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Costa Rica property financing can include local banks, international lenders, owner financing, and construction loans. The right route depends on your residency, income, credit, cash, and the property.
Yes, financing is available for property purchases in Costa Rica. The main routes include local bank mortgages, international residential lenders, owner financing, construction loans, and borrowing against assets you already own. The suitable route depends on your residency, income, credit profile, available cash, and the property itself.
Justin Nielsen and Evelyn Bulakar help buyers connect those financing choices with their Costa Rica property search. Before comparing interest rates, establish which lenders can consider your borrower profile and the type of purchase you are planning.
Can foreigners finance property in Costa Rica
Foreign buyers have financing options, including some nonresident programs. Eligibility is lender specific. A Costa Rican citizen earning a local salary, a foreign resident with overseas income, and a nonresident purchasing a vacation home may need different applications.
Local banks may request residency documents, Costa Rican income certifications, or additional evidence supporting foreign earnings. International programs can use eligible borrowers' foreign credit and financial records. Self employed and retired applicants should ask how business income, pensions, investments, and assets will be evaluated.
Borrower approval and property approval are separate. A strong financial profile does not resolve an unacceptable title, incomplete construction, or a property outside the lender's geographic or use restrictions.
Local banks offering property financing in Costa Rica
LAFISE mortgage options
LAFISE's standard housing loan page advertises dollars or colones, terms up to 30 years, and financing up to 70% under its published conditions. Its private banking mortgage page advertises up to 80% for eligible purchases, construction, or renovation, with availability depending on country of residence.
These are different published programs. Confirm the applicable financing percentage, residency requirements, acceptance of overseas income, and complete costs with the lending team. LAFISE lists early repayment without penalties on these pages, subject to the actual agreement.
Davivienda home financing
Davivienda publishes mortgage programs that include purchases and arrangements with prequalified developments. Its disclosures describe financing in dollars and colones, with the amount and term dependent on the program and repayment capacity.
Ask which product fits your residency and income source. Obtain the rate schedule, insurance costs, and early repayment conditions in writing. A high advertised financing percentage or a benefit offered through an employer arrangement should not be assumed to apply to every foreign buyer.
DAVIbank and nonresident applicants
DAVIbank Home publishes a separate mortgage checklist for nonresident applicants, including U.S., Canadian, and UK income documentation. The checklist covers tax records, bank references, identification, down payment evidence, and property documents.
DAVIbank and Davivienda have separate published product pages. Confirm the active nonresident program and its individual loan limits directly; general product advertising does not establish the terms for a particular nonresident applicant.
BAC and Costa Rica's public banks
BAC offers programs for home purchases, construction, residential lots, and transferring mortgages. Its advertised fixed periods are limited, so ask what rate applies afterward and which conditions apply to your profile.
Banco Nacional is another institution to assess for eligible housing finance; obtain a current product quote and eligibility assessment. Banco de Costa Rica's Mi Casa page describes purchase, construction, renovation, and housing debt refinancing. Its current campaign runs through November 30, 2026, with conditions that differ by currency. Confirm the replacement offer after that date.
Promerica and Banco BCT
Promerica's published mortgage requirements specify permanent residency documentation for foreign individual applicants. Its page describes dollar financing for purchases, lots, construction, and mortgage transfers. Nonresidents should obtain confirmation of an applicable alternative before relying on this program.
Banco BCT distinguishes first home financing, advertised at up to 80% over up to 30 years, from second home financing, whose detailed conditions show 65% over up to 15 years. Both pages describe dollar loans linked to Prime Rate. Confirm foreign borrower eligibility.
Grupo Mutual, Mucap, Banco Popular, and eligible cooperatives can broaden the search for resident buyers. BANHVI lists authorized housing institutions; assistance programs and ordinary mortgage lending have different eligibility rules. Assess membership, residency, income, and property requirements individually.
International mortgages for Costa Rica real estate
Volo Loans
Volo Loans' Costa Rica program advertises financing up to 75% of the lower of purchase price or appraised value, with fixed rate and adjustable rate options up to 30 years. Residential uses include primary or vacation homes, condominiums, and eligible investment properties.
Its requirements page lists U.S. citizens or permanent residents, a $100,000 minimum loan, a minimum 680 FICO score, and reserve requirements. Obtain confirmation for your specific program, including fees, prepayment conditions, acceptable income, and whether the property qualifies.
