Countries › Dominican Republic › Guide › 16. What is normal abroad but not here › Leases: new law, long notice

Leases: new law, long notice

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

Foreign investors often hear about old Dominican rent control; Ley 85-25 of 2025 repealed it and rent and term are now free. A landlord must still give 90 days notice for housing and 180 for commercial space before the term ends, and the term renews by default. Housing deposits stop at two months, and an unagreed housing rent rise stops at 10%.

USD figures use the Banco Central de la República Dominicana reference selling rate of RD$60.9007 per US dollar for 29 October 2026, the latest row in its published rate file on the verification date, rounded to the cent.

Key facts

Housing rent rise if none was agreed	10 %Ley 85-25 art. 8, as of 2026-10-30 · in force
Housing deposit cap	2 monthsLey 85-25 art. 13, as of 2026-10-30 · in force
Notice to end a housing lease at term	90 daysLey 85-25 art. 31, as of 2026-10-30 · in force
Notice to end a commercial lease at term	180 daysLey 85-25 art. 42, as of 2026-10-30 · in force

The rule

1. The law repeals Ley 4314 of 1955 on tenant deposits, Ley 17-88 and Decreto 4807 of 1959 on rent control and evictions.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 57, 2025-08-15 official text · verified 2026-10-30 · changed: Ley 85-25, G.O. 11211 of 15 August 2025, replaced the 1950s regime.

2. Rent is what the parties set, monthly unless agreed otherwise.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 6, 2025-08-15 official text · verified 2026-10-30

3. Adjustments follow agreement. For housing, if no adjustment was expressly agreed, it cannot exceed 10% of the rent.
Example: Rent RD$100,000: at most RD$110,000 after an unagreed rise. / Rent US$1,642.02: at most US$1,806.22.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 8 and paragraph, 2025-08-15 official text · verified 2026-10-30

4. The parties set the term, and it renews automatically unless a party says otherwise. An oral housing lease is presumed to be at least one year, and a commercial one two years.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 9, 2025-08-15 official text · verified 2026-10-30

5. A housing deposit cannot exceed two months of rent. In commercial leases the parties agree the amount.
Cost to do it: Up to two months of rent for housing.
Example: Rent RD$100,000: deposit up to RD$200,000. / Rent US$1,642.02: up to US$3,284.03.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 13 and paragraph, 2025-08-15 official text · verified 2026-10-30

6. The lease is registered at the Registro Civil y Conservaduría de Hipotecas of the town hall where the property lies, so that it binds third parties.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 14, 2025-08-15 official text · verified 2026-10-30

7. By agreement, the deposit can be placed with Banco Agrícola or Banreservas.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 15, 2025-08-15 official text · verified 2026-10-30

8. Ending a housing lease at term needs notice by bailiff at least 90 calendar days before the term ends. For commercial and nonprofit premises it is at least 180 calendar days.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 31 paragraph; art. 42 paragraph, 2025-08-15 official text · verified 2026-10-30

9. A first instance ruling can be enforced despite appeal. A stay needs a summary claim and an appeal, and in evictions for non payment a deposit in cash of twice the award.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 34, 2025-08-15 official text · verified 2026-10-30

10. Commercial and nonprofit leases can opt for arbitration through an express written clause.Ley 85-25 sobre Alquileres de Bienes Inmuebles y Desahucios, art. 3 paragraph III, 2025-08-15 official text · verified 2026-10-30

Worked example

A tenant rents an office at RD$100,000 (US$1,642.02) a month with a term ending 31 December 2027. To recover the space at term, the landlord must serve notice by bailiff by about 4 July 2027. If nobody acts, the lease renews.

Step by step

Write the term, rent review and notice clauses into the lease.
Register the lease to bind later owners.
Put a rent review in writing, or the 10% limit applies to housing.
For commercial leases, decide on arbitration up front.
Serve non renewal notice by bailiff, not by letter.

Common traps

Old advice on Decreto 4807 and on compulsory deposits at Banco Agrícola is out of date.
Late notice on commercial premises makes the claim inadmissible, under art. 40 paragraph II, and the lease rolls on.
Tourist rentals of up to 90 days and some other uses are outside the law.
Rent can be set in dollars, as money debts are paid in the agreed currency.

Sources

← Paying local individuals means withholdingNo interest rate ceiling →

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