On January 27, 2006, one local newspaper, "La Nacion", informed that merchants in Barrio Mexico, near to downtown, accused both the Ministry of Security and local authorities, of being inefficient and tolerant to crime. One local retailer, Edwin Acuna, declared that two thousand commercial businesses are suffering losses due to the soaring insecurity driving customers away. "Our neighborhood, he said, is infected by drug dealers operating from dwellings and lowlife canteens and homeless disturbing and assaulting pedestrians. 

Facts:

Costa Rica ranks as World's 19th in murders per capita; fifth place in the Americas after Colombia, Jamaica, Venezuela and Mexico (USA ranks as America's 7th/World's 24th). Murders reported for 2004 average 0.061 deaths per 1000. Murders for 2005 increased to 300, almost one per day (0.071 per 1000). January 2006 reported 19 crime related murders. Note: Mysteriously, Honduras, Guatemala and Salvador do not rank in this report. 

http://www.nationmaster.com/graph-T/cri_mur_percap

A nighttime trip across Costa Rica's cities reveals people caged into their ironwork enclosed homes, prisoners of prevailing insecurity. Stout ramparts and high fences -often topped by barbed wire and electrified! - surround dwellings. Security locks are a must. Armed guards, ferocious dogs and alarm systems are standard for those who can afford it. The wealthy live entrenched on eagles' nests, somehow resembling military fortresses.

During the last eleven months, my girlfriend's Toyota, protected by a superb alarm system, has resisted three robbery attempts, including one inside our ironwork-closed garage! Nevertheless, two of our visitors have been victimized at broad daylight. (Note: We live at Rohrmoser, an upper-class neighborhood.)

Car robbery is a real and present danger, as well as, in minor proportions, violent car jacking. It does not take a fancy or expensive vehicle to be at risk. Car robbers steal almost anything on wheels, oldie or bright new, including accessories. Recovery is poor. Most vehicles are cut to pieces, supplying a hungry black market. Born out of necessity, sentinels called "Guachiman" (Watchman), keep an eye on any car for a few pennies. An army of the jobless serving scared owners

Vehicles are very expensive in Costa Rica. Duties for imported used cars are 100% of Blue Book retail price. A new Jeep Liberty MSRP. $24,000 will sell here for $42,000! Parts and accessories are overpriced as well. One Sony in-dash MP3 CD deck, priced $99.00 in USA, sells here for $260.00! As of today, a gallon of regular gas costs $3.30, with customary increases every few weeks!

Cost of living

National inflation for 2005 reached 14%! (Second only to Venezuela). 2004: 12.9%! Reserved forecast for 2006: 11%! During the last decade, this fast paced cost of living has imposed a heavy toll on society, even affecting basic foods. Although GDP and exports have grown steadily, Midas has touched a very few chosen. Middle class and workers are sliding downhill. Tax evasion cost dearly to public services, hitting harder those in dire need. Otton Solis, presidential candidate for Citizen Action Party, recently declared that "Costa Rica's middle class is falling into poverty while the poor are falling into misery." 

Stretched beyond limits by crescent debts with onerous interest rates on real estate loans (18.75% to 20.5%) and credit cards (31% to 47% APR.), the historically laid-back and friendly "Tico" (Costa Rica national) is rapidly evolving into the stressed and suspicious kind. Economy and Crime besiege him. Surveys show general distrust toward government and politics. Cynicism grows at the same rate than poverty and corruption. The dream of a welfare society is crumbling. Voting abstention for 2006 Presidential elections reached 34.8% of registered voters, higher ever, while electoral support for Oscar Arias, elected president, was 24%, historically lowest.

A bloated public debt affects government capacity to deal successfully with infrastructural and social issues. Reluctant to tackling the real causes of the deficit, successive governments have transferred the load to people shoulders, while the oligarchy gets away with tax evasion and corruption. Monsignor Hugo Barrantes, Archbishop of San Jose, recently declared to Eco News that democracy in Costa Rica has been kidnaped by special interest groups, financial powers and political parties, winning elections not to work for the people, but for their own private agendas.

Making things worse, uncontrolled immigration from neighboring Nicaragua has created havoc. Although illegal immigrants provide a cheap and unskilled workforce fueling big profits on agriculture and construction, salaries have been affected, same as social services. Unemployment is higher than ever. Misery slums are spreading everywhere. As usual, Xenophobia points its dark finger over those less fortunate who came in search of a humble dream: ill-paid jobs. Nicaraguans are tagged as barbaric invaders menacing social stability. Society needs a devil to purge its faults and omissions. Poor immigrants fit that role perfectly.

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These are not good news for expatriates willing to save on their hard-earned pensions while looking for an upscale life they cannot afford in America. Expatriates may live here somehow more economically than in USA, but they should be aware that third world countries do not offer first world living standards. In addition, the biggest lost will be security.

Savings in rent and utilities are real, as well as in medical bills, but vehicles, gas, clothing, personal care items, home appliances, computers and general electronics, cost 40 to 300% more. The once famous "Pensionado program" was cancelled more than a decade ago, so in order to import the above-mentioned goods, high custom duties are mandatory. Making things even more difficult for foreign retirees, lawmakers are actually debating new legislation enforcing taxes to foreign income, including pensions! 

