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THE FULFILLING AND EXCITING WAY OF LIFE
THAT EMBODIES THE ESSENCE OF COSTA RICA
GET TO KNOW OUR LIFESTYLE & HOW TO BUY PROPERTY IN COSTA RICA
Costa Rica
is a privileged country filled with abundant wildlife and innumerable beautiful ecosystems. Beaches, mountains, volcanoes, mangroves, jungles, cloud forests, are some of the places you’ll be able to indulge in and enjoy here.
We know it can be hard to even begin to decide where you want to purchase the home of your dreams. For this reason, we decided to compile and describe some of the most visited areas and markets, in an effort to help you begin this search!
ROHRMOSER / SABANA BARRIO ESCALANTE ESCAZU/SANTA ANA
CIUDAD COLON CARTAGO CURRIDABAT/ TRES RIOS
LA GUACIMA
ATENAS
HEREDIA BELEN/ CARIARI
LA FORTUNA
PUERTO VIEJO JACO
MANUEL ANTONIO
DOMINICAL
SANTA TERESA
TAMARINDO
PAPAGAYO EL COCO
FLAMINGO / RESERVA CONCHAL
LAS CATALINAS
NOSARA
Rohrmoser/Sabana
One of the capital’s older neighborhoods, planned to connect La Sabana Park and the “Museo de Arte Costarricense” through a beautiful boulevard that connects a small local airport. The urban planning that formed this walkable Costa Rican suburb makes it a hotspot for homebuyers. Rohrmoser and La Sabana have become the most prominent places to live in the Central Valley in the most recent years, with a now revived market of restaurants, shopping, and events. The area is clean, well-maintained, full of parks, the home of Costa Rica’s nunciature, and offers a good living standard. The weather is also pleasant year-round, with temperatures rarely dropping the 60 degrees Fahrenheit average.
The best parks for dog walking
The national stadium is right in the center
Fine dining and lots of cafes and bakeries
Great schools and universities around the area
Quiet and safe neighborhood
Escazu/
Santa Ana
Located on the west side of San Jose, these popular suburban neighborhoods are perfect for families. They boast a uniquely entertaining lifestyle, with many gastronomic proposals, commerce, town centers, public and private medical centers, great schools, and even several golf courses to choose from. Positioned conveniently just 15 minutes from San Jose, and an hour and a half from the beaches in the Central Pacific.
The mountain Pico Blanco is perfect for hiking
Beautiful views of the valley
Farmers’ markets during the weekends
Great school district
Varied entertainment options
Barrio Escalante
In recent years, Barrio Escalante re-emerged as the hip neighborhood in the area, which helped the entire city of San Jose to feel renewed. This residential complex is made up of 26 blocks and brings together some of the best restaurants, bars, cultural activities, walkable, green areas, and multiple activities to indulge in during the weekends, all in the heart of the historic capital. A walk around this area is enough to understand its charm; whether it’s the colorful murals that catch your eye or the delicious food that makes you come back, Escalante is the place to be, and there’s something for everyone.
Restaurants for every preference and budget
A few minutes away from the University of Costa Rica
A very active neighborhood, especially during the weekend
Parks and green areas
Antigua Aduana is a historical building that is now used for events, markets, and cultural activities
Ciudad Colon
Ciudad Colon is not a particularly big town, but what it lacks in size, it makes up for in multiculturality. With the UN’s University of Peace bringing people from all over the world, this quaint town gives the country a taste of that cosmopolitan feeling, which in turn has brought an influx of new restaurants, bars, and events to the area. It’s also a perfect representation of all the wonders that Costa Rica has to offer, and integrates nature, entertainment, education, and tradition in one small town. Ciudad Colon is particularly well-suited for outdoor activities like biking, horseback riding, and hiking, as there are many mountain paths with stunning views, waterfalls, and countless species of flora and fauna.
An hour away from the beaches of the Central Pacific
A growing multicultural community
Perfect for outdoor activities
Lush forests and present wildlife
Sunny bikini weather all year round
Curridabat/
Tres Rios
To truly submerge yourself in the rustic charm and small-town beauty of Costa Rican towns, you must go to Curridabat and Tres Rios. This area offers greenery, calmness, and serenity to all its locals – its gorgeous landscapes, unmatched coffee, and kind people will make you want to stay here forever. Curridabat, Tres Rios, and all its close surroundings offer unique experiences ranging from restaurants, nightlife, luxury hotels, and shopping centers, all enclosed and embellished by the splendor of the views and the mountain range, making it, in addition, the perfect place for a quick drive and endless outdoor activities.
