Authored by the expert who managed and guided the team behind the Costa Rica Property Pack
Everything you need to know before buying real estate is included in our Costa Rica Property Pack
Costa Rica's property market shows significant regional variations as we reach mid-2025.
Coastal areas experienced major price corrections in 2024-2025, while Central Valley markets remain stable with moderate growth. Foreign buyers now represent nearly 40% of all transactions, with strong infrastructure investments driving development in previously remote areas.
If you want to go deeper, you can check our pack of documents related to the real estate market in Costa Rica, based on reliable facts and data, not opinions or rumors.
Costa Rica's property market averaged $1,021 per square meter in June 2025, with coastal areas seeing 30-40% price drops while Central Valley and Southern Zone markets gained strength.
Foreign investment drives 40% of transactions, with rental yields ranging from 5-17% depending on location and property type.
| Region | Avg. Price/m² (USD) | Rental Yield | Market Trend |
|---|---|---|---|
| San José (Condos) | $1,724–$2,343 | 8.25–8.6% | Stable/Up |
| Central Valley | $1,110–$1,180 | 7–8% | Stable/Up |
| Guanacaste (Coastal) | $2,221–$3,298 | 7–10%+ | Correcting/Stable |
| Jacó/Manuel Antonio | $1,500–$3,500 | 6–9% | Rising |
| Southern Zone | Varies | 5–8% | Surging |
| Caribbean Coast | $971–$1,133 | 5–7% | Emerging |
What's the average price per square meter for residential and commercial properties in Costa Rica right now?
Costa Rica's residential property market averaged $1,021 per square meter as of June 2025.
In San José and the Central Valley, houses cost between $1,110-$1,180 per square meter, while condos command higher prices at $1,724-$2,343 per square meter. Guanacaste's coastal properties are the most expensive, with houses averaging $2,221 per square meter and condos reaching $2,896 per square meter.
Beachfront properties in Guanacaste push prices even higher at $2,725-$3,298 per square meter. The Central Pacific region, including Jacó, sees houses priced at $1,500-$2,000 per square meter, with beachfront properties jumping to $2,500-$3,500 per square meter. The Caribbean Coast offers more affordable options, with houses at $971 per square meter and condos at $1,133 per square meter.
Commercial properties generally follow residential trends in urban centers, often commanding higher prices per square meter. In San José, prime commercial real estate ranges from $2,000-$3,500 per square meter, though this varies significantly by location.
Rural and inland areas remain significantly cheaper, with some locations like Bahía Gigante offering land at just $175 per square meter.
How have property prices evolved over the last 6 to 12 months, and what's the forecast for the next year or two?
Costa Rica's property market experienced a 16.4% increase over two years, rising from $877 per square meter in 2023 to $1,021 per square meter in 2025.
However, different regions saw dramatically different trends. Coastal and luxury markets in Guanacaste, Tamarindo, and Nosara experienced sharp corrections of 30-40% in 2024-2025 due to oversupply and reduced speculative demand. Conversely, the Central Valley and San José markets remained stable with moderate increases of 4-6% driven by strong local and expat demand.
The Southern Zone bucked all trends with a remarkable 42% year-over-year price surge, driven by infrastructure improvements and growing eco-tourism. The Central Valley showed resilience with steady 3-5% annual appreciation expected through 2026-2027.
Looking ahead, market analysts expect stabilization in coastal and tourist areas after recent corrections, with potential for 2-4% growth as inventory gets absorbed. Land in developing areas shows the strongest growth potential at 10-15% annually, particularly in areas benefiting from infrastructure projects.
Overall market forecasts suggest sustainable 5-7% annual appreciation in prime markets by 2028, with the correction phase largely behind us.
Which areas in Costa Rica are seeing the highest demand for property right now, and how is that expected to change?
Guanacaste province, particularly Tamarindo, Nosara, and Playa Hermosa, continues to attract the strongest demand from tourists, expats, and digital nomads.
The Central Pacific region, including Jacó and Manuel Antonio, shows rising interest for short-term rentals and vacation homes. The Southern Zone comprising Uvita, Ojochal, and Dominical is experiencing rapid growth due to eco-tourism development and improved infrastructure access.
San José and the Central Valley maintain stable demand from locals, expats, and professionals who value urban amenities and services. These areas particularly attract families and long-term residents rather than investors seeking vacation properties.
Emerging hotspots include the Caribbean Coast, specifically Puerto Viejo and Cahuita, where increasing eco-tourism and investor interest are driving growth. Inland rural areas are also gaining traction from remote workers and eco-conscious buyers seeking alternative lifestyles.
Expected changes include continued growth in the Southern Zone as infrastructure projects complete, stabilization in Guanacaste after recent price corrections, and gradual development of the Caribbean Coast as road access improves.
