Costa Ballena Mid-Year 2025 Market Pulse: Trends, Insights & Opportunities

The first half of 2025 has seen a dynamic and evolving real estate market in Costa Ballena, a distinctive South Pacific region known for its lush natural beauty and growing international appeal. This mid-year report offers a detailed analysis of market activity, pricing trends, inventory shifts, and emerging short-term rental dynamics based on data collected from January through June 2025, benchmarked against previous years.

Despite the absence of a centralized multiple listing service (MLS) in Costa Rica, our brokerage, Osa Tropical Properties, leverages extensive resources and partnerships to compile one of the most comprehensive regional datasets available. This localized focus allows us to provide a clear picture of Costa Ballena’s unique market forces — which differ significantly from other popular Costa Rican destinations such as Guanacaste or the Central Valley.

The report covers new listings, sales performance, price adjustments, and off-market activity, highlighting how buyer behavior and seller strategies have adapted amid fluctuating demand and economic conditions. Additionally, we examine the robust short-term rental market that continues to influence investment decisions and property usage in the area.

Our goal is to equip buyers, sellers, and industry professionals with actionable insights into Costa Ballena’s real estate ecosystem as it stands midway through 2025, helping all stakeholders navigate this complex and rewarding market with confidence.

About Costa Ballena

Costa Ballena is a stretch of South Pacific coastline in Costa Rica known for its lush rainforests, panoramic ocean views, and a growing community of international residents. The region encompasses the towns of Dominical, Uvita, and Ojochal, along with surrounding mountain communities that offer cooler climates and elevated vistas just minutes from the beach.

Once a remote and underdeveloped area, Costa Ballena has emerged over the past 15 years as one of the most sought-after destinations in the country for eco-conscious relocation, boutique tourism, and lifestyle real estate investment. Its infrastructure, while still modest in places, has steadily improved—with better roads, internet coverage, healthcare access, and a growing number of bilingual service providers.

Unlike the more urbanized or resort-heavy areas such as Guanacaste or the Central Valley, Costa Ballena remains deeply connected to nature. Protected lands, marine reserves (like Marino Ballena National Park), and sustainable development practices are central to the region’s character.

The real estate market here is shaped by:

• International Buyers: Primarily from North America and Europe, drawn by natural beauty, privacy, and a slower pace of life.
• Low Inventory, High Demand: Especially for the most in-demand ocean-view, turnkey properties, with luxury features that are competitively priced (not inflated to 2022 pricing). Inventory is currently high for brand-new modern homes and non-turnkey properties, which bulk out the market.
• Eco and Wellness Appeal: Properties that support permaculture, yoga retreats, or off-grid living attract a growing niche.

This combination of qualities creates a unique market ecosystem—one that does not mirror national trends and therefore deserves its own dedicated analysis.

New Listings in Mid-Year 2025

From January through June 2025, a total of 238 new listings were recorded in Costa Ballena, representing over $196.6 million in newly listed property value. Month-to-month, activity ranged as follows:

• January: 31 new listings
• February: 43
• March: 35
• April: 56 (peak month)
• May: 24 (lowest volume)
• June: 49

The pace of new listings this year has been steady, with notable surges in April and June. These increases suggest renewed seller confidence heading into the green season—typically a quieter time in tourism, but often an active period for serious buyers conducting research and due diligence.

As of the end of June, the inventory distribution of properties for sale our website MLS by town reveals clear hotspots of market activity:

• Ojochal: 233
• Chontales: 28
• Tres Rios: 67
• Uvita: 271
• Dominical: 132
• Quepos: 27
• Platanillo: 24
• Tinamastes: 12
• Cortes: 8
• Puerto Jimenez: 5
• Palmar: 4
• Golfito: 3
• Sierpe: 2
• Chacarita: 2
• Rincon: 2

Ojochal, Uvita, and Dominical continue to dominate the market in terms of available inventory, reinforcing their status as the core hubs of the Costa Ballena region. These three towns alone account for more than 75% of all listings tracked. This concentration reflects not only development patterns but also where demand is most persistent.