Halfway between the heart of San Jose and the hills of beautiful Cartago
Fresher climate all year round
Great for family fun
All necessary amenities available
Safe suburban neighborhoods
Nosara
Nosara has developed a character like no other beach in the country. Everyone living here, whether locals or foreigners, vibes on the same frequency, and the community is very active in maintaining a thriving wellness lifestyle. Yoga studios, yoga schools, and healthy, vegan options are what you see the most, other than the lush forests that cover the area. In Nosara, tuktuks are the chosen transportation method for both locals and tourists because of the dirt roads. And when the sun goes down, everyone gathers at the beach to admire the most beautiful sunsets.
Great place for pro surfing
A very active local community
Great boutique hotels in the area
Strong ecological values among locals
The strongest yoga community in the country
Papagayo
Papagayo is home to some of the most beautiful beaches in Costa Rica, with crystal-clear waters and white sand. For this reason, some of the most luxurious resorts are located here. With amenities like golf courses, spas, and fine-dining restaurants, Papagayo is where the most elite public visits, strategically developed near the Liberia Internatixtonal Airport for people looking to go straight to the beach. It is the perfect place to relax, have a delicious cocktail at an incredible beachfront bar, and admire the views.
Great dining options
Luxurious amenities made for relaxation
The most beautiful calm beaches
Near the international Airport of Liberia
Astonishing views of nature
Las Catalinas
Las Catalinas is a unique small picturesque beach town on the Pacific coast of Costa Rica designed to resemble European beach towns. The town is known for its charming Spanish colonial architecture, vibrant colors, and stunning ocean views. With its car-free streets, friendly atmosphere, and commitment to sustainability, Las Catalinas is an ideal destination for those seeking a more authentic and eco-friendly beach experience. Whether you're looking to relax on the beach, enjoy outdoor activities like hiking and biking, or simply explore the town's many shops, restaurants, and cultural attractions, Las Catalinas has something to offer for everyone.
Car-free community perfect for relaxation
A very private and luxurious community
Perfect beaches for kayaking and trails for mountain bike
Strong eco-friendly and wellness mentality
Incredible restaurant options
Flamingo
Flamingo is located on the northwest coast of Costa Rica and features white sand and crystal clear turquoise waters that stretch for miles, ideal for swimming and depending on the tides, perfect for surfing as well. The beach is surrounded by hills and cliffs covered in green lush forests, providing a dramatic backdrop for the stunning sunsets that can be seen from the shore. Flamingo is also located in a very strategic area if you want to visit other beautiful beaches in the area. And the recent construction of the new Flamingo Marina is ideal if you want to park your boat in the Guanacaste area.
A few minutes away from beaches like Tamarindo, Playa Grande, and Las Catalinas
Beautiful beachfront properties as well as hillside properties with incredible views
Perfect beaches for bathing, kayaking and surfing
Flamingo’s new Marina
Incredible sunsets
Reserva Conchal
Conchal is a dream neighborhood that features the dreamiest white pebbled beach with a turquoise sea. It is located an hour away from the Liberia International Airport, in a very strategic area to be able to enjoy all the spectacular beaches of the North Pacific Coast, like Tamarindo, Avellanas, Grande Beach, Flamingo and Las Catalinas. This incomparable location has rendered Conchal the go-to destination for ex-pats, which has created a beautiful community of people enjoying a comfortable life in harmony with the best that Costa Rican nature has to offer. Not a day goes by in this paradise where kids aren’t enjoying the beach club, or where the parents aren’t meeting up for a delicious dinner at the beachfront restaurant. Reserva Conchal lets you indulge in the finer things in life: luxury, relaxation, and of course, nature.
Private gated community
Relaxation is guaranteed with the best spa in the area
Beach front restaurants
Calm waters, perfect for family fun
Conchal is the place where nature and luxury meet
Playas del Coco
El Coco is one of the most developed beach towns in Costa Rica with all of the important amenities like great supermarkets, beach clubs, and restaurants, while still not being as big as Tamarindo. And because the ocean is so calm, it is a very family-oriented beach. It’s the closest beach town to the international airport of Liberia. And for people traveling to learn to scuba dive, Playas del Coco is the place to go and get certified.
