author Call Us: +506 2289 5125

Compare Listings

Real Estate FAQ | How long to sell a home in Costa Rica

Real Estate FAQ | How long to sell a home in Costa RicaHow long to sell a home in Costa Rica is a real estate FAQ or a frequently asked question in Costa Rica real estate. The short answer on this FAQ is – That depends on you, the seller! Supply and demand conditions determine the price to ask for a property, not the wishes of the seller.

A motivated seller will want the property to sell real fast and will listen to professional advice. For lack of motivation, properties in Costa Rica take more than 6 months to sell. I have seen homes on the market for 7 years.

When I list a property for sale, the first question I ask sellers is how fast they want to sell. An overpriced property takes forever to sell.

Why overpricing?

The reason for a high sales price does not have anything to do with the market value of their home, only their wishes. A few reasons for overpricing are:

  • I need to buy another house that is going to cost me an X amount.
  • This is my nest egg and I need to retire with this money.
  • I have 4 children and they all need a new condo from the proceeds.

No rush

It is quite customary that sellers take very long to sell a property in Costa Rica because they are not in a rush. They prefer a high price and take their time to sell. They usually end up lowering their price little by little. So by the time the property sells, years have gone by. Time and money are wasted.

Property tax

Property tax is cheap in Costa Rica, only 0.25% of the registered value in the municipality. Therefore, sellers often do not care how long to sell.

How to?

So how can you, as a seller be sure it doesn’t take forever to sell your property?

Call as many agents for a listing appointment. Ask the agents to suggest a listing price. Don’t tell them at what asking price you would prefer to list your property.

Listen to those agents. If they’re professional agents, they will know what the home should sell for. Also, ask them how long to sell the property.

Other reasons

There are other reasons it takes forever to sell a property in Costa Rica:

1.       Bad curb appeal

2.       The need for TLC

3.       Title problems

4.       Horrible listing photos

5.       Bad smells

This is a collection of Costa Rica real estate FAQ – frequently asked questions that I have put together to help you in buying or selling a home. Do you have any other questions that are not listed in our FAQ blog? Then feel free to leave them in the comment section below or send me a request. You can also subscribe to our FREE weekly newsletter, The Easy Times, below.

 Click here to subscribe to The Easy Times

Facebook Comments
img

Ivo Henfling

Ivo Henfling started the American European Real Estate Network Costa Rica in 1996 and has grown it into the largest Costa Rica MLS with thousands of up to date property listings for sale and for rent. Ivo has written hundreds of articles about real estate and living in Costa Rica for The Tico Times and other online informational sites.

Related posts

High demand for Self-Storage warehouse to keep personal stuff in Costa Rica

The perfect business for your retirement – a self-storage warehouse. There is a high demand for...

Continue reading
Ivo Henfling
by Ivo Henfling

Real Estate FAQ | What are the steps to build a house in Costa Rica

To build a house in Costa Rica is quite a process. We are committed to making the process of your...

Continue reading
Ivo Henfling
by Ivo Henfling

My corporation was dissolved by the Public Registry – did I lose my property?

Are you amongst the more than 250,000 corporate owners whose corporation was dissolved by the...

Continue reading
by Guest Blogger

2 thoughts on “Real Estate FAQ | How long to sell a home in Costa Rica”

  • harriet latimer

    2 April, 2018 at 11:01 pm

    Do you have to be a resident to buy a house if the owner is going to finance the sell? What are the chances of leasing with the option to buy? Can you be a Pensionado to purchase or a Rentista. If a house is listed at $199,000 is this the assessed value of the property? If the assessed value must be $200,000
    I do not understand. Any information would be greatly appreciated.Thank you!

    Reply
    • Ivo Henfling

      3 April, 2018 at 9:34 am

      Thank you for your comments and questions.

      With owner financing, you don’t need to be a resident. You can purchase real estate by using your passport.

      To live here, you need to be a resident, unless you travel out of the country every 6 months. They call that a perpetual tourist.

      You can be Pensionado or Rentista, when you are either one of those, you are a resident and you can get bank financing (depending on your credit score)

      If a house is listed at $199K, that’s just an asking price. For mortgage reasons, the lender will have an appraiser to appraise the property and see if the LTV (loan to value) is ok.

      On the other hand, the assessed value is the one that is registered in the Municipality (the one that’s needed to get the residency). That value doesn’t have anything to do with the asking price or even the sales price. There can easily be $30,000 difference.

      Which agent is attending you?

      Reply

Join The Discussion

This site uses Akismet to reduce spam. Learn how your comment data is processed.