Rental Property Investor · Manassas, VA · Member since 2018 · 32 posts · 5 votes
My family is planning to move to Costa Rica to continue our real estate journey. We are considering using an SDIRA to purchase real estate in Costa Rica. Anyone investing in Costa Rica or is familiar with starting a business in Costa Rica?
My family is planning to move to Costa Rica to continue our real estate journey. We are considering using an SDIRA to purchase real estate in Costa Rica. Anyone investing in Costa Rica or is familiar with starting a business in Costa Rica?
Can be for investment only until you distribute the property to yourself you and your immediate family cannot have personal use of it during that time. Get in touch with a CPA/Attorney in CR as well as stateside.
Lender · CA · Member since 2018 · 638 posts · 393 votes
1y
Couple things:
1) Are you using your SDIRA to purchase a primary residence? I do not believe that is possible without significant tax consequences.
2) Purchasing any home with an SDIRA requires a truly non recourse loan which is difficult to get and usually comes with a 30-40% down payment because of the risk to the bank. (If something goes sideways, they have to foreclose on your IRA account which is much more difficult than a normal foreclosure process).
My family is planning to move to Costa Rica to continue our real estate journey. We are considering using an SDIRA to purchase real estate in Costa Rica. Anyone investing in Costa Rica or is familiar with starting a business in Costa Rica?
Can be for investment only until you distribute the property to yourself you and your immediate family cannot have personal use of it during that time. Get in touch with a CPA/Attorney in CR as well as stateside.
My family is planning to move to Costa Rica to continue our real estate journey. We are considering using an SDIRA to purchase real estate in Costa Rica. Anyone investing in Costa Rica or is familiar with starting a business in Costa Rica?
Can be for investment only until you distribute the property to yourself you and your immediate family cannot have personal use of it during that time. Get in touch with a CPA/Attorney in CR as well as stateside.
Rental Property Investor · Gilbert, AZ · Member since 2016 · 3k+ posts · 4k+ votes
1y
Hi @Colin Charles. I own some properties in Costa Rica (https://costaricaprivateresorts.com/). I did not buy them with an IRA. I bought them with partners and we rent them out as small luxury private resorts. But I have learned a lot about real estate in Costa Rica. And I would say you can find seller financing deals there a lot since it is hard for foreigners to get loans there. Also, there are a few US companies that are offering loans there but I can't say if they are good because they have not given ma a loan yet. I don't think the SDIRA rout would work on foreign investments though.