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The most important questions before buying property in Costa Rica are ones most buyers never think to ask until something goes wrong. I’ve walked buyers through deals in Tamarindo, Ojochal, the Central Valley, and everywhere in between, and the pattern is always the same: the buyers who skip due diligence are the ones who end up owning a property with a lien, a boundary dispute, or a structure sitting inside a restricted maritime zone. The good news is that these problems are almost always visible before you close, if you know what to look for. This guide gives you the exact questions to ask, in the right order, before you commit a single dollar.
- Every Costa Rica property has a finca number (the official registry ID). Get it early and use it to verify title, liens, and ownership.
- Beachfront and coastal properties may fall under the Maritime Zone Law, which limits or prohibits private ownership entirely.
- A local attorney and an independent title check are both required steps, not optional extras.
- Closing costs in Costa Rica run higher than most buyers expect. Run the numbers before you make an offer.
What is the finca number and who actually owns this property?
The finca number is Costa Rica’s official property registration ID. Every titled property has one, registered with the Registro Nacional. It’s how you trace ownership, check for liens, confirm boundaries, and look up the plano catastrado (the official cadastral survey map). If a seller or agent can’t hand you a finca number quickly, that’s already a problem.
Once you have it, run a property check through Folio before anything else. Its $29 report pulls live registry data so you can see who legally owns the property, whether there are mortgages or encumbrances (liens registered against it), and whether the survey map matches what’s being sold. Finding the parcel on the map takes minutes and costs you nothing. It’s the first move, every time.
Is this titled land or concession land?
This is the question that trips up the most buyers from the US and Canada, because beach properties in Costa Rica often aren’t owned the way you’d expect. Costa Rica’s Maritime Zone Law places most land within 200 meters of the high-tide line under public domain. The first 50 meters from the high-tide line is completely restricted. No one owns it. The next 150 meters is the concession zone, where private use is allowed only through a government concession granted by the local municipality.
| Land Type | Ownership | Key Risk |
|---|---|---|
| Titled (fee simple) | Full private ownership registered at Registro Nacional | Liens, boundary disputes, false deeds |
| Concession | Right to use, granted by municipality. Not true ownership. | Renewability, transferability, and foreign ownership restrictions |
| Restricted Zone (first 50m) | Public land. No private ownership possible. | Structures here can be demolished by authorities |
If you’re looking at a beachfront property in Guanacaste or the South Pacific, ask directly: is this titled or concession? If it’s a concession, ask to see the current concession documents from the municipality, confirm it’s transferable to a foreign buyer, and have your attorney verify the renewal status. The Instituto Costarricense de Turismo (ICT) has jurisdiction over parts of the maritime zone, which adds another layer your attorney needs to check.
Are there any liens, mortgages, or annotations on the title?
This is where a lot of buyers get burned. A property can look clean and the seller can be perfectly honest, but if there’s a mortgage registered against the finca that nobody mentioned, that debt follows the property, not the person. You could close on a house in Nosara and inherit a lien you didn’t know existed.
The fix is simple. Verify the property through Folio, whose $29 report pulls the registry data including annotations and encumbrances. Your attorney will also order a formal title study (estudio de título) as part of the closing process. Don’t let anyone convince you these steps are redundant. They’re not. They’re different stages of protection.
Does the plano catastrado match the physical property?
The plano catastrado is the official survey map registered at the Registro Nacional. It shows the legal boundaries of the property. The mistake I see constantly: buyers fall in love with a property’s physical features, the view from the terrace, the extra piece of land behind the fence, and never confirm whether those features are actually inside the legal boundary.
Fences and walls in Costa Rica often don’t line up with cadastral boundaries. Sometimes a neighbor’s fence crept over the line years ago. Sometimes the seller built a structure on land that isn’t legally theirs. Your attorney can cross-reference the plano catastrado with a physical survey (levantamiento topográfico) if there’s any doubt. For larger parcels or agricultural land in areas like San Carlos or the Osa Peninsula, this step is not optional.
What are the zoning rules and what can I actually build?
Costa Rica has national zoning laws, local municipal zoning rules, and environmental regulations that all apply at the same time. A parcel might be zoned for residential use but sit in a watershed protection area (zona de protección) that limits construction within a certain distance of a river or stream. That distance is set by law, and it applies regardless of what the seller tells you.
