Discover how to make a dream your reality, live and retire in style by moving and investing in the Magical Paradise of Costa Rica!

January 20th, 2010 | by admin |

Costa Rica earns its reputation as the easiest country to buy property in Central America. The political stability and volume of expats help keep surprises to a minimum, while there are ample bi-lingual resources.

The actual process is fairly similar to the United States, with a certified escritura (title) and plano (survey) required for most transactions. Title insurance is available. Agents don’t have to be licensed, but the Costa Rica Chamber of Real Estate Brokers and other groups are helping to bring standards and the NAR’s ethical code to the industry.

Moving and living in Costa Rica is on the rise today. A lot of people are opting for Costa Rica as one of the best places to spend the best years of their life. Costa Rica is an enthralling country located in the isthmus of Central American between the Pacific Ocean and Caribbean Sea. When this country was discovered by Christopher Columbus in the 1500s, he named the country “Costa Rica” which means “rich coast” in English. This is because this lovely country has a rich and vast coastline.

Let’s look at what makes Costa Rica so attractive for expats. A very low rate of crime (no society is crime free), a low cost socialized health care system, inexpensive housing, a wealth of every imaginable activity to stay busy and happy, with a few excellent online English newspapers top10costarica.com, amcostarica.com, and ticotimes.net, cable and Direct TV with all of the U.S channels, high speed internet, wonderful state of the art malls, the latest movies (lucky for us all the movies here are kept in English with Spanish subtitles), buy whatever new cloths you need from brand name chains, all the fast food chains from North America (KFC, MacDonald’s, Burger King, Taco bell, subway to name a few), state of the art hospitals and cosmetic surgeons, lots of bilingual college students at the bars, great surf for the novice beginner to the veteran surfer (competitions going on yearly), simply put there’s plenty to do. This is the land of unlimited and exciting business opportunities for enterprising a foreigner. Moreover, most people can live on less than $1,500-2,000$ monthly excluding rent. Some live for less and some for more depending on their lifestyles.

When you take into account all of these factors and such intangibles as a more peaceful and laid back way of life – no price is too high to pay for living in a unique tropical paradise like Costa Rica. Housing is only a fraction of the cost and it is in most prime area of Central America not to mention hired help to keep that house tardy is a steal. A full-time maid costs around $10-20 per day. Utilities such telephones, electricity and water are much lower than in North America (much, much lower). Public transportation (taxis) is excellent and very inexpensive, so you don’t really need a car.

Faced with the spiraling cost of living, oppressive taxes and a slew of government regulations in the U.S., people of all ages including baby boomers and entrepreneurs, are searching for an affordable place to reside outside of the United States without sacrificing their current lifestyles. Costa Rica may be the place you are seeking.

You may also form a tax sheltered corporation and write off most of your business expenses. Foreigners are not required to pay taxes on external income. Internet connections average around $25 a month and the service is excellent making it very feasible to do business on a global level.

For those who wish to buy, housing prices can start around $35,000 with financing available (only need 60% down and a company like www.GapInvesters.com can finance the rest for you). Beach front property may be purchased but is usually more expensive (depending on the location).

This beautiful little country has the warmth and flavor of Mexico, without the anti-Americanism and fear of expropriations, the physical beauty of Guatemala without a large military presence and climate of fear, the sophistication of Brazil without the abject poverty or violent crime and more winter sunshine than Hawaii of Florida with fewer people.

Combine this political stability and year round spring-like weather in the Central Valley (72 degrees average), the friendly people who actually like Americans and it is easy to see why Costa Rica has become tops on the list of expatriate havens. There are more Americans living there per capita than any other country outside the U.S. The country has become very Americanized, so Americans should feel right at home.

IMPORTANT: There are also certain legal aspects that you need to keep in mind while moving to Costa Rica. There are two types of legal status that is given to a foreigner who settles down here depending on their monthly income. One status given is the “pensionado” if the monthly income of the person is a minimum of $600. The status of “rentista” is given to people who can show a monthly income of $1000 each month for the last five years (more detailed info ant top10costarica.com).

Costa Rica satisfies every need of any individual. This country is truly considered paradise on earth and you must see it for yourself. It is worth spending your hard earned money to buy your home in this wonderful land.

