The Costa Rica Property Closing Process
From accepted offer to your name on the title, what happens, who does it, and where your money is at each step.
The short version
A Costa Rica closing runs offer → escrow → due diligence → transfer deed before a notary → registration → possession, commonly over 30–60 days. Your funds sit in regulated escrow the entire time and are released to the seller only when the transfer deed is signed and filed with the national registry.
The mechanics protect you if, and only if, you use them properly: real escrow, real due diligence, and independent counsel. Here is each step.
Step by step
The contract (compraventa or opción de compra) sets price, deposit, the due-diligence window, contingencies, the closing date, and who pays which costs. Everything you rely on later lives here, verbal promises don't survive.
The deposit (and later the balance) goes into a regulated escrow account, not to the seller. Expect anti-money-laundering source-of-funds documentation. How escrow works →
Within the agreed window, verify clean title, no liens, that the plano matches the ground, legal access and water, permitted use, and maritime-zone status. If a material problem surfaces, your contingencies let you renegotiate or walk. The checklist →
A CR notary (an attorney with notarial authority) drafts and authorises the escritura de traspaso. Only a notary can transfer registered property. Both parties sign; the balance is confirmed in escrow.
The notary files the deed with the national registry, recording the transfer against the finca. Escrow releases funds to the seller per the agreed terms. About the folio real →
Keys, utility transfers, any condo/HOA handover, and confirmation that property tax and fees are paid to the closing date. You are now the registered owner.
Who pays what
By local custom, closing costs are often split 50/50 between buyer and seller, but it is negotiable and must be written into the agreement. Indicative figures below; confirm current with Hacienda and your notary.
| Item | Typical basis | Customary payer |
|---|---|---|
| Transfer tax (traspaso) | ~1.5% of value | Split / negotiable |
| Documentary stamps | ~0.8–1% | Split / negotiable |
| Notary fee | official tariff | Split / negotiable |
| Escrow fee | flat / small % | Often buyer |
| Real estate commission | by agreement | Customarily seller |
Never wire directly to a seller outside escrow. Never let a "closing this week" push you to skip due diligence. Never rely only on the seller's notary, have your own counsel review the deed before you sign. These three rules prevent most closing-stage losses.
The free check gives you the official-data picture in minutes; the $29 report is the document you and your attorney work from during due diligence.
Frequently asked questions
Who pays closing costs in Costa Rica?
Customarily split 50/50, but negotiable, state it in the purchase agreement. Confirm current rates with Hacienda and your notary.
Can one notary represent both sides?
One notary authorises the deed, but a buyer should have independent counsel for due diligence and negotiation rather than relying on the seller's notary alone.
How long does registration take?
Filing is immediate; full recording can take days to weeks. Escrow is normally released at signing once the deed is submitted, per the agreed terms.
What if due diligence finds a problem?
If your agreement has proper contingencies, a material defect lets you renegotiate price/terms or walk away and recover your escrow deposit. That is exactly why the due-diligence window and written contingencies matter.
Do I need to be in Costa Rica to close?
Not necessarily, closings can be handled through a power of attorney granted to your attorney. Set this up in advance with counsel if you can't attend.