The Costa Rican Real Estate market is, without doubt, one of the best investments and capitalizations that you can make today. Since there will always be someone looking for a property for rent, or better yet, if the location is strategic and the capital gain of the area is increasing, there will never be a lack of people interested in buying your property.
But, what are the benefits of investing in Real Estate? Well, here are some tips that you should take into account, if you are thinking of investing:
- A property is like a fine wine
To invest in a property is indeed a wise decision. Having this premise is a key point, especially if this investment is considered as an asset that will hardly lose its value. Over time, the increase in the capital gain of the geographical area will cause your investment to obtain returns on the value of the property, thus achieving greater profitability.
But, on the other hand, this decision also implies something that will bear fruit in the long term, so having a clear projection of profits is essential since you will not boost them immediately.
- You do not need to be a Real Estate expert
One of the advantages of investing in a property is that you do not need to have technical knowledge in the field to make an investment. This advantage also brings, at the same time, an excellent opportunity. Especially when considering that, real estate capital gains increased by 9.2% in Costa Rica the past year.
On the other hand, some areas such as Guanacaste and Punta Iguana are beginning to have higher capital gains, although real estate costs in those areas are still low. Pay close attention to these places, as they could turn out to be the right options, especially if you are thinking of a good investment.
- How to take advantage of a good Real Estate Auction?
An auction happens when a property is secured by a banking or financial loan. In this case, as long as such a loan is not fully covered, the encumbered property is seized from the tenant.
Banks and financial institutions, in order to recover their investment, usually auction off the properties and thus obtain a return on the loan granted, managing to obtain properties even at 50% of their value.
This is a great point when making an investment in Real Estate. If your purpose is to rent a property from which you will be making a great profit, just make sure that documentation is all right in order to avoid future problems.
- To investing in Real Estate Development is a great opportunity
The main advantage of a Real Estate development is the investment cost. Since it is a pre-sale property lower prices are awarded, which becomes a final profit of 10% to 30% of the initial value of the property.
In addition, you have the exclusiveness to buy a completely new place. The only disadvantage that we can find, because it is in pre-sale, would be the fact of expecting to observe the finishes and how the property will look like until the end of its construction.
- Your best friend will be a Real Estate advisor
A real estate advisor is a specialist in this field. So if you want to make the best investment of your life, trust that he or she can help you make it. Make sure that the real estate expert is certified or, at least, have a membership in a renowned professional association .
The fact of the matter is that they have the technical skills to glimpse the areas either with greater capital gains or with an economic boom, in order to increase the value of the property considerably.
So now you know:
Investing in Real Estate is your best option to generate income and the most profitable way to capitalize your money. If you want more advice, or need to find the perfect property to invest in, consult the experts that can help you.
Daniel Yepez/ TCRN Staff