Can Foreigners Actually Buy Property in Costa Rica?

It's the first question almost every international buyer asks me: can I actually own property in Costa Rica? The short answer is yes — and the legal framework is more straightforward than most people expect.

Foreigners have identical property rights to citizens

There's no minimum investment requirement. No residency requirement. No need to set up a corporation or partner with a local. You can own property here the same way you'd own property in the US, Canada, or Europe.

This isn't a loophole or a workaround. It's written into Costa Rican law. The country has actively welcomed international buyers since the 1990s, and there are now well over 50,000 foreign property owners in Costa Rica.

The three forms of ownership

There are three structures you need to understand:

Fee-simple title (escritura)

This is full private ownership — your name, your deed, your property. It's registered with the National Registry (Registro Nacional), the same place where every property in the country is recorded. This is the gold standard and what you should target for almost any residential or commercial purchase.

Concession land

Beachfront land within 200 meters of the high-tide line is owned by the Costa Rican state. It cannot be privately titled. Instead, it's leased to private parties via 20-year renewable concessions.

These are legitimate investments, and many beautiful beachfront properties operate this way — but they require more careful due diligence. The renewal process is regulated, and not all concessions are easy to transfer. Always verify exactly what kind of title you're buying.

Corporate ownership (Sociedad Anónima)

Many properties in Costa Rica are held inside an S.A. — a corporation. Instead of transferring the deed, the seller transfers the shares of the company that owns the property.

This is often faster and cheaper than a traditional sale. But the buyer also inherits any liabilities of the company — past debts, unpaid taxes, lawsuits. Your attorney must audit the company before you agree to buy the shares. Skip this step and you can inherit problems that take years to untangle.

The non-negotiable step: hire your own attorney

The single biggest mistake I see international buyers make is using the seller's recommended attorney. That's a direct conflict of interest.

Hire your own licensed Costa Rican notary-attorney. Budget $1,500–$3,000 for legal fees on a typical residential transaction. A proper title search through the National Registry takes 2–4 weeks. There are no shortcuts.

A good attorney will:

• Run a full title search and confirm there are no liens, encumbrances, or boundary disputes
• Review the corporate structure if the property is held in an S.A.
• Verify property taxes are current
• Draft the Promesa de Compraventa (purchase agreement)
• Handle the escritura (closing deed) at the notary's office — often remotely via power of attorney

What it actually costs

For a typical residential purchase, expect total closing costs of 3–5% of the purchase price. This breaks down roughly as:

• Transfer tax: 1.5% of registered value
• Legal and notary fees: $1,500–$3,000
• Other administrative costs: small but add up

Ongoing, property taxes in Costa Rica are remarkably low: 0.25% of registered value annually. A $1M home pays about $2,500/year in property tax. Compare that to most US states.

So — can you buy here?

Yes. The system works. Foreigners buy property here every day, including dozens in Nosara every year. The legal protections exist. The process is documented. With the right attorney, the timeline from offer to closing is typically 45–90 days.

The real questions are:

• Where should you buy?
• What type of property fits your goals — vacation rental, primary residence, raw land, commercial?
• When is the right time relative to the local market cycle?

Those questions deserve a real conversation. If you're starting to think seriously about Costa Rica, that's where I come in.