Costa Rica banks have always been very conservative when lending money, in fact it’s one of the main reasons why you don’t see the real estate market saturated with foreclosures.

Traditionally, if foreigners were able to secure financing with a Costa Rica bank it was often difficult, time consuming and expensive, and at this time while rates are lower, it’s still nearly impossible for foreigners to be approved for loans.

U.S. lenders aren’t quite forming a line to lend money for Costa Rica real estate either. So how do foreigners purchase property in Costa Rica when they don’t have cash? This is a question that many people just starting to explore Costa Rica real estate are asking. And as the amount of cash buyers seems to be dwindling, it’s a very new and evolving trend in Costa Rica real estate.

One of the most interesting development in our market is the need and request for some sort of financing, and the market is making adjustments to handle these requests. What was once a strictly cash market is now changing as we see more and more sellers open to offer some sort of seller financing.

More and more developers are also offering some sort of financing.

Rates certainly aren’t low and you can figure on somewhere between 7-9% over 30 years and plan on some sort of balloon payment in 3-5 years. But for now that is addressing the need for many.

Most people looking to purchase have at least 20-50% to put down and are simply needing some sort of bridge till maybe they receive a pension or maybe sell a property back home that is on the market.

The bottom line is that sellers and developers are now much more flexible and negotiable with offering some sort of financing. So don’t be discouraged if you aren’t a cash buyer, but just be aware you will need a solid amount down and may lose some leverage when negotiating price.

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For more information about condos, homes and land for sale in the beach town of Jaco and surrounding areas please contact our Recommended Realtors in Jaco Shawn Fletcher and his wife Hannah Fletcher
using the simple form below:

Andrew Makarik

to@welovecostarica.com

Andrew Makarik is the main editor of WeLoveCostaRica, a fan of this sunny country. He is also a loving husband and a has a lovely daughter. By being a devoted family man and the biggest Costa Rica fan, he wants to make more people feel at home there. WeLoveCostaRica unites people and helps them find new home or a new travel destination. This website is a friendly community where everyone can find not only information, but also new friends and travel pals. Andrew is also passionate about IT and programming, so he himself maintains a friendly atmosphere in this cozy environment of WeLoveCostaRica.com.