What are the rental yields like across different regions and property types—short-term vs long-term?
| Location | Property Type | Gross Rental Yield |
|---|---|---|
| San José | Apartments | 8.25–8.6% |
| Tamarindo | Standard Properties | 7–10% |
| Tamarindo | Premium Beachfront | 12–17% |
| Nosara | Eco-luxury Properties | 7–9% |
| Jacó/Manuel Antonio | Vacation Rentals | 6–9% |
| Caribbean Coast | Mixed Properties | 5–7% |
| Central Valley | Long-term Rentals | 5–8% |
How is foreign buyer interest trending in the main markets like San José, Guanacaste, Jacó, and Nosara?
Foreign buyers now account for nearly 40% of all property transactions in Costa Rica, representing a significant increase in international interest.
San José and the Central Valley attract expats, professionals, and families seeking long-term living arrangements and rental income opportunities. These buyers typically prioritize proximity to healthcare, schools, and urban amenities over beach access.
Guanacaste, particularly Tamarindo and Nosara, sees high demand from vacation home buyers, digital nomads, and retirees from the United States, Canada, and Europe. Despite recent price corrections, foreign interest remains strong due to the region's established infrastructure and beach lifestyle.
Jacó is experiencing surging interest from international buyers, especially for condos and properties in gated communities. The area's proximity to San José and established tourist infrastructure make it attractive for both vacation homes and rental investments.
Nosara specifically appeals to eco-conscious and wellness-focused investors who value the area's environmental preservation efforts and yoga retreat culture. Foreign buyers here often seek properties that align with sustainable living principles.
It's something we develop in our Costa Rica property pack.
Which property types—condos, houses, villas, land—are moving fastest on the market, and why?
Condos are currently the fastest-moving property type in Costa Rica's market, particularly in urban and tourist areas.
This trend is driven by strong demand from digital nomads, expats, and vacation rental investors who prefer the lower maintenance requirements and often better security that condos provide. Condos also typically offer amenities like pools, gyms, and concierge services that appeal to international buyers.
Land sales show strong momentum in areas with development potential, experiencing significant price growth as buyers recognize opportunities for future appreciation. Developers and individual investors are particularly active in purchasing land near planned infrastructure projects.
Houses and villas are moving more slowly in luxury and coastal markets due to recent price corrections, though they maintain steady movement in the Central Valley and emerging regions where prices remain more stable. The higher price points and maintenance requirements of houses make them less attractive to some international buyers.
Single-family homes average 342-376 days on the market, while condos average just 171 days, clearly demonstrating the speed difference between property types.
Are there new infrastructure or development projects that might impact property values in the near future?
Several major infrastructure projects are currently underway that will significantly impact Costa Rica's property values.
Route 32 expansion is improving the San José-Limón connection, which is already boosting interest in Caribbean coast properties by reducing travel times and improving accessibility. The Circunvalación Norte project enhances connectivity within the Greater Metropolitan Area, benefiting property values in surrounding communities.
Road upgrades in Guanacaste and Puntarenas provinces are increasing accessibility to previously remote areas, driving property value appreciation in coastal regions. These improvements make it easier for tourists and residents to access beach communities year-round.
The new international airport terminal and ongoing airport improvements support the tourism infrastructure that drives vacation rental demand. Enhanced airport capacity directly correlates with increased tourist arrivals and rental property income potential.
These infrastructure investments are expected to drive significant appreciation in previously remote or underserved areas, with some regions seeing 15-25% value increases as projects complete. The Southern Zone and Caribbean Coast are particularly positioned to benefit from these improvements.
Don't lose money on your property in Costa Rica
100% of people who have lost money there have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.
What are the financing conditions for buyers today—interest rates, loan availability, and down payment requirements?
Financing conditions for foreign buyers in Costa Rica remain challenging but not impossible.
Local banks offer interest rates between 7.5-10% for qualified foreigners, though approval requirements are stringent. Private lenders charge higher rates of 12-16% but often have more flexible qualification criteria.
Down payment requirements are substantial for foreign buyers, typically ranging from 30-50% for bank loans and up to 70% for private lender arrangements. Owner or developer financing may require 50% or more down payment, with interest rates of 6-9% and shorter terms of 1-3 years.
Loan availability is limited for foreigners, requiring strong documentation including proof of income, bank statements, and often requiring a local bank relationship. Many buyers opt for cash purchases or seek owner financing to avoid traditional lending hurdles.
The financing landscape favors buyers with substantial liquid assets and established relationships with Costa Rican financial institutions. It's something we develop in our Costa Rica property pack.
How long are properties staying on the market, and how does that vary by region or price range?
