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My wife made the drive all the way to Panama last month and she said only the last 5km between Quepos and Dominical were not paved yet. A friend who went a couple of weeks ago said even that is completed now. So that makes the drive fairly easy even in the rainy season.
Hi David, I agree, but because of the slow down in building some builders have cut their profit margins and in fact some material cost have come down, at least in our area. So that was my only point about prices having come down in some respects. I think two, many builders were over priced in their price per sq footage and at a time when things were busy they relied on Gringo buyers who didn’t know any better. Someone coming from California where prices are over $300 a sq foot to build a home is going to think they are getting a hell of deal when they are quoted $120 a sq foot down here. So some of the decrease you might see is simply a builder hungry for work offering a more reasonable price than previously.
I agree with Lisle in that prices should have come down some, and in some respects they have. What hasn’t come down much are material cost, which over the last five years have probably doubled. I have an excellent local builder here in Esterillos Oeste who is currently building an 1800 sq foot home for a client and the cost is approximately $85 per sq foot. He has built 5 or 6 homes in this area as well as lives here, so he stand behind his work and I have no reservations recommending him to someone. You can build for less than $100 per sq foot, but as Lisle also pointed out, a lot depends on the finishes, materials, etc. that you want in a home.
We have used Aerocasillas for over 4 years now and are satisfied. We only use it for letters from the States that we have to have a US mailing address for. All of our other mail comes directly to our Costa Rica P.O. Box and we have yet to have a problem getting a letter or package. We would never use Aerocasillas for a package, they are way too expensive for that. We also pay $1.50 per letter received in the Herradura office. I don’t know of a better service, but they have at least been adequate for what we need.
They really are an amazing couple. Kate and I both lost our grandparents years ago and now feel like we have a new extended family just a few streets away. They really are an inspiration. Anyone coming this way to visit should make it a point to sit and have a cup of tea with this incredible couple.
Stan, to the best of my knowledge the bulk of the new Plan Regulador has been completed and people whos property has been included in the new plano have started applying for concessions and building permits. There are several new homes in Bandera along the beach road that have just been built in the last 12 months. The area still in question in Bandera is all the way down the beach road, right before you get to the lake on the right hand side. Two large pieces of land on the right side before you get to the lake, and all of the lots on the opposite side of the lake are still in question and may or may not at some point be declared a protected area. This section of Bandera was not included in the new plano and given approval for concessions. People who do have current paperwork on those lots only have what amounts to a “soil use” permit that expires at a specified date. There have always been so many questions about Bandera so we sat down with Marvin at the Municipality and had him explain and point out to us on copies of the new plano exactly what the borders were. It is out of the Municipalities hands as far as what designation will eventually be given to that additional section of Bandera.
I frankly don’t see where the argument is to support “Capitalism is evil” in all of this. Capitalism and free markets is what has fueled growth, development, new inventions, etc. over the last century. The abuse of the system at almost every level is what has caused this problem. As far as the housing crisis, blame can’t be put solely on the lenders who made loans to unqualified people. When groups like Acorn were lobbying, protesting, and threatening lenders to make risky loans. They were basically blackmailed by groups like this and pressured by the likes of Barny Frank and Christopher Dodd to make these risky loans. Talk about the fox guarding the hen house. There’s plenty of blame to go around on both sides of the isle in our government, so I’m not arguing Dem versus Rep. here. The majority on both sides have sold us down the river. The problem is their all sitting in the shoreline hotels and casinos watching us all float by.
I’m no financial expert by any means, and never claim to be, so I’m speaking in very general terms. If you are suggesting that Socialism is the answer over a Capitalistic system, that’s barely even arguable. Socialism, has never and will never create wealth or increase revenue. Socialism is what Obama and the House majority leaders are leading the US into and it will fail miserably just as it has everywhere else it has been tried or currently exist. It’s nothing more than high ideals. People who argue agains’t Capitalism creating an ever widening gap between the haves and have nots forget to mention that at least with a freemarket system the “have nots” at least have a hope of being creative and working hard to become a “have”. Socialism in it’s tried and true form creates what you have in most undeveloped contries, no middle class, and a society where 5% to 10% of the population are very wealthy, and the other 90% to 95% are poor.
Kathleen this is in response to your comments from the broker you know in the southern zone. In my opinion a lot of people mistakenly refer to a drop in asking prices as a down market. The reality is, many people bought real estate they foolishly over paid for and now in order to sell it have to accept a reasonable price for it. My feeling is that you really only have a “down market” when the market value goes down in relation to a reasonable market price at the time the purchase was originally made. Many people, especially in the southern zone bought property site unseen at a time when there was a feeding frenzy to buy Costa Rica property and frankly way over paid in many instances. I just don’t agree that an attitude of “what the market will bear” is what sets the long range market. When people tell me that the real estate market is down here in the Central Pacific area, I point out to them that the market may have slowed down but the market itself is not down. What is down is the rediculous asking price many people had been trying to resell their property for. Many tried to sell their investment for 2 or 3 times what they paid and have had to come down on that asking price in order to sell. Someone who paid $100k for a property and after one year was asking $300K to sell the same property. After a year of no movement they drop their price to $150k and sell the property. So many people mistakenly call this a 50% drop in the market when in realty this person after two years made a 50% profit on his original purchase. That maybe is making an effort to simplify the issue too much, but the simple math can clarify to a lot of people that there really is a difference between a down market and a slowed market.
