Summary
Only if you buy at the right price and expect a modest return: by our estimate, a typical rental in Costa Rica keeps about 3% a year net on a long lease and about 1.4% on an average Airbnb, once tax and running costs are paid.
Foreigners can buy titled property and rent it out on the same terms as locals, without residency. The big exception is the beach: the first 50 m from the high-tide line are public and the next 150 m are concession land.
Gross yields look good on paper: apartments yielded 7.63% gross on average in Q2 2026 (Global Property Guide), from about 6.3% in Escazú to about 8.9% for a 1-bedroom in the Heredia metro area.
Costs then eat about 60% of the rent. On a $217,000 condo let at about $1,380 a month, income tax (12.75% of gross rent), HOA, one empty month, a manager and upkeep leave about $6,440 a year, or 2.9% net.
Airbnb doesn't bring in more on average, and it keeps less: the same condo grosses about $16,606 a year at the national average, and only about $3,205 is left after costs and tax.
Typical long-term rents are about $800 a month for a 1-bedroom and $1,150 for a 2-bedroom nationally, and $1,400 to $1,800 for a 2-bedroom in Santa Ana, San José canton or Escazú.
Holding a midmarket condo costs about $300 to $650 a month before tax and management, mostly the HOA ($200 to $475 in Escazú and Santa Ana). Budget about one empty month a year.
The best long-term yields are in Heredia, Santa Ana, central San José and Curridabat (about 7.3% to 8.9% gross). Escazú pays the highest rents but yields the least, about 6.3%.
The Guanacaste coast is crowded: Tamarindo's Airbnb listings grew 28% in a year (AirROI), while only 843 long-term rentals were listed in the whole province in October 2026.
Tenants pay more for air conditioning, fast internet and secure parking, and a furnished unit can ask about $100 to $350 more per month.
Leases are tightly regulated: the minimum term is 3 years, a colón rent can only rise by last year's inflation (0.34% in September 2026), and a dollar rent can't rise during the lease.
Airbnb is legal under Law 9742, but you must register with ICT and Hacienda and charge guests 13% IVA. National occupancy is 43.7% at $204 a night (CET/AirDNA).
Since 2025, platforms report host names and payouts to Hacienda, with the first report due by 30 April 2026, so undeclared Airbnb income is now easy to spot.
Bottom line: buy a midmarket Central Valley condo for a long lease if you want steady income, keep the HOA under $300, and run every deal net of the 12.75% tax before you sign.
Can foreigners own and rent out property, and do you need residency?
Can a foreigner own-and-rent a residential property in Costa Rica in 2026?
Yes. Foreigners can buy titled residential property in Costa Rica and rent it out under the same rules as citizens. No special permit is needed for ordinary ownership.
Most foreign landlords hold the property in their own name, registered at the Registro Nacional. Some use a Costa Rican company (S.A. or S.R.L.) for liability or estate planning, but it adds cost: an inactive holding company pays ₡69,330 a year in company tax in 2026 (about $150) and must file its beneficial-owner (RTBF) declaration every year by 30 April.
The one big restriction is the Maritime Zone (ZMT, Law 6043). The first 50 m from the high-tide line are public and can't be owned or built on. The next 150 m are state land that municipalities grant as concessions of 5 to 20 years. To hold one you need 5 years of residency, and a company more than 50% foreign-owned can't hold one. Many "beachfront" rentals are concessions, not titled land, so check the folio real, the plano catastrado and the concession file at the municipality.
Do I need residency to rent out in Costa Rica right now?
No. Costa Rica doesn't require residency to own or rent out property, so a non-resident can collect rent while living abroad.
You do need to be registered with Hacienda to declare the rent. A foreigner without a DIMEX usually gets a NITE (special tax ID) for this, and a company uses its cédula jurídica. Non-residents pay the same 12.75% of gross rent as locals.
A local bank account isn't strictly required, but it makes paying the HOA, utilities and the manager in colones much easier.
Managing remotely is common and works, as long as a local manager handles tenants, repairs and, for short-term rentals, check-ins and cleaning.
Which strategy pays more: a long lease or Airbnb?
Is long-term renting more profitable than short-term in Costa Rica in 2026?
For most buyers, yes. Airbnb brings in more gross revenue in the best beach towns, but a long lease in the Central Valley usually keeps more money at the end of the year, with far less work.
