Are you envisaging the opportunity of owning real estate in Costa Rica? As you already probably know, anyone can have title of a piece of property in Costa Rica, whether he or she is a citizen of Costa Rica, a resident or a non-resident. On the other hand, it is preferable that you approach the idea of a Costa Rica corporation in order to develop and conclude in an advantageous manner the procedures concerning the proprietary rights and transaction of Costa Rica real estate. The advantage has at the basis a number of reasons related to taxation rules.
The process of purchasing Costa Rica real estate is not excessively sophisticated, yet it might require some time from you, often longer than what you have anticipated. This is the reason why those who want to own real estate in this country choose to do it in a manner that is collateral, i.e. through a Costa Rica company. It is a profitable manner of managing the purchase and the subsequent operations related to the proprietorship of the corresponding Costa Rican share of real estate, also guaranteeing the legality of your ownership. A Costa Rica company that owns real estate enjoys several rights from which a single individual could not benefit.
For instance, if owning takes place through a Costa Rica company (of the type Sociedad Anonima), its owners will benefit from a higher degree of privacy, since we are talking about an anonymous corporation. It is the type of opportunity that any outside, non-resident entrepreneur would appreciate positively. Currently, if you opt for selling a Costa Rica property through a Costa Rica company, you will not be a subject to land transfer taxation, although you do have to pay a number of legal fees attached to the transfer. However, if you choose to undertake the entire transfer procedures as an individual, you do have to do the payment of land transfer taxes every time you opt for selling a Costa Rica property.
Why does this happen? The reason is simple and obvious: when the transaction takes place, the process occurring is a mere transfer of shares from the company to the buyer. In addition, if you decide to set down your ownership of real estate in this country as a Costa Rica corporation, the risk of personal liabilities in case something goes wrong obviously diminishes.
A Costa Rica corporation of this type ? i.e. a company advantageous for real estate selling and / or purchasing ? needs legal registration mediated by a lawyer from Costa Rica. Generally, the first to be the president and signing officer of the company is the lawyer executing the registration. His position is temporary ? it will end when he hand the corporation over to you. In addition, legal rights over the company are in the hands of the shareholders and of the signing officer, but the company also benefits from the assistance of a board of directors.
When does this Costa Rica corporation enter in our ownership? The registering lawyer will hand you over the company. The next step is your registration as president, main shareholder and signing officer of the company. Of course, you can have any other person as a shareholder in your company ? this matter is entirely in your hands. When your registration, as indicated previously, takes place, you have become the legal owner of the company and of anything included in its ownership. In the end, this is one advantageous manner of securing your real estate ownership in Costa Rica.
The History Of Costa Rica
According to the latest census, there are 3.5 million residents living in Costa Rica. A majority of those residents (two-thirds) live in the capital city of San Jose. So, the question is: Do you want to live where most others live? Or do you want to live farther from the grind of the big city? Then you have to ask yourself what kind of Costa Rica real estate do you want? ?A condo, beach house, or single-family home? It's a coin toss, I know. But no matter which side the coin lands on, you'll win. Here are some things to keep in mind as you're preparing for your move to Costa Rica:
1.Hire a real estate agent, real estate lawyer or Costa Rica land specialist to assist you with the purchase of your Costa Rica land. The laws in Costa Rica are very different than those in the North America and other countries.
2.Hire a relocation company that specializes in international moves. Your consultant will become your best friend as you navigate all the little ?must-do? tasks so that you can relocate in Costa Rica without interrupting your lifestyle.
3.Unless you're planning on starting with all brand new things, you will need to hire a specialized moving company that deals with international relocation.
4.You must apply for residency status in your home country. You cannot personally do it once you're in Costa Rica. The residency statuses available for foreigners include ?pensionado? or rentista. Pensionado is for foreigners who have a guaranteed income of $600 / mo or more. Meanwhile, the rentista is a residency classification for foreigners who have a guaranteed income of $1000 or more each month. You'll be given a residency card that must be renewed biannually once you're granted one of those forms of residency. At the time of this renewal, you can also apply for permanent resident status, which will give you all the rights of a citizen except the right to vote. Note: Unless you're a permanent resident, you cannot work as an employee with just your residency status. You can, however, own a business.
5.You can drive on your U.S driver's license for a maximum of 3 months (90 days.) To be able to legally drive in Costa Rica after that 3 months, you'll need have a medical exam and then go to the MOP (equivalent to the U.S.A's DMV) to apply for your license. Take your current driver's license, your passport, and cash with you!
6.You will need proper documentation to bring your pets with you. Again, this is an area in which relocation specialists can really help to make sure you have all the required licensing and permits. The good news is that there isn't a quarantine period required for your pet.
7.If you're a foreigner moving with children (non-Costa Rican citizens), you will need a copy of each child's birth certificate. It's ideal for both parents to be present when traveling in and out of Costa Rica with children. If only one parent will be traveling, that traveling parent will need a notarized letter that confirms that both parents have knowledge of the child's trip to / from Costa Rica.
8.Even though the cost of living is cheaper in Costa Rica compared to countries in Europe and North America, you will still need to budget carefully. Remember: You cannot be employed by anyone unless you become a permanent resident or have been granted temporary residency due to providing specialized services such as teaching at a school or working for the government.
There are, of course, more details to consider when moving to Costa Rica but the above are the biggest hurdles you'll have to overcome. After that, it will be smooth sailing and plenty of time for you to enjoy your beautiful Costa Rica real estate and all the perks of living in exotic Costa Rica.
Both Clint Jhonson & David Lovendahl are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Clint Jhonson has sinced written about articles on various topics from Modelling, Home Buyers Guide and Gardening. Owning real estate in Costa Rica through a will generate multiple advantages. Some of the benefits favored by non-residential investors w. Clint Jhonson's top article generates over 1000000 views. to your Favourites.
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