Are you a baby boomer soon to retire? Are you looking for an alternative to cashing in your paper assets, moving to a smaller home, and cutting down on your living expenses after your 65th birthday? This is what many people are frantically planning for their retirement in the face of down markets in the United States these days. But this is not how you imagined you would be living out your golden years! You imagined relaxing, enjoying the simple act of reading a book, smelling the flowers . and a little money to travel, visit Paris maybe, or go on a cruise. Is all of that just a fantasy now?
Well a few people have figured out how to make it all a reality and retire in style while living in the heavenly paradise of Costa Rica! It all starts with the real estate market. They say the real estate market in Costa Rica is one of the most stable in the world, and property prices are easily comparable to the US or lower. The thing about Costa Rica is that it's nothing but coast! A long stripe of a country with beautiful ocean coasts on both sides. And great real estate deals all along those coasts. You could easily find a gorgeous beach house for $300,000 overlooking the ocean. Or buy a lot near the beach for $100,000 and build your dream home. Spend your days going for walks on the beach, having a drink on the terrace while watching the sunset, and socializing with all your new found friends who share your enthusiasm for enjoying your retirement!
"Ok", you say, "it sounds like a paradise, but are you seriously suggesting that when I retire I live in Costa Rica? People only go there on vacation!" But that's no longer true. More and more Americans are retiring in Costa Rica, along with Europeans and other foreigners. And they are all doing the same thing: investing in property which will hold its value for years to come, and living their retirement in the sun. "But how?" you ask. The following are just a few of the things that make it so realistically possible to actually live the dream and retire in Costa Rica:
Close to Home
One of the great things about Costa Rica is that it's only a 2 hour flight to Florida and all the comforts of home. Hope to Miami for the weekend and do some shopping, or quickly get a connector to wherever your family lives and visit often. And be careful who you invite to come visit you in your new paradise, it is so easy and inexpensive to get to that they will definitely come!
Everyone Speaks English
Well, maybe not everyone, but no matter where you are, there is a very good chance that someone around you will be able to translate. A large majority of the population can speak at least some English, it is taught in the schools, and most of the private schools are English Immersion, so from a young age many of these kids are bilingual. There is a general belief in the modern culture that in order to be successful one needs to speak English, but even more than that, there is a cool factor about being able to speak English that motivates the younger generations. And hey, why not take some Spanish lessons yourself? Stretch your brain a little and make some friends at the same time.
Cost of Living
The cost of living is comparable to the US if not slightly cheaper. There seem to be some items which are shockingly cheap, while others are exactly what you are used to. Groceries, restaurants and shopping tend to be about the same as you are used to, however labour such as a live in maid, gardener, or other workers are much less expensive than in the US. In your retirement, it can often be a great benefit to have people around to help you with the daily chores.
Health Care
Health Care in Costa Rica is very inexpensive, and yet of very high quality. Many of the doctors and health care professionals were trained in the US or Europe, and hospitals are extremely modern with all the latest equipment and techniques. On a gossipy side note, Costa Rica is a popular destination for movie star plastic surgery!
Medicare
Medicare and the Costa Rican government are making it extremely easy for ex-patriots to collect their Medicare cheques through a network of banks in Costa Rica now offering the ability to set up direct deposit to your Costa Rican bank account.
Is it legal?
Can anyone just move to Costa Rica, or how does it work? Anyone 45 years or older can apply for a special retirement program set up by the Costa Rican government to encourage foreigners to invest in Costa Rica. Benefits include tax exemptions and incentives, but the icing on the cake is that you don’t have to pay tax on your retirement income in Costa Rica!
Owning Property in Costa Rica
In Costa Rica foreigners are not penalized in anyway when purchasing property. You have the same rights as any Costa Rican and the law will treat you as an equal. You can even incorporate your own company and have the property purchased through your company for additional tax benefits.
And of course the nature …
The words Cost Rica actually mean Rich Coast, a name Christopher Columbus chose for this country overflowing with natural beauty, lush rainforests, mountains, cloud forests, and sandy beaches with turquoise water lapping at the shore. Costa Rica is world famous for its diverse natural habitat and there are many government regulations which will continue to protect Nature Reserves and other valued areas.
So there you have it, so many great reasons to rent out your house, cash out your paper assets, buy a beach house, and retire in Costa Rica, and invite all your friends! There may be a coming recession, but you don’t have to live in it, or let it ruin your long awaited liberation from the daily grind.
Jennifer Cross, April 2008
