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
If you're thinking about buying property in Costa Rica, you're probably wondering how the market is actually performing right now.
In this article, we break down the current housing prices in Costa Rica, how long properties take to sell, and what neighborhoods are worth watching in 2026.
We constantly update this blog post to make sure the data stays fresh and relevant for buyers like you.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Costa Rica.
How's the real estate market going in Costa Rica in 2026?
What's the average days-on-market in Costa Rica in 2026?
As of early 2026, residential properties in Costa Rica take an average of about 360 to 420 days to sell, which means you should expect homes to sit on the market for roughly a year before finding a buyer.
For most typical listings in Costa Rica, the realistic days-on-market range is between 340 days in the Central Valley and over 400 days in the Central and South Pacific regions, depending on location and pricing.
Compared to one or two years ago, Costa Rica's days-on-market has increased noticeably, since the market in 2021 and 2022 saw much faster sales due to pandemic-driven demand, and the current numbers reflect a return to a more balanced, buyer-friendly environment.
Are properties selling above or below asking in Costa Rica in 2026?
As of early 2026, most residential properties in Costa Rica sell below their original asking price, with buyers typically negotiating discounts of about 5% to 12% off the listed price.
Around 80% to 85% of properties in Costa Rica close at or below asking price, while only about 15% to 20% of well-priced, turnkey homes in high-demand areas sell at asking or slightly above, and we are fairly confident in this range based on multiple brokerage reports.
Bidding wars and above-asking sales in Costa Rica are most likely to happen in premium neighborhoods like Escazu, Santa Ana, and Rohrmoser in the Central Valley, or in high-liquidity beach areas like Tamarindo and Jaco where move-in-ready properties with strong rental histories attract multiple buyers.
By the way, you will find much more detailed data in our property pack covering the real estate market in Costa Rica.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Costa Rica. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
What kinds of residential properties can I realistically buy in Costa Rica?
What property types dominate in Costa Rica right now?
In Costa Rica, the residential property market in 2026 is roughly split between standalone houses at about 46% of transactions, apartments and condos at around 35%, and lots or land at approximately 18%, with gated community homes being a popular subcategory within the house segment.
Standalone houses remain the single largest property type in Costa Rica, accounting for nearly half of all residential sales in the Greater Metropolitan Area and coastal regions alike.
This dominance of standalone houses in Costa Rica comes from the country's historical preference for independent living, abundant land in earlier decades, and a cultural value placed on private outdoor space, though condos and vertical housing are growing fast in urban areas like San Jose and Escazu.
If you want to know more, you should read our dedicated analyses:
Are new builds widely available in Costa Rica right now?
New-build properties make up an estimated 20% to 30% of available residential listings in Costa Rica, with this share being higher in the Greater Metropolitan Area and lower in established beach towns where resale inventory dominates.
As of early 2026, the neighborhoods with the highest concentration of new-build developments in Costa Rica include Santa Ana and Lindora in the western Central Valley, Curridabat and Tres Rios in the east, and coastal areas like Jaco, Herradura, and parts of Guanacaste near Tamarindo and Playas del Coco.
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Which neighborhoods are improving fastest in Costa Rica in 2026?
Which areas in Costa Rica are gentrifying in 2026?
As of early 2026, the top neighborhoods in Costa Rica showing the clearest signs of gentrification include Barrio Escalante and Barrio Amon in San Jose, Rohrmoser and La Sabana area, along with Curridabat and parts of Tres Rios in the eastern Central Valley.
In these gentrifying areas of Costa Rica, you can see a wave of specialty coffee shops, coworking spaces, and upscale restaurants replacing older businesses, alongside renovated colonial homes being converted into boutique hotels and a visible shift toward younger professionals and creative entrepreneurs moving in.
Over the past two to three years, these gentrifying neighborhoods in Costa Rica have seen estimated price appreciation of around 8% to 15%, with Barrio Escalante and Rohrmoser leading the pack due to their walkability and proximity to business hubs.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Costa Rica.
Where are infrastructure projects boosting demand in Costa Rica in 2026?
As of early 2026, the top areas in Costa Rica where major infrastructure projects are boosting housing demand include the Caribbean corridor near Guapiles and Limon, the western San Jose suburbs along the Ruta 27 highway, and neighborhoods along the planned GAM electric train route.
The specific infrastructure projects driving this demand in Costa Rica are the Ruta 32 expansion connecting San Jose to the Caribbean coast, the Ruta 27 highway widening toward the Central Pacific beaches, and the GAM electric train which will eventually link San Jose with Alajuela and Cartago.
