Costa Rica Real Estate Informations

Lake View properties in Costa Rica

admin — Mon, 07 Dec 2009 22:52:12 +0000

A Major tourist attraction or a tourist destination for other things?
The dope is Lake View properties are being photographed by the savvy investors. There has been some buzz from some experienced and knowledgeable Real Estate personnel. It is said that conventional wisdom is seeing a lot of development in the future. The major tourist attraction until now could be becoming a major tourist destination for other things. This area is clean and pure in its beauty and sees a lot of rain through out the year. This makes it an ideal location for golf course. These pieces of land are being viewed as a perfect golf course by the professional course designers. Only 2 hours of drive from San Jose and through domestic airlines even more short ride. This major tourist attraction surrounded by lake areas and mountains has the temperature that is just perfect for the golf aficionados.
As a result of the perfect conditions and good tourist attraction, these golf entrepreneurs’ interests, designers and many hotel investors are planning ways to attract more tourists. An idea suiting every condition is to design a full fledged resort that covers casino, condo sales, designed golf course, luxury hotels and rentals. Not only this but estate sized pieces of land for purchasing and building a luxury villa or customized home according to the owners specifications.
It has been almost a year for this rumor which resulted into the sky touching rates of the properties which has the views of lake. There are many golf courses that are being built in colligation to big developments taking place around the beaches that specifically involves the Guanacaste area. As it is very humid and warm at sea level, it sometimes stupefies the golf lovers thus limiting the utilization of the golf course and making the golf enthusiasts to visit in the morning hours only.

The Costa Rican Real Estate has always been an area of interest for the investors

admin — Mon, 07 Dec 2009 22:45:59 +0000

Costa Rica has got the most exciting market. The reason behind its popularity is the peaceful area, democratic government and Oscar Arias, its Peace Prize President. Its beauty and the acceptance of foreign investors have widened the growth prosperity.
You can make any type of investment in this diverse country. Large and small scale developments are being made and geographically Costa Rican offers some nice picturesque landscapes that can be anyone’s interest. The parcels of land of different sizes are available from a quarter acre to thousands of hectares. The sizes are available to suit your needs. What attracts the buyers in beaches of Costa Rica is the peaceful environment they get here to make their own small paradise. The buyer can invest here for any purpose. He or she may sell the property later on or put it on rent or may be he could make it a dream house of his own and live here. Apparently, the investment on the property may later on become a retirement home.
The larger land parcels are available with the amazing ocean views, golf courses. The serious land investors may consider every option that is available with the parcels of lands. Development is being done in the mountains regions near the Volcan Arenal area. The investors who want a rural setting with a cooler climate will enjoy the property over here.
The next type of investment involves the complete package deal to construct a residence to already finished condo projects. You can also get gate guarded developments. They are available both the beach city and in the countryside. Condo projects are available in many models, such as 1 bedroom, 2 bedrooms or 3 bedrooms. Condos are the already designed projects with the finishing options. These finishing options depends on your taste and preferences and what amenities you want in your condo. The price of a condo can range between $100,000 to millions of dollars. The most glamorous and expensive are the penthouses. They may be loaded with private pools and many other amenities.
Almost any type of property is available here at the beaches of Costa Rica. To have your own customized paradise, Costa Rica is the perfect place with the perfect natural beauty together with luxurious amenities. All your dreams can come true with the right selection and of course with an appropriate investment.

Costa Rica South Pacific Coast: Booming real estate

admin — Thu, 05 Nov 2009 04:02:04 +0000

I had a picture in my mind that includes a “bad” road, some feeble and shaky bridges with beauty of the jungle. With its virgin charm it must be too raw to be a destination thus not a choice for investment or full time place to live. When we reached there, I was into complete surprise by seeing the newly graded road just south of Quepos. Then I know that this area has already been found out and work has been started to develop the area for foreigners.As we started driving along the Costernera, the coastal highway, we encountered Hills of Portalon. This was the first place that we encountered and was under development. Hills of Portalon were a hillside community and were above the little Portalon town. People may invest home for equestrian sites in larger parcels. The houses that were newly built appeared as dots on the hills, making it more interesting to see.
After seeing the Hills of Portalon, we saw this medium sized, nice town of Matapola, which is a Costa Rican town. It is seeing growing popularity by the week. Though no foreigner would identify these areas as urban but they are growing at a rapid speed. These areas now offer shopping centers, supplies and services which would be the local resources for the inflow of new investors and entrepreneurs.
The jungles appear plainer to the eye as we drove down the coast, nearing the section of Costernera which is intersected by the Pan American Highway. The roads also start getting closer to the Pacific Ocean. The Costernera becomes a paved expressway when these two major roads are intersected, which goes into the Osa Peninsula extending towards Panama. Some of the areas like Ojochal, Uvita and Dominical that have been struck by Pan American Highway are growing rapidly. Below the above mentioned areas, extending towards Puerto Cortez will finally become boom towns as soon as there is confirmation for the new International Airport. The international Airport is said to be made in the Puerto Jimenez region. Though there still is an airport, but that is only for small flights, starting from San Jose. The prices of real estate properties are also being touched by the expected soon to be made international airport and the developments for tourists and settlers.
Ojochal, Uvita and Dominical are flourishing really fast. It would be one of the biggest mistakes to underestimate these areas potential. These areas are growing fast in terms of real estate, business opportunities, and services to tourism industry and much more.
The future of these areas seems to be in a very good shape and position. The investments made today can bring fortune to the investors. If you are looking for change in lifestyle altogether with a good investment opportunity, then this is your answer! Let go, and get out of your present boring lifestyle and put your adventure shoes on.

