Real Estate Succession Process in Costa Rica

Published on October 29, 2025 and written by Cyril Jarnias

Purchasing or Transferring Real Estate in Costa Rica

Purchasing or transferring real estate in Costa Rica requires a thorough understanding of current laws, making real estate succession a highly complex subject. Thanks to its stable and transparent legal framework, the country has established itself as a prime destination for international investors.

However, navigating the specifics of the complete procedure, including inheritance transfer methods, tax obligations, and notarial requirements, proves essential to avoid potential pitfalls.

Whether you’re a potential heir or an investor seeking opportunities, this article will guide you through the key steps of the succession process in Costa Rica, ensuring a smooth transition compliant with local regulations.

Navigating Costa Rica’s Real Estate Succession Laws

Laws and Regulations Governing Real Estate Succession in Costa Rica

The transfer of real estate located in Costa Rica is exclusively governed by Costa Rican law, regardless of the nationality of the deceased or their heirs.

The succession system is mandatory (no complete freedom in designating heirs) and formalistic (strict requirements regarding required forms).

Applicable texts primarily come from the Costa Rican Civil Code as well as specific laws on donations and wills.

Procedure for Transferring Real Estate to Heirs

1. Opening of the succession:
   • Upon presentation of the death certificate, a public notary or attorney officially opens the procedure.
2. Determination of heirs:
   • If a will exists, it must be presented; otherwise, the legal order applies.
3. Probate:
   • With a Costa Rican will: simplified procedure before a public notary possible if no disputes exist between heirs.
   • Without a will or in case of dispute: mandatory judicial procedure before civil court.
4. Effective transfer:
   • Drafting of an authentic deed by the notary documenting the transfer to designated beneficiaries.
5. Registration:
   • The deed is registered with the National Registry for the new owners to be legally recognized.

Respective Roles of Notaries and Attorneys

Professional	Main Role
Notary	Drafting/validation of will; opening/management of notarial probate; drafting/recording official succession transfer deeds
Attorney	Legal advice on estate planning; assistance during contentious or complex successions

Legal Requirements Regarding Wills

• Will must be drafted with assistance from a local public notary or registered attorney
• Signature required in presence of notary and witnesses
• Mandatory registration with National Registry for validity against third parties

Probate

Required in all cases except for previously executed donations

Can be conducted before public notary if no disputes exist between beneficiaries

Rights/Taxes on Real Estate Succession

Costa Rica does not levy direct inheritance tax.

However, certain administrative fees exist:

• Fixed fees related to property registration
• Professional fees (notaries/attorneys)
• Potential fees during cadastral transfer

These amounts remain significantly lower than those applied in some European countries.

Special Cases: Foreigners Inheriting in Costa Rica

• No legal obstacles: a foreigner can freely inherit property located in Costa Rica
• Same formal regime as for any local citizen
• Recommended: have will drafted locally in Spanish according to local forms

Practical Tips

Quickly consult a specialized attorney upon acquiring real estate to organize your succession according to your wishes

Prepare a will compliant with Costa Rican law as soon as possible

• Include updated supporting documents for each beneficiary (passport copies)
• Systematically register your document with the National Registry

Practical Checklist:

• Anticipate all succession procedures before death
• Regularly update personal file with land registry
• Verify no debts are attached to property before official opening
• Scrupulously respect procedural deadlines imposed by local Civil Code

Following these steps guarantees an efficient and legally secure transition in compliance with local laws.

The Essential Role of the Notary in International Succession

The notary, within the framework of cross-border succession involving real estate in Costa Rica, mobilizes specific legal expertise in private international law, comparative succession law, and management of cross-border formalities.

Specific Notary Competencies in International Law:

• Mastery of private international law principles to determine applicable succession law.
• Ability to analyze and interpret conflict of law rules between Costa Rica and the deceased’s country of origin.
• Experience in drafting and certifying internationally recognized notarial acts (apostilles, legalizations, authentic powers of attorney).
• Advice on drafting wills valid and effective in multiple jurisdictions.

