A Guide for Canadian Buyers in Costa Rica

Canadian Citizens Buying in Costa Rica: How Financing Works & What You Need to Know

Every year, more Canadians choose Costa Rica as their second-home market, retirement destination, or long-term investment. Between the climate, healthcare system, lifestyle, and overall safety, Costa Rica checks a lot of boxes for Canadians looking to live or invest abroad.

But the number-one question I hear from Canadian clients is:“Can Canadians get a mortgage in Costa Rica?”

The short answer is yes—absolutely. Volo Loans is a great place to start.But the process looks a bit different than it does back home.

This blog breaks everything down in a simple, buyer-friendly way so you can explore Costa Rica with confidence and clarity.

Why Costa Rica Is So Popular With Canadian Buyers

Before we jump into financing, it helps to understand why Canadians are choosing Costa Rica more than ever:

• Year-round warm weather

• Direct flights from major Canadian cities

• Lower cost of living than many large cities in Canada

• Safer investment climate than many other international beach markets

• Strong vacation rental demand for income-producing properties

• Friendly residency options for retirees and investors

Many Canadian buyers come for lifestyle and stay for opportunity. And more of them are leveraging financing instead of paying cash upfront.

Can Canadians Get a Mortgage in Costa Rica?

Yes. And the options are expanding. Currently Volo Loans is the leader in Canadian Financing. 

Here’s the breakdown:

1. International Lenders (Most Popular Option)

U.S.-style lenders who specialize in Costa Rica offer mortgages directly to

Canadians.These lenders provide:

• Loans in USD

• Clear underwriting

• Familiar mortgage structures

• Fixed or adjustable rates

• 20–30 year amortization

This is the easiest and most predictable route for Canadians who want financing.

2. Borrow Against Canadian Assets

Some Canadians choose to:

• Refinance a home in Canada

• Use a HELOC

• Access investment credit lines

This can give you lower interest rates, depending on your financial profile.

3. Seller Financing in Costa Rica

This is a hidden gem for Canadian buyers. Many sellers here offer:

• 30–50% down

• 1–5 year terms

• Interest-only or amortized payments

It's affordable, flexible, and negotiable.

4. Costa Rican Banks (Least Common)

Costa Rican banks rarely lend to foreigners—even permanent residents are subject to strict requirements. Approval is slow and documentation-heavy.

Most Canadians avoid this route.

What Loan Terms Look Like for Canadians

While each lender is different, this is the general structure you can expect when financing through an international lender in Costa Rica:

✔ Down Payment

• 25% for primary or second homes

• 30 year fixed 

• ⅚ Adjustable * 

• 7/6 Adjustable *

Approved for the following provinces 

British Columbia 

Alberta

Saskatchewan

Manitoba

Ontario

✔ Loan Amounts

Typically between USD $250,000–$3,000,000, depending on income and credit.

✔ Interest Rates

Most commonly 8%–11%, depending on the property and borrower.

✔ Loan Terms

• 20–30 year amortization

• Adjustable terms every 5–7 years

• No prepayment penalty in many cases

These terms are surprisingly similar to what Canadians are used to with U.S.-based lenders.

Documents Canadians Need to Qualify

It’s simpler than you might think.Most lenders only require:

• Passport

• Two years of tax returns

• Recent bank statements

• Employment verification or proof of income

• Credit report

• Proof of down payment funds

• Signed purchase contract

You do not need:

• Costa Rican residency

• A local bank account

• A corporation or local business

The process feels familiar and straightforward.

Types of Properties Canadians Love to Purchase

Canadians tend to invest in properties that offer both lifestyle and income:

1. Beach condos

Tamarindo, Playa Langosta, Flamingo, Playa Hermosa, and Playa Grande are Canadian favorites.

2. Ocean-view villas

Perfect for vacation rentals and long-term lifestyle goals.

3. Gated community homes

Safe, quiet, and ideal for part-time living or long stays.

4. Pre-construction projects

These often come with structured payment plans—great for spacing out investment over time.

5. Income-producing vacation homes

Properties with strong rental history help offset carrying costs.

Many Canadian buyers invest with future retirement in mind—buying now and renting until they’re ready to spend more time here.

How Rental Income Helps Canadians Offset Costs

In Costa Rica’s most popular areas, professionally managed rentals can generate strong returns:

• 65–85% annual occupancy

• Higher nightly rates in high season (Dec–April)

• Consistent long-stay demand from digital nomads in low season

I help clients analyze:

• projected occupancy

• nightly rate strategy

• management costs

• projected net income

Financing + rental income can create a sustainable, long-term investment strategy.

What Canadians Should Know Before Buying

Buying in Costa Rica is safe and straightforward if you follow the right steps:

Use a registered, experienced Realtor

Costa Rica is an unregulated market—professional guidance is essential.

Always use a vetted attorney

All property must be checked for:

• clear title

• water rights

• zoning

• easements

• land use

• HOA governance

• construction permits

Understand the closing timeline

Most financed deals close in 30–45 days.

Plan for USD transfers

Even Canadian buyers will complete the purchase in USD.

Prepare to hold your property in an LLC

Most Canadians purchase through a Costa Rican corporation for liability and ease of management.

Final Thoughts: Canadians Are Thriving in Costa Rica’s Market

The reality is simple:Canadians can absolutely finance property in Costa Rica—and thousands do.

With better lending options than ever before, a supportive closing process, and a strong investment landscape, Costa Rica has become one of the easiest and most attractive places for Canadians to buy abroad.

Whether you’re looking for:

• a winter escape

• a rental investment

• a full-time move

• or a long-term plan toward retirement

Costa Rica offers a safe, beautiful place to put down roots—and financing options that make it all possible.

If you’re Canadian and want to explore your options, compare lenders, or get clarity on next steps, I’m here to help guide you every step of the way.