Countries › Dominican Republic › Guide › 10. Capital markets and finance › Mortgages and the fast foreclosure procedure in the Dominican Republic

Mortgages and the fast foreclosure procedure in the Dominican Republic

Last verified: 2026-10-30 · Status: Stable

Ley 189-11 created a special foreclosure open to any conventional mortgage creditor, foreign lenders included. An unpaid demand converts into an attachment in 15 days, and sale can follow in a tight sequence of statutory steps. A security agent can hold collateral for a lender group, and adjudication judgments can be challenged only by cassation, with no stay.

USD figures use the Banco Central de la República Dominicana reference selling rate of RD$60.9007 per US dollar for 29 October 2026, rounded to the cent.

Key facts

Days to pay before demand converts into attachment	15 daysLey 189-11 art. 153, as of 2026-10-30 · in force
Minimum higher bid after adjudication	20 %Ley 189-11 art. 162, as of 2026-10-30 · in force
Reference selling rate used for USD conversions	60.9007 DOP per USDBanco Central reference rate, as of 2026-10-29 · in force

The rule

1. The special procedure is available to any conventional mortgage creditor, including local or foreign financial entities, security agents, securitizers and public offering trustees, whatever the type of debt secured.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 149, as amended by Ley 249-17 art. 360, 2011-07-16 official text · verified 2026-10-30

2. Default or breach causing loss of the term lets any conventional mortgage holder seek sale of the property.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 150, 2011-07-16 official text · verified 2026-10-30

3. The creditor serves a payment demand with the title and warnings, and identifies the property and the court. Omissions are penalized with nullity.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 152, 2011-07-16 official text · verified 2026-10-30

4. If the debtor does not pay in full within 15 days the demand converts by law into an attachment, and part payments do not stop it.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 153, 2011-07-16 official text · verified 2026-10-30

5. The attachment must be registered within five days after the 15 days end. If it is not, the demand is treated as withdrawn and must be served again.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 154 and paragraph II, 2011-07-16 official text · verified 2026-10-30

6. The conditions of sale are filed in court within 10 days of the last registration.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 155, 2011-07-16 official text · verified 2026-10-30

7. The sale notice is published in a national newspaper within 20 days of filing.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 158, 2011-07-16 official text · verified 2026-10-30

8. The auction takes place at least 15 days after notice of the sale and call to the hearing.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 159 paragraph, 2011-07-16 official text · verified 2026-10-30

9. Within eight days of adjudication anyone can, through a lawyer, bid at least 20% more, which reopens the auction.
Example: RD$10,000,000 sale needs a higher bid of at least RD$12,000,000 / US$164,201.73 and US$197,042.07Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 162, 2011-07-16 official text · verified 2026-10-30

10. The adjudication judgment cannot be attacked by a principal action in nullity. It can be challenged only in cassation, with no suspensive effect, and it is enforceable against the debtor and any occupant.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 167, 2011-07-16 official text · verified 2026-10-30

11. Cassation against adjudication and incidental judgments in real estate attachment, under any regime, must be filed within 10 working days of notice of the decision.Ley 2-23 sobre Recurso de Casación, art. 14 paragraph V, 2023-01-17 official text · verified 2026-10-30

12. Incidental claims follow a shortened calendar, with a hearing called within three to five days and held no later than eight days before the sale.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 168, 2011-07-16 official text · verified 2026-10-30

13. A security agent can be appointed by private document to create, perfect, hold and enforce security for lenders.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 119, art. 120 and art. 121, 2011-07-16 official text · verified 2026-10-30

14. Banks, associations, authorized foreign banks and exclusive object companies under Dominican or foreign law may be security agents; individuals may not. Bondholder representatives act as agents for holders unless another agent is named.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 122 and paragraph, 2011-07-16 official text · verified 2026-10-30

15. Rights and assets held by the agent form a separate estate, and its income is relieved of direct taxes, including income, capital gains and asset tax, other than the real estate tax.Ley 189-11 Mercado Hipotecario y Fideicomiso, art. 126 and art. 127, 2011-07-16 official text · verified 2026-10-30

Worked example

Using each statutory period in full: day 0 demand; day 15 conversion; by day 20 registration; by day 30 conditions filed; by day 50 notice published; by day 55 notice to the debtor; auction at least 15 days later, so about day 70, before any incidents or court calendar delays.
A property sold at RD$10,000,000 (US$164,201.73) can be reopened only by a bid of at least RD$12,000,000 (US$197,042.07) in the eight days after adjudication.

Step by step

Take a conventional mortgage and register it with the Registro de Títulos.
Name a security agent in syndicated loans.
On default, serve the demand by bailiff with the mandatory content.
Diary the 5, 10 and 20 day steps: a missed registration restarts the process.
After adjudication, serve the judgment to start the cassation period and take possession.

Common traps

A mortgage created by court order or by law is outside this procedure: art. 149 requires a conventional one.
Ley 189-11 art. 167 still prints 15 days for cassation, but the later Ley 2-23 art. 14 paragraph V sets 10 working days under any attachment regime, so work to the shorter date.
The 70 day figure is a calculation from the statutory periods, not an observed average.
Common charges on condominium units have their own article (art. 171).

Sources

← Security over movable assets in the Dominican Republic: the Ley 45-20 systemFactoring and leasing in the Dominican Republic →

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