Questions

Buying Property in Costa Rica

The Constitution of Costa Rica guarantees foreigners the same rights as the local populace to purchase and own properties in Costa Rica.

In Coast Rica most land is titled and the titles are registered and archived at the office of the Public Registry in San Jose.  Most titles are currently organized by the means of a computer system called "Folio Real."  Some of them, however, especially the ones for properties that have had no transfers or other transactions affecting them for a long time, are not organized in the computer system and are still registered in the older fashion which refers to specific books, pages and entries of hard records at the register.

Property transfers require that buyers and sellers sign a deed before a Costa Rican Notary Public.  Notary Public functions in Costa Rica are somewhat different than that of other countries such as the U.S., Canada or the U.K..  The Costa Rican Notary Public is required to formalize all transactions dealing with real estate for such deeds to be recorded at the Public Register.  Attorneys will function as the Notary Public and will help you through this process.  There are different forms of ownership in Costa Rica therefore it is very important to research them all.

Real estate financing for nonresidents with Costa Rican banks and mortgage brokers is available.  Real estate financing is a relatively new concept in Costa Rica.  In the past real estate transfers had been largely cash transactions.  As more local banks become accustom to the process it will create a more competitive environment thereby reducing interest rates and costs.

Selling Property in Costa Rica

Selling your properties in Costa Rica can be handled by a Real Estate professional and an attorney.

Suggested questions you might pose to a potential real estate broker:

Suggested questions you might pose to a potential real estate broker:

• How much do you charge for your real estate services?
• How much experience you have in selling real estate?
• How do you determine the value of my property, multiple listing service?
• What is the average number of days is a property typically on the market?
• How much would you advertise my property and using what forms of advertising media?
• What are the estimated closing costs and who pays them?
• Do I need an attorney?
• What type of structure do I need to transfer it in, corporation or other?
• Will you bring only qualified buyers to see in my property?
• What if my property does not sell?
• Should I consider other alternatives, e.g., renting, rental management companies?
• How long does a listing contract continue?
• What are the tax consequences for me?
• Have you ever been licensed as a realtor broker or salesperson in the US or another country?
• Is your salesperson or broker a legal permanent resident with a cedula or another form of Costa Rica residency?