What Does It Actually Cost to Own and Live at Makai?

The true cost of living in Punta Cana for a Makai owner is a mix of predictable property costs and variable lifestyle expenses. Thanks to CONFOTUR tax benefits and our managed rental program, many of the core ownership costs are minimized or covered. This guide breaks down what you can expect, separating the fixed costs of owning a residence at Makai from the day-to-day costs of living your life in Cap Cana.

How do Makai's features define your core ownership costs?

Your primary ownership costs at Makai are straightforward, and how they are handled depends on whether you participate in the Wyndham-managed rental program. This structure is designed to provide clarity and peace of mind.

For owners in the rental program, most ongoing expenses are covered directly from the rental income your residence generates. The proforma treats operating costs as a share of revenue rather than itemising them, so which specific charges it absorbs — the HOA fee, utilities, internet, routine maintenance — is a question for the operator agreement, not something to assume. The program is structured so that these operating costs, which account for a projected 35% of revenue, are settled before you receive your net income. It’s a hands-off approach designed for investment.

For owners who choose to live at Makai year-round and opt out of the rental program, these costs are paid directly. The main recurring expense is the homeowners association (HOA) fee, which covers the maintenance of all common areas, including the four pools, landscaping, security, and amenities like the gym and private cinema.

How does CONFOTUR approval lower your tax burden?

Makai Residences is a CONFOTUR-approved project, benefiting from the Dominican Republic's Law 158-01 on Tourism Development. This provides significant tax advantages that directly lower the cost of ownership for first buyers.

Firstly, you are exempt from the 3% Transfer Tax (Impuesto sobre Transferencia de Bienes Inmuebles) that is typically due upon purchasing a property. Secondly, you benefit from the project's exemption from the 1% annual property tax (IPI). It's important to note this IPI tax is normally calculated only on the value of a property exceeding an annually adjusted threshold, not its full value.

The law provides this IPI exemption for a period of 15 years for qualifying projects, starting from the completion of construction. As these benefits are tied to the project itself, your attorney can confirm the status and remaining term of the exemption for your specific residence at the time of purchase.

How should I budget for transportation and getting around?

Your transportation costs will depend heavily on your lifestyle. Makai's location within Cap Cana offers significant convenience. For instance, the new Playa Caracol is just a 1,600-foot walk away, making beach trips an easy, cost-free activity. The community itself is designed to be a resort-like environment with amenities on-site, from pools to a co-working space.

For travel within the larger Cap Cana area, many residents prefer using golf carts, which are an efficient and popular way to get to the marina, restaurants, and other beaches like Juanillo. For trips further afield, such as to the Punta Cana International Airport (a 15-minute drive), taxis and ride-sharing services are readily available. Owning a car is an option, but many international owners find it unnecessary for a vacation property, which helps keep insurance and maintenance costs out of their budget.

What about daily expenses like groceries, dining, and healthcare?

This is the most variable part of any budget. Cap Cana is home to a variety of high-end restaurants, boutiques, and gourmet markets. While you can enjoy a luxurious lifestyle, more budget-conscious options are easily accessible.

A short drive outside the immediate resort area brings you to large, modern supermarkets where you can buy groceries at prices comparable to those in North America or Europe. This allows you to stock your fully-furnished kitchen at Makai and control your dining expenses.

For healthcare, Punta Cana has several modern hospitals and clinics that cater to international residents and tourists. Canada's guidance is that ambulance cover cannot be relied on across most of the country, with the tourist regions — Punta Cana among them — singled out as better served. It is always recommended to have comprehensive travel or international health insurance.

What rental income taxes should I be aware of?

CONFOTUR is documented to exempt the transfer tax and the IPI; rental income is taxed separately under its own rules, and a property-tax exemption should not be read as improving what a rental earns after tax. This is a crucial distinction for understanding your net return. Non-resident owners who earn rental income in the Dominican Republic are subject to a withholding tax. The current rate is 27% and is applied to the gross rental income, with no deductions for expenses. This is a single, definitive payment on that income.

Additionally, short-term tourist rentals are subject to an 18% ITBIS tax (the Dominican VAT). Under current law, the property owner or host is responsible for remitting this tax, not the booking platform. When you are part of the Wyndham-managed rental program at Makai, the program's financial structure accounts for these tax obligations. Your attorney and a local accountant can provide precise guidance based on your individual circumstances and the regulations in effect at the time.

Common questions

Does the Wyndham rental program cover all my ownership costs?

The program is designed to have the rental income your property generates cover its operating expenses, including HOA fees, utilities, insurance, and maintenance. These are deducted from the gross revenue before the net profit is distributed to you. This structure makes ownership largely hands-off for investors.

Are groceries and dining expensive in Punta Cana?

They don't have to be. While Cap Cana offers many fine dining options, you can easily access large, modern supermarkets just a short drive away. This gives you the choice between luxury dining and cooking in your own residence, allowing you to manage your budget effectively.

Do I need a car if I own a property at Makai?

It's a personal choice, but many owners find it's not a necessity. With the beach a 1,600-foot walk away and numerous amenities on-site, daily life is very convenient. For exploring Cap Cana, golf carts are popular, while taxis and ride-sharing services are available for longer trips.