Second Street
Second Street's published FAQ includes U.S. citizens, Canadian citizens, and U.S. lawful permanent residents. It describes 30 year fixed rate loans, generally at least 25% down, a $150,000 minimum loan, and generally a 720 minimum FICO score.
Eligible collateral includes completed homes on titled land with legal water and power access. Its FAQ excludes land, unfinished properties, and construction loans, while describing refinancing after construction is completed. It also states there is no early repayment penalty and gives a typical processing estimate of four to six weeks. Every application remains subject to approval.
U.S. style underwriting or servicing does not establish that every part of a Costa Rica transaction follows U.S. law. Ask which entity lends, what secures the debt, and which legal documents govern the property.
How owner financing works in Costa Rica
With owner financing, the seller agrees to receive part of the price over time. Availability is property specific, and the terms are negotiated. It can be useful when the seller's objectives and the buyer's cash position align.
The agreement should define the down payment, interest, monthly payments, security, default provisions, early repayment, and final maturity. A loan amortized over many years can still require a substantial balloon payment after a much shorter term.
Before agreeing, identify how that final balance will be paid. A later refinance requires its own borrower, property, and appraisal approval. Have Costa Rican counsel organize the legal structure and review the seller's existing obligations.
Construction and other financing options
Land and construction loans
Several local banks publish dedicated lot and construction products. Approved plans, permits, a construction budget, and a work schedule can be required. Ask about your equity contribution, inspections, staged disbursements, and funding for overruns. A completed home mortgage does not automatically cover building costs.
Developer payments and preconstruction
Deposits and installments during construction are different from a mortgage at delivery. Confirm milestone payments, completion obligations, deposit protection, and the source of the final balance. Any lender approval for completion must fit the actual project and delivery conditions.
Private and commercial loans
Private or bridge financing may address a temporary funding need. Compare the full cost, collateral, extension rights, and repayment deadline against a credible exit plan. Availability depends on the provider and transaction.
A hotel, larger apartment business, or development project should be assessed for commercial finance separately. Prepare operating statements, tax records, leases, and documented income. Residential investment property approval does not automatically cover an operating business.
Borrowing against assets abroad
A home equity loan, cash out refinance, or HELOC may fund a Costa Rica purchase while using your existing home as security. You remain responsible for that debt even if the Costa Rica property underperforms.
Securities backed credit can provide another route for eligible investors, but falling portfolio values may trigger additional collateral or repayment demands. Confirm permitted use and disclose any borrowed down payment to the purchase lender.
Comparing the main financing routes
| Route | Potential fit | Main advantage | Key condition |
|---|---|---|---|
| Local bank mortgage | Eligible citizens, residents, or approved nonresidents | Multiple property products and currencies | Residency and income acceptance vary |
| International mortgage | Eligible borrowers with supported foreign financial profiles | Familiar underwriting and longer residential terms | Nationality, credit, and property restrictions |
| Owner financing | Buyer and willing seller | Negotiable structure | Documented security and final repayment |
| Construction or developer arrangement | Approved building project or new development | Funding aligned with project stages | Permits, milestones, and final balance |
| Private or bridge loan | Transaction with a defined short term need | Potential flexibility | Total cost and credible repayment plan |
| Assets secured abroad | Buyer with eligible home equity or investments | Alternative source of purchase funds | Existing assets remain exposed to debt risk |
What matters beyond the interest rate
Compare the initial rate with the rate after any fixed period, the adjustment benchmark and margin, and the repayment term. Ask for a full written cost breakdown, including applicable TITA disclosures, origination, appraisal, legal or trust fees, insurance, early repayment charges, and recurring administration.
Choose currency with your income in mind. If your income and debt use different currencies, exchange rate movements change the effective payment. Budget separately for transfer and registration costs, escrow, due diligence, furnishing, maintenance, and reserves.
Ask how title, legal access, utilities, condominium records, and individual or corporate ownership affect approval. Concession or cooperative rights require specific lender and legal assessment. A property described as beachfront should not be assumed to have mortgage eligible title.
Some lenders use a registered mortgage; others use a guarantee trust, or fideicomiso. Ask counsel to explain who holds title, administration fees, release conditions, and enforcement provisions before signing.
For rentals, evaluate cash available after operating costs and debt payments. Ask which rental records the lender accepts. Marketing projections and gross booking revenue do not establish the cash available to service a loan. Our rental income questions explain what to request.