On the same $217,000 condo (90 m² at the national asking price of $2,414/m²), a long lease at the national gross yield keeps about $6,440 a year, while an average Airbnb keeps about $3,205. The table below shows where the money goes.
| Per year, same $217,260 condo | Long lease | Airbnb (national average) |
|---|---|---|
| Gross income | $16,560 ($1,380 a month) | $16,606 (CET/AirDNA) |
| Gross yield | 7.6% | 7.6% |
| Income tax (12.75% of gross) | -$2,111 | -$2,117 |
| Management | -$1,656 (10%) | -$3,321 (20%) |
| Empty month / cleaning, utilities, supplies | -$1,380 (one month) | -$2,491 (15%) |
| Repairs and upkeep (5%) | -$828 | -$830 |
| Airbnb host fee (3%) | none | -$498 |
| HOA ($300 a month, our assumption) | -$3,600 | -$3,600 |
| Municipal property tax (0.25%) | -$543 | -$543 |
| Net income | $6,441 | $3,205 |
| Net yield on price + 4% closing costs | 2.9% | 1.4% |
Short-term renting only pulls ahead in proven tourist towns. A Tamarindo condo grosses about $28,640 a year on average (CET/AirDNA) and keeps about $8,251, or 2.4% net on a $329,000 purchase plus closing costs. A 2-bedroom in Escazú let long-term at $1,800 a month keeps about $8,818 with a $350 HOA, or 2.7% net on an implied $315,000 price plus closing costs, with no guests to manage.
What's the average gross rental yield in Costa Rica in 2026?
Apartments in Costa Rica yielded 7.63% gross on average in Q2 2026, down from 7.80% at the end of 2025, according to Global Property Guide. San José canton averaged 8.05%.
The range runs from about 6.3% in Escazú, where prices are highest, to 8.5% for a 1-bedroom in Santa Ana and about 8.9% for a 1-bedroom in the Heredia metro area. These yields compare asking rents with asking prices, so the real figure is usually a bit lower.
Smaller units don't always win. In San José canton, 1-bedrooms yielded 7.76% and 2-bedrooms 7.47%, but 3-bedrooms reached 8.91%. So check the yield for the exact unit size you're buying.
For Airbnb, our worked examples give about 7.6% gross for an average condo nationally and 8.7% in Tamarindo, before the much heavier running costs.
What's the realistic net rental yield after costs in Costa Rica in 2026?
By our estimate, about 3% net for a long lease and about 1.4% for an average Airbnb. No public source measures net yields in Costa Rica, so these are our own calculations.
Counting closing costs in the price, most long leases land between about 2.7% and 3.1% net in our examples: 3.1% for a Santa Ana 1-bedroom ($155,000, $1,100 a month; 3.3% on the price alone), 2.9% for an average condo nationally and 2.7% for an Escazú 2-bedroom. Airbnb ranges from about 1.4% for an average listing to 2.4% for an average Tamarindo condo.
Four costs do most of the damage. Income tax takes 12.75% of gross rent, for residents and non-residents alike. Condo HOA fees run about $200 to $475 a month in midmarket Escazú and Santa Ana buildings. A manager takes about 10% on a long lease and 15% to 30% on Airbnb. And upkeep is higher on the coast, where salt air, pools and air conditioning wear out fast.
The strong colón makes it worse for dollar owners. It gained about 9% against the dollar in a year, so a $1,100 rent now converts to about ₡503,000 instead of about ₡551,000 in January, while the HOA, staff and repairs billed in colones cost more in dollars.
What monthly rent can I get in Costa Rica in 2026?
Nationally, a studio rents for about $550 a month (₡250,000, €490), a 1-bedroom for about $800 (₡365,000, €710) and a 2-bedroom for about $1,150 (₡525,000, €1,020).
A basic studio in Alajuela, Cartago or Tibás can rent for about $350, while a furnished studio in Escazú or Santa Ana asks closer to $900.
In the Central Valley condo market, listed 1-bedrooms ask a median $1,100 in San José canton and Santa Ana, $1,200 in Escazú, $990 in Heredia and $950 in Curridabat (Global Property Guide, Q2 2026).
Listed 2-bedrooms ask a median $1,400 in San José canton and Santa Ana, $1,500 in Rohrmoser and $1,800 in Escazú, with new condos in Lindora at the top of the range.
