|
Financing real estate in Costa Rica is now much easier.
Bank financing, typical of what occurs in United States, is about the same in Costa Rica. The exceptions are banks will only finance up to about 70% of their appraised value of the property.
The down side to bank financing are the interest rates. Current interest rates on real estate loans are very high, 25% to 30% per year. Banks sometimes overstate the value of the real estate, allowing for possibly more than 60% value financing. Plenty of mortgage money available typically 3% to 4% over NY prime for up to 30 years
An option used here is to obtain an interest only loan for 3 to 5 years. The interest is paid and a final payment is made for the principal amount.
Many United States and Canadian Banks have branch banks here. The possibility exists to arrange for a secured loan in the US or Canada and use the funds to make a "cash deal" here in Costa Rica. US banks will generally NOT carry a mortgage on property outside the US.
One viable option, and one of the better ones, is to arrange for the seller to carry the mortgage on the property. Many sellers will, some will not. Your Coldwell Banker realtor will offer advise during the negotiating process.
» View Bank Loans Chart
» Download Bank Loans Chart PDF
|
Become a member
View map
