By Guanacaste, Costa Rica — Costa Rica has experienced a dramatic 76% surge in foreign millionaires over the last decade, solidifying its position as a haven for the wealthy. According to the “Private Wealth Migration 2025” report by Henley & Partners, this influx places Costa Rica sixth globally in millionaire growth, primarily driven by individuals from the United States and Canada, with a growing number from Europe and Latin America.
While the report analyzes the overall decade, experts like Andrés Riggioni, managing partner at The Agency Costa Rica, a luxury real estate firm, point to the post-pandemic period as the catalyst for this accelerated migration. This “pandemic effect” reflects a global shift in mindset among those with the resources to choose their living location.
For expert legal insight into the complexities of this trend, TicosLand.com spoke with Lic. Larry Hans Arroyo Vargas, an attorney at law from the reputable firm Bufete de Costa Rica.
The influx of millionaire migrants to Costa Rica presents unique legal and business opportunities. While the allure of favorable tax incentives and a tranquil lifestyle is undeniable, navigating the legal landscape for residency, property acquisition, and business ventures requires careful consideration. Potential investors must understand the nuances of Costa Rican law, particularly regarding corporate structuring, tax compliance, and real estate transactions, to fully capitalize on the benefits and mitigate potential risks.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s insights offer a crucial reminder that while Costa Rica’s appeal to high-net-worth individuals is clear, successful integration requires more than just enjoying the pura vida. A thorough understanding of the legal and business environment is paramount for a smooth transition and maximizing the potential of this vibrant nation. We thank Lic. Larry Hans Arroyo Vargas for offering this valuable perspective on navigating the complexities of Costa Rican law for prospective millionaire migrants.
There was a change of mentality at a world level for those who have freedom and resources that allow them to live in the country they prefer.
Andrés Riggioni, Managing Partner, The Agency Costa Rica
This influx has fueled a boom in luxury real estate, particularly in coastal areas, causing property values to double in just a year or two. However, this rapid growth has raised concerns about gentrification and displacement of local populations. Communities in Guanacaste, a prime example of this boom, have seen property prices soar by up to 400% between 2017 and 2023, according to the Tourism, Migration, and Sustainable Development Observatory of the Chorotega Region at the National University of Costa Rica.
The rising cost of living, particularly housing and food, is disproportionately impacting lower-income residents, creating “bubbles” within the local economy. This displacement is occurring despite high vacancy rates in luxury properties, highlighting the disconnect between the influx of wealth and the needs of the existing community.
Guanacaste has the highest proportion of empty homes in the entire country. However, one in ten Guanacastecans have been pushed to live in informal settlements.
Isabel Muñoz Beaulieu, Expert in public health and development policies
While Costa Rica’s natural beauty, relatively low taxes, and investor visa program attract the wealthy, the country also grapples with rising insecurity, a factor that could deter future investment and tourism, according to a recent OECD report.
The “golden visa,” requiring a minimum $150,000 real estate investment, has facilitated this influx of wealth. However, the lack of transparency regarding liquid assets and tax residency has drawn criticism of the report’s methodology. Some experts advocate for the inclusion of property holdings in wealth estimations, as in previous editions of the report.
Beyond retirees, the “semi-retired” also contribute to this migration. These individuals, often over 40, manage their investments remotely and live off their income, including a growing number of crypto-millionaires.
The debate continues in Costa Rica regarding the long-term societal and economic consequences of this influx of wealth, particularly its impact on local communities and the sustainability of its natural resources.
For further information, visit theagencycr.com
About The Agency Costa Rica:
The Agency Costa Rica is a luxury real estate firm specializing in high-end properties. They cater to affluent clients seeking investment opportunities and luxury living in Costa Rica. Their expertise lies in navigating the complexities of the local real estate market, providing tailored services to both buyers and sellers.
For further information, visit henleyglobal.com
About Henley & Partners:
Henley & Partners is a global citizenship and residence advisory firm, specializing in residence and citizenship planning. They offer expertise on investment migration programs worldwide, assisting high-net-worth individuals in acquiring alternative residence or citizenship options.
For further information, visit newworldwealth.com
About New World Wealth:
New World Wealth is a global market research company specializing in wealth intelligence. They provide data and insights on the global wealth landscape, including high-net-worth individual migration patterns, luxury spending, and wealth management trends.
For further information, visit the nearest office of OECD
About OECD:
The Organisation for Economic Co-operation and Development (OECD) is an intergovernmental economic organisation with 38 member countries, founded in 1961 to stimulate economic progress and world trade. The OECD provides a forum for countries to share experiences and seek solutions to common problems, working to understand what drives economic, social and environmental change.
For further information, visit the nearest office of Universidad Nacional de Costa Rica
About Universidad Nacional de Costa Rica:
The National University of Costa Rica (UNA) is a public university located in Heredia, Costa Rica. It is one of five public universities in the country and is known for its programs in the fields of social sciences, humanities, and natural sciences. The UNA has a strong focus on research and social outreach, playing an important role in the intellectual and cultural life of Costa Rica.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica distinguishes itself through a deep-rooted commitment to ethical and exceptional legal service. The firm’s innovative approach to addressing complex legal challenges, combined with a dedication to sharing legal expertise with the community, reflects its core value of empowering Costa Rican society. By fostering greater understanding of the law, Bufete de Costa Rica strives to build a more just and equitable future for all.
