Owner-Financed Closing Guide
This guide is for buyers who are being
owner financed by Ocean Star Estates, LLC. You will be mailed a closing packet that includes the
following:
- Two original copies of the sales contract.
- Federal Express pre-paid return envelope.
You will need to return the following to us:
-
Two signed, original copies of the sales
contract.
-
Down payment (non-financed portion of purchase price) and closing costs (2.5% of the purchase price), in U.S. dollars, by personal check, cashier's check, or money order, payable to Ocean Star Estates, LLC; or by credit card (MasterCard, Visa, American Express or Discover).
Payments made by credit card will incur an
additional 4% transaction fee. (Note: the 3%
property transfer tax fee will be paid by buyer
once the title transfer process is initiated.)
-
Signed mortgage note.
The first month's mortgage payment and any finance fee (5% of the amount being financed if the down payment is less than 40%) are due on the first day of the first month after the 75th day following the signature date on your reservation agreement.
Important Note:
The sales contract was drafted by our Dominican
Republic attorney. Please be advised that this is
the only contract Ocean Star Estates, LLC will sign
with respect to lot sales. The contract terms are
not negotiable. The contract in your closing packet
will be a Real Estate Option to Purchase Agreement.
Once you have paid off your mortgage, you will
receive a new closing packet that will include one
of the following contracts:
- Real Estate Option to Purchase Agreement: If closing
occurs during the time period that the property is
going through the deslinde procedure and title to
the lot remains to be issued by the Puerto Plata
Title Registry in the seller's name (visit
Deslinde for more details), then the buyer and
seller will sign this contract. This contract will
be in English, and signatures by buyer and seller
must be notarized. Once the title to
the lot has been issued in the seller's name, then
the buyer and seller will sign the Real Estate
Purchase and Sale Agreement (see next bulleted
item) and title transfer to the buyer can proceed.
- Real Estate Purchase and Sale Agreement: If closing
occurs after the property has gone through the deslinde procedure and title to the lot has been
issued by the Puerto Plata Title Registry in the
seller's name (visit
Deslinde for more details), then the buyer and
seller will sign this contract. This contract will
be in Spanish (an English translation by the
Dominican Republic law firm that prepared the
contract will be provided), and notarized
signatures by buyer and seller must be legalized
by a Dominican Republic consulate or, after July
2009 when apostilles become effective in the
Dominican Republic, have an apostille. This
contract is submitted to the Puerto Plata Title
Registry for title transfer to the buyer.
All of the following conditions must be met before
this final contract can be signed: (1) if buyer is
titling the lot in the name of one or more
individuals, all individuals must have a current
passport; (2) if buyer is titling the lot in the
name of a non-Dominican Republic business, the
business must have been registered and an RNC
issued, and the business representative must have
a current passport; and (3) if buyer is titling
the lot in the name of a Dominican Republic
business, the business must be formed and an RNC
issued, and the business representative must have
a current passport.
Once all of the conditions above have been met and a final contract signed, the contract can be submitted to the Puerto Plata Title Registry for
title to be issued.
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