Moving to Costa Rica: A Complete Guide

Why Costa Rica Is a Popular Choice for Expats

Quality of Life

• Ranked as a top destination for quality of life, especially among retirees and remote workers.
• Offers a slower pace, beautiful natural surroundings, and reliable healthcare.
• Expats often experience improved mental health due to the supportive social culture and outdoor lifestyle.
• “Ticos” value family and community, fostering a strong sense of belonging.
• Work-life balance is part of the culture—offering a welcome change from fast-paced environments in the U.S. or Europe.

Cost of Living

• Generally lower cost of living than in North America or Western Europe.
• Affordable inland towns like Grecia and Atenas provide excellent value without sacrificing amenities.
• Local goods and groceries are cheaper, and dining at small restaurants is budget-friendly.
• Healthcare is much less expensive, even when opting for private services.
• You can live modestly for $1,500/month or comfortably for $2,500–$3,000/month.

Climate and Lifestyle

• Tropical climate encourages daily outdoor activities like walking, swimming, and relaxing on patios.
• Weather varies by region—cooler highlands (e.g., San Ramón) or sunny coastal areas (e.g., Guanacaste).
• Outdoor living fosters a stronger connection to nature and well-being.
• Slower pace supports hobbies, self-reflection, and deeper community involvement.
• The lifestyle encourages living in the moment, rather than rushing through routines.

- Expat Community Size and Friendliness

• Large, well-established expat communities in towns like Tamarindo, Escazú, and Grecia.
• Regular meetups and support networks ease the transition into local life.
• Online forums and Facebook groups provide tips on everything from healthcare to driving.
• Communities are diverse, including retirees, entrepreneurs, and remote workers.
• Having a built-in support system helps newcomers adjust and thrive more quickly.

Safety and Political Stability

• Stable democracy with no military and lower crime rates than neighboring countries.
• Moderate but effective police presence; violent crime is rare.
• Expats often report feeling safer than in major cities in their home countries.
• Transparent property laws and a reliable legal framework for foreign buyers.
• Peaceful political transitions and functioning institutions support daily life and long-term plans.

Visa and Residency Options

Tourist Visa Rules and Duration

• Citizens from countries like the U.S., Canada, and most of Europe can stay for up to 90 days without a visa.
• Working for local employers is not permitted, but remote work is generally tolerated.
• Stays beyond 90 days require a formal residency application or periodic border runs.
• Officials may ask for proof of funds or a return ticket when entering the country.
• Understanding entry requirements can help avoid issues during travel and planning.

Long-Term Residency Options

• Pensionado: For retirees with a guaranteed $1,000/month pension.
• Rentista: Requires proof of $2,500/month income or a $60,000 bank deposit.
• Investor: Invest $150,000+ in property or a business to qualify.
• Temporary Residency: Often the first step before becoming a permanent resident after 3 years.
• Each category has unique financial and documentation requirements tailored to lifestyle and goals.

Required Documents

• Includes birth certificate, clean criminal record, proof of income, and bank statements.
• Documents must be apostilled or authenticated and translated into Spanish.
• Specific categories may need official letters from banks or pension providers.
• Health check and passport photos are also part of the application process.
• Advance preparation can prevent delays and ensure a smoother application experience.

Application Process and Fees

• Applications can be started in your home country or within Costa Rica.
• Costs range from $1,000–$2,500 depending on residency type and legal help.
• Hiring a local attorney is recommended, especially if you’re not fluent in Spanish.
• Processing takes several months, with a temporary ID issued during the wait.
• Upon approval, you’ll receive your official DIMEX residency card.

Renewals and Timelines

• Temporary residency is valid for 2 years and must be renewed locally.
• Proof of continued eligibility and time spent in-country is required for renewal.
• Permanent residency typically available after 3 years of temporary residency.
• Fewer requirements for permanent renewals, but you must update immigration records.
• Staying organized with documentation helps maintain residency without disruption.

Cost of Living in Costa Rica

Monthly Estimates (USD)

These estimates vary based on lifestyle. Beach towns like Tamarindo or Nosara tend to be more expensive than inland cities like Grecia or San Ramón.

