A New Life in Costa Rica

Upon seeing indigenous people wearing gold ornaments, Spanish explorers baptized this land Costa Rica or the Rich Coast.  It has proved to be a rich and lush land, with tropical forests that shelter a staggering variety of plants and animals, unmatched by any other country in this world. Costa Rica is not only a land of natural beauty; it is also a land of people who want harmony with both nature and other peoples of the world. Read more and ask questions to expats living in Costa Rica now .

Climate in Costa Rica | Costa Rican Government  | Medical Care in Costa Rica | Tax in Costa Rica | Costa Rica Real Estate | Shopping in Costa Rica | Cost of Living in Costa Rica

Climate in Costa Rica

Invierno or the wet season lasts from May to November. Verano or the dry season lasts from December to April.  In Costa Rica’s lowlands, daytime temperature hovers at a steamy 30 degrees C and at a more pleasant 22 degrees C in the evenings. It is warm but fresh and breezy in the central highlands, where temperatures range from 16 degrees to 26 degrees C. The National Geographic has stated that the best climate in the world can be found in a little town in this part of Costa Rica.  No extremes of cold and heat, but a combination of gentle warmth, soft rain and breezes.

On the down side, floods and landslides are effects of El Nino in the country. The last major earthquake to hit Costa Rica in 1991 left roads scarred with large holes and cracks.

Government in Costa Rica

A five-week long civil war in 1948, which resulted in the death of about 2,000 people, proved to be a major turning point in Costa Rica’s economic, political and military system. Such reforms have set Costa Rica apart from the rest of Central American and in fact, the whole of Latin America.

The Costa Rican army was abolished and the country remains army-less after almost 60 years. Only the police and the coast guard exist to perform their functions.  Costa Rica declared its neutrality and remains so at present.  Government officials are elected and limited to only one term – four years for the president and congresspersons, and eight years for justices of the Supreme Court who are elected by congresspersons. The government also set into motion programs for land reform, recognition of labor rights, full citizenship rights for black Costa Ricans, a progressive system of taxation, a social security system and other reforms. The Costa Rican economy is relatively stable and relies primarily on tourism, earning $800 million each year from this industry alone. It also exports agricultural products such as coffee and bananas, beef and sugar and has  recently ventured into the production of integrated circuits. The World Bank in 2006 estimated average per capita income in the country to be US$4,590.

Tax System in Costa Rica

Costa Rican residents and corporations are taxed but only on income that was earned in the country itself. There are no taxes imposed on income derived from foreign sources. Personal Income taxes are paid by persons who receive a fixed compensation (withholding tax) and by persons who earn profits from his or her activities (tax on annual profits).

Annual property taxes are collected by local governments where the property is situated. The local governments ensure the appraisal of the property involved and collection of the appropriate tax. Government also collects a three percent property transfer tax, which is calculated based on the property’s registered value at the time it is sold.

Medical Care in Costa Rica

The United Nations  considers the local public health system as one of the top 20 in the world and the best in Latin America. Life expectancy of Costa Ricans (76 years for men and almost 80 years for women) is actually longer than the U.S. life expectancy, and the  infant mortality rate is lower.  

Costa Rica has a well-earned reputation for the highest standard of medical care in Latin America. You can find the three largest and most sophisticated Costa Rican hospitals in San Jose, the country’s capital. The government maintains a national network of 29 hospitals and 250+ clinics, which provides low cost health services to Costa Ricans. Even foreign residents and visitors can avail of this service if they pay a monthly fee that will be computed based on their income. If they prefer, they can instead get government health insurance that will allow them to tap 200 private sector doctors plus hospitals, laboratories, and other facilities. Medical care is very affordable, for instance, a heart bypass operation in Costa Rica will cost only a third of what you will be charged in the U.S. Office consultations usually cost $30-$40. Many medicines are up to 80 percent cheaper that in the U.S. Many Costa Rican doctors can communicate in English, devote more time to the patient, and even make house calls.

Real Estate in Costa Rica

All people, regardless of nationality, are considered to have the same legal rights, enshrined in the Costa Rican Constitution and laws. The good news is that Costa Rican citizens and non-Costa Rican citizens have the same absolute right to own real property in the country. Many countries have restrictions on foreign ownership of real estate but not Costa Rica.

However, foreigners must seek competent advice in the whole process of buying the property and verifying and registering the title. If a good title is not assured, the buyer should immediately cancel the transaction.  You also have to make sure your property is registered in the National Registry.

Before you buy any property, you must be aware that in some remote areas of Costa Rica, you may have to purchase a generator that will supply electrical power and have a well drilled that will provide a reliable and potable water supply.  You may also have to resort to a septic system.   Generally this is not a problem in large towns and in cities. Getting a phone may take some time and it may be more practical to resort to cell phones.

Shopping in Costa Rica

Shopping is not the main reason to visit Costa Rica. However, good copies of the gold and silver ornaments that so attracted the Spanish colonizers and other works of art can be bought  in the Plaza de la Cultura and Gran Hotel Costa Rica, both located in San Jose the country’s capital. The town of Sarchi is the source of wood items such as furniture, bracelets, and jewel containers.

Cost of Living in Costa Rica

Costa Rica is reputed to be the most expensive country in Latin America.  However, people who have actually lived in the country have discovered that one person needs from $900 to $1200 each month for a decent standard of living. It is true that two can live as cheaply as one. A couple can live quite well on $1200 a month and even better, live luxuriously for $2,000. One should take into account the many tangible and intangible advantages of living in Costa Rica –  the extremely low crime rates, the absence of life and peace threatening political conflict and confrontations, a sense of safety and security and community, good medical care, friendly people and an environment of great natural beauty.