The Ruta 32 expansion is already in advanced stages with high completion rates expected by late 2026, while the Ruta 27 widening is an ongoing concession project, and the GAM electric train has secured full financing but construction will likely extend into the late 2020s.
In Costa Rica, property prices near these infrastructure projects typically see a 5% to 10% bump when projects are announced, followed by another 10% to 20% appreciation as completion approaches and commute times actually improve.
We have made this infographic to give you a quick and clear snapshot of the property market in Costa Rica. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
What do locals and insiders say the market feels like in Costa Rica?
Do people think homes are overpriced in Costa Rica in 2026?
As of early 2026, the general sentiment among locals and market insiders in Costa Rica is that many homes are overpriced, especially properties still listed at 2021-2022 peak levels, though the extended days-on-market is forcing sellers to become more realistic.
When arguing that homes are overpriced in Costa Rica, locals typically point to rising inventory levels, properties sitting unsold for over a year, and the gap between asking prices and what buyers actually pay at closing, which can be 7% to 12% lower.
Those who believe Costa Rica property prices are fair counter that the country offers political stability, no army, universal healthcare, and a lifestyle that attracts steady foreign investment, plus limited beachfront and prime urban land that naturally supports higher values.
The price-to-income ratio in Costa Rica is quite high compared to regional averages, with median home prices often exceeding 15 to 20 times the average annual income, which is why most local buyers rely on family support or focus on smaller units while foreign cash buyers dominate the premium segments.
What are common buyer mistakes people regret in Costa Rica right now?
The most frequently cited buyer mistake in Costa Rica is purchasing coastal property without fully understanding the Maritime Zone concession rules under Ley 6043, which means you may be buying a lease rather than actual ownership if the property is within 200 meters of the high tide line.
The second most common regret in Costa Rica is not verifying the property's legal status in the Registro Nacional before closing, which leads to buyers discovering hidden liens, boundary disputes, or unclear corporate ownership structures after they have already paid.
If you want to go deeper, you can check our list of risks and pitfalls people face when buying property in Costa Rica.
It's because of these mistakes that we have decided to build our pack covering the property buying process in Costa Rica.
Get the full checklist for your due diligence in Costa Rica
Don't repeat the same mistakes others have made before you. Make sure everything is in order before signing your sales contract.
How easy is it for foreigners to buy in Costa Rica in 2026?
Do foreigners face extra challenges in Costa Rica right now?
Overall, foreigners face a moderate difficulty level when buying property in Costa Rica compared to locals, since there are no legal restrictions on foreign ownership outside the Maritime Zone, but the process requires more paperwork and local expertise to navigate properly.
The main legal restrictions for foreign buyers in Costa Rica apply to properties within the Maritime Zone near beaches, where only Costa Rican citizens or residents can hold concessions directly, though foreigners can often structure purchases through local corporations or trusts.
Practical challenges that foreigners commonly encounter in Costa Rica include the need to translate all legal documents into Spanish through certified translators, the difficulty of opening local bank accounts without residency, and the fact that many transactions still rely on personal relationships and local notaries who may not speak English fluently.
We will tell you more in our blog article about foreigner property ownership in Costa Rica.
Do banks lend to foreigners in Costa Rica in 2026?
As of early 2026, mortgage financing is available to foreign buyers in Costa Rica through a handful of private banks like BAC San Jose, Banco Lafise, and BCT, though approval is significantly harder than for residents and most foreigners end up paying cash or using seller financing.
Foreign buyers in Costa Rica can typically expect loan-to-value ratios of 50% to 65% (meaning 35% to 50% down payment required), interest rates between 7% and 10% for USD-denominated loans, and loan terms of up to 20 years.
Banks in Costa Rica typically require foreign mortgage applicants to provide proof of income with certified translations, two years of tax returns, bank statements showing source of funds, a valid passport, and sometimes a migration status certification or a local co-signer.
You can also read our latest update about mortgage and interest rates in Costa Rica.
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.
How risky is buying in Costa Rica compared to other nearby markets?
Is Costa Rica more volatile than nearby places in 2026?
As of early 2026, Costa Rica's coastal lifestyle markets like Guanacaste and the Central Pacific are more volatile than Panama City or Medellin's urban markets, while Costa Rica's Central Valley behaves more like stable urban markets with steadier, more predictable price movements.
