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I have looked at quite a number of properties on the web (houses)in Costa Rica, both on the Pacific as well as the Caribbean side. In talking to one of my Tico cousins down there, and referring him to the properties, he was flabbergasted by the pricing, and he mentioned that these are inflated gringo prices. Any truth to this? Any experiences?
[quote=”johnnyh”]I have looked at quite a number of properties on the web (houses)in Costa Rica, both on the Pacific as well as the Caribbean side. In talking to one of my Tico cousins down there, and referring him to the properties, he was flabbergasted by the pricing, and he mentioned that these are inflated gringo prices. Any truth to this? Any experiences?[/quote]
Your cousin is not correct, take a look at the dozens of real estate magazines, websites and the newspapers advertisements that focus on the local Tico buyers and NOT the Gringo or other expat buyers and you’ll see that they are not “inflated gringo prices.” Real estate prices in Costa Rica are not cheap…
Ask your “Tico cousins” to give you website links of developers who focus on the Tico market and you’ll soon find out that the average Tico family is having a [u]very tough time[/u] trying to find affordable homes …
I know a number of developers well… One Venezuelan developer tells me the exact same homes he builds here (and he’s built THOUSANDS) sell for twice the price here than they sell for in Venezuela…
[quote=”Scott”][quote=”johnnyh”]I have looked at quite a number of properties on the web (houses)in Costa Rica, both on the Pacific as well as the Caribbean side. In talking to one of my Tico cousins down there, and referring him to the properties, he was flabbergasted by the pricing, and he mentioned that these are inflated gringo prices. Any truth to this? Any experiences?[/quote]
Your cousin is not correct, take a look at the dozens of real estate magazines, websites and the newspapers advertisements that focus on the local Tico buyers and NOT the Gringo or other expat buyers and you’ll see that they are not “inflated gringo prices.” Real estate prices in Costa Rica are not cheap…
Ask your “Tico cousins” to give you website links of developers who focus on the Tico market and you’ll soon find out that the average Tico family is having a [u]very tough time[/u] trying to find affordable homes …
I know a number of developers well… One Venezuelan developer tells me the exact same homes he builds here (and he’s built THOUSANDS) sell for twice the price here than they sell for in Venezuela…
[/quote]Thanks for the reply Scott. I can understand the prices in Venezuela, the way things are there, but is the labor so much more expensive in C.R.? Are things getting so much out of hand leading to a bubble? Considering that we are experiencing a worldwide “depression” and facing an American default, or most likely a devaluation of the Dollar which is door number two, it doesn’t look good. Que pasa cuando muchos gringos se vienen de vuelta para aca? I might be wrong.
Johnny
you are smart to be concerned and ask these questions..
Costa Rica is indeed increasing in prices and with the influx of gringos ( sweikert 🙂 ) leaving the U.S. for other options do not help.
And with Costa Rica’s quest to collect more taxes.. the equation will soon become too out of whack.
You can get great deals but need to live in the boonies so to speak and learn to live like the natives.. otherwise you will fall into that catagory of the have’s and this is what the government wants to target.
I love this quote from todays AM costa rica
“Whatever are the proposals the minister advances, expats can be sure that those with money will be targeted”
those with money will be targeted sounds very much like whats going on in the U.S. except those with money are now labeled middle class 🙂
[quote=”johnnyh”][quote=”Scott”][quote=”johnnyh”]I have looked at quite a number of properties on the web (houses)in Costa Rica, both on the Pacific as well as the Caribbean side. In talking to one of my Tico cousins down there, and referring him to the properties, he was flabbergasted by the pricing, and he mentioned that these are inflated gringo prices. Any truth to this? Any experiences?[/quote]
Your cousin is not correct, take a look at the dozens of real estate magazines, websites and the newspapers advertisements that focus on the local Tico buyers and NOT the Gringo or other expat buyers and you’ll see that they are not “inflated gringo prices.” Real estate prices in Costa Rica are not cheap…
Ask your “Tico cousins” to give you website links of developers who focus on the Tico market and you’ll soon find out that the average Tico family is having a [u]very tough time[/u] trying to find affordable homes …
I know a number of developers well… One Venezuelan developer tells me the exact same homes he builds here (and he’s built THOUSANDS) sell for twice the price here than they sell for in Venezuela…
[/quote]Thanks for the reply Scott. I can understand the prices in Venezuela, the way things are there, but is the labor so much more expensive in C.R.? Are things getting so much out of hand leading to a bubble? Considering that we are experiencing a worldwide “depression” and facing an American default, or most likely a devaluation of the Dollar which is door number two, it doesn’t look good. Que pasa cuando muchos gringos se vienen de vuelta para aca? I might be wrong.[/quote]
I don’t know that the issue is so much “[b]Tico[/b]” pricing versus “[b]Gringo[/b]” pricing as it has more to do with whether the RE market in CR is “[b]efficient[/b]” versus “[b]inefficient[/b]”.
