Luxury Porperty
May 12, 2023
Luxury homes in Costa Rica are all about enjoying the very best environment for relaxing with family and friends in truly magnificent surroundings. Costa Rica is one of the most attractive Latin American countries in terms of security and quality of life and this country has much to offer in terms of variety and prestige. Costa Rica luxury homes feature intriguing architecture with eloquent finishes that are accompanied by captivating views of rolling emerald mountains, thick green valleys and the royal blue ocean. In recent years, Costa Rica has become one of the most popular places in the Americas among people looking to buy luxury real estate as a second home or vacation getaway. Luxury property prices continue to rise and the top homes and condos in Costa Rica are becoming ever more extravagant. Luxury developers in Costa Rica are meeting the expectations of the discerning millionaires who come looking for their eden. Luxury real estate in Costa Rica is widely available in select areas across the entire country. San José, Escazú, Santa Ana, Curridabat, Guanacaste, Costa Ballena and the Caribbean are all popular areas for luxury properties in Costa Rica. The Costa Ballena in particular offers the perfect intersection of ambiance, services and leisure for a high quality lifestyle. In this region of the South Pacific coast, it is still possible to invest in quality agricultural land for development that you cannot find as abundantly in other luxury communities around Costa Rica. It is no surprise that after sailing the magnificent eastern shores on his final voyage in 1502, Christopher Columbus referred to this magnificent landscape as la costa rica, or “rich coast.” Costa Rica possesses an innate wealth that extends far beyond its neighbors. This is a land filled with rainforests, rivers, lakes, waterfalls, volcanoes and some of the world’s best beaches. Regardless of economic climate, luxury real estate in Costa Rica continues to be built and sold every year. While millionaires tend to be just as careful and conservative as everyone else in difficult times, most will make a huge exception when it comes to their home. Buyers of luxury homes in Costa Rica can find a large choice of properties that live up to the standards of the most exclusive addresses in the United States in a more relaxed and pristine environment. When money is no object, architects and designers of luxury real estate in Costa Rica create outstanding works of art in the most stunning settings. Costa Rica’s real estate investment environment offers tremendous opportunities for those looking to buy. While small in size, Costa Rica is incredibly diverse in regards to ecosystems, climate, infrastructure, amenities and lifestyle. This is a country whose people are consistently ranked as the happiest on the planet. Those who choose to live here enjoy a warm tropical climate and easy direct flights. This is truly a rich coast that is filled with opportunities for an enjoyable life. The Costa Ballena region of Costa Rica is a place where you can stay for a little or a lifetime. High-end buyers choose this region for their vacation home if they want to be in a very private setting, away from the public eye and noisy roads. Location is the added value in luxury Costa Ballena real estate. Not only can you live in what feels like a remote corner of the world. You can also be minutes away from gourmet restaurants, banks, stores and supermarkets and some of the most magical beaches in Costa Rica. Luxury homes in the Costa Ballena are built to create experiences and memories. Imagine starting the day with a super fresh organic orange juice from the garden to accompany your breakfast. You walk with the dogs around organic gardens and collect some fruits, veggies and flowers. You are in a clean environment, surrounded by evergreen forest. You take a deep inhale of fresh air, feel the breeze on your face and listen to the waves crashing against the rocks. In Costa Rica, high end homes are often an expression of our love for nature. Terraces, decks, and balconies are essential for taking advantage of the indoor/outdoor lifestyle. These areas in Costa Rica’s luxury homes will often capture views of the lush Talamanca mountain range, colorful sunsets over the Pacific Ocean and the famous Whale’s Tail at Marino Ballena National Park. Well maintained gravel roads lead upwards to private concrete roads in Costa Ballena luxury developments. They have manned gates with full security features, underground electricity, and beautiful tropical gardens. And the luxury homes you find within will be anything but ordinary. Within the Costa Ballena, there are several different environments. Rainforest, beaches, mangroves and the largest coral reef on the Pacific Coast of Central America are some of the natural wonders that draw thousands of high-end visitors each year. Tucked along the green mountains in the South Pacific are the luxury developments of the Costa Ballena. Gorgeous estates, eco-lodges, vacation rentals and upscale hotels are hidden from plain