Investing in Costa Rica Real Estate in 2025: What You Should Know
October 2025 • Palm Real Estate
If you’ve been thinking about buying property in Costa Rica, this is a good time to take a closer look. The market continues to evolve, offering opportunities for lifestyle, income, and long-term value, but it also requires clarity and the right local guidance.
At Palm Real Estate, we believe in sharing real, current information to help you make informed decisions, not guesses.
1. Why Costa Rica continues to attract investors
Costa Rica remains one of Latin America’s most stable, peaceful, and foreigner-friendly countries. Ownership laws are straightforward, infrastructure continues to improve, and lifestyle appeal is stronger than ever.
The Guanacaste region, home to the Papagayo Peninsula, Playas del Coco, Playa Hermosa, and Playa Panamá, continues to see steady buyer interest thanks to its international airport access, growing local services, and the area’s mix of beaches, wellness, and adventure.
In recent years, major international brands have expanded into the region, underscoring investor confidence in Costa Rica’s future. The Waldorf Astoria Costa Rica, located between Coco and Hermosa, is now welcoming guests, while the Ritz-Carlton Reserve in Peninsula Papagayo is underway, joining the Four Seasons, Andaz, and other luxury hotels that have put the area on the world map. Just 25 minutes away, the Solarium Business Park across from Liberia International Airport continues to attract logistics, technology, and service companies, creating steady local employment and economic activity.
Costa Rica’s universal health care, strong private medical sector, and excellent educational system add to its appeal for both residents and investors. These national strengths support long-term stability and quality of life, two key reasons real estate continues to perform well in this country.
2. What’s different in 2025
After several years of rapid growth, Costa Rica’s real estate market has entered a more balanced phase.
There is now more inventory in some regions, giving buyers room to compare and negotiate. Sellers have become more realistic about pricing, and properties with strong fundamentals such as location, condition, and design are standing out.
Rather than the fast-moving, high-demand environment of past years, today’s market rewards buyers who take a thoughtful approach and work with local professionals who know the communities well.
3. Main ways to invest in Costa Rica property
A. Vacation or income properties
Homes and condos used for short-term or long-term rentals remain popular with international buyers. The key is location, management, and amenities. Properties close to the beach, with good design and reliable services, continue to rent well.
B. Second homes or future residences
Many buyers choose to purchase a home now with plans to enjoy it part-time or make it their full-time residence later on. Some rent it occasionally to offset carrying costs, while others keep it as a private getaway.
Costa Rica’s real estate market is known for its long-term stability and clear ownership laws, making it a safe and transparent place to invest. Beyond the numbers, owning property here connects you to a lifestyle centered around nature, community, and well-being, from morning walks on the beach to evenings surrounded by tropical beauty.
C. Development or land investment
For those with vision and time, land and small development projects can offer creative opportunities. Costa Rica encourages sustainable development, and areas like Guanacaste are seeing new communities built around nature, wellness, and low-impact design.
The growing presence of five-star resorts and mixed-use projects in the Papagayo area also drives demand for supporting infrastructure, services, and housing. This combination of luxury tourism and residential growth continues to strengthen the region’s position as one of Costa Rica’s most dynamic areas for future investment.
Each path has its own rhythm, budget, and level of involvement, which is why clear goals and good advice are essential from the start.
4. Important things to know before investing
Foreign ownership: 100% foreign ownership is allowed in most property types.
Residency options: The Inversionista (Investor) residency program currently accepts property or business investments starting from US $150,000.
Legal process: Work with a reputable local attorney for due diligence, title verification, and closing.
Carrying costs: Budget for annual property tax, HOA (if any), insurance, and maintenance.
Rental management: Professional management can make all the difference in occupancy and care.
5. Why timing still matters
Markets move in cycles. The current environment gives buyers more breathing room and choice, something we haven’t seen in years.
For those looking to diversify investments or secure a future lifestyle property, it’s a time to explore with focus rather than rush.
No one has a crystal ball, but well-located real estate in desirable areas of Costa Rica has shown resilience and long-term appeal.
6. How Palm Real Estate helps
We’re based in Playas del Coco and specialize in the North Pacific region, from boutique condos to development land. Our role is simple: to listen, guide, and help you find the right fit for your goals, whether that means income, relocation, or a blend of both.
We work closely with trusted attorneys, builders, and property managers so you can move forward with confidence and local insight, not just online research.
Final thoughts
Investing in Costa Rica is about more than numbers. It’s about lifestyle, security, and creating something lasting.
Whether you’re curious about rental potential, buying a second home, or exploring land for development, we’re happy to share our experience and walk you through the process step by step.
Reach out any time. We’re here to help