That said, this data does not capture the entire market. Costa Rica has no centralized MLS, and much of the real estate activity depends on informal cooperation between brokerages. OTP takes exceptional steps to ensure the listings on our website are the most current and comprehensive in the region. We continuously audit listings, contact fellow agents, and manually verify property statuses to maintain what functions as a de facto MLS for Costa Ballena.

With no official MLS in Costa Rica, we go the extra mile to collaborate with our trusted local real estate brokerages. We share our listings, accept listings from partners, and welcome other agents to bring buyers—because selling the property is always the goal.

In markets like North America, pricing strategies rely heavily on comparable sales and standardized valuation methods. That kind of predictability does not exist here. Due to the uniqueness of each property—elevation, views, construction quality, road access, and even internet speed—pricing can vary widely. As a result, list prices in Costa Ballena may not accurately predict final sale values, and careful, hands-on analysis remains essential.

Despite these challenges, OTP continues to lead in both transparency and consistency, giving buyers and sellers alike the most reliable source of data in Costa Ballena.

Sales Activity and Pricing Trends

In the first half of 2025, properties in Costa Ballena sold at an average of 91.29% of their listing price, indicating a continued alignment between seller expectations and buyer behavior in the region.

Sales Volume by Property Type:

• Homes: 63 sold, average list price $729,570, with a 91.56% list-to-sold ratio, totaling $45.96M in listed value.
• Land Parcels: 32 sold, average list price $320,985, with an 89.44% list-to-sold ratio, totaling $10.44M.
• Commercial Properties: 4 sold, average list price $1.34M, totaling $5.37M.
• Condos: 2 sold, average list price $419,500, totaling $839,000.

Luxury properties over $1M (15 sales) sold at an average of 88.4% of list price, indicating a slightly wider negotiation window at the top of the market.

By region:

• North (Dominical area): $1.06M avg. list, 93.03% list-to-sold
• Central (Uvita): $489,615 avg. list, 91.04% list-to-sold
• South (Ojochal): $455,335 avg. list, 90.61% list-to-sold

The average price across all major town centers (Dominical, Uvita, Ojochal) was $615,376, with an average list-to-sold ratio of 91.15%.

Osa Tropical Properties Performance

Osa Tropical Properties represented 27 sold properties in the first half of 2025, with a combined list price value of $12.13M. This equates to our office representing 26.7% of transactions in the first half of 2025. These included:

• 18 Homes, averaging $456,200
• 9 Land Parcels, averaging $435,800

Across all tracked sales, the average price per square foot was $303 for active listings and $277 for sold properties. This compares to a 2024 average of $286/sq.ft. across Dominical, Uvita, and Ojochal. Note: price per square foot in Costa Rica typically includes pool, terrace, furniture, and household items.

These figures illustrate both the fluid nature of pricing in the region and the continued importance of customized, property-specific analysis in setting realistic listing expectations.

Price Reductions and Off-Market Trends

In the first six months of 2025, 276 properties experienced price reductions, with an average reduced list price of $846,500 and an average reduction of 10.2%. The volume of reductions peaked in June (61) and January (48), with average reductions of 11.2% and 9.9%, respectively.

This year’s reduction volume has nearly doubled compared to the same period in 2024, marking the highest on record. The sharp increase reflects a market still recalibrating after the Covid-era surge, when a flood of motivated buyers drove prices to unsustainable highs. As demand normalized, many of those listings—initially priced at inflated levels—have required significant adjustments to reflect today’s more balanced conditions.

Breakdown of Reductions:

• 34 properties were reduced twice (avg. $819,000 / 8.6%)
• 3 properties reduced three times (avg. $613,000 / 5.6%)
• Properties over $1M: average reduction 13.6%
• $500k–$1M: average reduction 8.1%
• $200k–$500k: average reduction 9.5%
• Under $200k: average reduction 13.3%

There were 107 properties taken off market during this period. Properties tend to go off-market after sitting too long without interest or when owners shift strategies—either choosing to rent or wait for improved conditions.

Significant price reductions include a notable case in Uvita where a 20-acre farm with distant ocean and valley views saw a nearly 39% reduction—not due to any property flaw, but because of a major overpricing correction from 2024 and a motivated seller finally aligning with agent recommendations.

