Digital Nomads and Costa Rica: how the country is becoming a top destination

In recent years, living in Costa Rica has become an increasingly attractive choice, not only for retirees, but also for digital nomads. Thanks to its natural beauty, quality of life and constantly expanding technological infrastructure, the country has been able to capitalize on a global trend. But what really accelerated this growth is the introduction of the Digital Nomads Law in 2021, which simplified the process for obtaining temporary residence for those who work remotely. This legislative change also had a direct impact on the real estate market in Costa Rica, offering new investment opportunities.

The effect of the 'Digital Nomads Law' on the real estate market

The Digital Nomads Law allows digital workers to obtain temporary residence valid for one year, with the possibility of extending it for another year. One of the main advantages of the law is that digital nomads can enter the country without having to pay local taxes on income generated abroad. This has made Costa Rica particularly attractive for freelancers, entrepreneurs and professionals looking for a balance between work and quality of life. The immediate effect of this law has been an increase in demand for medium and long-term rentals, especially in coastal locations such as Guanacaste, Santa Teresa and Nosara, where the combination of pristine beaches and reliable internet connections has made these areas ideal for remote workers. As a result, rental prices and property values in these areas are growing, creating a golden opportunity for real estate investors.

How to invest to meet the demand for long-term rentals

With the increase in digital nomads settling in Costa Rica, long-term rentals are becoming increasingly in demand. Investing in properties intended for this market segment can be highly profitable. Here are some tips on how to direct your investments to maximize profits:

Focus on high-demand locations: Areas like Guanacaste and the Pacific coast are especially attractive to digital nomads. The proximity to beaches and natural areas, combined with the availability of good internet connections, make these locations perfect for investments in rental properties

Furnished, ready-to-use properties: Digital nomads are looking for immediate housing solutions, with everything they need to work comfortably from home. Investing in furnished apartments or villas, equipped with spaces dedicated to work, such as home offices or study corners, may attract this type of
Flexible rental duration: As a constantly mobile community, digital nomads prefer rentals that offer flexibility. Proposing solutions that allow stays of three, six or twelve months can make your property much more attractive
High-quality Internet connection: A crucial aspect for any digital nomad is a reliable and fast internet connection. Make sure your property offers high-quality internet service, preferably with fiber optics, to ensure that tenants can work

Why invest now

The growing demand for long-term rental properties, combined with Costa Rica's economic and political stability, makes 2024 an ideal year for investing in real estate. The influx of digital nomads is bound to grow, fueled by an increasingly connected world and policies that encourage this type of temporary migration. Investing now in areas like Guanacaste can lead to significant returns both in terms of rent and an increase in property value over time.

If you would like to explore the best investment opportunities and learn about the property options available, fill out our contact form. One of our experts will provide you with all the information you need to take the next step and take advantage of real estate opportunities in Costa Rica.