Buying property in Costa Rica is not inherently complicated, but it does involve a structured process with specific legal and procedural requirements that must be carefully followed to protect both buyer and seller. While the process is transparent and similar in some ways to real estate transactions in North America, it requires due diligence, local knowledge, and the support of reputable professionals such as a licensed real estate agent, a qualified attorney, and a licensed escrow agent.
Foreigners have the same property ownership rights as Costa Rican citizens and can purchase property outright in their own name or through a corporation without needing residency, citizenship, or a local partner. However, special rules apply in coastal Maritime Zones, where foreign ownership is limited to 49% through a corporation, and prior permission may be required.
The process typically includes finding a property, conducting a title search and due diligence, securing financing or using an escrow account, and finalizing the transfer through a notary (who is a licensed attorney). The entire process, from initial search to closing, can take anywhere from two weeks to two months for the property search phase alone, with the closing period usually lasting 30 to 60 days after the contract is signed.
While the system is designed to be secure and fair, the lack of strict regulation in some areas, such as real estate agent licensing (though SUGEF registration is now mandatory), can pose risks if buyers do not work with experienced and reputable professionals. Therefore, while the process is manageable, it is not simple for those unfamiliar with local laws and procedures, and the risk of costly mistakes is high without proper guidance.
