For Retirement, Vacation Living or Investment: Finding a
Nice Community in Costa Rica
By Andrew Mastrandonas & Preston Gitlin
Costa Rica
is an alluring place for many people. With a terrific climate, stable and democratic government, proximity to
the United States, lower cost of living, and many outdoor and cultural
activities, it is no wonder this country only the size of West Virginia remains
one of the best in the world for a vacation, retirement and investment. Over one million people visit Costa Rica each
year generating about $1 billion in revenue for the country. Tourism surpassed coffee and bananas many
years ago as the country’s top industry.
· DDo you prefer a planned, gated community where you are close (or fairly close) to your neighbors or do you prefer a more unstructured community, perhaps with a few less amenities and in a more natural setting?
· Would you prefer to live among people similar to you or would you prefer to integrate into a community that is primarily composed of Costa Ricans? Perhaps a combination of foreigners and locals is best for you?
· Do you prefer to live in a home or a condominium?
· How big of a property do you want and can you afford to maintain it?
· Are you more interested in a community that has set home plans to choose from (or existing homes already built) or would you rather hire an architect and design and build a home?
Attributes |
Property 1 |
Property 2 |
Property 3 |
Location |
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Buildable space |
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Privacy |
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Quality of infrastructure |
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Type of residents |
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Climate/weather |
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Natural setting |
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Community amenities |
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Distance to town/services |
|
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Price |
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Investment value |
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Overall Quality |
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1 = excellent
5 = poor
NA = Not applicable
While there are other considerations as you look at possible places to live, the table above is intended as a general guidepost you can take with you so you won’t forget about the attributes you liked and disliked for specific developments, particularly if you are looking at many of them.
Of particular importance in your decision-making should be climate and weather. Costa Rica has many microclimates and this will affect the weather where you might decide to live, particularly in comparison to nearby areas. For example, at a given hour it might be sunny in town but just 2-3 miles away it could be raining. Because elevations change quickly in Costa Rica, so does the weather. It is important to consider the amount of rainfall; low, high and average temperatures; and wind throughout the day and at different times during the year. Many shady developers will try to show you their land at the right time of day or year and claim the weather is always terrific. Ask people in the area—those who have lived in the area for years—to give you the real scoop on the climate and weather.
Another important consideration is the infrastructure provided by the developers of the community, particularly, electricity, water, and telephone service. Obviously, if you are going to buy a lot and intend to build a home you will need assurances in writing from the developer that at a minimum electricity and water will be provide to your “lot line” prior to closing on the property. Usually, it is the buyer’s responsibility to bring the electrical and water lines from the edge of the lot to the home. Most architects or builders will help you get this done as part of their services. However, one of the key problems buyers are facing is lack of understanding as to where their water comes from. Many developers are building wells and then telling their clients not to worry because everyone in the community will have access to water. But, who is going to ensure each member of the community chips in for his or her portion when the pump breaks, or when so many homes are built that the area needs a new pump? It is also possible that down the road, if your community’s water supply does not come from the local municipality, any shortage will be your problem well before it’s the public’s problem. When deciding on a developer to trust, demand information about the proper water studies he or she should have completed and municipal help he or she should have requested. While telephone service is standard in most places it is possible that it will not be available immediately as the government may not have the resources—or may be behind—in providing land lines to new homes. In some areas, it may take many months, and indeed years, for telephone service to be provided. However, this is usually not an issue for most people as they simply purchase cellular service which is readily available and inexpensive.
However, lastre roads can be
troublesome if your developer is not experienced in creating roadways. As
many people know, Costa Rica has two seasons: the dry season (from December to
May) and the rainy season (from June to November). A good lastre road needs to be able to
survive the rainy season. Some developers put in lastre roads in
the dry season just to see them washed away in the rainy season, and
oftentimes, the residents of a community get stuck with the bill for new roads
or repairs. How do you know, then, if the road put in by a developer is a
good one? First, and foremost, keep in mind that the surface of the road
is only part of the story. A pretty road with nice rock and sand will
look good but if the developer hasn't considered what's around the road--or
what will "attack it," it may not last through the first rain of the
season.