A hypothetical financing example
Consider a $500,000 purchase with 25% down and a $375,000 loan, fully amortized over 30 years at a hypothetical fixed annual rate of 9%. Monthly principal and interest would be approximately $3,017.33. The $125,000 down payment is additional to purchase costs and reserves. Insurance, property taxes, maintenance, and lender fees are excluded. This is an illustration, not a lender quote.
If an applicable 75% financing limit used a lower appraisal of $450,000, the loan would fall to $337,500. Cash toward the price would rise to $162,500, before other costs. Appraisal assumptions can therefore change your budget.
Documents to prepare before applying
Borrower documents: Identification, applicable residency evidence, income records and tax returns, bank and investment statements, credit information, debt details, down payment evidence, and source of funds. Self employed applicants may need business financials or CPA certifications; retirees may need pension and asset records.
Property documents: Purchase agreement, cadastral plan, registry information, municipal tax status, utility and access evidence, and condominium records where relevant. For construction, add approved plans, permits, budget, and schedule. For company ownership, request current corporate authority and shareholder records.
Request the lender's exact checklist early, including translation or certification requirements. Avoid sending sensitive financial records through an unverified contact.
How Justin Nielsen and Evelyn Bulakar help buyers
We help align the property search with the financing route, organize the questions that affect an offer, and introduce buyers to experienced lending contacts. We also coordinate the purchase conversation with the lender and legal team.
Start with your budget, residency, income source, and available cash. Seek preliminary lender assessment before relying on financing in an offer, then coordinate the contract conditions, appraisal, due diligence, final approval, and disbursement. Discuss an appropriate financing contingency and realistic deadlines with counsel. Begin with our property brief guide or Costa Rica relocation guidance.
Frequently asked questions about Costa Rica financing
Can I obtain financing without Costa Rican residency?
Some programs consider nonresidents. DAVIbank publishes a nonresident checklist, while international lenders have their own citizenship and financial eligibility rules. Confirm the program before assuming approval.
Can foreign income support a local bank application?
Acceptance depends on the bank and program. Ask which countries, currencies, income types, tax records, and certifications it will accept.
How much down payment will I need?
It depends on the product, borrower, appraisal, and property use. Published examples range across programs, so obtain your own financing limit and budget for additional costs.
Can I finance land or construction?
Local banks publish dedicated products. Some international completed home programs exclude both. Confirm the specific project and disbursement requirements.
Can I finance a concession property?
Obtain specific lender confirmation and legal review. For example, Second Street's published residential requirements specify titled land.
Can I refinance owner financing later?
Potentially, if you and the property qualify at that time. Plan for the seller loan's maturity without assuming a future refinance will be approved.
Can I repay the loan early?
Prepayment rules vary. Some lenders publish no penalty, while other programs charge for early repayment. Check both partial payments and full cancellation in your agreement.
Can Justin Nielsen and Evelyn Bulakar introduce me to lenders?
Yes. We can help identify relevant U.S. based and local financing contacts and organize an initial conversation around your purchase. The lender determines eligibility and final terms.
Sources and author information
Lender product links above lead to the official published information checked October 3, 2026. Additional reading includes Costa Rica property education, BANHVI housing programs, and the U.S. consumer and investor resources linked in the assets section.
Justin Nielsen is a Costa Investing property advisor whose background includes Costa Rica real estate, building, and personal property investment. Evelyn Bulakar is a Costa Rican property advisor with experience in investment, development, construction, and marketing. Both are based in Costa Rica and affiliated with Costa Rica Sotheby's International Realty.
Financing is subject to borrower and property approval and current lender terms. Legal and tax questions should be assessed for the specific transaction.
ABOUT THE AUTHOR
Justin Nielsen
More than 20 years in Costa Rica, with a practical perspective shaped by real estate, building, and personal property investment.
Meet Justin jnielsen@sircostarica.com
ABOUT THE AUTHOR
Evelyn Bulakar
A Costa Rican perspective with more than 15 years of experience in property investment, development, construction, and real estate marketing.
Meet Evelyn ebulakar@sircostarica.comYOUR FINANCING & PROPERTY PLANS
Considering financing for a property in Costa Rica
Contact Justin Nielsen and Evelyn Bulakar for practical financing guidance and introductions to U.S. based lenders and local Costa Rican financing providers.
We have established, close relationships with senior loan officers and lending executives. We can help you identify suitable routes, connect directly with experienced lending contacts, and explore preferred terms or special arrangements where available.
Share your purchase budget, residency status, income source, and the type of property you are considering so we can help you take the next step.
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