What it really costs to hold a rental, and how long it sits empty
What's the total "all-in" monthly cost to hold a rental in Costa Rica in 2026?
By our estimate, holding a midmarket condo in the Central Valley costs about $300 to $650 a month (₡137,000 to ₡295,000), before income tax, management and any mortgage.
The low end is a simple apartment with a $200 HOA. The high end is a newer condo with pools, gym and 24-hour security, or a beach house with pool care and gardening, which can cost more.
The HOA is the biggest line: about $200 to $475 a month in midmarket Escazú and Santa Ana buildings in September 2026. Municipal property tax is small, 0.25% a year of the registered value, or about $32 to $66 a month on a $155,000 to $315,000 unit. Insurance is priced case by case, so get a quote.
Watch the luxury home tax: if the construction value is above ₡143,000,000 (about $315,000) in 2026, you also pay a yearly progressive tax of 0.25% to 0.55%.
What's the typical vacancy rate in Costa Rica in 2026?
There's no official vacancy figure. Our estimate is 7% to 9% a year for long leases nationally, and a well-priced unit usually rents in 20 to 40 days.
Budget about one empty month a year in the Central Valley. On the coast, where the long-term market is small and seasonal, plan for more.
Vacancy is lowest near jobs: free trade zones, hospitals and universities in the Greater Metropolitan Area keep tenants coming all year, which resort towns can't match.
Leases often turn over around April and May, at the end of the dry season, so a lease ending in the rainy months can take longer to fill.
Where do rentals perform best in Costa Rica?
Which neighborhoods have the highest long-term demand in Costa Rica in 2026?
Demand is deepest in Escazú, Santa Ana and Rohrmoser, where jobs, services and transport keep tenants coming all year. Heredia, Curridabat and La Sabana follow close behind.
Families look mostly in Santa Ana, Lindora and Curridabat (especially Granadilla), for bilingual schools, gated communities and green space.
Students rent around San Pedro, Barrio Dent and Sabanilla near the University of Costa Rica (UCR), and around Heredia centre and Mercedes near the National University (UNA).
Expats and international staff prefer Escazú, Santa Ana and La Sabana, where services are walkable and English is widely spoken.
Which neighborhoods have the best yield in Costa Rica in 2026?
On Global Property Guide's Q2 2026 data, the best gross yields are in the Heredia metro area (8.87% for a 1-bedroom), Santa Ana (7.86% on average, 8.52% for a 1-bedroom), central San José around La Sabana (Mata Redonda, 7.4% to 8.4%) and Curridabat (7.27%).
Escazú is at the bottom, at about 6.3% on average, because buyers pay a premium there that rents don't fully match. Rohrmoser sits in between, at 6.7% to 7.5% depending on size.
The higher-yield areas combine steady tenant demand from offices, hospitals and universities with prices that haven't been pushed up by foreign buyers as much. Areas near UCR, like San Pedro and Sabanilla, follow the same logic, but we found no published yield for them.
Where do tenants pay the highest rents in Costa Rica in 2026?
The highest long-term rents are in Escazú, Santa Ana and Lindora, and Rohrmoser and La Sabana in San José.
A good 2-bedroom there asks about $1,800 to $2,500 a month (₡825,000 to ₡1,145,000, €1,610 to €2,250). Medians are lower: $1,400 in Santa Ana, $1,500 in Rohrmoser and $1,800 in Escazú.
These areas have the offices of multinationals, embassies, private hospitals and international schools, so many tenants have a company housing allowance and pay for security and short commutes.
Typical tenants are relocated managers, embassy staff, patients on longer medical stays and business owners who value time and security over price.
Are there too many rentals on the Guanacaste coast now?
In the hot beach towns, yes. Airbnb listings in Costa Rica more than doubled from about 22,500 in 2019 to 48,985 in the 12 months to June 2026 (CET/AirDNA), while international arrivals were 2.94 million in 2025, still below the 3.14 million of 2019.
Nationally the count has stopped growing (-0.2% in a year), but the Guanacaste coast keeps adding units. AirROI counted 1,448 active listings in Tamarindo in the year to September 2026, up 28%, and Nosara and Sámara rose 15% and 16%. Demand is growing too, just more slowly: Liberia airport's international arrivals were up 11.9% from January to September 2026.
