Real estate investment in Costa Rica is starting to grow dramatically as the attractions of the living in Costa Rica and owning a second home are being promoted more by the media. This means huge profit potential ahead, there are solid reasons why this market will continue to see huge capital gains in the years ahead and offer conservative investors great returns on capital including:

1. Government encouraging investment: The government has implemented a seven year expansion plan complete with substantial tax breaks to make sure investment in Costa Rica real estate continue to grow – and this means big profit potential, Prices are already up on average 300% in the last ten years and many investors buying in the right location have doubled or tripled their money – in just a few years.
2. The growth of eco tourism: Now the appeal of Costa Rica real estate is reaching a wider audience as the country grows in popularity means Costa Rica is seeing a huge boom in people wanting to buy Costa Rica real estate either second homes or retiring people wanting to live their.

And the good news is
3. Costa Rica real estate is cheap: At 70% less than similar properties in Florida and Arizona, a growing number of Americans are looking at it now, to retire, buy second or holiday homes as prices are cheaper and growth rates are solid, The beauty of Costa Rica is considerable and diverse with stunning beaches, a coastline that borders both the Pacific and Caribbean oceans, towering mountains, rain forest and rolling hills. For a small country Costa Rica has it all.

The best properties for capital growth
Investment is required into accommodation and general tourist facilities and the Costa Rica government are making it as easy as possible, to keep the money flowing in. An investor interested in commercial property opportunities in Costa Rica should look into the tourist sector. Alternatively, a Costa Rica real estate investor can cater for any of the following:

1. Self catering properties for short term rentals
2. The growing number of people retiring to Costa Rica
3. People looking for holiday homes for sale in Costa Rica: The resorts on the Pacific Coast have seen the biggest gains and currently offer an investor the best rental yields available in the country as well.
4. A Safe Secure Investment: In terms of safety of investing in Costa Rica real estate the country has been politically and economically stable for many years. The country has strong ties with the US, which makes it a safer emerging market for property investors than many in Central America. Why take the risk of less established nations that are politically volatile and don't have a track record of gains?. Costa Rica real estate offers peace of mind.
5. The economy is expanding: The economy has been gaining strength since 1997. The government is committed to maintaining the growth of the economy by attracting more overseas investment and this is paying dividends for Costa Rica and those investing in real estate as investment soars and investors make money.
6. Big gains still to come

How much can you make?
This is difficult to answer, but we have had good growth in the past with 300% Average growth in 10 years and many investors making more. These gains should continue for reasons outlined above. Importantly, investors in Costa Rica real estate know that they are investing in a market that is safe and stable and growing, and this gives it the edge over many other emerging Latin American countries.

By sacha tarkovsky, Published: 11/21/2006