Many people bought real estate in the southern zone based on the false expectations developers gave them of new international airports and new marinas supposedly ready to break ground. Once they find out that those ammenities are not likely to come any time soon if ever, they suddenly realize it adds another day at least to their travel and quite a bit of extra expense to even get to the southern zone where their property is. That understanding effects what people might feel is a realistic price for proprety in the southern zone. I think too, web sites like this one is having an impact on educating people to a lot of information that even a few years ago was difficult if not almost impossible to get. Having an educated buyer in a country like Costa Rica can definitely make a difference in the perception of what the real market is.
We were just in Bandera (Playa Palma)a week ago. We have friends who live there full time. We have a piece of property there. We were on the beach and I see virtually no difference from really what it has been for the last three years since we lived in Bandera for 6 months in 2005. Whether things are changing or will be changing because of Global Warming or anything else is another argument. We just met this past week with Marvin in the Muncipality office in Parrita regarding the property situations in Bandera.
Exactly who is “they” who hired someone to survey and rezone the land? The entire area of Bandera was one of the many beach areas in the country that did not even have a plan regulador. As is happening in many parts of the country, the department responsible for making the new plans is gradually completing those new plans for some areas. Part of the new plano for Bandera is now complete and only specific parts of Bandera are now eligible for concessions and building permits. Other areas of Bandera are still in limbo so to speak as they have not been given a specific designation and at some point might very well be designated as protected land which will never be given concession or building permits. Other parts of Bandera though now have the same rights for concession and permits as other beach communities that have had them for years.
Some of the areas in question currently only have what is translated as a “soil use” permit. Basically meaning you can grow things on it but you can not build on it. Manai who now has control over these areas may at some point in the future decide to issue regular concessions. That is a wait and see situation though.
This past week we had a higher surf swell than what is typical. There is a section of Bandera to the north end of the village that has typical tico homes, cabinas, even a small soda and market. We were told that all of these structures have been there for years but have always been illegal because there was no plano for Bandera. The beach in Bandera is very flat, so I can imagine that a higher than normal swell could have brought some water right up to these places doorsteps during high tide.
We have always been told that you can not get title insuarance for concession property. There is no title and in most cases not even a current concession that a title insurance company would be able to guarentee or verify. I could be wrong on that and would simply say to ask someone like Stewart Title to know for sure.
Concession property is definitely a different animal than titled property and there are many more things you should consider, verify, etc. when considering purchasing a concession. A good portion of properties along both coast do not have current concessions. You will see a lot of for sale signs and when you ask the seller if their property has a current concession they will tell you it is in the process or has been applied for. That may be true, but until that property has a legitimate concession, you are at risk. Because it’s been applied does not mean it will ultimately be issued. I am not opposed to purchasing concession property, we own a concession property, but it had an existing concession, so it was not in question. What I would not recommend is purchasing property that does not have a concession that is already in place.
Well, as you can see, beauty really is in the eye of the beholder. One of the great things about Costa Rica is that it really does have something for everyone. The first thing though that my wife and I tell people is, “It’s not for everybody”. Those that end up not making a go of it here and end up going back to where they came from do so I believe more as a result of thier own personal issues than not being able to find an area or environment here in Costa Rica that suits them. As small as this country is, you literally can find an environment, climate, cultural mix, etc. that fits almost everyone.
I think people would do themselves a great service if before making a move as big as one is when you move to a foreign country, to take time to reflect on who they really are, why they are looking at making such a move, and what their goals are once they make the move. Those are just three things of many that people should consider, but these are a great start. With so many options here in Costa Rica, knowing why you are considering making such a move is a great first step.
Then you can start narrowing down your choices. If you say you want access to beaches, does that mean 20 minutes, or 2 hours? Then ask yourself the same question about your other needs such as closeness to airport, shopping, culture, schools, etc. Narrow the time frame and distance on some of those things and that will help you narrow down your choices.
Personally we love our little village of Esterillos Oeste on the Pacific coast. We are within 2 hours of almost everything.
I can’t speak to other areas of the country, but they grow plentiful here in the Central Pacific area. We have a tree in our yard that has about 100 on it right now.
Taking the dog may complicate things more than you want to deal with. We have never taken a pet into Panama so I can’t say for sure about that. It is relatively easy to bring one into Costa Rica. As far as traveling into Panama at the southern border, that is very simple. You simply need to have your passport. Panama requires you to purchase a tourist card for $5. The only issue as you come back into Costa Rica is you may have to show proof of plane ticket, itenerary, etc. of a trip back out of Costa Rica within the next 90 days. On the Caribbean side they simply require you to go into the pharmacy a short distance from the immigration station and purchase for $5 something I can only describe as a phony ticket. We have done the Panama crossing at the Caribbean side 7 or 8 times.
Just a suggestion, but you might consider volunteering in some capacity during your couple of months stay.
You are not being unrealistic at all. Given what you have said about you and the family being flexible really opens up your options. One of the reasons people that come down here and don’t make it is their lack of flexibility and understanding that they really are in a different culture, pace of life, etc. Those that can get beyond those things find out what Pura Vida really means.
As was previously said or asked, what do you consider affordable? Another obstacle you have is you will have a very hard time finding a 4 bedroom house in a gated community that is affordable. You are not going to find a home of that size in your typical gated community and would have a hard time even finding a home with 4 bedrooms if you expanded your options to a home outside a gated community. You will increase your chances exponentially considering a 3 bedroom.