Taking into consideration rainfall
and proper water drainage is critical. If the developer hasn't put in suitable
drainage, rain water may spill into the road from various parts of the
development and make a mess of it. So, when looking at a lot you
potentially want to buy, talk to the developer about the roads and understand
how they were constructed, how drainage is handled and what happens if the road
needs repairs. Second, find out to what extent the developer has put
drainage pipes under the road in areas that may require them such as if there
is a small stream or spring that drains near a road. Third, ask about the
type of culverts and drainage pipes that are under the road—called “alcantarillas”—and
how big they are. The alcantarillas need
to be big enough to handle the anticipated water drainage. Finally,
before buying a lot it wouldn't hurt to go out to the property during a heavy
rainstorm and see for yourself.
There are many examples of both
terrific and poor communities in Costa Rica. In fact, most people will be able to tell fairly quickly if they believe
a development is well-planned, conveniently located and well executed just by
seeing the project, talking to people in the area, and learning about the types
of people who have already purchased property in the community. However, it is important to ask many
questions of the developer or sales person before you purchase. One of the most important issues to address
is how accurate the survey work is for the property you are interested in. For example, in our own experience we bought a
large farm from a cost-conscious developer
who had already hired his inexpensive surveyor to segregate the farm into
smaller parcels. We later found out that
the surveyor didn’t properly survey the borders. If we had not caught his mistake, unknowing
lot buyers would have bought land that they didn’t completely own! If you are not
happy with the answers you getting, move on, as there are many other choices
available.
Communities in Costa Rica are not
unlike those you would find in other places. For example, you can find communities with high-rise condos and others
offering low rise “garden style” homes—both with limited land and easy
maintenance. Other people prefer larger
tracts of land in former agricultural areas which generally have 5000 square
meters (1.25 acres) to 7000 square meters (1.73 acres) of land, depending on
local zoning requirements. Building
space in agricultural projects is ample for single-family homes, guest houses,
pools, and more. Finally, many
developments, built primarily for the local population, called “urbanizacion,”
typically have smaller lots and homes.
While there are many developments
in Costa Rica, below are a few examples known for both their high quality and
value for the price and/or investment purposes. These samples differ in price but they give you a flavor for what is
available.
DelPacifico – http://www.delpacifico.net (Pacific Coast)
Pacific Hills at Magallanes – http://www.crcommunities.com/PacificHills.html (Central Valley)
La Joya de Esperanza - http://www.everybodylovescostarica.com/costa_rica_real_estate.php (Pacific Coast)
Plantation Estates - www.plantationestatescr.com (Central Valley)
It’s rarely said that looking for real estate in Costa Rica is not an
adventure—it can be. However, it can
also be much fun if you keep your eyes and ears open and go with your most
important emotion—your common sense.
Happy hunting!
Andrew Mastrandonas, a former airline industry executive and management consultant in the United States, lives in Costa Rica where he owns a relocation tour company designed to provide an introduction to Costa Rica for retirees and others considering moving here. He also owns a bed & breakfast and writes about travel, community issues, and culture for a variety of publications, including the Tico Times. Andrew can be reached directly at [email protected]. Preston Gitlin, President of CR Communities, a real estate development company offering ocean view properties in San Ramon, contributed to this article. Preston can be reached at [email protected]. More information can be found here: www.crcommunities.com, www.boomersincostarica.com, and www.AngelValleyFarmBandB.com
Thanks so much for the information
Chris
www.costaricadreamsforsale.com
Posted by: Chris | July 27, 2011 at 09:25 PM
You offer up a great framework for comparing real estate communities in Costa Rica. (I wish we'd seen this earlier) Building a criteria list as you suggest takes some of the emotion out of decision-making which is probably a good thing at times. I'd probably add commitment to social and environmental responsibility to my list.
Posted by: Jane Bakerson | July 08, 2009 at 11:33 PM
we are canadiens looking for a nice place to rent for 2 to 3 years with 2 to 3 bedrooms and a pool or close to the water willing to pay 1500.00 a month and if we like the country we are going to buy could you help us and put us in the right directions thank you Dan &Pat lantz
Posted by: dan lantz | September 28, 2008 at 01:47 PM