has achieved. Deduct HOA, management, utilities, vacancy, wear and taxes before you compare anything.
- The 'CONFOTUR zone' myth: CONFOTUR is granted per project by resolution under Law 158-01. No zone is exempt. If nobody can hand you the resolution, price the purchase as fully taxed.
- Using the developer's lawyer: Convenient and free is also conflicted. Hire your own; it costs a fraction of a percent of the purchase and it is the only party in the room paid to say no.
- Deposits under manufactured pressure: 'Last unit at this price, today only' is a sales technique, not market data. Reservation money paid before title and permits are verified is money at risk.
- Ignoring HOA per square metre: A larger unit with a high fee can net less than a smaller one with a sane fee. HOA is charged whether or not the unit is booked, and it rises.
- Treating Cap Cana like Bávaro: Different buyer pool, different occupancy, different holding cost, different resale speed. Cap Cana is lifestyle with income; the Bávaro corridor is the liquidity market.

## Smaller ones that still hurt
- Never visiting after dark: Noise is invisible at 11am. In El Cortecito and parts of Bávaro it defines the product.
- Buying land without a deslinde: Un-individualised title is the single most common land problem in the province. Verify it before, not after.
- Assuming property equals residency: They are separate processes with separate requirements. Ask an immigration lawyer.
- Forgetting annual costs: IPI at 1% above the indexed exempt threshold for individuals, HOA every month, insurance, and furniture replacement on rentals.

## FAQ

### Is buying in Punta Cana risky for foreigners?
Answer: Ownership itself is straightforward — foreigners hold freehold title on the same terms as Dominicans. The risk sits in unverified title, off-plan developers and optimistic income maths, all of which are manageable with an independent lawyer.
Permalink: https://canakeys.com/diligence/mistakes#is-buying-in-punta-cana-risky-for-foreigners

### What yield should I actually expect?
Answer: Gross is often quoted at 6–12% in the rental corridor and net commonly lands lower after HOA, management, vacancy and wear. We do not publish guaranteed ROI or invented occupancy figures.
Permalink: https://canakeys.com/diligence/mistakes#what-yield-should-i-actually-expect

### Can I get my deposit back if the project stalls?
Answer: Only if the contract says so. Look for delivery dates with penalties, refund conditions and where the money is held. A promise of sale without a late-delivery clause protects the developer.
Permalink: https://canakeys.com/diligence/mistakes#can-i-get-my-deposit-back-if-the-project-stalls

## Related

- [The buyer checklist](https://canakeys.com/diligence/checklist)
- [Guide: buying off-plan](https://canakeys.com/guides/off-plan)
- [Gross versus net yield](https://canakeys.com/yield)
- [Bávaro vs Cap Cana](https://canakeys.com/compare/bavaro-vs-cap-cana)