For any property where you plan to build or expand, ask the municipality for the uso de suelo (zoning certificate). Ask whether any part of the land falls inside a protection zone. If you’re planning a larger development or commercial project, environmental permits from SETENA may be required before construction can start. Finding this out after you close is a very expensive lesson.
What are the real closing costs and ongoing taxes?
US and Canada buyers are often surprised by how closing costs work here. In Costa Rica, transfer taxes, legal fees, and registration stamps are split between buyer and seller by custom, but the split isn’t fixed by law. What you agree to in the purchase-sale agreement is what matters. Closing costs on a standard titled property transaction typically run higher than buyers budget for.
Use the REG closing cost calculator to model your specific deal before you make an offer. Ongoing property taxes in Costa Rica (impuesto sobre bienes inmuebles) are paid annually to the municipality and are calculated as a percentage of the registered property value. They tend to be low by North American standards, but the value used for the calculation should be kept current, which is something your attorney can help you manage.
Is the property generating rental income, and what’s the real ROI?
A lot of buyers in areas like Tamarindo, Manuel Antonio, and the Arenal zone are looking at vacation rental income as part of the equation. It’s a legitimate strategy, but the projections sellers share are almost always best-case numbers from peak season. Ask for documented rental history, not projections. Ask about property management fees, platform commissions, and local short-term rental regulations.
Before you assume the rental income covers your costs, run the numbers yourself with the rental ROI calculator. It factors in realistic occupancy rates and expenses so you can see what the return actually looks like. If the deal only works on optimistic assumptions, it probably doesn’t work.
How do I find the right local attorney?
In Costa Rica, real estate closings are handled by a notary public (notario público), who must be a licensed attorney. Your attorney prepares the transfer deed, handles the tax filings, and registers the transaction. The biggest mistake buyers make here is using the seller’s attorney or the agent’s recommended attorney without doing their own check.
Your attorney should be independent, meaning they represent only you. They should be registered with the Colegio de Abogados y Abogadas de Costa Rica. Ask them directly: how many transactions have you closed in this region, and in this property type? A good attorney in Guanacaste who handles concession properties every week is worth more to you than a general attorney in San José who handles them occasionally. You can browse properties across regions at REG’s listings to get a sense of where deals are happening and what type of property is common in each area.
Frequently Asked Questions
Can a foreigner own property in Costa Rica?
Yes. Costa Rica grants foreigners the same property ownership rights as citizens for titled land. You don’t need residency or a local partner. The exception is concession land in the maritime zone, where certain restrictions on foreign ownership apply depending on the municipality and the terms of the concession. Always confirm the land type before assuming you can own it outright.
What is a finca number and where do I find it?
The finca number is the official registry identification for a titled property in Costa Rica, assigned by the Registro Nacional. You can ask the seller or listing agent for it. Once you have it, you can use it to find the property on Folio’s map and order its $29 report to confirm ownership, boundaries, and any registered liens or encumbrances.
Do I need a local bank account to buy property in Costa Rica?
You don’t technically need one, but most buyers find it practical for wiring deposits and paying closing costs. Opening a local bank account as a non-resident takes time and documentation. Many buyers use an escrow service for the deposit, which keeps funds secure until closing conditions are met. Your attorney can guide you on the mechanics for your specific transaction.
How long does a property purchase take to close in Costa Rica?
A straightforward cash purchase on a titled property can close in a few weeks once all documents are in order and due diligence is complete. Transactions involving financing, corporate restructuring, or properties in the maritime zone typically take longer because of the additional legal steps required. Having a responsive attorney and getting your due diligence done early shortens the timeline significantly.
What taxes do I pay when buying property in Costa Rica?
At closing, the buyer and seller together pay a transfer tax and legal fees based on the registered value of the property. After closing, you’ll pay annual property tax to the municipality. If the property is held in a Costa Rican corporation, there’s also an annual corporate tax. Tax obligations depend on how the property is structured, so your attorney should walk you through all of them before you close. For a general estimate of closing costs, use the closing cost calculator.
Before you wire a deposit, check the property first. Run a free scan on Folio. Tap the lot to see its finca number, lot area, boundary and maritime-zone flag in seconds. Folio’s $29 report adds the registered owner, liens and the plano, usually within 24 hours. Then message Leo on WhatsApp at +506 8798 6122 when you are ready to move on a deal.
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Puntarenas Province, Santa Teresa, Costa RicaOn the ground in Costa Rica, helping US and Canadian buyers find and safely close the right property. Questions? Message Leo on WhatsApp at +506 8798 6122.
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