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The canton of Alajuela is like a visiting card of the province and a mandatory crossing point for those coming or leaving Costa Rica. It is home to the Juan Santamaría International Airport, ...
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For years, Costa Rica was seen as a corner of paradise where you could retire, grow orchids, and eat papaya while counting your pills. Then ...
The Sardinal district, part of the Carrillo canton in the Guanacaste province, Costa Rica, is a community in full transformation, where rural traditions intertwine with tourism...
What's New?
Grecia is often considered one of the cleanest cities in Costa Rica and is recognized for its unique central church building made of… iron!
The canton of Alajuela is like a visiting card of the province and a mandatory crossing point for those coming or leaving Costa Rica. It is home to the Juan Santamaría International Airport, ...
The Costa Rican tax system is based on the principle of territoriality, one of the most favorable for people who earn income from outside the country....
For years, Costa Rica was seen as a corner of paradise where you could retire, grow orchids, and eat papaya while counting your pills. Then ...
The Sardinal district, part of the Carrillo canton in the Guanacaste province, Costa Rica, is a community in full transformation, where rural traditions intertwine with tourism...
What's New?
Grecia is often considered one of the cleanest cities in Costa Rica and is recognized for its unique central church building made of… iron!
The canton of Alajuela is like a visiting card of the province and a mandatory crossing point for those coming or leaving Costa Rica. It is home to the Juan Santamaría International Airport, ...
The Costa Rican tax system is based on the principle of territoriality, one of the most favorable for people who earn income from outside the country....
For years, Costa Rica was seen as a corner of paradise where you could retire, grow orchids, and eat papaya while counting your pills. Then ...
The Sardinal district, part of the Carrillo canton in the Guanacaste province, Costa Rica, is a community in full transformation, where rural traditions intertwine with tourism...
Can Non-Resident foreigners own Property
The short answer? Yes. The long answer? It depends on what and where you want to buy.
Many dream of a new beginning in a corner of paradise. In Costa Rica, that's possible—but not without understanding what it really entails.
Can Non-Resident foreigners own Property in Costa Rica?
In Costa Rica, property rights are recognized for both citizens and foreigners, regardless of residency or not, under the same conditions as Costa Rican citizens.
You do not need to be a permanent or temporary resident to legally purchase and own real estate, land, vacation homes, or apartments, either in your own name or through a Costa Rican company.
Costa Rica, known for its biodiversity, idyllic beaches, and exceptional quality of life, has become a paradise for foreigners looking to invest in real estate.
One of the most attractive aspects of this Central American country is its friendly policy toward non-resident foreigners looking to purchase property.
Below are some key points that non-resident foreigners should consider when purchasing property in Costa Rica:
Costa Rica: A Paradise for Foreign Investors
Costa Rica stands out for its biodiversity, stunning beaches, and quality of life. These characteristics make it a favorite destination for foreigners looking to invest in real estate. Its flexible policy allows non-residents to purchase property without restrictions.
Property Rights for Foreigners
Foreigners do not need residency or citizenship to purchase property in Costa Rica. They can own it outright, making it easy to invest in real estate as a vacation retreat or long-term investment.
Legal differences
How can Foreigners Buy?
The ownership right is complete.
🔹 You can buy as an individual or through a company (SRL company)
- Legal differences: buying through a local company offers additional protection (especially if you have multiple properties or plan to rent them out).
- Some law firms also recommend the LLC structure for family real estate — for succession clarity and tax management.
Many investors choose to buy through a locally registered limited liability company (S.R.L.):
- Makes it easier to manage multiple properties;
- Provides legal and tax protection;
- Allows clear co-ownership between family members;
- Ideal if you plan to rent out properties or make multiple investments.
🔹 In your own name
Any foreigner can buy a property and register it in their own name, without being a resident or having a residence permit.
Foreigners can buy:
- Single-family homes
- Apartments in condominiums
- Urban or agricultural land
- Commercial buildings
Benefits and limitations for non-residents
What Kind of Properties Can Foreigners Buy?
Key aspects to consider when buying a property
If you have a registered activity in Costa Rica (consultant, therapist, programmer, lawyer, etc.) and you invoice locally, the tax is applied to the annual net income (after deducting accepted expenses).
🔹 You can buy as an individual or through a company (SRL company)
– Define your needs: From beachfront condos to mountain homes, Costa Rica offers a wide range of options. It is essential to establish your preferences and budget before starting your search.