Great for families
Near the international airport of Liberia
The place to go if you want to learn scuba diving
Very close to other beaches like Papagayo and Playa Hermosa
Beach town with all necessary amenities
Jaco
Jaco is the closest beachtown to drive to from San Jose, which made it the place to be in the late nineties and early 2000s in Costa Rica. But the speed at which it was developed left some abandoned buildings after the 2008 economic crash. However, some years ago, the town revived in the most positive way, with a lot of restaurants and local shops opening up. It’s also the place where most people learn how to surf with very established surf schools and just a few minutes away from Playa Hermosa which is Costa Rica’s most famous surf spot.
Walkable beach town
Lots of restaurants and bakeries around town
Great surf schools
Only an hour and a half from San Jose
Very close to Hermosa Beach and Manuel Antonio
has made Santa Teresa the place to be.
Great beach for surfing
A vast beach that allows for privacy
Great bakeries in the area
A very international location
A great wellness culture
Manuel Antonio
Located in Quepos, in the province of Puntarenas, right in the center of the Pacific coast, Manuel Antonio is known internationally for its national park, which is one of Costa Rica’s most visited tourist attractions. This popular location is also home to many ex-pats who are looking to call home a beautiful community that has been thought out and developed hand in hand with nature. Besides the abundant nature that draws everyone in, Manuel Antonio natives are some of Costa Rica’s warmest people.
Great location for residents to reach San Jose and even Panama
Prevalent wildlife that interacts with tourists all the time
Culinary options are amazing
Growing international community
Tourism hotspot
Dominical
Dominical remains one of Costa Rica’s raw nature beach towns. Known for its surfing community, both ex-pats, and locals contribute to this tight-knit environment that makes everyone feel like a friend, and the town feel like home. Because of its still very rural feel, Dominical remains budget friendly and for that reason, the vibes are very relaxed, with everyone enjoying farmers’ markets, live music, and outdoor activities. With growing international interest, the right time to invest in Dominical is right now!
Open-hearted community
Because of its humidity, it’s green all year round
Home to many yoga studios and wellness centers
Many social events that include live music and festivals
Outdoor activities such as hiking, ziplining, and horseback riding
Heredia
The mountains of Heredia are every fairy’s dream: foggy, green, filled with flowers, and the most breathtaking views of the Central Valley. For those looking to escape the hot humidity of the tropics, this place is a welcome relief. It offers plenty of opportunities for outdoors activities such as hiking, biking, and birdwatching. The forests and rivers in the area are a natural playground for those who enjoy spending time outdoors. Living in the mountains of Heredia can offer a more peaceful and quiet lifestyle compared to the hustle and bustle of the city, while still being a few minutes away from all the conveniences of a city, including great schools and universities.
Breathtaking views and green areas
Perfect for outdoors activities
Disconnected from the city but still very close by
Fresh temperatures
Laid back lifestyle
Belen/Cariari
These are two of the most complete and closest neighborhoods to the Juan Santa Maria International Airport, but their charm goes beyond the proximity to the airport. Belen and Cariari are the perfect mix of suburban and metropolitan lifestyles. Originally used decades ago mostly for coffee plantations, the land parcel was eventually subdivided into three primary suburban neighborhoods, making it very safe, charming and residential. These are also packed with shopping centers, luxurious hotels, sports facilities like golf courses, and more.
20 minutes from the heart of San Jose
Walkable neighborhoods with green areas
A mild climate with generally sunny skies
Great gastronomic options
One of Costa Rica’s greatest golf course
La Fortuna
The Arenal region is one that attracts some of the most eco-oriented tourism in the country. La Fortuna, even with its growing tourist population, is one of the calmest places to visit, which ends up attracting people looking for a more permanent relocation. Overlooking the Arenal Volcano, this area is known for all its water activities, such as visiting waterfalls, bathing in hot springs, or water rafting in the lake. This town is located 3 hours away from San Jose, but it's the biggest in the area and provides all necessary amenities such as medical care, and all the luxury amenities such as fine dining options. Its vivid nature, incredible views, and year-round spring-like weather make anyone and everyone fall in love.