Overall, one in four listings in Costa Ballena received a price reduction in the first half of 2025. The data makes it clear: in today’s market, the listings that are selling are the ones offering exceptional value. Some listings with remarkable features—views, design, location—are still sitting unsold because their pricing doesn’t reflect the current buyer expectations.

Investors Short-Term Rental Market Snapshot

Data from AirDNA highlights a continued upward trend in the short-term rental (STR) sector across Costa Ballena. As of mid-2025, the Bahia Ballena region, which encompasses Dominical, Uvita, and part of Ojochal, shows:

• 2,100 STR Listings, nearly doubling from ~1,100 five years ago
• 87 Market Score, indicating strong STR performance and guest demand
• $36,200 Average Annual Revenue per active rental
• 1% Year-over-Year Increase in annual revenue
• 1,375 Active Listings, up 20% from 2024

For comparison, Costa Rica as a whole hosts approximately 44,800 STR listings, with an average nightly rate of $331.

The growth in STR listings, especially in Bahia Ballena, suggests that many buyers are either investing with the intent to rent or transitioning homes into income-generating assets as market dynamics evolve. Despite a slowdown in buyer urgency, the rental market remains strong, helping to offset ownership costs and offering sellers another alternative to going off market.

Expert Insights from the Osa Tropical Properties Team

The first half of 2025 has been a complex and shifting period for Costa Ballena’s real estate market. Our experienced agents at Osa Tropical Properties share their frontline observations and advice to help buyers and sellers better navigate today’s environment.

Sellers’ Price Expectations and Market Realities

Many sellers remain reluctant to lower their asking prices, even as buyer activity slows and inventory grows. We’ve started having frank conversations asking, “What is the minimum you’re willing to accept?” This honesty helps sellers decide whether to adjust expectations or temporarily take properties off the market. Price reductions alone don’t always sway buyers; rather, properties priced in alignment with true market value—based on fresh, comprehensive comps—tend to sell.

Buyer Behavior and Preferences

Buyers in Costa Ballena are increasingly selective. The majority want turnkey homes that require little to no work and are priced fairly. Properties that look good online with high-quality photos attract more interest. Fixer-uppers face steeper negotiations, as buyers factor in renovation costs and risks.

Our team is sending up-to-date comparable sales data to sellers regularly, reinforcing transparency and helping align pricing strategies. We’re also actively reaching out to off-market properties, encouraging owners to list with us for maximum exposure.

Market Price Evolution: Perspective and Pricing Dynamics

It’s important to place today’s pricing in historical context. The real estate market peaked in Costa Rica around 2007-2008. Even during the Covid bubble, prices never reached those highs. For example, a property in Ojochal sold for $750,000 pre-crash, dropped to $330,000 in 2018, and while values have rebounded, they remain well below those earlier peaks. Given the current ample inventory, prices are expected to be around or below pre-Covid levels rather than above.

Commercial and Hotel Properties: Lifestyle, Not Investment

Hotels and commercial properties currently are not yielding strong financial returns. Many owners operate these as lifestyle businesses rather than investments with solid profit. One of the biggest challenges for hotels is the exchange rate between Costa Rica’s Colon (CRC) and the US Dollar. Hotels in Costa Rica typically charge in USD but have to pay expenses with the CRC. This means their expenses and capital improvements are costing more with the exchange rate as it is currently. Buyers should view these modest income-generating assets as a means to supplement their lifestyle and expenses.

Broader Market and Political Influences

Costa Rica’s upcoming elections may bring developments like the South Pacific airport projected to begin construction in 2027, which could impact the region’s growth and demand. Meanwhile, North American markets—key sources of buyers—are experiencing slowdowns, price corrections, and more cautious investment behavior, with many holding cash or preferring stocks.

Navigating Buyer Fear and Uncertainty

Purchasing property abroad adds layers of hesitation for buyers, often leading to more cautious decision-making and “window shopping.” Around 80% of buyers do not think far ahead when buying here, emphasizing the need for expert guidance. Our team provides detailed market analyses and comparable listings to reassure clients they are making informed choices and not overpaying.

Advice for Buyers and Sellers

We encourage buyers to make offers—even in a slow market, motivated sellers exist, and opportunities arise. For sellers, preparing a home to show well and pricing realistically is critical, especially as buyers increasingly expect move-in-ready conditions and are less tolerant of maintenance issues, especially in the luxury segment.

