General Question

GreatEscape's avatar

Does anyone know the truth about the Costa Rica real estate market?

Asked by GreatEscape (68points) August 3rd, 2008

I know the US real estate market is garbage and I’m guessing that Costa rica’s is too but everyone I know says it’s fine but of course they all rely on selling this real estate to pay the bills? Does anyone know the truth about the impact of the US credit crunch on CR?

Observing members: 0 Composing members: 0

4 Answers

marinelife's avatar

Most of the people saying so are Costa Rican developers and real estate sellers so I can see why you would be wary. I did find this analysis for a US investment newsletter. Excerpt:

“The real estate hot spot is the Guanacaste Gold Coast, Costa Rica’s northern Pacific coastline, especially the 38 miles between the city of Pinilla and the Peninsula Papagayo. “Nearly 3,500 deluxe and luxury hotel rooms are expected [on the Gold Coast] within the next three years, [because of] at least nine major hotel and resort projects either under way or in the planning stages,” Simmons said. The Gold Coast area is easily accessible to tourists because of its proximity to the international airport in Liberia.”

GreatEscape's avatar

I don’t know that seems a little too sales hypey for me (not your answer but the website). I get very similar emails all the time but I keep hearing mumors of developments stopping construction half way through, real estate developers jumping ship back to the US, and new construction houses sitting empty with no buyers or even bids.

I’m going to be going down for a few months out of the year and and was looking at buying but close friends are warning me the bubble has recently popped. Any one have first hand accounts on how the recent US credit problems is effecting Costa Rica?

allengreen's avatar

My mom’s friend got ripped off to the tune of $250k. Move there and rent for awhile before making a purchase…..

GreatEscape's avatar

Thanks for the tip, that’s what I’m planning on. especially sine I saw that rent on the exact same condo was 60% than what my mortgage payment would be if I purchased it. It just seems the whole market is wacky and people are just making up prices without any thought of the actual value by traditional real estate standards.

Answer this question




to answer.

This question is in the General Section. Responses must be helpful and on-topic.

Your answer will be saved while you login or join.

Have a question? Ask Fluther!

What do you know more about?
Knowledge Networking @ Fluther