June 1, 2009 - The past few weeks have seen huge gyrations in the financial markets and major shifts in domestic policy, especially in regards to virtually “anything” connected with money and finances. This is not the forum for debate as far as “right or wrong” for the massive amounts of dollars committed to bailing out our financial institutions AND its many, many participants. BUT it does affect all of us… some of us far more than others.
Many have lost tens and hundreds of thousands of dollars in their retirement accounts… and that is on top of the billions of dollars that have disappeared in the real estate market. What happens now? Especially to those who were looking forward to retirement in Costa Rica? Is it still a possibility?
Well, let’s look at it this way… what is the alternative? Can you live out your remaining years in the States or Canada with your savings and pension or social security? Unless you make well over $3-4,000 per month, the answer is “probably not”. Medical costs alone will be a killer. And now that many have significantly less savings and equity, the potential standard of living for many is bleak indeed.
This article is not meant to be a sales tool for life in Costa Rica…rather it is to be used as a comparison about life and retirement in the present situation and near future vs. life in Costa Rica.
“What will it cost me to rent a decent house or apartment in Costa Rica?” … depending upon where you are…unfurnished rentals can vary from $150 to $1000, depending upon amenities and location.
“How much does health insurance cost?” … if you are a resident here, your cost will be about $75 per month. Prescriptions are less than half of what they are in the States and a doctor prescription is not necessary in most cases. Generic medicines are also much more readily available here. Hospitals and the medical care here, for the most part, are superb.
“How much does transportation cost?” … basic transportation can be had for less than $5000…customs duties here raise the prices of used vehicles by nearly 100%. Bus service is available almost everywhere , is inexpensive and reliable. Less than $10 can take you almost anywhere in the country.
“How much will a 1500 sf house cost me to construct? … or to buy? …construction costs for a “well built”, American style home with amenities will cost between $40 and $50 per sq. foot…American style homes already constructed command ( for the most part ) ridiculous premiums; however a Tico style home which may need a little work and is situated on a smaller lot can be found for $50-60,000. ( same size )
“ Do I need to know Spanish?” … no, but knowing the language increases your enjoyment of living here immensely. Most Ticos ( Costa Ricans) know a little English. Before long, you will be proficient in a combination which we call “spanglish”.
“Can I get English speaking television and highspeed internet?” … not everywhere, but just about the same coverage as in the States or Canada.
“How much would I have to spend a month on food?” … probably $200 to $500 depending upon your preferences. Some items such as Frosted Flakes or Edy’s ice cream are available here but are more expensive than in the States.
“What is there to do in Costa Rica?” … look at it this way – what would you do if you were retired on a smaller pension in Canada or in the States?…go to the mall?, cruise the parks?; go to the doctor? …in Costa Rica?, travel costs almost nothing here…garden ( plant a stick in the ground and you can literally watch it grow ) …birdwatch…read…woodwork…there are literally hundreds of things to do that cost next to nothing here…AND, you are in a climate which is fantastic AND have the opportunity for almost infinite variety. If you are bored in Costa Rica…then you are beyond hope
“What are the negatives to life in Costa Rica?” … the bureaucracy , the long lines in banks and governmental and municipal offices, the lack of addresses, the attitude toward “being on time”, Ticos are terrible drivers, not all Ticos like Americans or Canadians, increasing crime in more urban areas, nonsensical judicial system at times, and a lot more.
Randy and Rhonda Berg have been living in Costa Rica for over 7 years and have a wealth of knowledge when it comes to buying a home in Costa Rica. You can contact them at: This e-mail address is being protected from spambots, you need JavaScript enabled to view it