Your Guide to Buying & Owning Property in Costa Rica
By Palm Real Estate – Playas del Coco, Guanacaste
Updated July 2025
Welcome
Whether you’re just starting to dream of owning a home near the beach or already imagining your days under the Guanacaste sun, we’re so glad you found us.
At Palm Real Estate, we’ve been helping people from all over the world buy property in the Playas del Coco and Papagayo area since 2009. We’re not a big franchise or sales driven office, we’re a local team who loves where we live, and we’re here to offer real guidance based on experience, transparency, and care.
You’ll find plenty of real estate tips and answers in this guide, but more than that, we hope it gives you a feel for what it’s like to live, invest, or build a life in this part of Costa Rica.
This isn’t just about square footage or closing timelines. It’s about finding the right path for you, whether you’re looking for a beach home to enjoy with your family, a rental income property, or a fresh start surrounded by nature and good people.
MLS & Property Search in Costa Rica
Costa Rica launched a nationwide MLS system (Omni MLS) in 2023–2024, but participation is voluntary, and not all agents or properties are listed there yet. Many homes are still marketed through individual offices or agent networks.
That’s why having a trusted local team is important.
We use every available channel, including direct connections with other agencies, to make sure you see everything on the market that fits your needs, not just our listings.
Our priority is to represent you, not just market properties listed with our office.
Foreign Ownership & Residency Options
Foreigners enjoy equal ownership rights as Costa Ricans. You can purchase titled property in your personal name or through a Costa Rican corporation. No residency or citizenship is required.
If you’re planning to spend more time in Costa Rica, these are common residency pathways:
Investor Residency
- Requires a minimum real estate investment of $150,000
- Valid for 2 years, renewable
Pensionado Residency
- For retirees with a $1,000/month pension from a government or private source
Rentista Residency
- Requires proof of $2,500/month income or a $60,000 deposit in a Costa Rican bank
Digital Nomad Visa
- For remote workers earning at least $3,000/month individually or $4,000/month for families
- Valid for 12 months, renewable once
We work with trusted immigration attorneys who can help determine the best fit for your situation.
Streamlined Buying Process
Here’s how the typical transaction flows:
- Search – We help you narrow down based on your needs (lifestyle, rental potential, long-term plans)
- Make an Offer – A formal Offer to Purchase is submitted (price, deposit, conditions, and closing timeline)
- Escrow Deposit – A 10% deposit is wired to a licensed escrow company
- Due Diligence – Your attorney verifies title, permits, utilities, land use, etc. (≈ 21 business days)
- Inspection & Inventory – Optional home inspection + checklist of what’s included in the sale
- Closing – Legal transfer of ownership is completed, and the property is registered
Deposits remain fully refundable during the Due Diligence period.
Due Diligence – What’s Checked?
Your attorney will verify:
- Clear and transferable title
- Property boundaries and survey
- Land use and construction permissions
- Utility access (water, electricity, internet)
- Existing mortgages or liens
If any major issues are found, you can walk away and recover your deposit.
Home Inspection & Furnishings
Most resale homes and condos in Guanacaste are sold furnished, but it’s important to clarify what’s included. We recommend an inspection for:
- Structural condition
- Roofing, plumbing, and electrical systems
- Overall maintenance and functionality
We’ll connect you with trusted home inspectors and make sure your inventory is documented.
Closing Costs in Costa Rica
Buyers typically pay around 4–6% of the purchase price in closing-related fees:
- 1.5% Transfer tax
- 0.85–1% Legal stamps
- 1–1.5% Attorney & notary fees
- Escrow, registration, and administrative costs
Sellers pay the real estate commission.
If purchasing through a Costa Rican corporation, plan for setup costs ($1,000–$1,500) and annual maintenance ($200–$400).
Ongoing Ownership Costs
Estimated monthly or annual costs for a typical home or condo:
Expense:
Approximate Range:
HOA Fees (if applicable) $150 – $700 / month
Electricity (w/ A/C use) $80 – $300 / month
Water$15 – $75 / month
Internet/Cable$30 – $80 / month
Property Tax (annual)0.25% of registered value
Luxury Tax (if applicable) Applies above ~$290K
Maintenance & Landscaping$500 – $2,000 / year
Home Insurance$250 – $1,000 / year
Click here for more details on ownership costs
Renting Out Your Property
Many owners choose to rent their homes when not in Costa Rica.