Costa Rica Real Estate Investments

admin — Sun, 05 Jul 2009 04:04:08 +0000

The Costa Rican Real Estate has always been an area of interest for the investors. Costa Rica has got the most exciting market. The reason behind its popularity is the peaceful area, democratic government and Oscar Arias, its Peace Prize President. Its beauty and the acceptance of foreign investors have widened the growth prosperity. You can make any type of investment in this diverse country. Large and small scale developments are being made and geographically Costa Rican offers some nice picturesque landscapes that can be anyone’s interest. The parcels of land of different sizes are available from a quarter acre to thousands of hectares. The sizes are available to suit your needs. What attracts the buyers in beaches of Costa Rica is the peaceful environment they get here to make their own small paradise. The buyer can invest here for any purpose. He or she may sell the property later on or put it on rent or may be he could make it a dream house of his own and live here. Apparently, the investment on the property may later on become a retirement home.
The larger land parcels are available with the amazing ocean views, golf courses. The serious land investors may consider every option that is available with the parcels of lands. Development is being done in the mountains regions near the Volcan Arenal area. The investors who want a rural setting with a cooler climate will enjoy the property over here.
The next type of investment involves the complete package deal to construct a residence to already finished condo projects. You can also get gate guarded developments. They are available both the beach city and in the countryside. Condo projects are available in many models, such as 1 bedroom, 2 bedrooms or 3 bedrooms. Condos are the already designed projects with the finishing options. These finishing options depends on your taste and preferences and what amenities you want in your condo. The price of a condo can range between $100,000 to millions of dollars. The most glamorous and expensive are the penthouses. They may be loaded with private pools and many other amenities.
Almost any type of property is available here at the beaches of Costa Rica. To have your own customized paradise, Costa Rica is the perfect place with the perfect natural beauty together with luxurious amenities. All your dreams can come true with the right selection and of course with an appropriate investment.

Real Estate Property Tax of Costa Rica – Exemption

admin — Fri, 12 Jun 2009 22:39:15 +0000

In accordance with the Law of Taxes on Real Estate and its Regulations, this tax was established for the sake of the local government where it is kept localized. This tax has a rate of 0.25% of the registered value.
In those cases in which the property is the “only property” of the passive subject (the owner of the real estate that must pay the tax), and if it is not included as part of a company, then it is exempt up to ¢12,141,000.00 (twelve million, one hundred and forty-one thousand colones net). This value is fixed according to the law to the equivalent of 45 base salaries, the base salary being fixed at the sum of ¢269,800.00 (two hundred sixty nine thousand, eight hundred colones net). This is in accordance with the resolution made by the Technical Normalization Agency of the General Headship of Taxation, Resolution #01-2009 – San Jose, at ten o’clock of the 15th of January of 2009. Published in La Gaceta #28 of the 10th of February of 2009.
In those cases where the value of the property is above this amount, the tax will be paid on the part that is in excess of the amount.

