Costa Rica Real Estate

If you're a traveler who fell in love with the beautiful beaches of Costa Rica and the awesome natural beauty of the country, and have decided to buy a Costa Rica real estate, then you should know important things about purchasing a Costa Rica real estate such as how long it's going to take and how much it might cost, after all this is an investment you won't want to leap into blindfolded. There's a lot of money involved and many things can go wrong, so you may want to take a look at and consider a few things.

Find a reliable attorney; ask somebody you have confidence in to recommend somebody they trust. The embassy or one of the consulates of your country may have some suggestions to present, or even giving a call to the Costa Rican-American Chamber of Commerce is worth the effort.

Investigate the information about the property; you may request your lawyer to perform a little research at the Public Registry about the Costa Rica real estate you want to purchase. The law of Costa Rica requires all property to be registered at the Public Registry (Registro Publico) and most Costa Rica real estates have a registration number called the 'Folio Real', having this number is how you can start to search the database. The registry's report called the 'Informe Registral' has the full information such as the title holder's name, tax appraisal, boundary lines, mortgages, liens, recorded easements, and other important information that may affect the title. The 'first in time, first in right' rule is being followed by Costa Rica which means that additions to property title are prioritized according to date they were recorded, so make sure that your lawyer investigates the title down to the beginning as you're laying out a lot of money for the property and you wouldn't want somebody to be claiming it theirs when you've peacefully settled in your beautiful new home.

Make a Transfer Deed; this is a deed that transfers the ownership of the property to you. It is made with parties, the buyer and the seller, signing the transfer deed called an 'escritura' in the presence of a lawyer. The lawyer then drafts the 'escritura' and registers the sale at the Public Registry.

The closing cost of the Costa Rica real estate; conventionally, the buyer and the seller divides the closing cost, but the division may be adjusted down or up to fit the instance. In all cases, paying the property and signing the papers is not the close of the expense, you'll see a long line with a list of other payments that need to be settled. Taxes are one of them that include documentary stamps (agrarian, hospital, Bar Association, municipal, National Archive, and fiscal) that total to 0.55% of the sale price. The Real Estate Transfer Tax is at 3% and Registration Fee is .05% both of the sale price. Notary Fees is 1.5% of the first $5,000 and 1.25% of the balance. And last but not the least, the Mortgage Registration Fees.

The Transfer Deed should be registered; you and your lawyer should bring to the Public registry complete documents which include proof of payment of all taxes and registration fees; certification issued by Finance Ministry corroborating that all seller's property taxes were paid and the Local Municipality affirming that the seller and buyer are up to date on municipal taxes; and proof that all prior mortgages, judgments, and liens have been resolved if any. After all payments have been made, make sure you check if your lawyer who drafted the deed registered it in the property section of the public registry, which should take about forty to sixty business days after presentation, and check with the notary to make sure that your Costa Rica real estate has been properly filed.

Buying a Costa Rica real estate may be a little complicated, but with the right steps followed and checked, you'll have that property in no time, just make sure you check the conditions of the house during dry and rainy seasons and ask the neighbors if they know of any problems in the house.