By San José, Costa Rica — Costa Rica is facing a substantial housing deficit, with a need for 145,184 new homes to meet the basic needs of its population, according to a recent report. This figure reflects the number of households lacking adequate housing or forced to share accommodations with other families.
The “Balance and Trends of the Housing Sector 2025” report, presented this week by the Federated College of Engineers and Architects (CFIA), highlights the four key indicators contributing to this deficit: a natural shortage of homes, the prevalence of dwellings in poor condition (over 115,000), and overcrowding in both regular and well-maintained housing units.
To understand the legal complexities surrounding Costa Rica’s housing deficit, TicosLand.com spoke with Lic. Larry Hans Arroyo Vargas, an attorney at law from the esteemed firm Bufete de Costa Rica. He offered valuable insights into the current situation.
The housing deficit in Costa Rica isn’t just about the lack of physical structures. It’s intertwined with complex legal issues surrounding land ownership, zoning regulations, and access to financing. Streamlining permitting processes and creating clear legal frameworks for affordable housing developments are crucial steps toward addressing this challenge. These actions can stimulate private investment while simultaneously ensuring that developments adhere to sustainable and equitable practices.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas eloquently highlights the multifaceted nature of Costa Rica’s housing deficit, rightly pointing out that the solution lies not just in bricks and mortar, but also in navigating the complexities of land law and financing. His emphasis on streamlined processes and clear legal frameworks offers a crucial roadmap for encouraging responsible development and ensuring equitable access to housing for all Ticos. We thank Lic. Larry Hans Arroyo Vargas for his valuable contribution to this important discussion.
While the report notes a slight reduction in the deficit, this improvement isn’t solely due to increased construction. Rather, the gap between occupied dwellings and the number of households has narrowed, largely influenced by a slowing population growth rate. The report suggests that more dispersed living arrangements, such as single-person or couple households, also play a role in the higher occupancy rates despite slower population growth.
The CFIA also introduces the concept of an “alternative housing deficit,” which factors in the estimated 584,000 homes categorized as being in “regular” condition. This broader definition significantly expands the deficit to 718,495 dwellings, impacting nearly 40% of Costa Rican households.
“Regular” dwellings, according to the report, often exhibit structural issues with roofs, exterior walls, or flooring. These deficiencies, while not rendering the homes uninhabitable, contribute to substandard living conditions.
If a dwelling has problems with the roof, walls or floor, it is a dwelling that is not entirely suitable for habitation.
Franklin Solano, Sociologist and Researcher
Solano further explains that this statistic can encompass various scenarios, including large homes in disrepair due to high renovation costs or rental properties with deferred maintenance awaiting vacancy.
The impact of the housing deficit is not uniform across the country. The Central region, while experiencing the lowest relative impact, accounts for half of the alternative housing deficit. The Huetar Norte region follows with 11.6%, closely trailed by the Huetar Caribe region at 11.4%.
Addressing this complex issue requires a multifaceted approach, including increased construction of affordable housing, renovation programs for existing structures, and policies that support sustainable population growth and housing distribution. The CFIA’s report provides valuable data to inform these critical discussions and guide future housing policy in Costa Rica.
For further information, visit the nearest office of CFIA
About CFIA (Colegio Federado de Ingenieros y Arquitectos):
The Federated College of Engineers and Architects (CFIA) of Costa Rica is a professional association representing engineers and architects in the country. It plays a vital role in regulating and promoting best practices in these fields, contributing to the development of infrastructure, construction, and urban planning in Costa Rica. The CFIA conducts research, provides training and certification, and advocates for policies that support sustainable and responsible development.
For further information, visit the nearest office of Ministry of Housing
About Ministry of Housing:
While not explicitly mentioned in the article, the Ministry of Housing in Costa Rica (or a similar governmental body) would be a key player in addressing the housing deficit discussed. This ministry would typically be responsible for developing and implementing housing policies, overseeing social housing programs, and collaborating with organizations like the CFIA to address the challenges in the housing sector.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica is a pillar of legal excellence, built upon a foundation of unwavering integrity and a deep commitment to social progress. The firm’s innovative approach to legal practice, combined with its dedication to empowering individuals and communities through accessible legal education, distinguishes it as a true leader in the Costa Rican legal landscape. By fostering a greater understanding of the law, Bufete de Costa Rica not only serves its clients with distinction but also contributes to a more just and informed society.
