July 2017 South Pacific Real Estate Report
This is a broad question to answer for all of Costa Rica but for those who want to understand when, where and how to invest their money it’s as good a place as any.
Generally speaking, the economic climate in Costa Rica is positive for investment. There are a growing number of corporations moving into the country each year, reflecting a faith in the stability of the Costa Rican Colon, which has been seeing a steady positive trade against the dollar in recent years making this economy ripe for American and Euro investment.
The nation as a whole has a steady economy based in tourism and agriculture, reporting annual growth in visitors and investors. The democratically-elected governments aim to maintain low inflation and interest rates, as well as low sales taxes and property taxes to entice foreign investment.
The paths to residency are easy for investors, and the nation is often being voted at or near the top of expat satisfaction indices. And a little known fact with growing significance is that Costa Rica is one of few nations in the world with a ‘zero terrorism’ rating, showing low levels of internal conflict and strong political stability, with no military and very few weapons coming in or out of the country.
This is one of the safest and most beautiful countries in the whole world. But how does all of this reflect on the housing market for international buyers?
Both buyers and sellers contact our offices with questions about the market. They want to know if it is in fact saturated with sellers and if real estate prices are dropping. They want an unbiased opinion but don’t know where to turn outside of realtors, who are well-informed but inevitably invested in the answers they provide. Fortunately for us, we are the real estate experts in our market and we know what is for sale, what it is worth, and what terms will help make the sale, and we gladly answer these questions for our clients daily.
So, for those looking for the answer to the question of the market, when it comes to our office’s region of Costa Rica, the south pacific’s Costa Ballena, our team’s educated opinion is that it is a good time to invest in 2017
Costa Rica on the world investment map
Everyone wants to live in Costa Rica these days. They may only have it as a dream in the back of their minds, but more and more every day, we get questions from broader groups of people about if and how they can make the move. Whether for a different chapter in their lives, early retirement, or safe investment and an occasional getaway, we field more questions each month from people who have heard about our regions many wonders and want to know more.
The conditions in the Costa Ballena are good for investment and better for life, and the more that people learn about this growing region, the more we get coming through our office and putting ‘sold’ signs on their new yard. This includes members of our own team, who are also currently investing more into this region because we believe what we are telling our clients: that this is the best kept secret in all of Costa Rican real estate.
A home for visionaries
On the whole, the reputation of Costa Rica is growing on the world scene thanks to the country’s revolutionary eco-policies and safe political and social environments for visiting and investing. With it, the Costa Ballena is growing in exposure as one of the last bastions of expat investment.
The housing market in the Costa Ballena tri-town region of Ojochal, Uvita and Dominical has historically always been running at a surplus, mainly because this region has been in the development phase. However, these days ocean view lots are scarcer to find under the $100k price point and houses with beautiful ocean views under $400k are virtually off the market.
In saying that, people have all kinds of reasons for selling and many of them are not for lack of love in where they are at the moment. Family needs arise, as do those of career or simply a longing to go on the next great adventure. In any case, in our expat-rich Costa Ballena communities, we have always seen a cycle of people coming in and going out and we are here to support them in making the transition back and helping create an easy environment for buyers to quickly take over their property. We do this through expert contract negotiations, caring about the details on both ends of the spectrum.
These types of sellers are typically offering the best deals and conditions for sale but they are only a small percentage of the sellers in the region.
For the most coveted properties with the most sought-after features, owners will often list with opportunity in mind, hoping to see what kind of offer may arrive at their doorstep. These are the sellers who will accept cash offers, often using the proceeds from the sale to reinvest in the area. Offers to these clients are always good and there are deals to be had for those who can bend to fit the seller’s terms.
When servicing our beloved Costa Ballena region, we take our clients from sold to settled and back again, helping every step of the way with genuine care and consideration. Call in to our offices to speak to our knowledgeable agents who will find you the right property to suit your investment needs. There is still something special here for almost everyone and it is our pleasure to be our your introduction into our vibrant expat communities.
By Alex Swift