Costa Rica real estate prices have risen strongly over the last 15 years and investors that purchased $30,000 of property in the town of Jaco, 15 years ago are now worth as much as $800,000.

Is it possible for the strong growth to continue? Let’s take a look.

Costa Rica offers a better risk reward even though investors are looking at other countries in Central America.

Costa Rica

Costa Rica property investment does have new emerging rivals such as: Honduras, Belize and Nicaragua but these markets are more volatile and offer higher risk than Costa Rica, let’s look at the reasons

1. An established track record

Costa Rica has a mature market, with prices that have been rising strongly for the past 10 years. While many investors think that prices can’t go higher, they probably will – As real estate bull markets tend to be very long term.

Why?

Quite simply, there is a track record of growth and all the factors that were present 10 years ago driving prices higher are still there and demand will continue driving prices higher.

2. The Major Attraction

The major attraction of Costa Rica real estate is that real estate costs around 70% less than.

Many investors however are thinking well if Costa Rica has shown such great real estate gains then they should buy countries like Nicaragua, Honduras and Belize, as their cheaper and prices have more upside.

However, this is not necessarily so.

Why?

Because a new emerging market may take off but the majority don’t.

You may be able to purchase properties at an inexpensive price, but there’s a reason. For example, you can buy properties in Haiti cheaply, but that don’t mean that they’re going to escalate in value.

An extreme example, but keep in mind:

When buying property you don’t want to buy the cheapest real estate, simply because most emerging markets don’t take off.

Buying competitively priced real estate that has good upside has a low downside risk.

If after double-digit gains, while having low downside risks Costa Rica real estate can do it..

3. It has an established foreign community

Most people looking overseas for real estate like to buy an established communities.

When a foreign community starts to grow it attracts other foreign investment.

A lot of people prefer living in the country since they can nap there. They have fun and join in with the locals but most don’t.

4. Cost of living and Amenities

Ponder this:

The baby boomer generation is starting to retire and they are in many instances with a bleak scenario: Most will not be able to have the same standard of living their used to now. Now take this scenario into consideration:.

Considering that they haven’t taken the time to save enough money.

Inflation is eating into what they have The rising cost of living each the money they do have.

State support is less medical care costs are high, their living longer.

This is making Costa Rica, a golden opportunity for maintaining their current standard of living.

to begin with Costa Rica is just a three-hour plane ride from the US and construction and amenities are excellent. And there is a very cost efficient standard of living.

Demand

With the continuation of demands Costa Rica’s real estate market has an exponential growth potential with a low risk of downside.

Sure other countries in the region may take off – The important consideration here is may so the risk is high.

Costa Rica real estate offers a safe choice with good upside potential and that’s what most investors want

Expect Property prices to continue to rise in the coming decades.