Purchase Guide
Although there are some differences from purchasing in other countries, the process is not too complicated.
Our simple steps guide you through the stages required to own your very own patch of paradise in the Sun!
Why Buy Property in Costa Rica?
Costa Rica is known for its beautiful landscapes, pleasant climate, and a relaxed pace of life. Whether you’re looking for a retirement home, a vacation property, or an investment opportunity, Costa Rica offers a variety of real estate options to suit your needs. Buying property here is not overly complicated, and with a reliable real estate agent and legal representative by your side, you can smoothly navigate the process.
How to purchase a house in Costa Rica?
Costa Rica has become an increasingly attractive destination for those seeking to own a slice of paradise. Whether you’re drawn to the stunning beaches, lush rainforests, or laid-back lifestyle, buying a property here can be a life-changing decision. Though the process might seem a bit different from purchasing a home in other countries, it’s straightforward if approached methodically. In this article, we’ll break down the steps to guide you on your journey to homeownership in Costa Rica.
Start Step by Step
Step 1: Establish Your Budget and Financing Options
The first step in buying a home in Costa Rica is understanding your financial situation. Whether you’re planning to finance the purchase through a mortgage or pay upfront, determining a comfortable budget is essential. Consider not only the purchase price but also additional costs such as taxes, legal fees, and closing costs.
If you opt for a mortgage, it’s important to have a clear understanding of the terms and ensure that your banking institution supports international property purchases.
Step 2: Find a Trusted Real Estate Agent
A knowledgeable and experienced real estate agent is crucial when purchasing property in Costa Rica. At Nohara Estates Costa Rica, we pride ourselves on offering personalized and expert guidance for international buyers. As one of the most trusted real estate agencies in the region, we ensure a smooth and transparent buying process, helping you find the perfect property that aligns with your needs.
In addition to finding an agent you feel comfortable with, it’s highly recommended to have a Buyer Representation Agreement in place. This agreement protects your interests and ensures that your agent is fully committed to finding the best possible property for you. At Nohara Estates, we prioritize building long-term relationships with our clients, so you can rest assured you’re in the best hands.
Step 3: Plan Your Visit to Costa Rica
Once you’ve identified a selection of properties you’re interested in, it’s time to plan a trip to Costa Rica for viewings. Visiting in person is a crucial step because it allows you to see the property, experience the neighborhood, and assess the overall environment firsthand.
Your real estate agent will assist in arranging all viewings and ensure that your visit is both productive and enjoyable.
Step 4: Property Viewings
Take your time during the viewing process. Whether you’re looking at beachfront villas or jungle hideaways, make sure the property fits your lifestyle and needs. Ask your agent any questions you may have, and take note of all the property details, from structural conditions to potential renovation needs.
At Nohara Estates Costa Rica, our agents handle every detail of the viewing process, ensuring you feel informed and comfortable at every step. We believe in taking the time to truly understand your vision, so the properties you view are not just available options, but real contenders that match your expectations.
Step 5: Engage a Legal Representative
In Costa Rica, it’s essential to have a reliable legal representative (attorney) who will handle the legal aspects of your purchase. Your attorney will assist in ensuring that the property is free of any legal issues, including unpaid taxes or liens, and will ensure that the title is clear.
Additionally, your attorney will help with mortgage approval, should you require one, and will be responsible for handling all contractual agreements.
Step 6: Make an Offer
Once you’ve chosen the perfect property, it’s time to make an offer. This is typically done in writing, with your real estate agent handling the negotiation on your behalf. If your offer is accepted, you’ll move forward with placing a small deposit to secure the property.
Nohara Estates Costa Rica always recommends the usage of a secure Escrow account in the USA to handle the transaction safely. This ensures that the funds are protected until the sale is fully completed, providing added security and peace of mind for both the buyer and the seller.
This deposit is usually held by your attorney to guarantee the offer, providing peace of mind for both buyer and seller.
Step 7: Secure Your Reservation
After the offer has been accepted, a reservation deposit is made to secure the property. This small deposit is typically sent to your attorney and held in escrow. It shows the seller that you are serious about purchasing the property and allows you time to finalize the remaining steps without the risk of losing your chosen home.
Step 8: Finalizing the Deed of Sale
Once all the legal checks are completed and financing is in order, your attorney will draft the final Deed of Sale. This contract, once signed by all parties, makes the transaction official. At this point, the property is legally yours, and the sale is binding.
Choosing the Right Property
Finding your dream home in Costa Rica is more than just following steps. It’s about making sure the property meets your every expectation. Take your time inspecting each home, both visually and structurally, to ensure it aligns with your desires and investment goals.
Nohara Estates Costa Rica can assist you at every stage, from curating a tailored list of properties to providing invaluable insights into local neighborhoods. Whether you’re looking at resale properties or new developments, having an experienced team like Nohara by your side can make all the difference.
- For resale properties, it’s important to know that the previous owners will likely have their own legal representation to ensure that the transaction is transparent and that all property guarantees are upheld.
- For new developments or off-plan purchases, your agent will introduce you to the developers and guide you through the entire construction and design process.
Financing Options and Considerations
Before committing to any property, you must establish a clear understanding of your budget. Your agent can help you explore options that fit within your financial comfort zone. In Costa Rica, property buyers can secure financing through local banks, though terms may vary. For non-residents, it is often more common to use personal funds or finance through home countries.
Working with an Attorney
Your attorney in Costa Rica plays a pivotal role throughout the buying process. Aside from ensuring the property is legally sound, they will assist in managing any additional legal fees or hidden costs you may encounter. A great attorney will also help in drafting or updating your will, ensuring a smooth transfer of assets in the future.
Taxes and Fees
Costa Rica boasts relatively low property taxes. At the time of purchase, you’ll pay 3.5% of the property’s price in transfer taxes. After that, ongoing property tax is just 0.25% annually, making owning a home in Costa Rica a financially viable option.
Closing the Deal and Taking Possession
Once all legal formalities are completed, it’s time for the most exciting part – taking possession of your new home! Your real estate agent will be there to hand over the keys and ensure everything is in order. If possible, the seller may even greet you to celebrate the occasion.
From this point forward, the home is yours to enjoy, whether it becomes your permanent residence, a vacation retreat, or an investment rental. With Nohara Estates Costa Rica guiding you throughout the process, you can be confident that every detail has been handled, allowing you to focus on the excitement of this new chapter.
Purchasing property in Costa Rica can be a rewarding and straightforward process when you follow the right steps. With careful planning, a trusted team of professionals, and an understanding of the local market, owning your dream home in Costa Rica is well within reach. Whether you’re drawn to the beautiful coastlines or the serene mountain regions, Costa Rica offers an unmatched opportunity to live your tropical dream.
Now is the time to begin your journey to homeownership in one of the world’s most stunning destinations. Ready to take the next step? Nohara Estates Costa Rica is here to help guide you every step of the way, ensuring a smooth, secure, and enjoyable real estate experience.
