When you want to move into your own place, you need a solid financial foundation, especially if you’re in Costa Rica. If you don’t have one, it’s best to start thinking about how to finance your investment in a condominium, exploring effective options and strategies to achieve your goals.
Many real estate and even finance professionals argue that investing in a condominium is the best investment you can make. Specifically, owning your own home means you won’t have to allocate a certain amount of money each month for rent.
You can use these funds to purchase a condominium in any area of Costa Rica. Examples include Condominio La Hacienda and Condominio El Olivo, both of which offer excellent investment prospects.
Financing options and strategies for condominiums
Regarding financing options and strategies in Costa Rica, there are several. It all depends on whether you are a resident or not; each case is unique. These are the options available.
• Funding for non-residents
Until recently, a non-resident could obtain financing through one of the country’s banks; however, that has changed significantly. Now, to obtain a loan, a foreigner must have residency.
What may happen is direct financing from the property owner; this will consist of making an initial payment that ranges from 50 to 70% of the property value.
The buyer will then be able to obtain financing for up to three years to pay off the remaining balance. This is done so that the buyer can obtain the residence and then pay off the loan with a mortgage.
• Financing for those residents
On the other hand, if you are interested in acquiring a property in Condominio La Hacienda , as well as Condominio El Olivo and you are a resident, what you should do is the following.
You can apply for a mortgage loan at any of the local banks located in Costa Rica, whether private or state-owned.
One of the things you should be very clear about when applying for a mortgage is that interest rates are usually high. This will certainly increase the amount of your monthly mortgage payments.
Requirements to acquire a built home
If you wish to acquire a pre-built home, such as a property in a condominium, you will need to take the following precautions.
- Photocopy of the debtor’s and co-debtor’s identification.
- Proof of employment with salary indicator, if employed. If self-employed, documentation of income.
- Signature of the form called CIC SUGEF.
- Purchase-sale option.
- Signing the debt form with those entities not supervised.