Costa Rica is more affordable compared to the U.S., Canada, or Great Britain. It offers an excellent balance of safety, healthcare, and modern amenities.

Best Places to Live in Costa Rica (and Where to Avoid)

Top Places to Live

• Escazú (San José Province): Upscale suburb with modern hospitals, luxury condos, and expat communities. Great for retirees wanting proximity to the city with cooler mountain breezes.
• Tamarindo (Guanacaste): A vibrant beach town with surf culture, walkable neighborhoods, and a growing remote worker scene. Offers international dining and English-speaking locals.
• Grecia & Atenas (Central Valley): Smaller towns known for ideal year-round climate, affordable real estate, and strong expat networks. Close to San José for major services.
• Santa Ana: Another popular suburb of San José with top-tier healthcare, luxury housing, and easy access to international schools.
• Nosara: For eco-minded expats. Boutique hotels, yoga retreats, and a high quality of life. Remote but well-connected via private shuttles and small airstrips.

Places to Avoid (or Research Carefully)

• Limón: While it has beautiful Caribbean beaches, it suffers from higher crime rates, underdeveloped infrastructure, and fewer expat services.
• Downtown San José: Congested, noisy, and not particularly scenic. Good for day trips or visa runs, but most expats prefer the surrounding suburbs.
• Jacó: While popular with tourists, Jacó has a reputation for nightlife, overdevelopment, and petty crime. Not ideal for families or retirees looking for peace and quiet.
• Puntarenas (City): Primarily a port town. Hot, humid, and lacking amenities that most North American expats are looking for.

Should You Rent or Buy as an Expat or Retiree?

Rent First, Buy Later

• Renting allows you to “test drive” a neighborhood without long-term financial commitment.
• Some areas can feel great on vacation but lack essentials like medical care, high-speed internet, or safety.
• Rentals are plentiful and often come furnished. Ideal for trying multiple regions before committing.
• Minimum rental periods range from 1 to 6 months depending on location and landlord.

When to Consider Buying

• You’ve lived in the same region for 12+ months and are confident in the lifestyle.
• You’re seeking long-term cost savings or want to invest in rental income (Airbnb-friendly areas like Tamarindo or Nosara).
• Costa Rica allows foreigners to own titled property outright in most regions.
• Closing costs and legal fees are higher than in the U.S., so short-term flips are not recommended.

Pro Tip: If you're not fluent in Spanish, work with a bilingual attorney and reputable local real estate agent to verify property titles and zoning laws.

Getting Connected

Mobile Phone Plans & Internet Access

• Main providers: Kolbi (ICE), Claro, Movistar — all offer prepaid SIMs and monthly plans.
• Internet quality: Reliable in cities and beach towns; speeds may drop in rural areas.
• Remote work tip: Test internet speed before committing to a location or co-working space.
• Local norm: WhatsApp is essential for personal and business communication.
• Shipping services: Aeropost, JetBox, and DHL offer package forwarding with tracking. Expect duties and varying delivery times.

Set Up Utilities

• Rental tip: Most landlords help set up utilities during move-in.
• Electricity/water:
• Internet/cable: Tigo, Telecable, and Kolbi. Fiber available in areas like San José, Escazú, and Santa Ana.
• Payment options: Pay monthly via provider apps, online banking, or local stores.
• Be prepared: Occasional outages may occur during storms or in remote areas. Have a plan B in that scenario.

Top Apps & Services for Expats

• WhatsApp: Used for everything such as appointments, deliveries, and communication.
• Waze: Preferred navigation app for local driving and avoiding hazards.
• Delivery apps: Uber Eats and Hugo serve most urban areas.
• Expat forums: Join Facebook groups like “Gringo Expats in Costa Rica” for housing leads and advice.
• Other essentials: Use currency converters, translator apps, mobile banking, cloud storage, and VPNs.

