| Costa Rica is a Central American country with | | | | have realized just how cheap, relative to the U.S. |
| great sandy beaches, volcanoes, and tropical | | | | and Europe, land is. But, the little country has not |
| mountains. | | | | been immune from the recent worldwide |
| With the Caribbean on one side, the Pacific on the | | | | economic slowdown and prices in the expat beach |
| other, and wonderful warm blue seas teeming | | | | areas of the country have softened substantially |
| with fish, it is an ideal vacationing spot. In fact, it is | | | | in some areas, |
| one of the most visited countries in Central | | | | Nevertheless, Costa Rica real estate has been, |
| America. The tourist influx has created a booming | | | | and continues to be, a good investment because |
| industry with many hotels, resorts, golf courses, | | | | the country has a very stable political system and |
| restaurants, casinos, pubs, and locales catering to | | | | a growing economy. |
| adult activities. | | | | Unlike Mexico, foreigners can own free title to |
| As it is being discovered, more and more | | | | land. The crime rate in Costa Rica remains low, |
| Americans, Canadians, and Europeans are retiring | | | | though increasing, and human development indices |
| or living here with thousands owning second | | | | are very high compared to other Central |
| homes along the spectacular beaches or tropical | | | | American countries. |
| mountains. Unlike Mexico, foreigners can own | | | | The tourist influx has also seen the country |
| property in Costa Rica and tens of thousands live | | | | evolve to accommodate the international |
| here year-round because of its democratic | | | | community. More and more international investors |
| government, tropical climate, reasonable land | | | | have come to the conclusion that Costa Rica is a |
| prices, and spectacular laid-back natural | | | | great place to invest in real estate and their |
| environment. | | | | returns on investment have borne out that faith. |
| All this in turn led to an increase in Costa Rica real | | | | Despite today's uncertain economic climate in the |
| estate prices, particular along the magnificent | | | | States and Europe, the general perception is that |
| Pacific coast where most of the tourists go. | | | | there will be a large rebound in Costa Rica real |
| Costa Rica is a tiny country with its land mass | | | | estate. |
| constituting just one tenth of one percent, 0.1%, | | | | Why? One reason is the incessant flow of |
| of the land on the planet. This relative scarcity of | | | | investments based upon the lucrative returns to |
| available real estate in the face of development | | | | be had from property development. Another is |
| growing out of tourism has led to a boom in the | | | | that, in comparison to the Unites States and |
| real estate business over the last decade along | | | | Europe, real estate prices, particularly on sunny, |
| the coasts, in the mountains, and in urban areas. | | | | tropical coastlines remain incredibly reasonable. |
| Additionally, the massive influx of retirees and | | | | Land prices along the coasts are still just a |
| folks who choose to live in a tropical paradise and | | | | fraction of the cost elsewhere. Further, real |
| leave behind the pressures of day-to-day life has | | | | estate investors have found extraordinary returns |
| also contributed to the increase in property prices | | | | on their investments over the last decade. |
| in some coastal areas. | | | | The steepest rise in property prices and the |
| Plenty of investment has been coming into real | | | | steepest decline (due to the U.S. and European |
| estate from outside the country. The U.S. has led | | | | recession) have been along the Pacific coast. The |
| the way, of course, but there are lots of | | | | beautiful Caribbean coast remains largely |
| investors from Canada and Western Europe. | | | | undeveloped so the run-up in prices was slower. |
| My belief is that these countries will soon be | | | | And real estate prices in the Central Valley |
| joined by China which has been increasing its | | | | containing the largest city, San Jose, and some |
| presence in Costa Rica dramatically over the last | | | | 40% of the country's population have not been |
| few years. In addition to beach-front property, | | | | significantly affected because of the acute |
| the main areas of investment are farms, called | | | | shortage of available land and continuing demand |
| fincas, which are being developed into subdivisions, | | | | as more and more Ticos move to the urban |
| mountain properties, and vacation rentals. | | | | areas. |
| Real estate prices soared along the Pacific coast | | | | Before investing in real estate here, I strongly |
| and some other parts of the country because | | | | recommend taking a Costa Rica vacation. Tour |
| expatriates and people wanting second homes | | | | the country a bit. Take your time deciding. |