Are you starting to plan your retirement and worrying about how the state of the economy will affect your life style after you turn 65? Are you watching your friends make plans to cash in their paper assets, move to a smaller home, and cut down on spending? This is what many people are doing in the face of a recession in the United States right now. But you imagined having a little money to travel, visit Paris maybe, or go on a cruise. Is all of that just a fantasy now?

Well some people have discovered out how to make the dream a reality and retire in style by living and investing in paradise! It all begins with the real estate market. Those who know say the real estate market in Costa Rica is one of the most stable in the world, and prices are easily comparable to US property or lower. You could easily find a beautiful beach house for $250,000 overlooking the ocean. Or buy a piece of land near the beach for $100,000 and build your dream home. Imagine spending your days walking on the beach, a drink on the terrace, watching the sunset, and socializing with your new friendly friends who share the same enthusiasm.

You may think it sounds crazy, that people only go to Costa Rica on vacation, but that’s no longer true. More and more foreigners are living in Costa Rica, especially Europeans, Canadians, Americans and other foreigners. And they are all doing it the same way by investing in property which will only go up in value for years to come, all while living in the sunshine!

The following are just a few examples of the things that make it so easy to live the dream and retire in Costa Rica:

ONLY 2 HOURS AWAY Costa Rica is only 2 hours away from Florida and all the comforts of home. Take a long weekend in Miami and do some shopping, or grab a connector flight to visit your family, and have them come visit often! And be careful who you invite to come visit you, it is so easy to get to Costa Rica that they will certainly come!

ESPANGLISH Maybe not everyone speaks English (unless your in Lemon), but no matter where you are, there is probably someone around who will be able to translate if need be. A large majority of the population can speak at least some English, and most of the private schools are English Immersion, so from a young age many of these kids are bilingual. And hey, why not take some Spanish lessons yourself? Stretch your brain a little and make some friends while you are at it. Please try a great military product if you feel learning a new language is to tuff known as “Rosetta stone”.

COST OF LIVING The cost of living is comparable to the US if not much lower. There are some items which are shockingly inexpensive, while others are what you are used to at home (fast food chains (KFC, MacDonald’s, Burger king), cloths etc). Groceries, restaurants and shopping tend to be what as you are used to, however workers such as a maid or gardener are much less expensive than in the US (labor is cheap all around from mechanics to whatever else you can think of). It truly can be a blessing to have people around to help you with the daily choirs of life.

HEALTH CARE Health Care in Costa Rica is known for its quality and inexpensive price tag. Many of the doctors are trained in the US or Europe, and hospitals are very modern with all the latest equipment and technologies. Not to gossip but Costa Rica is known for its movie star plastic surgery!

MEDICARE Both the Costa Rican government and Medicare and are making it extremely easy for ex-patriots to receive their Medicare cheque in Costa Rica through a network of banks in now offering direct deposit to your Costa Rican bank account.

VISAS & LEGAL ISSUES Do I need a visa, or how does it work? If you are 45 years or older you can apply to be part of a retirement program set up by the Costa Rican government to encourage foreigners to come to Costa Rica. Benefits include tax exemptions and other incentives, but the greatest thing is that you don’t have to pay tax on your retirement income in Costa Rica!

CAN I OWN PROPERTY IN COSTA RICA? In Costa Rica foreigners are in no way penalized when purchasing property. Foreigners have the same rights as a Costa Rican and the law will treat them as an equal. You can also incorporate your own company and purchase the property through your company for additional tax breaks.

OF COURSE THE BEAUTY… The words Cost Rica actually mean Rich Coast, a name Christopher Columbus bestowed on this country overflowing with natural beauty, lush rainforests, mountains, cloud forests, and sandy beaches. Costa Rica is world famous for its diverse natural habitat and beautiful sunsets.

So there you have it, not a bad list of reasons to rent out your house, cash in your paper assets, and retire to a beach house in Costa Rica! There may be a coming recession, but you don’t have to live in it, or let it spoil your long awaited liberation from the rat race.

