Purchasing Real Estate in Costa Rica

Costa Rica is a beautiful country with a range of sub climates and the perfect piece of property for every taste. Many people from abroad move to Costa Rica hoping to purchase their dream home in paradise, and while many successfully secure their little piece of heaven many others experience challenges during the buying process. If your dream is to own Costa Rica real estate consider these important tips to buying property in Costa Rica.

When purchasing real estate in Costa Rica making sure the property is properly registered with the with the appropriate offices is the most important step. Just because an individual has a deed to a property does not mean that the deed is legal or that the person is the legal owner. There are scam artists who will attempt to sell the same property to different people or who will attempt to sell property they do not own. It is important to investigate the real estate you are interested in with the appropriate offices and to make sure it has the proper legal documents.

There are two documents that legally define a piece of real estate in Costa Rica that you must verify before you purchase property. The escritura is a document that describes how the property is recorded in the Registro and the catastro which is the plat map of the property. Complications can arise when investigating these legal documents because they may not always coincide. It is a good idea to have a professional look up and verify these records and to understand the process so that you understand what is going on.

It is important to hire a competent attorney to handle the title transfer, but no matter how competent and attentive your attorney is you must educate yourself about the process and stay informed about what is happening in the title transfer process to ensure everything is completed accurately. There are also other documents and requirements you will need at closing which are important parts of the real estate buying process.

At closing, you will need a copy of the tax receipt to prove that all the appropriate taxes and registration fees have been paid at the date of purchase. You will also need a certificate issued by the municipal authority of the municipality where the real estate you are purchasing is located. You must provide evidence that all prior mortgages, liens and judgments have been lifted from the property you are purchasing. You will need a notary present and along with all the required paper work and permits you will need sufficient funds to pay all necessary taxes, registration, and notary fees.