Living in Costa Rica
Building a Home in Costa Rica
Building a home in Costa Rica can be a rewarding experience. Through its Concierge service, Coldwell Banker can arm you with dependable resources to turn your architectural plans into reality. Your first step will be to find a licensed architect or engineer; they are the only ones qualified to apply for a construction permit. Their fee schedule is established by the Colegio Federado de Ingenieros y Arquitectos. The first stage involves construction plans and permits: preliminary studies (depending on the scope of the project); pre-project design; construction plans and technical specifications. In addition to the permits listed above, you will need a construction permit from the municipality where your property is located. Each municipality creates and enforces building codes for construction project in its area. Note: Condominium, commercial construction or urbanization projects require additional permits.
Planes reguladores (urban plans) outline zoning considerations in many areas. Your attorney will do the proper title research to ensure you purchase the land best suited for your construction. Things to consider when building Costa Rica real estate are environmental regulations, such as national wildlife refuges and areas deemed protected by the forestry law, and the Maritime Zoning Law (see Beachfront Property.)
Costa Rica real estate - Building Considerations
Good contractors do exist. Look for an experienced construction firm that can assist you with permits as well as building. Interview several companies; ask several questions. Ask to seecompleted projects, and speak with past clients to find out their satisfaction level with the company.
Ask other residents where you are building or online to recommend specific workers or companies.
All architects and engineers in Costa Rica must be licensed by the Costa Rican Association of Engineers and Architects (Colegio Federado de Ingenieros y Ingenieros y Arquitectos-CFIA HYPERLINK); this body keeps a list of professionals and set fee schedules. If you do not speak Spanish, have a trusted bilingual representative contact the association to verify the credentials and fees of your chosen architect and engineer.
Before you sign any contract for Costa Rica real estate, be sure that the fee structure is transparent and that you understand it. Likewise, clearly define the responsibilities that your architect/engineer, general contractor and any subcontractors are going to assume.
Coldwell Banker® Offers Tips to Help Ease Long Distance Relocation Woes
A News Series from Coldwell Banker Real Estate Corporation Highlighting Real Estate Tips
According to the U.S. Census Bureau, 40 million Americans moved between 2002 and 2003, and 19 percent of all those moves were to a different state. Moving can be a complicated process, let alone picking up and moving to another state or cross country. One must find a home, schools, perhaps even a job for a spouse, not to mention get a feel for the community before settling in on a new location.
The professionals at Coldwell Banker® recommend taking the following steps to ensure that when it comes time to move to a distant location, the process is smooth and simple. At the end of the day, it is all about research.
First, Get Organized
When moving many miles away it makes sense to organize a list of the key information required before deciding where to live. Important questions that will need to be answered include:
• What is the cost of living? How far will the new money go?
• What is the price of a similar sized house in the new location?
• What is the community like? Crime rates?
• How is the school system?
• What is the noise factor?
• Will this be a good area for my spouse to find work?
• What is the public transportation system like?
• How long will my commute be?
Due Diligence
To learn more about the typical lifestyle of the new town, as well as community events and crime rates, get a few back copies of the local newspaper, or log on to the local paper's Web site. This third party information, together with what you learn from the local Chamber of Commerce, will give you a sense of the personality of the area.
Use the Internet
For perhaps the biggest decision in the entire process, finding a home, the World Wide Web is an invaluable tool. Web sites such as www.coldwellbanker.com can provide visitors with an abundance of incredibly useful information. A function like the Home Price Comparison Index on the site will calculate approximately how much a house will be worth in the new market, which as a result will provide insight into the cost of living. Visitors also can find a variety of community and neighborhood information including median age and income, percentages of married couples and children, recent home sales, and a listing of elementary and high schools with demographic information on the schools.
Feet on the Street
When you have a chance to physically visit the new city and have begun working with a real estate sales associate look to see how much new construction and remodeling work is taking place. This will tell you whether the neighborhood is popular, and whether current residents plan to stay. Also, have the sales associate take you through the neighborhood after hours. See what the neighborhood looks like when all have returned from work and school.
Coffee Talk
If possible, try to have a few conversations with the locals near a prospective home. More than anyone, they have their fingers on the pulse of the neighborhood and the community at large.
Work With Your Employer
Make it clear to your new employer that your spouse now will be in need of a job. The company likely will have relationships with relocation experts and executive recruitment firms to help in the spousal job search process.
Simplify the Move
Coldwell Banker® customers can use their local Coldwell Banker Concierge® Service Program for assistance in all aspects of the move. With service categories across the nation, local Coldwell Banker Concierge Service Program representatives can help make things easier.
Ready To Take The Costa Rica Ownership Leap
The Coldwell Banker Network Offers 10 Tips to Making the Home Ownership Dream Come True
Buying a first home is one of the most important decisions a person can make, but it can be a complex process. Coldwell Banker Real Estate Corporation offers tips for first-time home buyers with a checklist of the 10 essential steps to help make the process smooth and successful.
Step #1: Ask Your Lender About Available Mortgage Programs
An experienced mortgage company should be able to work with you one-on-one to determine exactly which mortgage programs will meet your individual needs and what you can qualify for based on your personal information. Applicants with higher credit ratings and/or higher levels of financial reserves generally receive more competitive mortgage rates. But with hundreds of available mortgage programs, there is usually one to meet the needs of almost any home buyer. For those with excellent credit, there is even a way to get a mortgage with 0% down.