Over the past decade, Costa Rica has seen significant price swings in its beach markets, with Guanacaste experiencing a 36% price correction from 2024 peaks after the post-pandemic surge, whereas the Central Valley has shown more modest fluctuations of around 5% to 10% in either direction.
If you want to go into more details, we also have a blog article detailing the updated housing prices in Costa Rica.
Is Costa Rica resilient during downturns historically?
Historically, Costa Rica's Central Valley has shown solid resilience during economic downturns, with primary-residence demand providing a stable floor, while coastal second-home markets have proven more vulnerable to international economic shocks.
During the 2008-2009 global financial crisis, Costa Rica beach property prices dropped by roughly 20% to 35% in areas like Guanacaste, and full recovery took about 5 to 7 years, though some speculative developments never fully recovered to pre-crisis levels.
The property types and neighborhoods in Costa Rica that have historically held value best during downturns are gated communities in Escazu and Santa Ana with strong local demand, well-located condos near San Jose business centers, and beach properties with proven rental income streams in established towns like Tamarindo and Jaco.
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How strong is rental demand behind the scenes in Costa Rica in 2026?
Is long-term rental demand growing in Costa Rica in 2026?
As of early 2026, long-term rental demand in Costa Rica is growing steadily in the Central Valley and established expat hubs, driven by a combination of remote workers relocating, growing local professional employment, and a constrained supply of quality rental units.
The tenant demographics driving long-term rental demand in Costa Rica include young professionals working for multinational companies in the western San Jose corridor, expat families seeking proximity to international schools, and digital nomads transitioning from short stays to longer-term living arrangements.
The neighborhoods in Costa Rica with the strongest long-term rental demand right now are Escazu, Santa Ana, Rohrmoser, La Sabana, and Curridabat, all of which combine good infrastructure, security, and access to services that tenants prioritize.
You might want to check our latest analysis about rental yields in Costa Rica.
Is short-term rental demand growing in Costa Rica in 2026?
Short-term rental operators in Costa Rica now face stricter regulatory requirements, as of March 2026 platforms like Airbnb and Booking.com must report all rental activity to Costa Rica's tax office, requiring hosts to have a local tax ID and charge 13% VAT to guests.
As of early 2026, short-term rental demand in Costa Rica continues to grow alongside tourism recovery, though the market is becoming more competitive and professionalized, rewarding properties with hotel-quality amenities and strong reviews.
The current estimated average occupancy rate for short-term rentals in Costa Rica is around 53% to 60% in urban areas like San Jose, rising to 70% to 90% during peak dry season months in popular beach destinations like Tamarindo, Manuel Antonio, and Jaco.
The guest demographics driving short-term rental demand in Costa Rica include North American and European tourists seeking nature experiences, business travelers visiting the Central Valley tech corridor, and a growing number of digital nomads booking 28 to 90 day stays while testing life in the country.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Costa Rica.
We made this infographic to show you how property prices in Costa Rica compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What are the realistic short-term and long-term projections for Costa Rica in 2026?
What's the 12-month outlook for demand in Costa Rica in 2026?
As of early 2026, the 12-month demand outlook for residential property in Costa Rica points toward a selective buyer's market, where well-priced properties in prime locations will sell while overpriced listings continue to sit.
The key factors most likely to influence Costa Rica property demand over the next 12 months include U.S. economic conditions affecting North American buyer confidence, Costa Rica's continued political stability, interest rate movements in both local and international markets, and the pace of tourism recovery.
Forecasters expect Costa Rica property prices to see moderate growth of around 3% to 8% in high-demand areas like the Central Valley and established beach towns, while overbuilt coastal segments may remain flat or see continued corrections.
By the way, we also have an update regarding price forecasts in Costa Rica.
What's the 3-5 year outlook for housing in Costa Rica in 2026?
As of early 2026, the 3 to 5 year outlook for Costa Rica housing is constructive, with expectations of steady appreciation averaging 4% to 8% annually in well-located areas, supported by infrastructure improvements, sustained foreign interest, and Costa Rica's reputation as a stable destination.
Major development projects expected to shape Costa Rica over the next 3 to 5 years include the GAM electric train connecting San Jose suburbs, continued expansion of Ruta 27 and Ruta 32 corridors, airport improvements at both Juan Santamaria and Liberia, and growing investment in sustainable and eco-certified residential developments.
