Investing in Costa Rica Real Estate - Location, Location, Location and What the Smart Money is Doing

Sometimes it appears that everybody has beenand high human development indices, many other
harmed by the recent recession. Certainly, Costapeople like to have a second home there, too.
Rica has not been immune from the severeWhat parts of Costa Rica have been the most
recession in America and Europe. Real estate salespopular for buyers or investors of Costa Rica real
of condominiums and single family homes forestate?
expats or as second homes have slowedThe north and central parts of the Pacific coast, in
dramatically and in some areas along the Pacificparticular, with great weather and many
coast cash-strapped Americans are selling theirattractions, has been the most popular area for
tropical homes at steep discounts.Costa Rica vacation tourists for a number of
Why was real estate there so popular in the firstyears. The need for developed property meeting
place?the needs of the growing influx of vacationers
One of the smallest countries on the planet, thisand expat community has led to a substanial rise
Latin America country is popular because of itsin prices of real estate there. Hotels, resorts,
tropical beaches, picturesque coastal landscape,restaurants, bars, and places for adult and family
and its extraordinarily diverse fauna and flora.oriented fun have sprung up dramatically. This has
Indeed, though it is only about the size of Westled to an acute shortage of land in some places
Virginia, nearly one of every five plant and animalthat has brought increased upward pressure on
species on earth are found in that Centralproperty prices.
American country.San Jose and environs have also been popular
Additionally, with the Atlantic and Pacific oceansplaces because of the many conveniences like
bordering its east and west coasts, there is worldgreat malls, shopping, and terrific weather. About
famous Costa Rica fishing, diving, surfing, and40% of the country's population centered near its
sunsets, not to mention great parks andcapitol city, and increasingly short supplies of land,
volcanoes.property values have been less adversely
Tourists flock to it in droves annually for Costaaffected than the Pacific Coast.
Rica vacations, making it one of the most popularWhat are the future prospects?
tourist destinations in Latin America. Most visitorsDespite today's uncertain economic climate in the
are from America and Canada, of course, butWest, the general perception is that there will be
there are also thousands of European travelers.a substantial turn around in Costa Rica real estate.
To help it serve the booming eco tourism, medicalWhy? One reason is that, compared to North
tourism, and vacation industries, tourist amenitiesAmerica and Europe, real estate prices, particularly
have popped up on both coasts. This led to aon sunny, tropical coastlines, are not yet out of
sharp rise in Costa Rica real estate value over thethis world, just a fraction of the cost elsewhere.
last decade or so since land is one commoditySecond, the country has long been favored by
that is not plentiful there.foreign countries and investors. America and
There is more, Costa Rica was one of the world'sEurope have long been important business
first countries to understand the importance ofpartnersand many international companies have
sustainable development. That appeals to manysubstantial and growing there. Intel has large
tourists. The country has adapted to its touristcomputer chip plants that now produce more
patronage by developing and welcoming therevenue for Costa Rica than any other source.
international community. Condo construction, singleWalmart owns nearly every grocery chain in the
family homes, and subdivisions catering to expatscountry and is building large stores in many places.
accelerated dramatically in the last several alongHewlett Packard has a large presence. And
the Gold Coast. With that boom came increaseddozens of other world class companies, as well.
land prices.Many of these companies have been substantially
Additionally, more and more Americans,increasing their work forces in Costa Rica even as
Canadians, and Europeans see it as the perfectthey are reducing their American and European
place to spend their retirement years. With lots ofemployees.
sunny and sandy beaches, nearly 800 miles ofNot to mention China. Its presence is increasing
coastline, beautiful mountains always close atsubstantially, as well. It has taken advantage of
hand, year round great weather, a stable andthe softening of Costa Rica real estate prices and
democratic political system, low crime rates,investing. There are now thousands and
excellent medical and dental providers and facilities,thousands of Chinese living in this little country.