Step #2: Research the Terms of the Mortgage
Different mortgage lenders have varying price structures that can affect the amount that you pay for your home. An annual percentage rate (APR) includes the actual interest rate on the loan, as well as certain fees and costs associated with the loan. Because a customer may be paying points and other closing costs, the APR disclosed may appear to be higher than the actual interest rate quoted for the loan. Not all lenders calculate APR identically; however, it does give customers a relatively fair method of comparing price on their potential loans.
Step #3: Get a Pre-Qualified Loan Commitment
Even before the house hunting begins, home buyers need to determine how much they can afford. Mortgage companies or other lending institutions provide pre-qualified loan commitments. Sellers often don't take an offer seriously unless the prospective first-time buyer has some assurance of creditworthiness from a mortgage company. Coldwell Banker® Mortgage goes one step further, offering qualified consumers pre-approvals, which carry more weight than a pre-qualification. A pre-approval with Coldwell Banker Mortgage means more because a full credit report is ordered on the customer so that a true loan decision can be made the same day a customer applies. Shopping for a home with a pre-approved mortgage enables a customer to negotiate as a cash buyer and submit an offer on a home with confidence that the mortgage will be issued and the sale will be completed.
Step #4: Do Your Home-work
Be sure to go online to sites such as coldwellbanker.com to check for listings, neighborhood information, current mortgage information and home ownership services. The right amount of research will help you to better understand the marketplace and homes available in your price range when you're ready to work with a real estate professional.
Step #5: Make a Checklist
To help make the home buying process a little easier, home buyers should create a checklist of the important features they want in a home. Location and the number of bedrooms and bathrooms are usually important. Other important questions to answer: What will the commute to work be like? Are there shopping centers, parks, and schools located near the home?
Step #6: Find a Buyer's Broker
A buyer's broker or agent represents the buyer's interests and helps identify homes that are for sale and in the right price range. The broker also can help with such tasks as writing contracts, negotiating the asking price, and closing the purchase. Click here to see a video on finding an agent.
Step #7: Make an Offer
Once you find the right house, make an offer. Make sure that your offer is contingent on two items: 1) You're able to obtain adequate financing (if you haven't done so already), and 2) you can pull out if the property doesn't pass the home inspection, and the owner can't come to terms about how to fix the problem. Be prepared for counter-offers from other buyers and some negotiation with the seller. Make an earnest money deposit, which is a check that you'll give your agent to indicate that you're serious about buying the house. The check will apply toward the sales price if the deal goes through; if not, you get it back. You should also set a time limit with your agent that the offer you've made is good for three days. If an offer is accepted, it goes to the contract phase.
Step #8: Hire A Home Inspector
Making an offer contingent on an inspection by a registered home inspector can save thousands of dollars by avoiding unseen problems. Inspectors will check the house for any structural damage. In the contract with the seller, it should state any necessary repairs that must be made before closing on the house. Prior to closing, walk through the house and check that such repairs have been completed.
Step #9: Buy Homeowners Insurance
Lenders require homeowners insurance to protect the new home buyer's interests as well as their own. There are many providers so shop around for the best rates.
Step #10: The Closing
This is where the seller and buyer sign settlement-closing papers to transfer the ownership of the home and all transactions are finalized. Congratulations, you achieved the American dream and you are now a homeowner!
Doing Business In Costa Rica
The Costa Rican - American Chamber of Commerce (www.amcham.co.cr) and the Costa Rican Investment and Development Board (CINDE, www.cinde.or.cr) are excellent sources of business and investment information.
Comprehensive information on registered companies, their audited financial statements and their investments offerings is available from Costa Rican supervisory entities. Both the SUGEF (Superintendency of Financial Entities, www.sugef.fi.cr) and SUGEVAL (Superintendency of Securities, www.sugeval.fi.cr) have initiated English translations of their web sites; some translated material has already been posted.
Medical Information
Not only does Costa Rica have the leading healthcare in all of Central America, it also ranks above countries such as the US, New Zealand, and Cuba. In life expectancy Costa Rica ranks number three in the world. (Statistics: World Health Organization). Why do Costa Rican’s enjoy such a long life? Some believe that this is due to the laid back lifestyle, the healthy fresh food, and the ideal climate. Others would attribute it to the highly qualified, internationally trained medical staff.
The Costa Rican Government continues a long-term commitment to affordable health care for all of it’s citizens. The Caja Costarricense de Seguro Social (CCSS) is responsible for providing this service. The CCSS also provides medical care to non Costa Ricans for a small monthly fee.
Clinica Biblica and Clinica Catolica are affiliated with hospitals in the United States. Although they cost more than public clinics, it is only a fraction of what you can expect to pay in the United States. The combination of excellent attention and price has spurred a minor but rapidly growing trend of medical tourism to Costa Rica. People combine their vacation with inexpensive, high quality dental work, operations to correct vision problems or cosmetic surgery.
There are many pharmacies carrying a full range of modern medicines and all but narcotic and addictive drugs are available over the counter. Prescriptions are not needed on most products in Costa Rica. You can expect to save up to 80% compared to prices in U.S. Drugstores. Costa Rica is, in fact, the headquarters for more than one international pharmaceutical company.
