Is the Cost of Living Rising in Costa Rica?

Linda R. Says:

I’ve heard the cost of living is rising in Costa Rica. Is this true? Are there still parts where it is affordable?

 

IL Costa Rica Correspondent Bekah Bottone Says:

Hi Linda,

The cost of living can vary a lot here in Costa Rica. It depends on many factors, such as the number of family members, the ages of those people, where you live, and your lifestyle choices.

From my perspective, the cost of living on the Gold Coast, particularly, has increased in recent years. Housing prices (real estate and rentals) have gone up because so many people are drawn to this area. There are many schooling and extracurricular options where I live near Tamarindo, and many families are looking for this type of beach life.

Yet during my recent editorial trip to Arenal, I met many people living on a much smaller budget. (Watch your International Living magazine for more on this.)

For example, one woman I met lives in a rental with a lake view for $400 with her dog. The owners visit from time to time and stay in the house… this woman has her own bedroom, and it’s no issue for her as she is comfortable with and enjoys spending time with the owners. Additionally, she spends about $300 to $400 a month on food, so her cost of living is relatively low.

On the other hand, about five miles away, I met with a woman who recently bought a $400,000 home.

The price of food has increased over the years. I just updated our Escape to Costa Rica guidebook, and one section is about food prices. Meat has increased significantly over the past few years, while vegetables are about the same. Of course, food prices have increased worldwide, so this isn’t only happening in Costa Rica.

To find a place that suits your budget, I suggest you visit different areas and see what you find. Being on the ground and connecting with people in the area is the best way to find affordable prices. I was pleasantly surprised by how many people in Arenal found good deals on real estate and rental options.

Life in the Central Valley is also more affordable than on the beaches.

In addition, remember that many people choose Costa Rica because it is easy to access from the U.S. and is known for its stable government, a mild climate (though the beaches can be hot and humid), and friendly people. Costa Ricans (or “Ticos”) are warm, welcoming, and helpful and can help make the transition easier.

Take your time renting in different places to see what you think when you experience this life first-hand. Many people I have talked to planned to live for three months in a few locations to get a feel for what felt right.

And yes, that’s what almost everyone I talk with says: “This place felt right for me.”

Got a Question?

Send your thoughts to . We’ll post and respond to as many of your emails as we can right here in the e-letter.

ASK YOUR QUESTION HERE