Buying property in a foreign country sounds complicated. It doesn't have to be. I've walked dozens of American buyers through this process and the honest truth is — Costa Rica is one of the most foreigner-friendly real estate markets in the world.
Here is exactly how it works, step by step.
As an American, you have full ownership rights in Costa Rica. No special visa, no residency, no local partner required. You can buy, sell, rent, and inherit property just like a citizen. This is protected by Costa Rican law and has been for decades.
The purchase process has six main steps. Each one is straightforward when you have the right people around you.
Before you look at a single listing, get clear on what you actually want. Retirement home? Vacation property you'll rent out when you're not there? Pure investment? Your answer changes which neighborhoods, which property types, and which price ranges make sense. This is where I start every conversation with a new buyer.
Costa Rica does not have a regulated MLS system like the U.S. Listings are fragmented across brokerages, private sellers, and word of mouth. A good local advisor — one who actually lives in the area — will surface opportunities you'd never find on your own and protect you from overpaying or buying in the wrong location.
This is non-negotiable. Your attorney will perform due diligence on the property — verifying clean title, checking for liens or encumbrances, confirming the property boundaries, and reviewing the purchase agreement. Attorney fees typically run 1–1.5% of the purchase price. Do not skip this step to save money.
Once you've found your property and done initial due diligence, you'll sign a Carta de Intención (letter of intent) or a formal purchase agreement. A deposit — typically 10% of the purchase price — is held in escrow while your attorney completes full due diligence. This process usually takes 30–60 days.
Costa Rica uses a notary public system for property transfers. Your attorney (who is also a notary) prepares the transfer deed, which is signed by both parties and registered with the National Registry. Funds are transferred via wire — typically through an escrow service. Closing usually takes 1–3 days once due diligence is complete.
Your property is registered in the National Public Registry under your name. You'll receive your registration documents, and you are now the legal owner. The registration process takes approximately 2–4 weeks after closing.
| Cost | Typical Amount |
|---|---|
| Attorney / Notary fees | 1–1.5% of purchase price |
| Transfer taxes | 1.5% of registered value |
| Registration stamps | ~0.5% of purchase price |
| Escrow fees | $500–$1,500 flat |
| Property inspection | $300–$600 |
| Total closing costs | ~3–4% of purchase price |
Costa Rican banks do offer mortgages to foreigners, but the process is lengthy and interest rates are higher than U.S. rates — typically 7–10%. Most American buyers either pay cash, use a home equity line on their U.S. property, or explore seller financing, which is more common here than you might expect.
The best thing you can do right now is have a conversation. Not a sales call — a real conversation about your goals, your timeline, and whether this market makes sense for you. I do this for free because I'd rather spend 30 minutes helping you decide clearly than waste both our time.
No obligation. No pressure. Just honest answers from someone who lives in Jaco Beach full time and has been through this process personally.
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