Published by Hardy Real Estate Group | July 2026 | Los Sueños Resort, Costa Rica
Estimated read time: 8 minutes | Category: Buying Process & Legal
Costa Rica’s property registration system is, in many respects, more transparent than what buyers are used to at home. Titled land is recorded in a centralized national registry, searchable and generally reliable. That transparency, though, is exactly why due diligence matters so much: the information is available, but it’s on the buyer, not the seller, to actually go verify it.
Most title issues in Costa Rica real estate aren’t dramatic fraud cases. They’re liens that weren’t disclosed, boundary discrepancies between the deed and the actual lot, or a corporate ownership structure that wasn’t properly transferred. Every one of these is catchable with proper due diligence, and every one of them can become expensive or complicated if missed.
This guide walks through what due diligence actually looks like for a foreign buyer purchasing at Los Sueños, and what Hardy Real Estate Group makes sure is verified before any client of ours goes to closing.
Understanding Costa Rica’s National Registry System
Costa Rica maintains a centralized property registry, the Registro Nacional, where titled real estate is recorded along with ownership history, liens, mortgages, easements, and encumbrances. Most property at Los Sueños is titled land, which offers the strongest form of ownership protection available in the country and is the standard buyers should expect at a resort of this caliber.
A title search through the Registro Nacional confirms who legally owns the property, whether it’s free of liens or mortgages, and whether the recorded boundaries and measurements match what’s being sold. This search is typically conducted by a Costa Rican attorney on the buyer’s behalf and should happen well before any deposit becomes non-refundable.
Titled Land vs. Concession Property: Why the Distinction Matters
Not all coastal property in Costa Rica is titled. Land within the Maritime Zone, generally the first 200 meters from the high tide line, is typically government-owned concession land rather than privately titled, governed by different rules around foreign ownership and renewal terms. Most residential and resort property at Los Sueños sits on titled land further inland from this zone, which is one of the reasons the resort has attracted such consistent foreign investment.
Buyers should always confirm, in writing, whether a specific property is titled or concession before making an offer. The two carry meaningfully different ownership rights, financing eligibility, and long-term considerations, and this is one of the first questions Hardy Real Estate Group answers for every listing we represent.
Corporate Ownership Structures: Why Most Foreign Buyers Use a Sociedad Anónima
It’s standard practice in Costa Rica for foreign buyers to hold real estate through a locally registered corporation, most commonly a Sociedad Anónima (S.A.), rather than in their personal name. This structure can offer liability protection, simplify future transfers, and in some cases ease estate planning, since selling the property later can mean simply transferring shares of the corporation rather than re-deeding the land.
Due diligence on a resale property should always include confirming the corporation’s legal standing, that it’s properly registered, current on any obligations, and that the seller genuinely controls the shares being transferred. Buyers purchasing an existing corporation along with the property, rather than forming a new one, need this verified with particular care.
What a Proper Title Search Actually Verifies
A thorough due diligence process at Los Sueños goes beyond confirming that a title exists. It should verify current ownership matches the seller, confirm the property is free of liens, mortgages, or judicial annotations, and check for easements or right-of-way restrictions that could affect use of the land.
It should also compare the registered survey (plano catastrado) against the actual lot boundaries, since discrepancies between paper records and physical reality do occur, particularly on properties that have been subdivided or modified over time. Finally, it should confirm property taxes and any homeowners’ association dues are current, since unpaid obligations can sometimes follow the property rather than the previous owner.
The Closing Process at Los Sueños: What to Expect and When
Once due diligence is complete, closing in Costa Rica typically involves a purchase agreement, a deposit held in escrow, and a final transfer deed executed before a notary public, who in Costa Rica is also a licensed attorney with authority to record the transaction directly with the Registro Nacional. This differs from title company-driven closings in the US, and having a notary who represents your interests, not just the transaction, matters.
Timelines vary, but buyers should expect several weeks between an accepted offer and closing to allow for a full title search, corporate review if applicable, and any financing steps. Rushing this timeline is one of the more common ways buyers skip steps that would have caught a problem.
Red Flags Worth Slowing Down For
A few situations warrant extra caution and, often, extra time. A title with recent, frequent ownership changes deserves a closer look at why. A seller unwilling or slow to provide corporate documentation raises a legitimate question about what’s being hidden. Significant discrepancies between the surveyed lot and the registered plano catastrado should be resolved, not waived, before closing.
None of these situations are automatically deal-breakers at Los Sueños, where the overwhelming majority of properties have clean, well-documented titles. But they’re exactly the kind of detail proper due diligence exists to catch, and exactly why buyers should never rely solely on a seller’s representations without independent verification.
Frequently Asked Questions: Costa Rica property due diligence
Is Costa Rica’s property title system reliable for foreign buyers?
Yes. Costa Rica maintains a centralized national property registry, the Registro Nacional, that records ownership, liens, and encumbrances for titled land, and it’s generally considered reliable and transparent by regional standards. The system’s reliability doesn’t replace due diligence, though; buyers still need a proper title search conducted before closing to confirm the specific property is clear and accurately described.
What is a Sociedad Anónima and do I need one to buy property in Costa Rica?
A Sociedad Anónima, or S.A., is a Costa Rican corporate structure commonly used by foreign buyers to hold real estate rather than owning it in their personal name. It’s not legally required, but it’s standard practice at Los Sueños and most resort communities, offering liability protection and simpler future transfers. Your attorney can set up a new S.A. or, in a resale, review an existing one being transferred.
How long does the closing process take in Costa Rica?
Most closings at Los Sueños take several weeks from accepted offer to final transfer, allowing time for a full title search, corporate document review if applicable, and any financing steps. Cash transactions with clean titles can move faster, while financed purchases or properties with more complex ownership structures typically take longer. Rushing this timeline increases the risk of missing something during due diligence.
What’s the difference between titled land and concession land in Costa Rica?
Titled land is privately owned and recorded in the national registry, offering the strongest ownership protection available. Concession land, found within the Maritime Zone near the coastline, is government-owned and leased under different rules, including restrictions on foreign ownership. Most property at Los Sueños is titled land, but buyers should always confirm this in writing for any specific listing before making an offer.
Do I need a Costa Rican attorney to buy real estate here?
Yes, and it should be an attorney who represents your interests specifically, separate from the seller or developer. Your attorney conducts the title search, reviews any corporate structure involved, drafts or reviews the purchase agreement, and typically serves as the notary who executes and records the final transfer. This independent legal review is the core of proper due diligence in Costa Rica.
How Hardy Real Estate Group Guides Buyers Through Due Diligence
Due diligence is not the part of a purchase where buyers should be figuring things out on their own for the first time. Hardy Real Estate Group has represented buyers and sellers at Los Sueños long enough to know exactly what a clean title looks like here, and exactly which questions to ask when something doesn’t add up.
We work alongside independent Costa Rican legal counsel on every transaction, and we make sure our clients understand each step of the title search and closing process in plain language, not just legal terminology, before they’re asked to sign anything.
- Coordination with independent, buyer-side Costa Rican attorneys for every transaction
- Guidance distinguishing titled land from concession property on any listing
- Support reviewing corporate ownership structures on resale properties
- A clear, plain-language walkthrough of the closing timeline before you make an offer
Contact Hardy Real Estate Group: hardygrouprealestate.com