7 Tips for Investing in Real Estate in Costa Rica
Costa Rica is a paradise on Earth, nestled in the isthmus between the Pacific Ocean and the Caribbean Sea. The soothing atmosphere of this picturesque country filled with lush greenery and vegetation lures people from all around the world to come here.
There are a few clear reasons why you should buy a house in Costa Rica. This country has one of the lowest crime rates as compared to its counterparts in Central America. The people living in Costa Rica are warm and welcoming. The cost of living is not very high. And for people who are interested in investing their hard-earned money in real estate here, there is good news – real estate comes at a very affordable price. This article will serve as a guide for investors who plan to invest in real estate in Costa Rica.
Real estate in Costa Rica is now expanding. A lot of people from all around the globe are looking to invest their hard-earned money in this lovely country in order to ensure a peaceful life post-retirement. The lure of the breathtaking landscape is too tough to overcome. The beauty of this land draws many investors who rush into buying property here without much forethought. This article provides investors with a few handy tips which will prevent them from falling for falsified property deals.
Tip 1: Do not rush into signing a property deal assuming that there are many who might want to take the property away if you wait for some time. Instead, rent out the property that captured your interest, live there for a few months, see if you like the place and then sign on the dotted line. This will ensure that you get to buy a place that meets all your requirements.
Tip 2: Some properties that come up for sale in Costa Rica are, at times, a part of the land owned by the local government. Be careful while buying such land. Ensure that the property you are investing in does not in any way fall under government property. Be cautious while purchasing a small property too, since certain local laws mention that you can purchase property with a smaller area (less than 5000 sq feet) only if they are on the main road.
Tip 3: Certain investors purchase properties which are very large (around 3-4 acres). What you need to keep in mind while purchasing such properties are the overhead costs that you will eventually incur, like getting electricity connections, building roads which lead to your property, and even fencing your property. It is better to consider the overall cost that you will incur first and then negotiate with the owner on giving the best price possible.
Tip 4: Run checks of the entire neighborhood to ensure that the area is safe for family and retired people. This is because there are certain areas in Costa Rica that are not recommended, since they are infested with criminals or various crime-related activities. Running a check on the neighborhood will help you lead a stress-free purchase of the house.
Tip 5: When you, as a buyer of property in Costa Rica, and the seller have reached an agreement on the price for the property, date of purchase, and other important details, ensure that you have it in writing rather than relying on just the verbal commitment.
Tip 6: It is recommended that you engage the services of a local attorney who can guide you through the entire process of buying a property in Costa Rica. From checking the legality of the property to finally registering it in your name after the purchase, the attorney will take on these responsibilities to ease your mind.
Tip 7: Special care needs to be taken while buying houses directly. At times, there might be concerns like a leaking roof, broken sewage pipe, or improper electrical wiring. To ensure that all these things are taken care of correctly, get an engineer to run a complete check of the property and give you an assurance that you are investing your hard-earned money in buying the right property.
Finally, all the details are verified and you are ready to purchase the property, contact a local attorney who is also a Public Notary, to draw up the sale deed for the property and also execute the sale. After the sale, the attorney also has to update the records in “Folio Real,” so that you are reflected as the new owner of the property.
I hope you got value from reading: 7 Tips for Investing in Real Estate in Costa Rica. If you would like additional information about migrating to Costa Rica, please contact our office HERE. Here are a few really interesting articles about Costa Rica, and all the fun you can have whether you are contemplating a vacation or as an investment vehicle.
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