Property market timing varies significantly by type and location across Costa Rica.
Single-family homes average 342-376 days on the market nationally, representing an improvement from 593 days in 2024. Condos sell much faster, averaging just 171 days on the market, making them the fastest-moving property category.
Regional variations are substantial. Central Valley properties sell faster due to strong local demand and established buyer pools. Coastal and luxury properties take longer to sell, especially in markets that experienced recent price corrections, though timing is improving as prices adjust to market realities.
Luxury properties in coastal markets face the longest selling periods, often exceeding the national averages due to smaller buyer pools and higher price points. However, well-priced properties in desirable locations can still move quickly.
Price range significantly affects timing, with properties under $300,000 typically moving faster than those above $500,000. Properties over $1 million require patient sellers and often involve extended negotiation periods.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Costa Rica versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
If you're buying to live, which locations offer the best mix of lifestyle, services, and long-term value?
The Central Valley, including San José, Escazú, Santa Ana, and Atenas, offers the best combination of lifestyle, services, and long-term value for residents.
These areas provide the best healthcare facilities in the country, including private hospitals and specialist medical services that many expats require. Educational options are extensive, with international schools and universities readily available for families with children.
The climate in the Central Valley remains pleasant year-round, avoiding the intense heat and humidity of coastal areas. Urban amenities include shopping centers, restaurants, cultural events, and reliable infrastructure including internet and utilities.
Strong expat communities in these areas provide social networks and support systems for newcomers. Transportation links to other parts of the country are excellent, with the international airport nearby and good road connections.
For those preferring coastal living, Tamarindo, Nosara, Jacó, and Manuel Antonio offer excellent beach lifestyles with growing infrastructure, though at higher prices and with more seasonal variation in community activity. These areas work well for those prioritizing beach access and tourism-related rental income potential.
If you're buying to rent out, which locations and property types have the highest occupancy and ROI right now?
Short-term rental properties in Tamarindo, Nosara, Jacó, and Manuel Antonio offer the highest occupancy rates and returns, with gross yields reaching 12-17% for premium beachfront properties.
- Tamarindo leads with strong year-round tourism, established infrastructure, and international airport proximity
- Nosara attracts wellness tourists and yoga retreats, providing steady high-end rental demand
- Jacó offers proximity to San José and consistent tourist traffic throughout the year
- Manuel Antonio combines national park attractions with luxury accommodations demand
- Condo properties generally outperform houses for short-term rentals due to amenities and lower maintenance
For long-term rentals, San José, Escazú, and Central Valley locations provide stable demand from expats, professionals, and families, typically yielding 7-8% annually with lower vacancy rates and management requirements.
Properties near universities, hospitals, and business districts maintain consistent occupancy. Furnished properties command premium rents in expat-heavy areas.
It's something we develop in our Costa Rica property pack.
If you're buying to resell, where's the most short-to-mid-term upside based on current market trends and supply-demand imbalances?
The Southern Zone, including Uvita, Ojochal, and Dominical, offers the strongest short-to-mid-term appreciation potential.
This region experienced 42% year-over-year price growth due to infrastructure improvements and emerging eco-tourism. The Costanera Sur highway improvements have dramatically reduced travel times from San José, making the area more accessible to both tourists and residents.
The Caribbean Coast, particularly Puerto Viejo and Cahuita, presents significant upside potential as these areas remain affordable while showing increasing interest from both tourists and investors. Infrastructure improvements and growing eco-tourism are driving development in these previously overlooked regions.
Land purchases in areas benefiting from planned infrastructure projects offer strong appreciation potential of 10-15% annually. Areas along new road developments and near planned tourist facilities are particularly attractive.
Guanacaste properties that survived the recent price correction may offer good value as the market stabilizes, particularly well-located properties purchased at corrected prices. The fundamentals of tourism demand remain strong despite the recent market adjustment.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Costa Rica's property market shows clear regional specialization as of June 2025, with coastal areas stabilizing after corrections while Central Valley and emerging zones drive growth.
Foreign buyers represent 40% of transactions, with infrastructure investments creating new opportunities in previously remote areas while established markets offer stable returns.
Sources
- Costa Rica Law - Real Estate Market Prices 2025
- TheLatinvestor - Real Estate Dropping Costa Rica
- TheLatinvestor - Costa Rica Real Estate Market
- TheLatinvestor - Housing Market Costa Rica
- Global Property Guide - Costa Rica Price History
- TheLatinvestor - Buying Land Costa Rica
- TheLatinvestor - Guanacaste Costa Rica Property
- TheLatinvestor - Costa Rica Real Estate Prices Drop
- Coldwell Banker - Costa Rica Market Trends 2025
- OSA Property Management - Market Predictions 2025