Long ignored by British property hunters, the Dominican Republic is really starting to come into its own, says Isobel Palmer

It has always been breathtakingly beautiful but sadly overlooked by the UK as a place to buy. Finally, after several years of healthy investment and growth, the Dominican Republic is beginning to achieve the recognition it deserves as one of the best-value Caribbean islands for property investors.

A steady stream of A-list celebrities has helped this tropical island gain prominence. They are seduced by white beaches, fertile valleys, swathes of desert and stunning peaks. Add to the mix some world-class golf courses, the biggest marina in the Caribbean and an average daily temperature of 80ºF and you begin to understand the draw.

The economy of the Republic, or La Dominicana as the Spanish-speaking islanders call it, has proved surprisingly resistant during the recent global recession. Strong GDP growth since 2005 continued through to the first half of 2008. A dip felt in the second half affected tourist numbers, as it did in many of the world's holiday destinations. Despite economists’ gloomy forecasts, however, 2009 didn’t see any fuller impact. More than one agent on the island has said that the building schemes delayed by the downturn are back underway this year.

What about prices? Well, as one estate agent joked, there are no shacks on the beach for $15,000 as some Americans might hope, but the market still offers tremendous value for the region, and there are whispers that there is room for negotiation. There is certainly a good choice of stock, from two-bedroom, two-bathroom condos from $158,000, to larger apartments from $300,000, two-bedroom houses from $195,000, and luxury villas in the multi-million bracket. You won’t be disappointed with the range of styles, seemingly designed to suit all nationalities.

Fellow investors are a discerning bunch. Multi-millionaire hip-hop performer and producer Jay-Z and his even more famous wife, singer Beyoncé, helped put the exclusive resort of Casa de Campo on the map in December. The American celebrated his 40th birthday in the south-east coastal resort that has also boasted visits from Elizabeth Taylor and Sean (P Diddy) Combs.

Another of the island’s attractions is the cosmopolitan lifestyle and cross-cultural range of amenities. Then there are the charming locals. As bubbly American estate agent Maria Williams says: “The British have a presence here. They appreciate the local people who I think are just exceptional – humble, helpful, everything done with a smile. They always say to us, tranquillo, don’t worry! It’s the island way not to get upset. I love it.”

Read more in the March issue of Living Abroad magazine