Real Estate Law – Real Estate in Costa Rica

admin — Fri, 12 Jun 2009 22:35:51 +0000

A lot of companies in Costa Rica has focused on legal assistance to companies that are already in operation as well as those that desire to be established in Costa Rica, as well as investors who desire to purchase properties in Costa Rica. A exclusive service for the “legal local establishment” gives a unique and excellent legal and commercial experience in everything related to needs and procedures that must be followed by those who invest in properties in our country. Our lawyers have excellent experience in Costa Rican corporate and real estate law and can offer legal support in these specific areas. Our assistence structure contains opinions on areas such as: laws, taxes, accounting, which offers a complete support in legal areas.
The range of services covers:
Escrow Agreements, Due Diligence, Purchase Options, Transfer Writings, Rental Contracts
Escrow Agreements: The decision to buy real estate is a big one, and we as lawyers know that sometimes if you are purchasing in a place that is not your place of origin the decision to tranfer funds to strangers can become quite difficult. Having the knowledge that we can offer a 100% secure escrow service to our clients using one of the most famous companies in the world for matters of title guarantees for properties, Title Company, no matter what happens previous to the closing or during the proceedings, your funds are in good hands and only if everything is 100% safe according to the law and your expectations, the funds will be transferred to the seller and the property will finally be transferred to the buyer.
Due Diligence: Costa Rica has one of the safest Public Registries in the area, with excellent technological support, but nevertheless this does not guarantee for the lawyers and the buyers that the property that they are looking to purchase is in optimal legal condition. Our firm for many years has performed due diligence on properties, and after all of these years, we have created a complete list with many areas to cover, for example: the last ten years of the history of the property, chain of ownership, property taxes, registries of encumbrances, annotations, claims, variations in property registry maps; we also analyze the seller, his history, when he bought the property, etc. The final report demonstrates a complete scenario of what the client is looking to buy.
Purchase Option: We give complete support during the process of negotiation until the signing of the option contract. In this case of processes or agreements, our lawyers concern themselves with performing the process of due diligence on the property, trying to give the potential buyer the complete information around all legal areas that will affect the purchase of the real estate. The preceeding includes areas such as taxes, annotations, encumbrances, chain of ownership, generally covering the past ten years. In our daily life of law we have managed to observe that the seller pressures the signing of an option with the least possible time, and in many cases this makes the buyer hurry and eventually causes conflicts. Keeping that in mind, we work from the legal point of view and we counsel general questions so that the agreement remains in legal margins.
Transfer Writings: Once all of the required proceedings show that everything is legal and everything is in line with the expectation of the buyer, the transfer writing involves a very important decision to take. Usually, the lawyere only transfer the property to the client following his instructions, but the decision must be taken taking into consideration the benefits, and future pros and cons. The lawyers also must take into consideration the reason for which the client is buying the property and the use that he will give it. Once again the impacts from the point of view of taxes must be taken into consideration if the the property is acquired as a real estate asset or as part of a commercial business.

Value of Real Estate Shot Up in Canton of Santo Domingo

admin — Fri, 12 Jun 2009 22:18:26 +0000

The old adobe houses in Santo Domingo (Heredia, Costa Rica) that have distinguished this canton for years have been turning into luxury residences, where who lives there least a re the Domingueños.Santo Domingo has been turning into a dormitory canton of high status, where the price of its land and real estate has risen considerably, above all in the past five years.
At this moment, the average price per square meter is $150 (around ¢67.000).
According to the chief of valuation of the municipality, Guillermo Ibarra Baez, this price is normal for the new residences that are developed in the canton.
“The amount can vary, but five years ago the value per square meter was much less than ¢50.000, and there are cases in which the value even reaches $160, which is more than ¢70.000; it’s impressive,” commented Ibarra.
The situation of high prices has created problems for neighbors.
Ericka Linares Orozco, local mayor, explained that the canton has become filled with luxury subdivisions and condominiums, inhabited by people from other places.
“The children of Domingueños don’t have the resources to buy lots here. The new generations have had to leave and people from elsewhere has come to populate here, with the inconvenience of not having roots and an identification with the canton,” explained the municipal leader.
The reason that Santo Domingo has been having an urbanistic development similar to Escazu or Santa Ana in San Jose has various explanations.
For some it is the proximity to the capital and the city of Heredia.
Others indicate that people are looking for an agreeable climate and not such a hot one as in the San Jose cantons mentioned earlier.
But also there are those that give a lot of value to the fact that the canton is attractive for people because its cleanliness and its small town image.
“I believe it’s a little of everything. But I think that the climate weighs heavily and the small town image. Escazu already became very cosmopolitan, with a lot of bars, and Santa Ana is very hot,” declared Hugo Fatjo Fernandez, who is an expert in Costa Rica real estate.
Another factor: According to this businessman, one of the elements that made the prices of the lands of Santo Domingo rise was the construction of the Hotel Bouganvillea.
“But, definitely, buyers like this urban-rural environment. They are in a very clean community, where people still say hello, say good morning, and the community is very orderly,” Fatjo added.
At this moment, besides the small adobe houses at the head of the canton, residences that easily surpass $1 million can also be observed, and not only a few.
It’s possible to find condominiums or complete residences where the lowest price of a house is $200,000. Other more “working-class” ones value $105,000.

Guaranty Trust – Costa Rica

admin — Tue, 26 May 2009 01:14:30 +0000

One of the modern figures of contracting is without doubt the Trust, the opening with which parties can reach agrement, the low registry cost and the security that it offers make it one of the figures of most interest currently.