– Legal advice: Hiring an experienced real estate attorney is crucial to ensuring safe transactions.
– Ownership options: Foreigners can purchase property personally, through a local corporation, or through a trust, depending on their legal and tax needs.
🔹 Benefits and limitations for non-residents
✔️ You don’t need a special visa to buy.
✔️ You can rent out the property (e.g. on Airbnb)
❗ You don’t automatically get residency because you own property.
❗ Banks don’t easily provide mortgages to non-resident foreigners.
Tax and legal considerations
What are the Steps to Buy Legally?
What documents and steps are required?
- Cadastral and legal verification
- Search for a property title Fee Simple (no undocumented land).
- Property registry verification (registro nacional).
- Cadastral code, plano and plat map number.
- No mortgages, litigation or inheritance problems.
- Lawyer and notary public
- The contract is sign in a notarial deed (Escritura Pública).
- Recommended: lawyer independent of the real estate agent.
- Registration in the National Registry
- Optional: escrow account for secure payment
– Taxes: Owners must pay annual property taxes. It is advisable to consult a tax advisor to understand these obligations.
What you need to know about the Maritime Zone (Land Maritime Zone)
Here is one of the few limitations:
- The first 50 meters from the shoreline are public property, inaccessible to anyone.
- The next 150 meters can be leased, but:
- the lease is made by the municipality;
- A maximum of 49% of the rights of a concession company can be held by foreigners who have not resided in Costa Rica for at least 5 years;
- No direct sales can be made, only assignments or concessions with official approval.
In short: you can have a villa on the oceanfront, but you have to understand that it is not the same as owning the land directly.
– Coastal Regulations: Beachfront properties are subject to specific maritime laws. It is important to understand these regulations before purchasing.
How is it calculated?
What Taxes and Costs does the Purchase involve?
In Costa Rica, the public insurance system is managed by two main entities
| Fee/cost type | Approximate value |
|---|---|
| Transfer fee | 1.5% – 3.5% of the declared value |
| Notary and lawyer fees | 1% – 1,5% |
| Annual property tax | ~0.25% of the tax value |
| Home insurance (optional) | Varies by area |
The tax is progressive and varies between 0.25% and 0.55%, applied only to the value of the construction, not the land.
| Construction value (approx.) | Luxury tax rate |
|---|---|
| ₡148.000.000 – ₡371.000.000 | 0.25% |
| ₡371.000.001 – ₡742.000.000 | 0.30% |
| ₡742.000.001 – ₡1.113.000.000 | 0.35% |
| … | up to 0.55% |
Luxury Tax ("Impuesto Solidario para el Fortalecimiento de Programas de Vivienda")
This is an additional annual tax, applicable to residential properties that:
- have a construction value (not land!) of more than 148,000,000 colones (approximately $290,000 in 2025, after annual indexation);
- are intended for permanent or temporary residence (including vacation homes);
- they have “luxury” amenities (pool, jacuzzi, top finishes, etc.), but more recently the emphasis is on value, not amenities.
Why do so many foreigners buy in Costa Rica?
Buying from Abroad
It is very possible to purchase property without being physically present in Costa Rica. However, it is recommended to visit the property in person and have reliable legal representation to protect your interests.
Additional benefits: Legal residency
Obtaining legal residency in Costa Rica offers advantages such as the ability to open local bank accounts, discounts on utility services, and easier access to the Costa Rican financial system.
Why do so many foreigners buy in Costa Rica?
- Relatively political and economic stability.
- Transparent legal system (compared to other Central American countries).
- Prices still affordable outside of the ultra-touristy areas.
- Friendly tax regime for foreign income (as you already covered in the previous article).
Practical tips for a new buyer
- Work with an independent lawyer, NOT just the seller’s agent.
- Look for fee simple title (plena propiedad), not unregistered land.
- Beware of “concessions” and disputed land.
Final Considerations
Yes, you can own property in Costa Rica even if you are not a resident.
It is legal, clearly regulated and relatively simple — provided you follow the right steps, work with a good lawyer and understand the areas where the law imposes restrictions (especially the coastline and concession areas).
With the right advice and compliance with local regulations, investing can be a profitable and rewarding experience.
If you have questions or want to learn more about the acquisition process, explore our guides or contact us for personalized assistance.
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