Getting Mail & Packages

• Mail service: Use a P.O. box (Apartado Postal) through Correos de Costa Rica for regular mail.
• Package forwarding: Services like Aeropost and JetBox give you a U.S. address and handle customs.
• Delivery tips: Use tracking and include local landmarks in your address to help drivers.
• Delays: Expect variable delivery times—especially around holidays or during strikes.
• Import fees: Costs are based on value and weight; always check restrictions before ordering.

Healthcare and Insurance

Working or Retiring in Costa Rica

- Work permits and legal employment options

• Non-residents must obtain legal work permits, typically sponsored by a local employer.
• Freelancers need additional paperwork like a business plan and income proof.
• Unauthorized work may lead to fines or deportation.
• Legal advisors help ensure proper permit application and compliance.

- Common jobs or remote work opportunities

• Expats often work in English teaching, tourism, or hospitality.
• Remote workers maintain overseas jobs with companies in the U.S., Canada, or Europe.
• Cities like San José and Tamarindo offer reliable internet and co-working spaces.
• Remote income can help qualify for residency; ensure compliance with tax obligations.

- Business or freelancing requirements

• Expats must register as self-employed and file local taxes.
• Enrollment in Costa Rica’s social security system (Caja) is required.
• Hiring a local accountant simplifies tax and expense reporting.

- Retirement visa options

• The Pensionado visa is for retirees with at least $1,000/month in permanent income.
• Accepted sources include pensions or lifetime annuities.
• Includes public healthcare enrollment; private insurance is recommended during application.
• Visa renewals are typically annual.

- Income requirements for retirees

• Pensionado visa requires proof of reliable income—bank statements and pension letters.
• Higher income than the minimum improves approval odds.
• Consulting a residency specialist ensures stronger application documentation.

Bringing Your Family or Pets

- Schooling options for children

• Public schools are free but primarily Spanish-speaking.
• International schools offer English or bilingual programs and smaller class sizes.
• Urban areas like San José and Heredia have more schooling options.

- Family-friendly areas

• Popular areas include Escazú, Santa Ana, and Grecia—safe, modern, and accessible.
• They offer good schools, healthcare, and gated communities with kid-friendly amenities.

- Importing pets: vaccinations, quarantine, and paperwork

• Required: rabies vaccination (min. 30 days before travel), health certificate, and documentation.
• No quarantine if paperwork is in order.
• Microchipping and physical copies of forms are strongly advised.
• Airlines may request special carriers or cargo documentation.

- Childcare and education costs

• Daycare ranges from $300–$700/month depending on location.
• Private school tuition varies widely; some include meals and activities.
• Bilingual nannies offer both language support and flexibility.

Learning the Language and Culture

- Language barriers and English usage

Spanish is Costa Rica’s official language, used in schools, services, and daily life. While English is common in tourist zones and expat communities, fluency in Spanish improves everyday interactions—especially in banking, renting, or shopping.

- Best ways to learn the local language

• Options include local language schools, private tutors, and apps like Babbel or Duolingo.
• Practice through cultural events, TV, and neighborhood conversations.
• Language exchanges (intercambios) with native speakers accelerate fluency.

Local Customs and Etiquette in Costa Rica

Costa Ricans, known as Ticos, are warm, polite, and value kindness in daily interactions. To fit in and earn respect:

• Always greet people with a warm “Buenos días” or “Mucho gusto.”
• Be patient in service situations. Bureaucracy moves slower and frustration won't help.
• Avoid speaking in a blunt or overly direct way; subtlety is appreciated.
• Don’t interrupt when someone is speaking. It's seen as disrespectful.
• Dress modestly in professional or formal settings, even in warm weather.
• Avoid controversial topics like politics or religion with new acquaintances.
• A calm and friendly attitude, pura vida style, will take you far in Costa Rica.

Cultural Immersion: Holidays and Traditions

Costa Rica offers rich opportunities for cultural immersion:

• Independence Day (Sept 15): Parades, school events, and patriotic pride.
• Semana Santa (Holy Week): A deeply religious and widely observed holiday.
• Christmas & New Year’s: Celebrated with family, fireworks, and festive meals.