There are various types of trusts: testamentary, guaranty, shares, administrative, etc.
Here I have undertaken the task of explaining in a simple manner one of the most commonly used:

The Guaranty Trust
• Transmission of property for the obtaining of a determined end that justifies the normal faculties of the “owner” be subordinated to the terms and obligations contained in the contract.
The norm would be to sign a mortgage for the amount that the buyer has left to pay, nevertheless, this has serious implications for both parties for which the contract of trust takes the same effect, without the secondary effects of a mortgage.
Subjects:
- Trustor: The party that has the intent of selling (the seller).
-Trustee: Thir party who has in his power the property during the length of the contract. A bank or a trust third party
-Beneficiary: The beneficiary (buyer).
TRUSTOR: Person who transfers the properties of his personal assets, in fiduciary property. In the example, it would be the seller.
BENEFICIARY: Person for whose benefit the trust is constituted, obliging the trustee to turn over the properties at the moment that the contract establishes. This would be in the seller in the example.
TRUSTEE: Has a restricted right to the property destined exclusively to the end foreseen in the contract (transfer of the property at the moment of completion of the contract). Trusted third party who will have the property registered in his name during the period of the contract.
Principal function of the trustee: Administration of the property for the benefit of the trustor and beneficiary. Responsibilities of father of household with own property.
A neutral and impartial figure.
Gives accounts of this management.
Follows instructions according to the contract without interpreting it.
Can not dispose of the property (sell, mortgage or put a lien on it).

Autonomous Personal Assets
• Separated from the assets of any other subject.
It is untouchable and can’t be interevened with judicially even in the case of bankruptcy.
During the period of the contract the property would belong to the trust.

Advantages:
• Avoids for the creditor in case of non-fulfilment by the debtor, the thorny judicial execution that must be had in the case of traditional guarantees. (Auction).
In case of disagreement it signals beforehand that all conflict will be resolved via arbitration.
Reduction of costs: exempt from payments of rights of registration and registration taxes as long as the properties remain in the trust or return to the trustor.
To Be Considered:
In those cases in which the buyer of the property can not pay the entire totality of the price, instead of establishing a mortgage for the remainder, subscribes to a trust contract, to the effect that until the buyer hasn’t paid the totality the property will not be transferred to his name.
It is here where the trust contract lends ittself to adjustments for the contractual reality, incorporating clauses such as:
• The estate remains in the hands of the trustor (buyer) as holder assuming the obligations of a depository, which is translated in a position of “owner”, for which he assumes rights to “productive use and user”.
The trustor takes advantage of the fruits of the estate and participates actively and unilaterally in its administration, management, and exploitation.
The trustee supervises to prevent damage.
Property taxes are still paid by the trustor.
The possession of the property is obtained by the “buyers” until the entirety of the payments has been achieved.
In case of non-fulfilment, all previous payments are property of the seller, without any arrangements.
The management of permits is managed by the buyer without alleging nullification by the inability to acquire one.
All of this without it being necessary to establish a mortgage on the property, which carries along with it from the point of view of taxes an increase in the fiscal value of the property and the resulting increase in the payment of taxes on the property.

Real Estate Property Tax of Costa Rica – Exemption

admin — Sun, 24 May 2009 21:54:53 +0000

Income Tax, Duties, Companies to Supervise in Costa Rica

admin — Sun, 24 May 2009 21:41:46 +0000

Annualy our Tax Administration of Costa Rica, establishes sectors or economic activities that can be subject to tax supervision.

So, aside from the list contained in the Regulations on objective criteria for the selection of contributors for supervision DECREE NO. 25925-H from the 13th of March of 1997 and modified by the DECREE NO. 27651-H of the 5th of February of 1999, and

In accordance with the Resolution #DGT-27-2008 General Headship of Taxation, taken at eleven o’lock of the 10th of December of 2008. And published in La Gaceta #27 of the 9th of February of 2009, were the following activities chosen or added:
1. IMPORTATION OR COMMERCIALIZATION OF NEW AND USED AUTOMOTIVE VEHICLES, OR THEIR SPARE PARTS, OR BOTH.
Real estate activity. This includes the concept of preparation of lands, the construction, promotion, and sale of housing, building and commercial real estate and the renting thereof.
Lending of educational services.
Free exercise of professions, including professional activity societies.
Services related to tourism such as hotels, transport, tour operators, travel agencies, excursions, leisure activities and so on.
Centers for betting, games of chance, virtual casinos, or the use of slot machines.
Passive subjects of any sector or economic activity, whose relation by quotient between the net income and the declared gross income of end results over uses, being less than this same average relation of the economic activity that is undertaken.
Vehicle workshops (repairs, maintenance, alignment, and paint)
Passive subjects of any sector or economic activity, who as a consecuence of being the object of performance actions, or initiating said proceedings, would have presented the tax declarations or would have initially rectified those present.
Related services with auxiliary activities of finance or markets, etc.
Paid transport service of people, both public and private.
Production and commercialization of pineapple and its derivates.