In Costa Rica, there is not much regulation on the purchase and sale of Real Estate, as occurs in other countries such as the United States. This lack of control can generate some inconveniences such as the participation of irresponsible intermediaries who are unaware of the real conditions of the properties, and the lack of a seller who exclusively represents the owners of the land.
In addition, because there is no exclusivity in the representation of real estate or control over how many people participate in a sale, three main problems are generated:
- Payment of excessive commissions that considerably increase the value of the property.
- The same property can be offered by different sellers at different prices, generating speculation and misunderstandings among potential buyers.
- A premium is reached on the property.
For its part, the overprice of real estate properties can have several effects.
Problems generated by the Overpricing of real estate in Costa Rica
- Difficulty buying: This can make it more difficult for people to buy a home or property, as they will have to pay more than the property is actually worth.
- Displacement: Price gouging can also cause displacement of low-income residents or those who cannot afford increased prices. This can lead to gentrification in certain areas.
- Risk of a housing bubble: Overpricing can be a sign of a potential housing bubble, which means that prices are artificially inflated and can fall at any time.
- It affects the market: Overpricing can affect the market since it can cause a decrease in the number of buyers and demand, which in turn can lead to a radical decrease in prices.
- Affects the economy: Price gouging can also have an impact on the economy in general, since the real estate market is a major contributor to economic growth. If prices are inflated, there can be a ripple effect in other sectors of the economy.
In general, overpriced properties can have negative consequences on individuals, communities, and the economy. And Uvita is no exception.
Direct sale of luxurious properties in Uvita
That’s why at Brav we always say it’s important for buyers to do their research and work with trusted real estate agents to avoid falling into inflated price traps.
We at Brav provide advice and support throughout the purchase process, and we guarantee fair prices (based on market studies and analysis of historical commercial value) and highly professional service.
At Brav, we have our own team in charge of direct sales of our properties. In this way, you avoid paying excessive commissions to intermediaries and being a victim of failed businesses.
Contact us if you want to acquire the land to build the house of your dreams in the Pacific of Costa Rica. We will be happy to assist you and negotiate directly with you.