The single biggest uncertainty that could alter the 3 to 5 year outlook for Costa Rica is a potential external demand shock, such as a U.S. recession reducing discretionary foreign investment, or stricter enforcement of short-term rental regulations cutting into rental yields more than expected.
Are demographics or other trends pushing prices up in Costa Rica in 2026?
As of early 2026, demographic trends are having a moderate but localized impact on Costa Rica housing prices, with the strongest pressure concentrated in the Central Valley and established expat corridors rather than across the entire country.
The specific demographic shifts affecting Costa Rica prices include net migration of North American retirees and remote workers choosing Costa Rica as a base, household formation among young Costa Rican professionals seeking urban condos, and a gradual shift toward smaller family sizes increasing demand for compact units.
Non-demographic trends also pushing Costa Rica prices include the remote work movement enabling location-independent buyers, growing demand for sustainable and eco-certified homes, and continued institutional investment from developers anticipating long-term tourism and expat flows.
These demographic and trend-driven price pressures in Costa Rica are expected to continue for at least the next 5 to 10 years, as Costa Rica's positioning as a stable, nature-rich, and accessible destination remains attractive relative to alternatives in the region.
What scenario would cause a downturn in Costa Rica in 2026?
As of early 2026, the most likely scenario that could trigger a housing downturn in Costa Rica would be a significant external demand shock, such as a U.S. recession or global risk-off environment that sharply reduces discretionary foreign investment in vacation and second-home properties.
Early warning signs that would indicate a downturn is beginning in Costa Rica include a rapid spike in days-on-market beyond current levels, a noticeable increase in distressed sales or foreclosures in coastal areas, and a sustained drop in international tourism arrivals affecting rental income expectations.
Based on historical patterns, a potential downturn in Costa Rica could realistically see coastal property prices drop by 15% to 30% over 2 to 3 years, while Central Valley prices might decline by a more modest 5% to 15%, with recovery typically taking 4 to 7 years depending on how quickly external conditions improve.
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Costa Rica, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| Banco Central de Costa Rica (BCCR) | It's Costa Rica's central bank and the primary source for official macroeconomic and financial statistics in the country. | We used it to understand credit conditions and interest rate trends affecting housing demand. We also cross-checked market narratives against national-level economic fundamentals. |
| Instituto Nacional de Estadistica y Censos (INEC) | It's Costa Rica's official statistics agency responsible for population counts, housing data, and census information. | We used it to ground our analysis in real housing stock numbers and demographic trends. We also relied on it to keep neighborhood claims realistic versus the national housing footprint. |
| Coldwell Banker Costa Rica | It's an established international brokerage publishing quantified, time-stamped market reports with regional breakdowns. | We used their December 2025 report as our main source for days-on-market and inventory direction. We treated it as the primary residential market pulse for early 2026 conditions. |
| Global Property Guide | It's a respected international property research platform that tracks prices, yields, and market conditions across countries. | We used it for price-per-square-meter data and rental yield comparisons. We also relied on their historical price tracking for volatility and resilience analysis. |
| Registro Nacional | It's Costa Rica's official government registry for property titles, liens, and corporate ownership structures. | We used it to explain how buyers verify legal property status before purchase. We also referenced it when discussing common buyer mistakes and due diligence requirements. |
| Instituto Costarricense de Turismo (ICT) | It's Costa Rica's official tourism authority and the registration channel for short-term rental operations. | We used it to explain the regulatory requirements for vacation rentals. We also referenced it when discussing the compliance landscape for Airbnb-style investments. |
| Ministerio de Obras Publicas y Transportes (MOPT) | It's Costa Rica's transport ministry responsible for reporting on road infrastructure projects and timelines. | We used it to verify the status of the Ruta 32 expansion and other infrastructure improvements. We connected these projects to demand patterns in specific neighborhoods. |
| INCOFER | It's Costa Rica's national rail institute publishing official updates on the GAM electric train project. | We used it to highlight transit-oriented development opportunities inside the Greater Metropolitan Area. We factored the train project into our 3 to 5 year outlook. |
| AirDNA | It's a widely used short-term rental analytics provider with transparent KPIs like occupancy rates and average daily rates. | We used it to estimate short-term rental depth and competition in Costa Rica markets. We paired this data with ICT compliance information for a complete picture. |
| Ministerio de Hacienda | It's Costa Rica's tax authority providing official guidance on property transfer taxes and rental income registration. | We used it to explain what owners must do if they rent properties, especially for short-term rentals. We also referenced it when discussing transaction costs and tax compliance. |