view. Strips of soft sandy beaches are home to a few high-end hotels and eco-friendly resorts. The expat population here continues to grow steadily each year, creating a strong and vibrant international community. Even so, this region is protected by law from over-development. It is one of the few unspoiled places left that is also fairly accessible from an international airport. As a result, luxury properties in the South Pacific are a rare commodity that will only continue to grow in buyers. For investors interested in tourism or a second house, the South Pacific coast has many wise choices. Costa Ballena’s luxury real estate market begins at around $750,000 USD in this region’s most popular and beautiful areas. Turnkey luxury villas can be found in both colonial and modern style. Luxury home prices are founded in expensive finishes such as imported marble and exotic wood and stone, as well as the very latest technology systems installed for your complete security and comfort. In our exclusive beach destination, you can expect to pay between $1000 to $10,000 per square meter of finished property for a true luxury mansion. Land prices in some of the most sought-after gated compounds are around $200 to $1000 per square meter. And both sets of prices depend largely on location. Costa Rica is one of the most expensive luxury rental markets in Latin America. Spectacular beachfront mansions and opulent mountain estates can be rented for as high as $2,000 per day. Hoteliers in our region have serious competition from the growing market of privately-owned luxury homes for their added privacy in exceptional settings. When it comes to property taxes, Costa Rica is comparatively low to luxury home taxes in Europe or North America. As an example, a luxury home in Costa Rica worth around $3,000,000 can expect to pay around $2200 for annual property tax and $6,800 for annual luxury tax. Our goal at Osa Tropical Properties is to ensure that our luxury buyers make the finest acquisitions possible. Finding a great property is just a small part of the process when investing in Costa Rica. We place our clients and their luxury properties into expert hands when it comes to pricing, placement and marketing. Our luxury real estate professionals are committed to maintaining the highest level of customer service. We offer the confidentiality that buyers are looking for and we get to know the unlisted exclusive luxury properties to share with our qualified buyers. We are constantly updating our inventory database to bring you only the most unique, exclusive and up-to-date luxury real estate in the Costa Ballena. "We could not have had a better agent for our search. We put Rebecca Rowntree through her paces and she never got tired of our questions or evolving requirements. There is so much to see there that it takes someone with patience, fortitude and most importantly – insight and knowledge – to get the job done and she did it with a 5 star rating on all fronts. Thank you again! We’ll see you there soon!" Mike and Elisa S. Why Buyers Choose Luxury Homes Costa Rica
Luxury Properties in the Costa Ballena
What to Expect From A Luxury Home Costa Rica
Trust Our Team Of Luxury Real Estate Experts
May 11, 2023 in Tips for Buyers, Buying Process, Real Estate in Costa Rica
Been thinking about buying a luxury property in Costa Rica but not yet ready to retire? Luxury rentals in this region are hot, especially in the high season. You don’t have to move in full time yet. While you continue working and raising the next generation of your family, your Costa Rica home can work for you. Some of our readers are ready to invest in Costa Rica’s luxury real estate market in the Costa Ballena. They either have real estate assets in another market that they want to liquidate to lessen their property tax burden; they already have cash ready to invest; or they have IRAs that they want to diversify. These buyers are not yet ready to retire. Even though they’ve been to Costa Rica a number of times and have fallen in love with the South Pacific, they are not sure if they should or shouldn’t take the plunge. Today’s question that we want to answer is one that is burning on a lot of minds recently: is now the time to invest in a luxury property in Costa Rica? Here’s what we can tell you with confidence: ocean view listings—both existing homes and vacant lots—are very scarce in the non-luxury market. This has boosted the price on a few listings in that market and buyers are gradually moving up the pricing ladder. As a result, the luxury market has begun a small incline in demand as well, including a host of luxury developers beginning new projects in this region. Our office has seen a rise in buyers shopping for homes between $500k-$800k, sometimes going above the million dollar mark. Our region is experiencing growth in the luxury real estate market coinciding with international financial indices growing and with Costa Rica's environmental acclaim growing, too. An increasing number of international property investors have found their way to Costa Rica and fallen in love with the