Luxury amenities and high-end hotels
Lush forests, lakes, rivers, and waterfalls
Dreamlike view of the Arenal Volcano
Calm and safe environment
Every outdoor activity available
Atenas
This authentic Costa Rican town surrounded by coffee and sugar cane plantations has been attracting ex-pats looking to retire for some time now. Located on the western end of the Central Valley, Atenas is close enough to the city center (only 30 minutes away) to be able to access all of its amenities, like top-notch medical care and large-scale shopping centers, while still being marginated enough to alienate the buzz and traffic of the city life. Nestled in the mountains, the town prides itself on having “the best climate in the world” with warm days and cool nights. Atenas draws you in for its beauty, its common Costa Rican culture, and its internationality.
30 minutes away from Orotina, commonly known as the “fruit town”
“World’s best climate”
Family-friendly town
Very traditional Costa Rican town
The cost of luxury in Atenas is more accessible
La Guacima
If you’re looking for a calmer environment while still being close to the hustle and bustle of the city, La Guacima is the right place. This neighborhood came to be a necessity for more privacy and tranquility while offering world-class luxuries such as incredible schools, golf courses, polo clubs, and immense fun with the Autodromo which is the top stage for racing sports in Central America and the Parque Viva Amphitheater where the best concerts in the country are presented.
No sonic pollution
Abundant greenery
Calm and walkable gated communities
Warmer weather than in San Jose
An hour away from the beaches in the Central Pacific
Cartago
Cartago is one of the provinces in Costa Rica that is part of the Central Valley. However, because of its elevated plateau, it enjoys a cooler climate and incredible views. Historically founded as the country’s capital, there is no doubt you can see its colonial past reflected in the city center’s architecture. But Cartago’s charm is hidden in the mountains where lots of the country's agriculture occurs. The cool winds brush the cows as they feed on the predominantly green lands, and you can barely listen to anything other than nature. Peace and quiet are why so many ex-pats come to Cartago to retire and live off the land.
30 minutes away from San Jose’s city center
Home to Costa Rica’s Technological Institute
Best place to retire
Huge farmers' market during the weekend
Historical city center
Puerto Viejo
Puerto Viejo is located in the province of Limon, on the Caribbean coast. The area is most known for its abundant rains, its beautiful secluded beaches, lush rainforests, and rich Afro-Caribbean culture. Being one of the rainiest places in Costa Rica, Puerto Viejo’s ultra-rich biodiversity and abundant wildlife is prevalent all year round and is home to Cahuita National Park and Refugio Nacional Gandoca-Manzanillo. And as rich as the forests are, so is the culture. Puerto Viejo carries a deep-rooted culinary culture that is conjoined to the history and tradition of music, art, and mindset. So, you can visit the crystal clear waters and soft white sand beaches, and enjoy some reggae while munching on delicious rice and beans. Puerto Viejo will surely make you fall in love with the rain and the culture.
Richness in culture and tradition
Abundant wildlife and natural reserves
Delicious traditional dishes to try
Perfect place to relax and unwind
An array of outdoor activities like zip lining, snorkeling, or water rafting
Frequently Asked Questions Purchasing Property in Costa Rica
Can a foreigner buy property in Costa Rica?
Apart from the right to vote, foreigners enjoy exactly the same rights as any Costa Rican citizen, which means that, according to the Political Constitution, anyone can legally buy and own property. Costa Rica's robust real estate market has streamlined the buying process, making it even more attractive to newcomers: citizenship, residency, or even physical presence in the country are not requirements to own a property.
What is the first step to follow to buy a property?
The first steps to purchasing your dream home in Costa Rica are: finding a trusted real estate agent to help you through the entire process, determining the ideal location, finding the home that best suits you and your family's needs, and making an offer. To make an offer, it must be put forward in writing and with the advice of a real estate consultant and a lawyer. For these cases, we recommend using the legal and fiscal services of the firm BDO (https://www.bdo.cr/en-gb/home).
Do I need residency or a visa to buy a home?