Vacation Rentals
- High season: mid-December to April
- Low season: May to November
- Nightly rates: $100–$500+ depending on location, size, and amenities
Long-Term Rentals
- 6 to 12-month leases
- 2-bedroom homes: $1,200–$2,500/month
- Popular with retirees, remote workers, and local professionals
We can introduce you to local property managers who handle everything from listings and bookings to cleaning and repairs.
Life in Playas del Coco & Papagayo
Our region of Guanacaste offers a laid-back, beach-forward lifestyle with practical access to everything you need:
- Liberia International Airport (LIR) – just 30 minutes away
- Grocery stores, restaurants, cafes, and gyms
- Medical clinics and pharmacies
- International schools nearby
- Outdoor lifestyle: diving, fishing, beach hopping, hiking, and more
Whether you're here full-time or part-time, you’ll find a welcoming community and peaceful pace of life.
Safety & Community
Costa Rica is widely considered one of the safest countries in Latin America. That said, like anywhere, it’s important to follow common sense:
- Lock up when leaving the house
- Avoid leaving valuables in cars
- Know your neighbors
We’ll help you explore neighborhoods that align with your comfort level and lifestyle preferences.
Buying vs. Building – What’s Right for You?
Buying a Finished Home
Move-in or rent-out ready
Comes furnished and landscaped
Easier to finance and insure
May not meet all design preferences
Building from Scratch
Design your dream home
Often better cost per square meter
Requires time, trusted builder, and patience
Materials and labor availability may vary seasonally
We work closely with reputable architects, builders, and legal advisors. If building is on your mind, we’ll guide you through the process.
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New Buyer Checklist
Here’s a helpful list to guide your next steps:
Define your goals
Are you looking for a vacation home, an investment property, or a future full-time residence?
Set your budget
Factor in the purchase price, closing costs, furnishing, and initial setup.
Work with a qualified local agent
(Like us!) We’ll help you navigate options, avoid pitfalls, and guide you throughout the process.
Visit properties or request virtual tours
We offer in-person and remote tours depending on where you are on your journey.
Hire a trusted real estate attorney
We can recommend reputable attorneys and depending on the location of the property, we often suggest choosing a lawyer who is familiar with the specific area, permits, and municipality processes. We always recommend that buyers and sellers use separate attorneys to avoid any conflict of interest. Costa Rica, and especially Guanacaste, is a small, close-knit community, so it’s always best to keep things clear and professional.
Review ownership structure (personal or corporation)
This isn’t something you have to decide upfront. In most cases, you can choose after your offer is accepted and in consultation with your attorney, who will help determine what’s best based on your personal situation.
Make an offer
Our standard Offer to Purchase includes a clause allowing the buyer to select their attorney within 2 business days of acceptance—so there’s no pressure to have that decided in advance.
Set up utilities, internet, and local services
After closing, your attorney will typically assist with transferring water (AyA) and electricity (Coopeguanacaste or ICE) into your name. For internet, cable, and ongoing support, a local property manager can help coordinate installation and service setup.
Consider tax and residency options
We can connect you with professionals to help you explore residency paths, foreign tax implications, and any reporting requirements. For these topics, we recommend working with a residency attorney who specializes in immigration and tax matters, separate from your real estate attorney, who will focus specifically on the property transaction. Each plays a different role and brings valuable expertise to the process.
Ask about property management
Whether you’re planning to rent your property or just want someone to keep an eye on it while you’re away, we can introduce you to trusted local property managers. Depending on your goals, the location, or the type of property, different managers may be a better fit, some specialize in vacation rentals, others in long-term tenants, or owner-care services. We’re happy to recommend options that align with what you need.
Many managers can also provide rental income projections. These can vary based on how well the property is marketed, staged, and maintained. Some owners are more hands-on, while others prefer to stay passive. We’re also happy to provide a general rental income overview based on similar properties in the area.
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We’ve written this guide to help you feel more confident, informed, and supported, because we know that buying a property in another country isn’t just a transaction. It’s personal.
Wherever you are in the process, we’d be happy to connect by email, WhatsApp, or in person over a café or fresh coconut.
Your Costa Rica journey can start from right where you are and we’re here whenever you're ready.
info@palmrealestatecr.com
+506 8352-9923 (WhatsApp)
Based in Playas del Coco, Guanacaste
We live here. We work here. And we’d love to welcome you here, too.