culture, lifestyle, attitude, and the luxury rental income. And as the scarcity in the non-luxury ocean view market grows, the interest in the luxury market expands with it. Owning luxury property in many international real estate markets has become a big tax burden, especially in key areas of the United States. Many of our luxury buyers are deciding to pack up their businesses and their lives, or at least scaling back significantly, and moving to Costa Rica. Here, they can live a luxury lifestyle for far less and their home is much less of a property tax burden, paying a property tax of only 0.25% of the value of the home annually, and 0.25% luxury tax if it applies to their property. That is a maximum of 0.5% of the property value annually in taxes. And any rental property in Costa Rica is IRA eligible as long as you are not intending on using the property for your own purposes. A good possibility to circumvent this stipulation is to purchase a property with a guest house that can be subdivided, meaning that you can purchase the guest house with your own finances while you use your IRA to purchase the main home as a rental. Out of hundreds of rental homes, there are about 80 luxury rentals active in the Costa Ballena on the popular rental home site, VRBO. The luxury rental home rate is at least $300/night with more than half of the luxury homes renting for over $500/night in the high season. Local property management expert, Christine Schiferl, from Jaguar Property Management, says that the Costa Ballena region has great rental occupancy rates. According to Christine, as a rule of thumb for Costa Rica vacation rental properties, you can expect an annual net return of 4%-6% on your investment. Don't forget this income is incremental to the enjoyment you receive during your own personal use of the property! On average, a good rental property will rent about 65% of the year. At least half of Costa Ballena’s luxury rental homes on VRBO are booked in April, at the tail end of the high-season (December-April). This trend continues as I search through the months of the rainy season. It appears that luxury renters don’t mind coming for a week in June if that’s when they can take a holiday, even if it means a bit of rain in the afternoon. Those who are a bit more savvy when it comes to the jungle know that the rainy season is a great time to get your fill of fresh fruits straight from the trees and plenty more animal sightings in honor of the fruit. Depending on the features of the property, the average rental home in the Costa Ballena can expect occupancy rates of: A recent luxury property sold through our Osa Tropical Properties office currently makes around $90k per year, which is a 6.6% return on investment. The new owners even plan to increase the nightly rental rate due to great occupancy. This four bedroom luxury rental is out of a “major” town center but it is luxuriously situated in the jungle with an incredible view of the dynamic Playa Ballena coast. Currently, they rent for $360/night in the low season and $450/night in the high season. When it comes to luxury, people expect the best quality experiences. Incredible ocean and/or mountain views, beautiful floral landscaping, and modern or artistic contemporary design is the preferred aesthetic for clients in this region. Luxury renters want to see high-quality brands in the fixtures and appliances, and they want hand-crafted, high-end finishes in the furniture and details. Local stores like Naluri Collection in Uvita and Royal Palm Interiors provide special options for decor, with much more available around the country. Media and entertainment spaces must be plentiful and well-stocked with fast internet speeds, and the outdoor area needs a gorgeous pool with shaded lounge spaces. Costa Rica is all about living outdoors and taking in the incredible natural sights and sounds. And when it comes to luxury, nature must also be experienced in style and comfort. You might not personally need to live as lavishly. However, if you want to attract luxury renters, you must be prepared to cater to their tropical fantasies. The best way to do this is to hire a a great property management team who can give your guests the full package experience beyond just the comforts of your luxury rental home. (Contact us if you'd like help finding a trustworthy property manager for your Costa Ballena home and we'll be happy to help.) Looking for a bigger incentive to invest in a rental luxury property in Costa Rica? Celebrities love to vacation in Costa Rica! Most recently, these Pacific shores have seen the likes of Demi Moore, Sharon Stone, Catherine Zeta Jones and Michael Douglas, Selena Gomez, George Clooney, Rafa Nadal, Leonardo DiCaprio, Mel Gibson, Usher, Miley Cyrus, Beyoncé and Jay-Z, Chris Hemsworth, Matt Damon, Lady Gaga, Giselle Bundchen and Tom Brady, Bono, the Kardashians, Keylor Navas, Rafael Nadal, and Jamie Oliver. High-end investments in Costa Rica
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Luxury rental performance in Costa Ballena
Elite expectations
Costa Rica's elite revelers