Residency in Costa Rica

A good Costa Rica residency professional is essential and will make it as easy for you as possible. The cost for this service is normally between $1000 to $2000, depending on your circumstances. My recommendation to you would be Johanna from Gap Real Estate. She is extremely efficient and she can assist you with the preparation, organization and submission of the documents required to obtain either permanent or temporary residency in Costa Rica. Call Johanna at 8373 2085 and or email her at johanna@gapinvestors.com.

There are several options if you are considering applying for residency in Costa Rica. Migratory categories and their specific requirements are described below; however, general requirements are applicable to all of them.

Any request for residency in Costa Rica should be submitted to the Costa Rican Consulate in the country of origin or residency. In the case of retirees, rentistas and foreign relatives of a Costa Rican citizen, these requests can be submitted in Costa Rica.

General Requirements

1. An application addressed to the Director General of Migration by the person concerned. If the applicant is not going to be able to go in person, he/she should grant a special power of attorney to a representative in your country, who will submit the documents at the Consulate. This power of attorney should be in Spanish, notarized and follow the authentication procedures.

2. The applicant should grant special authority to a representative (apoderado). This document could be either signed or authenticated in the Consulate. It should indicate the personal particulars of the representative (apoderado) and the address where to receive notifications, both within the judicial perimeter of San Jose

3. Full Birth Certificate which includes full parent names this is required for applicant, spouse and all dependent children up to 18 years or up to 25 if you’re a university student – proof of enrollment is required.

4. Police Certificate (not older than six months) issued by the State/Province where the applicant has lived for the past two years (required for applicant, spouse and any dependent children age 18 to 25)

5. Marriage Certificate (if the applicant is married)

6. Photocopy of the passport certified and notarized by the Costa Rican Consulate of your home country, but in this last case, the copies will also have to be authenticated. (This is required for applicant, spouse and any dependent children).

7. Four recent passport sized photographs (required for applicant, spouse and any dependent children).

8. Eligible individuals can claim their spouses and children under 18, as dependents, as well as older children with disabilities. A son or daughter between 18 and 25 can be included as dependent if he or she is enrolled in a University.

9. In the case of a family group, an individual file is required per member. Parents should sign applications on behalf of minor children.

10. In order to practice a profession, the individual concerned should provide his or her diplomas. Concerning other professional activities, relevant documentation such as courses and studies undertaken should be submitted.

All documents must be authenticated by the Costa Rican Consulate in your home town and translated to Spanish. (A Costa Rican Consulate will charge around $40 dollars in official stamps for authentication of each document).

Once you have all the required documents, send them FIRST to the Consulate of your jurisdiction, where they will be checked. If documents are complete, you will be asked to go to the Consulate for an interview and sign the application you have already sent, as well as the power of attorney. If you are not going to appear in person, you should grant a power of attorney to someone in your country who will submit the documents to the Consulate. In this case, since you are not going personally to the Consulate, the power of attorney should be already signed by you, and it should be notarized and authenticated.

The documents will be sent to Migration in Costa Rica, who will contact your representative in Costa Rica. For this purpose, you will have to pay for the courier service.

You should fulfill the following requirements depending on your immigration category. Those documents do not need to be sent together but if they are missing, your representative will be notified once Migration receives and processes the documents sent by the Consulate. He/she will have 10 days to complete those documents which are issued in Costa Rica, or 30 days if they are issued abroad. Please consider that some need to be authenticated by the Costa Rican Consulate first.

First of all you need to find out how you can qualify as a legal resident.

MIGRATORY CATEGORIES

PERMANENT RESIDENTS:

* IMMIGRANTS

* RETIREES (Pensionados)

* RENTISTS (Rentistas)

* INVESTORS (Inversionistas)

* FOREIGN RELATIVES OF A COSTA RICAN CITIZEN

TEMPORARY RESIDENTS:

* STUDENTS

* TEMPORARY WORKERS (Work visa)

Type of residencies, requirements and benefits

TYPE OF RESIDENCY: PENSIONADO (Retired)

REQUIRES: Proof of US$600 per month income from permanent pension source or retirement fund

STAY: Must remain in the country at least 4 months per year.

FAMILY: Can claim spouse and dependants under 18 years of age.

WORK: Can work as an employee