Other ways to immerse yourself in Costa Rican culture:

• Attend fiestas patronales; town festivals featuring music, food, and bull riding.
• Try local dishes like gallo pinto, tamales, and casados.
• Join cultural activities like dance classes, artisan markets, or cooking workshops.

Costa Rica-Specific Do’s

• Say “Con permiso” before passing someone in a tight space.
• Use both first and last names when addressing professionals or officials.
• Bring small gifts (like coffee or pastries) when invited to someone's home.
• Keep calm and polite at government offices. Impatience may delay things further.
• Stand quietly and wait your turn at bus stops. Locals rarely rush or push.
• Read between the lines. “Maybe” often means “no,” just politely said.
• Say something nice about Costa Rica. Locals are proud of their country.
• Be eco-friendly. Recycling and reducing waste is a shared cultural value.

Costa Rica-Specific Don’ts

• Don’t flush toilet paper in older or public bathrooms, use the trash bin instead.
• Don’t wear beachwear in town, even coastal locals dress smartly in public.
• Don’t say you’re “American”. Ticos are also from the Americas. Say “I'm from the U.S.”
• Don’t initiate casual touching. Ticos value personal space, especially at work.
• Don’t expect speed, mañana culture means things move at a relaxed pace.
• Don’t haggle aggressively. Bargaining is not common and may be seen as rude.
• Don’t honk unnecessarily or drive aggressively. It’s not part of the driving culture.
• Don’t skip greetings. Failing to acknowledge others is considered impolite.

Transportation and Getting Around

Public Transport Options & Costs

Costa Rica’s public buses are affordable and connect nearly every town, even rural ones, but they can be slow and infrequent outside San José. If you're exploring mountainous or coastal areas, a 4x4 rental is highly recommended due to rough roads and steep terrain.

• Roads are often narrow, winding, and affected by weather during the rainy season.
• Use GPS apps like Waze for real-time navigation and closures.
• Domestic flights can save time when traveling between tourist hotspots like Tamarindo and Puerto Viejo.

Tip: Travel times are longer than they look on a map. Always allow extra time for delays.

Buying or Importing a Car

Vehicles are more expensive than in North America due to high import taxes. Many expats buy from reputable used car dealers who include registration help and limited warranties.

• Import taxes range from 50%–80% of the car’s value. You'd have to really be emotionally attached to the vehicle to do that.
• Documents needed include proof of ownership and emissions testing results.
• All vehicles must pass annual inspections by Riteve.

If your car is not a specialty model, it’s often easier and more cost-effective to buy locally than to import.

Driving Rules & License Conversion

Driving is on the right-hand side with speed limits in kilometers per hour. Laws are strict but not always consistently enforced.

• Seatbelts are mandatory and texting or drinking while driving is illegal.
• You can use your foreign license for 90 days; after that, residency and conversion are required via COSEVI.
• Conversion involves medical clearance, document translations, and patience so expect long wait times.

Pro Tip: Defensive driving is essential. Some locals drive unpredictably.

Ride-Sharing and Taxis

Uber is active in San José, Heredia, and Escazú, although its legal status remains unofficial. In rural or beach areas, you’ll mostly find:

• Red taxis: Licensed and metered (confirm the meter is on).
• Pirate taxis: Unlicensed. Negotiate fares before the ride.
• Didi: Another ride-share app, sometimes cheaper than Uber, available in select cities.

Many expats rely on trusted local drivers for regular trips. In areas outside city centers, owning a vehicle or motorbike is often more practical than relying on taxis or apps.

Banking and Money Matters

- Opening a local bank account

To open a bank account in Costa Rica, you usually need legal residency or a local ID number. Some banks allow tourists, though with more restrictions. Required documents often include your passport, proof of address, and income. Popular banks for expats include Banco Nacional, BAC San José, and Banco de Costa Rica. Local accounts reduce international fees and help manage bills. Ask if the bank offers online services in English or a mobile app.

- Sending money internationally

You can send money abroad via banks, but fees and rates can be high. Many expats prefer Wise, Remitly, or PayPal for lower costs and faster transfers. These services are useful for paying rent, bills, or general expenses. Know the local rules for large transfers to avoid delays. Keep transaction records for tax or residency purposes.