My experience has been that the market is very “[b]inefficient[/b][u][/u]” in CR being that there is no MLS…Zillow…etc…etc. in addition to every Tom, Dick and Harry being a “real estate broker”.
What that means is that prices can vary [b]dramatically[/b] from one property to the next and it is very easy to “[b]overpay[/b]” if not careful.
The moral is: it pays to be very [b]patient[/b], do as much [b]homework[/b] and [b]due diligence[/b] as possible and look at [b]as many alternatives[/b] as possible.
Amen Bogino…. Words of WISDOM there, thank you!
You can offer excellent advice to people but it’s been my experience that people rarely follow that advice…
As my Dad used to say:
You can lead a horse to water but sometimes all you’ll get is a wet horse ….
Scott
PS. “Efficient” is not a word used too frequently in Costa Rica… This is not good for you when you want things done but, it is good for you if you are looking for “opportunities.”
[quote=”Scott”]Amen Bogino…. Words of WISDOM there, thank you!
You can offer excellent advice to people but it’s been my experience that people rarely follow that advice…
As my Dad used to say:
You can lead a horse to water but sometimes all you’ll get is a wet horse ….
Scott
PS. “Efficient” is not a word used too frequently in Costa Rica… This is not good for you when you want things done but, it is good for you if you are looking for “opportunities.”
[/quote]
Scott: And MY Dad used to say: “You can lead a horse to water, but you cannot make him think”. Much the same. Sue
I would think anything on the internet is going cost more just like booking a hotel. I never book a hotel online when I go costa rica nor would I shop for a home online. You need boots on the ground to find the best prices.
From what our friends who live there have told us, relationships are the key. As in everything in life offer yourself as a person who will add value and love to a community and you will be cared for.
[quote=”johnnyh”]I have looked at quite a number of properties on the web (houses)in Costa Rica, both on the Pacific as well as the Caribbean side. In talking to one of my Tico cousins down there, and referring him to the properties, he was flabbergasted by the pricing, and he mentioned that these are inflated gringo prices. Any truth to this? Any experiences?[/quote]
What we experience, Ticos are charging “Gringo” prices while “Gringos” who want to sell are getting more and more reasonable about their prices. We have seen homes selling way under current construction value while we see Tico homes priced like luxury U.S. homes. Same for bare land, “gringos” selling for $ 7 per meter while Ticos still want $ 20 for the same type of land.
Many [i]Ticos[/i] will place their property for sale, but don’t [b]need[/b] to sell it, so if someone pays the high price they’re asking, good for them. On the other hand, ‘Gringos’ are often desperate to sell, and have realized that to do so, they must ask a reasonable price.
[quote=”costaricafinca”]Many [i]Ticos[/i] will place their property for sale, but don’t [b]need[/b] to sell it, so if someone pays the high price they’re asking, good for them. On the other hand, ‘Gringos’ are often desperate to sell, and have realized that to do so, they must ask a reasonable price.[/quote]
Well yes, they don’t need to sell and that’s what we tell them, stay on your land and keep growing your frijoles. But they still get pretty upset when we tell them that they can not get $25 per meter for their 500 acre farm out of nowhere, or $ 150,000 for their 500 square foot “Bono Vivienda” home on a postal stamp size lot squeezed in between neighbors. At least not in this market, maybe in X years, if maybe another real estate bubble will grow somehow.
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