19/04/2018
What the heck is "concession" property, you might ask...???
Hello everyone, we have had several inquiries over the last month from people looking at buying property in Costa Rica, and they are asking the difference between titled property and concession property.
My family and I have been buying and selling property in Costa Rica for over 15 years for our own investment purposes. None of us are real estate agents, none of us are attorneys or developers. We have nothing to sell you. So, I am completely objective on this matter.
There is quite a bit of information online, so do your own research, but generally, titled property means just what it says. You can purchase a home, land or other property and you hold title to it - just like in the US and Canada. If you have title to a property, it means you own it 100%...and you can prove it with the title.
The concept of concession property is a bit hard to understand. But, one thing to remember about concession property...DO NOT BUY IT!!!!!
That's really all you need to know.
However, here is some more information.
If a property is concession, it means you do not and can not own it. It means you are leasing it from the government for a specified period of time. They can seize it at any time. When you "buy" it, you are effectively enacting a lease. You do not own the property and never will. If this concept scares you as an investor, a homeowner or a retiree, then that's a good thing.
Anyone who goes to Costa Rica looking for property WILL eventually run into some poor soul, some real estate agent or some attorney trying to get rid of a concession property. No matter what they say, no matter how beautiful the property is, no matter where it is located...do not proceed!
Think about Costa Rica concession property the same way that you think about timeshares...run for the hills!
And NO...not all beach front property is concession. That is a lie which is commonly told. Many beach front properties are titled. I have bought and sold titled beach front properties myself and I know many others who have as well.
Once you have activated the lease on a concession property, it is almost impossible to get somebody else to bail you out. Many concession property holders who have been talked into leasing concession property are desperate to get out of their situation. Therefore, concession property holders will tell you just about anything. Also, the attorneys, developers and other people involved with that property will tell you just about anything as well.
Do not consider concession property under any circumstances!!!!
There are many beautiful properties in Costa Rica that can be owned 100% with title!
Peace, love, out :)
