Why Land Investment > THE BENEFITS OF LAND PURCHASE
As an exhaustible resource, well-located and zoned building land is widely considered the most reliable and profitable investment a person can make. Land unerringly increases in value. Upon examination as far back as the turn of the 19th century, the average price of land over each decade never showed significant decreases in value, not even in periods of recession.
In a few years, a flood of American retirees will enter the market seeking a place in the sun, most without sufficient means for a million dollar villa by the sea. Huge demand will be created for smaller, more affordable building plots not too far from the sea and the beach. This trend is just now beginning in Costa Rica.
A prominent question for investors: Why not invest in an existing building instead of land? During an upswing in development, development land appreciates faster than buildings. Land shortages drive values up, according to property experts. In other words, well-located building plots have the potential to appreciate much faster than developed properties.
Investing in Costa Rican land for sale is a logical place to put your money. Unlike other investment possibilities like the stock market, land does not experience much volatility. Donald Trump, for example, made his millions by what is called land banking – the process of buying and holding land for future sale or development.
COSTA RICAN BUILDING LAND
The price of land in Costa Rica is still highly undervalued in comparison to countries like Mexico. There is enormous upward potential. Costa Rican building plots are scarce, especially in the coastal regions, with over 30% of Costa Rica's land surface declared as a nature reserve or park. This ensures a relatively quick increase in the price of land. Currently development land prices in Costa Rica, in the right locations, are increasing at over 20% per year on average, and in some areas up to 40% per year.
The table below, shows the growth of real estate prices in and around Tamarindo, Tambor and La Palma.
| Year | Tamarindo | Tambor | La Palma |
| 2001 | 63 | 7 | 2 |
| 2002 | 130 | 18 | 2.50 |
| 2003 | 210 | 40 | 2.70 |
| 2004 | 360 | 95 | 3.10 |
| 2005 | 650 | 225 | 3.80 |
| 2006 | 820 | 340 | 6.70 |
| 2007 | 960 | 420 | 9.20 |
| 2008 | 1.230 | 535 | 14.80 |
Prices are $ per m²
Invest in a well located building plot in the hottest real estate market in the world, through Costa Rica Invest. Currently you can still buy Costa Rican building plot with teak for just 8.62 EUR per square meter. Our land investments in Costa Rica are is ready for immediate development. There is no zoning required. The price of your building plot includes central water source and transfer tax, topographical work, registering in the Land Registry, placement of border markers, supply of electricity to the main entrance, renovation of existing roads and construction of new roads where needed. You will receive an official notary deed for your Costa Rican building plot and it will be registered in the Land Registry. If you wish to sell your building plot in a few years, you are free to hire a local real estate agent. Of course, we are also at your disposal to handle the sale.
Costa Rica Invest tirelessly seeks out and researches the best land investment projects in Costa Rica to offer you the best of all worlds, combining a green investment focus with sound investment strategies. Our aim is to considerably increase your net worth as well as the ethical integrity of your investment portfolio.
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