The long-term market there is thin. Costa Rica Realtor showed only 843 long-term rentals listed in the whole province on 5 October 2026, at a median $1,250 a month for a condo. So a beach condo bought for Airbnb has a weak fallback if bookings disappoint.
Sellers know it. In August 2026, Propiedades.cr showed Guanacaste's median asking price at $655,250, down 5% in a month, with listings online for a median 153 days. Water is the other risk: in September 2026, ASADAs on the coast reported rationing as El Niño cut water sources.
What to do: ask the seller for 12 months of real booking statements and their IVA returns, not a broker's projection. Check that the price still works as a long lease at about $1,250 a month. For a new build, ask for the water availability letter. And use the long listing times to negotiate.
What do tenants actually want?
What features increase rent the most in Costa Rica in 2026?
The three features that add the most rent are fast, reliable internet (for remote workers), air conditioning in the bedrooms (expected on the coast, more and more wanted in the Central Valley) and secure parking with 24-hour security.
As a rough guide, secure parking can add about $100 to $200 a month, security $100 to $250, and air conditioning $55 to $200, by our estimate from listings.
Tenants rarely pay extra for high-end kitchen appliances or luxury countertops. They care more about space, security and utilities that work.
A cheap upgrade that pays off is a backup water tank (tanque de reserva). It costs a few hundred dollars and saves tenants from the dry-season pressure drops, which matters more in 2026 with the El Niño drought warning.
Do furnished rentals rent faster in Costa Rica in 2026?
Usually, yes. Many tenants are expats, relocated staff or medium-term visitors who arrive without furniture and want to move in at once.
A furnished unit can ask about $100 to $350 more per month than a similar empty one, by our estimate. Budget for faster wear and for replacing furniture every few years, which eats part of that premium.
How strict are the rules on long-term leases?
Can I freely set rent prices in Costa Rica right now?
For a new lease, yes. You can set the starting rent at whatever the market will pay, with no cap and no approval.
During the lease, no. Under Law 7527, a colón rent can rise once a year by no more than the previous 12 months' inflation, and a dollar rent can't rise at all for the length of the contract. MIVAH publishes the allowed rate.
That has been tight lately: inflation was negative from May 2025 to August 2026, so colón rents couldn't rise at all, and in September 2026 inflation was only 0.34%. Bill 25465, filed on 25 March 2026 to change these rules, was still in committee in October 2026.
What's the standard lease length in Costa Rica right now?
Three years. Law 7527 sets a 3-year minimum for residential leases, even if the contract says one year, and the lease renews for another 3 years unless the landlord gives notice at least 3 months before it ends.
The law sets no clear cap on deposits. One month's rent is the usual practice, so about $800 to $1,500 (₡365,000 to ₡685,000) for a typical apartment, and some landlords ask for more for pets.
At the end of the lease, the deposit is returned minus unpaid rent, damage beyond normal wear and unpaid bills. Disputes go to the courts if the two sides can't agree.
How does short-term renting really work in Costa Rica?
Is Airbnb legal in Costa Rica right now?
Yes. Law 9742 on non-traditional lodging, in force since 2020, regulates Airbnb-style rentals instead of banning them.
You must register the property with ICT, register the activity with Hacienda, charge guests 13% IVA, issue electronic invoices and file a monthly IVA return. Some municipalities also ask for a commercial licence (patente), as the San José municipality does, so check with yours.
There is no national cap on nights per year. The real limits are your condo bylaws, municipal zoning and, near the beach, the Maritime Zone rules.
The main risk of hosting without registering is back taxes and fines from Hacienda, which now receives host data from the platforms (see below), plus municipal or HOA complaints.
What's the average short-term occupancy in Costa Rica in 2026?
National occupancy was 43.7% in the 12 months to June 2026 (CET/AirDNA). By market, it ranged from 40% in Jacó to 47% in Tamarindo, 50% in Greater San José and 53% in Nosara.
Top listings with strong reviews and good pricing do much better than the average, and undifferentiated ones do worse, so the average is only a starting point.
The best months are December to April, the dry season, when North American and European visitors arrive and beach towns fill up around Christmas and Easter.
September and October, the wettest months, are the weakest. By our estimate, an average listing grosses around $610 to $1,040 a month then, against $1,920 to $2,770 in the peak.
What's the average nightly rate in Costa Rica in 2026?
