Costa Rica Real Estate Market Trends | 2024

Costa Rica's political stability, growing economy, and high quality of life continue  to attract foreign investors. This trend is expected to persist, fuelling further  growth in the real estate market. 

Given Costa Rica's global reputation for environmental stewardship, the demand  for sustainable and eco-friendly properties is increasing. This includes  developments that incorporate renewable energy, water conservation and  sustainable building materials.  

As the short-term rental market grows, there may be new regulations to address  the impact on local communities and the housing market. Investors should stay  informed about potential legal changes that could affect the profitability of  vacation rental properties.  

Costa Rica is known for its political stability and strategic initiatives designed to  attract foreign direct investment, particularly in free zones and real estate  sectors, showcasing a market ripe for long-term growth. By maintaining a stable  economic environment and actively fostering growth in key sectors such as  tourism and technology, Costa Rica positions itself as a thriving market with  substantial sustainable potential.

Costa Rica's digital nomad visa has attracted a growing number of foreign  investors and remote workers seeking temporary residency. This visa is part of a  range of measures to encourage foreign investment and visitors, contributing to  the country's economy.  

Luxury resort developments are rapidly expanding along Costa Rica's coastline.  As investors look to get away from the crowded areas, new developments offer  plenty of opportunities.  For example, in Playa Avellanas —a small coastal community near Tamarindo,  investment options vary widely, from intimate five-unit communities priced around  $350,000 within walking distance of the beach, to expansive golf resorts offering  beachfront homes up to $7,900,000. All these properties are conveniently located  just 45 minutes from the nearest airport, which increases their accessibility and  appeal.  

For those looking to develop their own resort or community, keep in mind that  Costa Rica's well-developed tourism infrastructure, including international  airports, road networks, and a wide range of hospitality services, makes it easier for developers to attract visitors and residents to their communities. This robust  infrastructure supports the overall development process, from construction to  marketing.

Given Costa Rica's reputation as a leader in ecotourism and environmental  conservation, there is a high demand for sustainable and eco-friendly real estate  projects. Developers focusing on green building practices and sustainable  community development can tap into a growing market of environmentally conscious buyers and investors.

A shift towards high-value properties could signal a strengthening of the luxury  real estate market in Costa Rica. This segment might see increased demand,  especially from international buyers looking for vacation homes, investment  properties or relocation opportunities in a country known for its natural beauty  and high quality of life.  

The evolving real estate market in Costa Rica mirrors broader economic trends  and investor sentiments, underscoring the country's unique appeal as an  investment destination. While rising interest rates pose challenges to affordability,  the growing interest in pre-construction investments and high-value properties  could lead to diversification and growth in the real estate sector. Each of these  trends highlights the dynamic nature of the Costa Rican real estate market and  its potential to adapt to changing economic conditions and buyer preferences.  

Costa Rica's tourism industry is booming, surpassing pre-pandemic levels in  terms of tourist arrivals . This surge is driving demand and prices up in the  vacation rental markets across the country, particularly in Guanacaste.