Purchasing Property
Purchasing property
in Costa Rica is very different from making a similar
purchase in your home country. The laws of Costa Rica and
the property registration process can be somewhat confusing
to a foreigner. Your best bet is to work with a broker (brokers
are licensed in Costa Rica) or real estate consultant when
looking for property, such as the people we recommend in the
section, Finding a Broker. When you find a property, your
broker can help you negotiate the price and explain your financing
options.
If you decide to buy
real estate, an attorney is absolutely necessary to do
the legal work. We strongly recommend that a competent, Englishspeaking
lawyer do a thorough search of all records before you make
your purchase to make sure there are no encumbrances (gravámenes)
on it. One of the biggest errors made by foreigners buying
real estate is not properly researching the title for liens.
You can obtain information about property at the Registro
de la Propiedad (like our land title office) in the suburb
of Zapote, about five minutes from downtown San Jose by car or taxi. Because Costa Rica is so small, all
land records are kept at this office.
You can also find the status and ownership of a piece of
property and get any title documents and surveys you may need
at the registro. If the property is registered in the
name of a corporation, the legal representatives must be verified,
since they have power of attorney to make the sale. Information
may also be obtained from the registry's website at http://www.registronacional.go.cr.
Your specific property can be researched by using the owner's
name, cédula (national ID card) or registration
number, called a folio real. The more information you
obtain the better.
The first information that appears should be the owner and
registration number. If the registration number ends in 000,
chances are you are dealing with an individual owner. If there
is another number within the 000, there are probably co-owners.
For example, a husband will have the number 001. If a 002
appears, this indicates the property has two different, non-married
owners.
The printout you receive will give you the following information
in Spanish. You may need someone to translate.
- (a) The description of the property and the name of the province where it is
located.
(b) The boundaries of the property
- (c)
The area in square meters (make sure the property you are
buying really is the same size).
- (d)
The survey number of record.
- (e)
Origin of land or history (perhaps it was a farm before, etc.)
- (f)
Government assessment for transfer purposes
- (g)
Data concerning the owners whether an individual, individuals
or a corporation.
- (h)
Cédula (ID) of the owner(s) or corporation
- (i)
Estimated price (this can vary in Costa Rica; there is sometimes
a difference between what is paid and what is actually recorded).
- (j)
Statement of full ownership
- (k)
The number that was recorded in the registry when the owner
took over the property.
- (l)
Date registered.
(m) Anotaciones - this is very important point
since there may be pending activity concerning the property.
- (n)
Gravámenes - has to do with liens, mortgages
and encumbrances.
Beach Property is in High demand
If you want more information contact Costa Rica real estate and retirement properties or
call toll free 1 888 581 1786. |