The national average was $204 a night (₡93,500, €180) in the 12 months to June 2026. It ranged from about $61 in Greater San José to $306 in Jacó, $336 in Tamarindo and $384 in Nosara (CET/AirDNA).
Basic studios away from the tourist areas can go for about $40 a night, while villas with a pool and sea view in the best spots ask well over $500, by our checks of listings.
In beach towns, low-season rates often sit 30% to 50% below the dry-season peak, by our estimate, so a villa at $400 a night in February may only get $200 to $280 in October.
Is short-term rental supply saturated in Costa Rica in 2026?
In the established beach towns, yes. Jacó had 3,786 listings at 40% occupancy and Tamarindo 3,598 at 47% in the 12 months to June 2026, which is why so many listings stay below half full.
Nationally, supply has stopped growing: 48,985 listings, down 0.2% in a year, after more than doubling since 2019. The growth is now in specific coastal towns.
The most crowded areas are central Jacó, Tamarindo's main strip and Manuel Antonio (1,902 listings), where only listings with top reviews, good management or something different keep their occupancy.
There is more room in Nosara, where guests pay for quality rather than price, in quieter beaches like Sámara and Dominical, and for business or medical travellers near the private hospitals of the Central Valley.
Can Hacienda now see what you earn on Airbnb?
Yes. Under resolution MH-DGT-RES-0025-2024, Airbnb and other platforms must report each host's name, payouts and bank details to Hacienda. Data has been collected since 1 January 2025, and the first annual report was due by 30 April 2026.
Very few hosts were registered before this. In 2023, ICT counted only 578 registered non-traditional lodgings in the whole country, while CET counted 48,985 short-term listings nationally in mid-2026. In March 2026, the Colegio de Contadores Públicos publicly reminded hosts to charge 13% IVA and declare their income.
For a buyer, the risk is buying a property whose income was never declared. The seller's numbers may only work without tax, and the property's track record is worth less.
What to do: before you buy, ask for the seller's ICT registration, their Hacienda IVA returns and their platform payout statements, and compare the three. Price your own numbers with 13% IVA on top of the nightly rate (it's not your revenue) and 12.75% of gross rent in income tax. Register with ICT and Hacienda before your first booking.
Our methodology
This article estimates whether buying a property to rent out in Costa Rica pays in 2026: who can do it, what long leases and Airbnb bring in, what they cost to run, where rentals perform best and which rules limit landlords.
Long-term rents and gross yields come from Global Property Guide (Q2 2026, based on Encuentra24 listings), with national averages from our own checks of Encuentra24 and Rentola listings in October 2026. Airbnb figures come from one source per calculation: CET's August 2026 study based on AirDNA for nightly rates, occupancy, revenue and listing counts, and AirROI only for listing growth in Tamarindo, Nosara and Sámara. Purchase prices are TuLugar asking prices per m² (October 2026), HOA fees come from Costa Rica Realtor (September 2026) and asking-price trends from Propiedades.cr (August 2026).
Rules come from official texts: Law 6043 for the Maritime Zone, Law 7527 for leases and rent increases, Law 7509 for property tax, Law 9742 and ICT for short-term rentals, and Hacienda for the 12.75% rental income tax, 13% IVA and platform reporting. Our net yields deduct income tax, property tax, HOA, management, vacancy or cleaning, upkeep and, for Airbnb, the platform fee.
We checked these figures in October 2026. Dollar amounts are converted at about 457.5 colones per US dollar and 513 colones per euro (October 2026).
Where we had no direct figure, we estimated it and said so in the text: net yields, holding costs, vacancy, amenity and furnished premiums, and seasonal rates. Portal figures are asking prices and asking rents, not signed deals, and AirDNA revenue is an average across listings that aren't all open year-round.
Key sources used for this analysis include Global Property Guide yields, Global Property Guide rents, CET's 2026 short-term rental study, AirROI, AirDNA, Encuentra24, Rentola, Propiedades.cr, Costa Rica Realtor, Law 6043, Law 7527, Law 7509, MIVAH, Registro Nacional, ICT Law 9742, Hacienda capital income rates, Hacienda on rentals and IVA, Hacienda on digital platforms, PwC tax summaries, OECD platform reporting rules, Pura Vida Portfolio, INEC, CR Inteligente on Bill 25465, El Observador on platform reporting, CRHoy, El Mundo CR and BCCR exchange rates.