You do not need a residency or visa to buy a home. However, a valid passport is required to enter Costa Rica. Depending on your country of origin, entry visas are not required. Some examples are the US, Canada, Australia, and most European countries. Be sure to check with the appropriate consulate to confirm the specific status of your passport requirements. Foreigners can generally stay in the country for up to 90 consecutive days.
Can I obtain Costa Rican residency by purchasing a home?
The Costa Rican government views the acquisition of a property as a foreign investment, which could allow foreigners and their immediate family members to apply for residency, if the applicant makes an investment of more than USD$200,000 in the country. The nature of this investment must be specific to sectors such as tourism, reforestation, active domestic cooperation or commercial and residential properties. However, making an investment does not automatically guarantee approval for residency.
Should I hire a real estate agent??
Given that there are no specific licensing standards for real estate brokers in Costa Rica, essentially any citizen can work in this industry, and because of this, it is vital that foreigners, or anyone buying real estate in the country, do proper research on reputable real estate agencies. This opens the opportunity to hire experts in the area that interests you. A good real estate consultant will help you familiarize yourself with the area, its proximity to restaurants, hospitals, educational centers, and more. Consulting with an agent will guarantee that you find exactly what you are looking for and that the buying and/or selling process is carried out in an appropriate and professional manner.
Is there an MLS in Costa Rica?
The “Multiple Listing Service” does not exist in Costa Rica because real estate is not regulated in the country. Therefore, there is no centralized database with all available properties. It is extremely important to seek advice from a brand like Costa Rica Sotheby's International Realty that provides solidity and confidence during the search process for your next residence.
Frequently Asked Questions Purchasing Property in Costa Rica
About real estate commissions
The Costa Rican market standard is 6% of the sale price. In the country, commissions less than or greater than this 6% are also handled, depending on the product being placed and the area in which it is located. The buyer will not have to pay this commission, since the real estate commission is paid by the seller. In the case of rentals, the commission paid by the property owner is equivalent to one month's rent plus value-added tax.
It’s worth mentioning that the value-added tax (VAT) is charged on both the brokerage commission on rental and sales transactions. In the case of rentals, the monthly invoice that the landlord provides to his tenant includes the additional VAT. This VAT is declared directly to the Ministry of Finance. Additionally, the brokerage company will issue an invoice to the landlord that must also include VAT, since real estate brokerage is a service recorded with 13% tax. In summary, these are two invoices for different services.
Can I request a loan as a foreigner?
Recent changes in Costa Rican law now allow foreigners to apply for loans. Unlike before, when most financial institutions required applicants to be legal residents, the new regulations have simplified the process for foreigners seeking credit. While it’s still important to meet specific requirements and provide necessary documentation, the updated laws make it more feasible for foreigners to secure loans from local banks. If you're considering this option, it’s advisable to consult with financial institutions to understand the current criteria and process.
Do I need a lawyer?
Yes, it is crucial to count on an experienced attorney or notary to walk you through the due diligence, title registration, and corporation formation process. Citizens, residents, and foreigners should always hire a real estate attorney to ensure proper representation. In Costa Rica, only public notaries can carry out transactions to transfer properties and register said transfers before the National Registry. This procedure is carried out through a public deed that is granted in its protocol. BDO lawyers and notaries who have more than 20 years of experience in the Costa Rican market are recommended (https://www.bdo.cr/en-gb/home).
Can I acquire a property through a company or corporation?
Yes, properties in Costa Rica can be acquired in the name of a natural person or in the name of a legal person (company). To correctly execute the diligence, a lawyer will carry out the necessary procedures to validate the existence of the company, that it is up to date with its obligations, and will verify that the representative has the necessary capacity and powers under Costa Rican legislation. Acquiring a house in Costa Rica through a partnership (company/corporation) is quite common; most of the time it is done through a Limited Liability Company – which is similar to an “LLC” – or a Public Limited Company.
During this process, the need for a reliable notary and law firm becomes paramount. In the case of creating a new company, the notary will establish the company. The costs of creating a new entity in Costa Rica range from approximately USD $800 to USD$1,200.
Frequently Asked Questions Purchasing Property in Costa Rica
Can the property title be transferred? How? What are the closing costs?
