The Dominican Republic has officially updated its rental market regulations for the first time in 70 years. In August 2025, Congress passed the Ley de Alquileres de Bienes Inmuebles y Desahucios (Real Estate Rental and Eviction Law), enacted as Law 85-25, replacing the outdated Law 4314 that had governed rentals since 1955.
The new law introduces clear guidelines and obligations for both landlords and tenants, aiming to modernize the country's rental sector and give both sides more legal certainty.
Key provisions include:
Security deposits are capped at a maximum of two months' rent (reduced from an earlier proposal of three months).
Landlords must provide tenants with receipts for all payments, and any payments made in foreign currency must be stipulated in the rental contract.
A property cannot be rented out without the consent of all co-owners.
Rental contracts can be terminated in cases such as loss of the property, breach of contractual obligations, or unlawful use of the property. Tenants who wish to terminate must give one month's notice.
Landlords remain responsible for necessary repairs, and tenants must tolerate reasonable inconvenience during repair work.
Tenants are obligated to pay rent on time, maintain the property, avoid structural alterations, and comply with legal and regulatory requirements.
A specialized judicial process now allows eviction of non-paying tenants to be resolved within a maximum of two months, with courts required to issue rulings within 30 calendar days once a case is ready for judgment.
Security deposits, along with a copy of the rental contract, can be held at a Banco Agrícola or Banreservas branch near the property, by agreement between the parties.
This is the first major update to the Dominican Republic's rental law in seven decades, reflecting the government's broader push to modernize the legal framework around real estate as the country's rental and tourism markets continue to grow. Property owners and tenants alike should familiarize themselves with the new rules, ideally with guidance from a local real estate attorney, since contract clauses drafted under the old law may need updating to remain enforceable.
This connects closely with The Confotur Law – Tax Exemption for New Developments in Touristic Areas, Is it safe to own property in Dominican Republic? and The Real Estate Transaction explained — worth a look if you’re researching further.