Furthermore, ballooning Real Estate prices are surrealistically out of touch with building costs and national rent. It's obvious that foreigners are being targeted by local and foreign developers, betting hard to promote this destiny to retire or invest on a second home. Personally, I have found no suitable dwelling for a reasonable price. I am not looking for a once in a lifetime bargain, but for a fair price. Luckily, like Odysseus, I keep myself deaf to "Mermaid's songs," staying put from sharks' jaws.

Infrastructure:

Costa Rica cities are far from what you may expect from a contemporary metropolis. Historically poor planning -urbanistically speaking- affects them all. Astonishingly, most streets have neither names, nor sidewalks. Majority of buildings have no numbers. Mail has no zip codes. The infrastructure is severely damaged. Except for a few highways, roads are in poor condition, with plenty of potholes slowing traffic, causing accidents and damaging vehicles. Poor signaling adds. 

On the other side, Costa Rica's landscape is as magnificent as ugly are its cities. Glorious nature at its best, this country has a bounty to offer those craving for a simple rural life. Springtime weather all year round at the highs lands; tropical weather at sea level. There are only two seasons: rainy and dry. The first one last for about seven months and believe me, if it's not a "Macondo's" clone -the flooding town in "One hundred years of solitude" by Nobel Prize laureate Gabriel Garcia Marquez-, it's really close. So if you like rainy days, pure nature and a simple life, this might be your destiny. 

For the urban cowboy looking for a walk on the wild side, there are brothels (masked as dating bars and massage parlors), stripper's nightclubs, a "Red Zone" fully serviced by streetwalkers and transvestites (adult prostitution is not penalized), a plethora of illegal drugs and all sort of gambling. Sins are cheaper here, no doubt. I am highly suspicious that most male visitors travel here not to embrace Mother Nature, as said. However, majority of entertaining places close before midnight and only a scarce few remain open. Streets are almost empty after dusk, due to crime and lack of money. Those accustomed to a healthy cultural and social life should better look for some other places (Argentina, Uruguay, Spain. . . ?)

A word for the wise:

If you are planning to live in Costa Rica -or any other Spanish speaking country- learn the language first. Otherwise, you will feel isolated. Local media, as well as peasants, not necessarily in that order, will be your best sources of information. If anyone tells you that you will do well here speaking in English, he must be meaning at the American Consulate. Costa Rica nationals speak Spanish and only a handful is fluid in Shakespeare's language.

It is not a good idea to collect info from tourist guides and hotel clerks for dwelling purposes. They have been programmed to enhance your experience, converting you in a faithful believer, eager to return. Besides, national pride attempts against fair judgment. A two-week trip is not what I call knowledge. If you really want to walk beyond the façade, you must actively interact for an extended period of time. American tourists are entitled to stay in Costa Rica for three months, extendable to six upon request. Rent a furnished apartment ($400-$1000 monthly) and bring your pony with you (authorities grant tourists a three-month period duty free, also extendable to six.) Insurance coverage is mandatory, but reasonably priced.

About disguised promotions:

A hired pen is not an unbiased one. Regrettably, some self-proclaimed experts in Costa Rica have ties to real estate and tourism industries. They are surreptitiously trying to convince foreigners that it is possible to own a share of paradise for a bargain. Comparing to what, Pasadena, Miami Beach, Côte d'Azur . . . ? Low purchasing power keeps most "Ticos" out of this deceptive equation, while the wealthy among them are just too smart. Considering the huge income gap between USA and Costa Rica, suitable real estate properties are overpriced and totally out of touch with local economy.

Conclusions:

As for my mercurial old friend -the one that introduced me to "dreamland"-, he sold his property in Florida, relocating here with his family in 2003. Unexpectedly, after a long time craving for an economical, relaxed and open social life, they finally found themselves hostages in an expensive and fortified residential compound at San Antonio de Belen, a small town near San Jose. Less than a year later, totally discouraged by violent crime and a much higher than expected cost of living, they returned to the states. 

As for myself, I am actually looking south. Two trips later, Panama seems like a better place to live or to invest on a second home. The cost of living is by far lower than Costa Rica, including Real Estate prices. Last year inflation rated 4%, even lower than USA (4.1%). Dwellings do not look like fortresses. No barbed wire. Many cars sleep in the streets. Additionally, we were able to walk unharmed throughout downtown Panama at 2:30 a.m.! Police officers were anywhere, providing an accurate measure of enhanced public security.

Besides, Panama City is a modern metropolis, where audacious skyscrapers reach for the clouds while facing the majestically Pacific Ocean. The infrastructure is sound. Streets are numbered, as well as buildings. Nightlife is vibrant. It is too hot and humid, true; but air conditioning is widespread. Panama also offers the best incentive's program for retirees and entrepreneurs all over the world. 

I am not promoting Panama. Neither I am an expert, nor I do I have a vested interest there. Besides, I am not even certain that Panama fulfills my expectations. Fortunately, we live in a wide world full of opportunities, where intelligence, patience and cash should be our best Lobbyists. Those who seek wisely shall be rewarded.

- - Manny Crow - Email: solomonandjunior@hotmail.com -