Currency exchange

The local currency is the Costa Rican colón (CRC), but U.S. dollars are accepted in many places. Using CRC helps avoid bad exchange rates in rural areas. Credit cards (Visa, MasterCard) work in most businesses; AmEx is less accepted. Foreign cards may charge fees, so consider a local debit card. Exchange currency at banks, ATMs, or casas de cambio.

Cost of living

Costa Rica’s cost of living is often lower than in the U.S., Canada, or Europe. Towns like Grecia or Atenas are more affordable, while beach areas like Nosara can be pricier. Compare your income in USD, GBP, or EUR to local costs. Currency shifts affect your buying power, so budget in both your home and local currency.

Taxes and Legal Considerations

Common Challenges

Homesickness and Isolation

Costa Rica offers stunning scenery and a relaxed lifestyle, but many expats experience emotional ups and downs early on. Homesickness can be especially strong during holidays or big family moments back home. Feeling isolated is common, particularly if you've left behind a close-knit community.

• Language barriers and unfamiliar customs can deepen the sense of disconnection.
• Joining local expat groups, volunteering, or taking language classes helps build friendships.
• Establish a daily routine and find your favorite cafes, parks, or shops to create a sense of belonging.
• Adjusting takes time—most expats go through this same emotional transition.

Cultural Adjustment

Costa Rica’s “pura vida” mindset is warm and laid-back but it can be a shift for newcomers. The pace of life is slower, and things often don’t run on a strict schedule.

• Punctuality is more relaxed, and bureaucratic processes can feel vague or inefficient.
• Expats sometimes feel frustrated when timelines or expectations aren’t clearly communicated.
• It's important to observe customs like greeting others respectfully and using polite language in everyday interactions.
• Rather than compare everything to your home country, try to embrace Costa Rica’s rhythms with curiosity and humility.

Dealing With Bureaucracy

Both locals and expats share a common complaint—government bureaucracy. It’s not unusual for paperwork or appointments to involve multiple steps and several office visits.

• Requirements often vary by office or even by the staff member you encounter.
• While some services offer online scheduling, walk-ins are still common and can lead to long wait times.
• Tasks like getting a driver’s license, registering a business, or applying for residency may take weeks.
• Hiring a legal assistant or relocation service can save time and reduce frustration.
• A patient and flexible mindset is your best tool for navigating red tape.

Language Frustrations

While English is spoken in many tourist areas, Spanish is essential for day-to-day life. Without it, handling contracts, medical appointments, or government paperwork becomes difficult.

• Miscommunication can cause delays and unnecessary stress in important settings.
• Even basic Spanish makes a big difference—it builds trust and helps you engage with the local community.
• Apps like Duolingo and Babbel, or hiring a tutor, can speed up your learning.
• Many towns also offer language meetups or immersion classes to help you practice.
• Locals appreciate your effort, even if you’re not fluent yet.

Final Tips Before You Go

Costa Rica’s climate and lifestyle call for smart, minimalist packing. Lightweight clothes work year-round, but rainy season calls for waterproof gear and sturdy footwear.

• Bring essentials like rain jackets, hiking shoes, and everyday comfort wear.
• Include hard-to-find items: favorite toiletries, certain medications, electronics, and large-sized shoes.
• Don’t overpack—most basics can be found locally in malls or markets.
• Pack important documents, power adapters, and a few comfort items to make your new home feel familiar.
• If moving with kids or pets, include their favorite toys or specialty items.

Resources and Expat Forums

Online expat communities are a valuable resource before and after your move. They offer advice, cultural insights, housing leads, and emotional support.

• Facebook groups like “Gringo Expats in Costa Rica” or “Canadians Living in Costa Rica” are highly active.
• Websites like ExpatExchange and InterNations provide country-specific guidance for Americans, Brits, Aussies, and others.
• YouTube relocation channels and expat blogs offer real-world tips and visual walkthroughs.
• Follow English-language news sources such as The Tico Times or Q Costa Rica to stay informed.
• Connecting with others who’ve made the move makes everything feel more manageable.