Our agents follow up diligently after showings, often finding buyers have not made offers elsewhere, indicating hesitation but also opportunity.

The Role of Realtors

We see our role as simplifying this complex market for clients, helping them cut through the overwhelming number of listings and focus on what truly fits their needs and budgets. The market is dynamic with sales and price adjustments happening weekly, therefore any list price quote received during a listing appointment without presenting a comprehensive market analysis, should be taken with speculation. Sellers should request a list of comparables before making a well-founded pricing strategy if they want to sell in a timely manner.

Ultimately, buying property in Costa Ballena is not a once-in-a-lifetime decision. We advise clients to act when they feel confident, trusting that there will be future opportunities and that expert guidance can help avoid costly mistakes.

Final Thoughts for Mid-Year 2025

The Costa Ballena real estate market in the first half of 2025 reflects a dynamic but balanced environment. Sellers who price their properties realistically and present them well are finding success, while buyers who act with confidence and leverage expert market knowledge can uncover valuable opportunities.

Navigating this evolving market requires more than guesswork—it demands deep local expertise, up-to-date data, and proactive communication. At Osa Tropical Properties, we are committed to guiding both buyers and sellers through every step of the process with transparency and tailored advice.

If you are considering buying or selling in Costa Ballena, now is the time to connect with our team. Whether you’re ready to make an offer, want to understand true market value, or simply need trusted insights about the local landscape, we are here to help you make confident decisions and achieve your real estate goals.

Contact Osa Tropical Properties today to schedule a personalized consultation and take the next step in your Costa Ballena real estate journey.

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Our Report Methodology

Data Sources

• Osa Tropical Properties (OTP) Internal Database: Primary dataset comprising listings, pending sales, and closed transactions recorded on OTP’s website between January 1 – June 30, 2025 and the equivalent six‑month periods in 2024 and 2023.
• Co‑operating Brokerages: Supplementary data shared informally by partner agents operating in the Costa Ballena region.

Data Coverage & Scope

• Geography: Focused exclusively on the Costa Ballena corridor (Dominical, Uvita, Ojochal, and surrounding mountain communities).
• Property Types: Residential resale homes, residential lots, and select development parcels that appear publicly on brokerage websites.
• Exclusions: For‑sale‑by‑owner (FSBO) transactions, developer‑direct sales not publicly marketed, and properties outside Costa Ballena.

Collection Process

1. Website Scrape & Manual Audit – OTP’s listings were exported into a spreadsheet, then manually cross‑checked to remove duplicates and flag status changes (list‑to‑pending, pending‑to‑sold).
2. Broker Outreach – Monthly calls and email requests to eight competing offices for status updates on joint listings and notable off‑market sales.
3. Verification – Final sale prices and closing dates were confirmed through attorney offices where possible; otherwise, agent confirmation was accepted.

Timeframe Alignment
For trend comparisons, metrics from H1‑2025 (Jan 1–Jun 30) are benchmarked against H1‑2024 and H1‑2023 (sometimes earlier years as well). All currency figures are in U.S. dollars at nominal value (no inflation adjustment).

Limitations & Reliability

• No Centralized MLS: Costa Rica lacks a mandatory multiple‑listing service; hence, data completeness depends on voluntary agent reporting.
• Reporting Lag: Smaller offices often update their websites weeks or months post‑closing, leading to potential undercounting—especially for Q2‑2025.
• FSBO & Developer Bias: The For Sale By Owner and pre‑construction niches mean total transaction volume in Costa Ballena is higher than reported here; directionally, however, brokered deals track the same demand drivers.

Strengths of the Dataset

• OTP Market Share: OTP captures a disproportionately large slice of coastal and mountainside listings, making this sample the single most robust brokerage‑level dataset for Costa Ballena.
• Regional Focus: Unlike nationwide reports that blur together Guanacaste, Central Valley, and other markets, this study isolates a micro‑region with distinct buyer profiles and price behavior.

All findings in this report should be interpreted in light of these strengths and constraints. Where relevant, qualitative insights from veteran agents supplement the quantitative data to provide context.