Its economy is going through a phase of sharp decline, without daring, still, to use the word recession, although it is already in the air: Some major repercussions include closed doors for the government, the banks and major enterprises when they try to get credit outside the country. This in turn could affect exportations, as well as tourism and investments, as the US citizens are finding themselves struggling and earning less. Another concern is that, if the recession bites deep, many people in the U.S. may decide to postpone their vacations. One question is how much that might affect real estate markets, and especially construction in the coastal areas of Costa Rica.

In the past, Costa Rica has shown itself to be the investors’ dream and a great place for those wanting to invest in their own piece of paradise. Many experts say that in spite of the falling economy in the United States, the real estate market in Costa Rica is flourishing; in fact, such a real estate boom has not been seen abroad in many years, they say! Not only is the market thriving, but also as Costa Rica continues to be a top, popular tourist destination, more and more people are considering investing in this country. Even though the prices are on the rise, people, whether retirees or investors in general, are making a profit and still doing well in spite of the economic situation.

As the real estate market, and the whole of the U.S. economy is struggling right now, some serious real estate investors are looking for opportunities for investing abroad, since the real estate market is so uncertain in their home country. While some may think that the serious decline in the United States would affect the real estate boom in Costa Rica, no such thing has happened so far, with prices continuing to soar and the market continuing to rise on in Costa Rica, as if nothing was happening! For those who are looking for an investment paradise abroad, Costa Rica still is the country of choice, with prices continuing to climb, bringing investors excellent profits.

A positive aspect of the US economy’s repercussions is the price of fuel, wheat, soya and corn going down, although this will not be felt in the country for some time yet. Recope has asked for a lowering of the price of gas last week and it is expected that another one will take place this coming November. As far as the price of food is concerned, street buyers will not be able to see a difference until the local companies and industries make their purchases.

So far the access to credit is the main concern, but in any case it looks like Costa Rica has little cause for worry, and is still sitting on top as far as tourist destination and real estate investment is concerned. Time will tell, however, and the coming year is sure to show us which way the wind is turning.

by Mireille.

Picture source: http://rashbre2.blogspot.com/