Yes, the property title can be transferred. The cost of transferring a title is around 3.5% of the total purchase price of the property. This fee is commonly assumed by the buyer, who shall assume the costs, expenses, and related fees to the execution of the property purchase documents (transfer taxes, stamps, registration fees, attorneys’ fees, and public notary’s fees, etc.), which are quoted based on the total price of the asset to be acquired or the fiscal value, whichever is higher.
On the closing date, the seller and buyer shall execute a transfer deed, assuring ownership of property to the buyer.
Additionally, it is important to consider that, if the buyer is not in Costa Rica by the closing date, it is recommended that a special power be granted to your lawyer, real estate advisor, or any other trusted person, whom you allow to buy the property in your name.
What is the difference between a titled property and a concession?
A titled property belongs to whoever made the purchase and registered it in the National Registry under their name. A concession is a property that, because it is of public interest, belongs to the State, and the State has the power to grant authorization for enjoyment for a determined period by signing a concession contract. In this case, the beneficiary pays a fee.
In addition, when a property in Costa Rica is not titled and is located within the Restricted Zone of the Maritime Terrestrial Zone, it is subject to a concession. The MTZ constitutes part of the national patrimony, belongs to the State, and is inalienable and imprescriptible. The MTZ consists of a 200-meter-wide strip along the entire length of the Atlantic and Pacific coasts, which is made up of 2 sections: the public zone, which is a 50-meter-wide strip from ordinary high tide, and the areas that are exposed at low tide; and the restricted zone, constituted by the strip of the remaining 150 meters, or by the other lands in the case of islands. Regarding this, it is important to consider that municipalities may only grant concessions in the restricted areas corresponding to the maritime-land area of their respective jurisdiction. In addition, to obtain a concession, many requirements must be met before the corresponding municipality and, in some cases, before other government institutions depending on what is planned to be developed, including the Costa Rican Tourism Institute, so it is recommended that all the concession process be carried out by expert lawyers in the field.
Which documents are required for due diligence?
During the due diligence process, it is also important to have additional legal advice. The necessary documents from the sellers are usually: literal certification of the property, cadastral plan of the property, land use, proof of municipal taxes up to date, declaration of real estate before the Municipality, solidarity tax up to date (commercially known as “luxury home tax”), and proof of being up to date with public services payments. If the property is in a condominium, the condominium regulations, internal regulations, including construction and gardening (in lots or land), and proof of payment of the last condominium fee to the ownership transfer date. If the property is acquired in the name of a legal person, the Certification of Legal Entity, confirmation of the declaration of the Registry of Final Beneficiaries, and up-to-date natural person taxes are also required.
Frequently Asked Questions Purchasing Property in Costa Rica
Real Estate Taxes?
The first tax payment made after buying a property in Costa Rica is the transfer tax, which is equal to 1.5% of the price of the property. In addition to that, you must pay the annual tax of 0.25% on the registered value at your local municipality. Homeowners in the country are required to update the value of their property every five years; if they do not, the municipality will do it for them.
In addition to transfer taxes and annual property taxes, Costa Rica has introduced a luxury home tax on properties valued at over US$250,000. This is a solidarity tax whose funds will be used to subsidize social housing in Costa Rica, and it is calculated on a sliding scale from 0.25% to 0.55%.
Lastly, foreigners who purchase property in Costa Rica through a new or existing corporation are subject to corporate tax. Through this, we emphasize the importance of hiring a specialized notary or tax advisor to provide proper guidance in this process.
What is the safest way to transfer funds?
The best way to guarantee a safe and effective fund transfer during the purchase of a property is through an escrow agent, also known as fund custody services. In the case of a foreigner buying a property in Costa Rica, these services become even more attractive due to the benefits and security they provide. This is because the buyer or seller may not be familiar with transferring funds to a jurisdiction and market about which they have little information. This service ensures security in handling funds for all parties involved, facilitates the transaction, and most importantly, nationalizes and completes the due diligence process for funds coming from abroad.
What are the closing costs for escrow services?
Since the purpose of escrow services is to protect the interests of both parties, the costs are generally divided between the buyer and the seller. The process is carried out by the Escrow Agent who, once the account is opened, transfers the price to be paid for the property plus the expenses and amounts necessary to cover the transaction, including the fees of the advisors involved. Usually, the fee for the service offered by the Escrow Agent is estimated to be between USD$1,000 and USD$2,000 (depending on the value of the property).