Notary’s Role in Complying with Costa Rican and Foreign Succession Laws:

• Verification of foreign will validity regarding Costa Rican law, knowing that a will drafted abroad doesn’t necessarily cover assets located in Costa Rica.
• Application of Costa Rican succession procedure, which often differs from the home country’s regime (for example, absence of forced heirship in Costa Rica).
• Handling local administrative procedures: succession filing, inventory, debt payment, real estate property transfer.
• Declaration of assets to home country tax authorities when required (particularly for heirs domiciled in France).

Coordination with Other Professionals:

• Working in consultation with attorneys specialized in international succession law to ensure procedural compliance and optimize international taxation.
• Collaboration with local experts (Costa Rican attorneys, tax specialists, sworn translators) for document acquisition, expert assessments, or dispute management.
• Regular communication with heirs and representatives in different countries.

Obstacles the Notary Helps Overcome:

Potential Obstacles	Solutions Provided by Notary
Legal discrepancies (will validity, applicable laws)	Comparative analysis of legislation and securing of acts
Differences in administrative procedures	Handling dossier preparation and local procedures
Language and cultural barriers	Explanation of local customs, use of official translations
Cross-border tax risks	Advice on declaration and taxation in each country
Delays or disputes	Document preparation to reduce conflicts and accelerate processes

Importance of International Notarial Expertise:

• Ensures act compliance with Costa Rican and home country requirements.
• Facilitates recognition of succession decisions abroad.
• Guarantees legal security for heirs and speed of asset transfer.
• Prevents conflicts through anticipation of difficulties and multidisciplinary coordination.

Key Takeaway

The intervention of a notary with solid international law expertise is essential to secure and accelerate management of succession involving real estate in Costa Rica, while ensuring compliance with each concerned country’s legislation.

Understanding Inheritance Rights for Foreigners in Costa Rica

The legal framework for foreigner successions in Costa Rica primarily rests on the Costa Rican Civil Code, which applies to any succession concerning assets located within the territory. National legislation governs real property transfers, without distinction of the deceased’s or heirs’ nationality.

Main Laws in Effect:

• Succession law is framed by the Costa Rican Civil Code (particularly Article 572).
• Local public policy rules apply to real estate assets located in the country.
• Absence of bilateral tax treaties with certain countries (for example France) implies each jurisdiction applies its own tax rules.

Inheritance Rights Applicable to Foreigners:

• No inheritance tax is levied in Costa Rica, regardless of heirs’ residential status or nationality.
• However, if the heir is domiciled in another country taxing foreign inheritances (e.g., France), they may be subject to additional taxation according to their national legislation.
• No special exemptions exist for foreigners; all benefit from same treatment as nationals.

Criterion	Application in Costa Rica	Foreign Particularities
Local inheritance tax	None	May exist in country of origin
Exemptions	Not applicable	According to international treaties
Formalities	Identical for all

Legal Process to Assert Rights:

1. Filing application with competent Costa Rican succession court.
2. Presentation of death certificate and proof of family relationship or testamentary link.
3. If foreign will exists, it must be judicially recognized via procedure called exequatur, often lengthy and costly.
4. If no local will is drafted, Costa Rican law applies its intestate rules: proportional distribution between legal spouse and children.

Frequently required documents:

• Certified death certificate
• Potential wills (Costa Rican or foreign)
• Identification and documents proving lineage
• Evidence regarding concerned assets

Possible Restrictions and Complications:

Length of judicial process, particularly if no Costa Rican will was established: procedure can last over one year in case of disputes or lack of agreement between beneficiaries.

A foreign will requires local judicial recognition: this process is complex and often causes delays and additional costs.

Concrete example:
A European national dies owning property in Costa Rica without having drafted a local will: their heirs must initiate proceedings before local courts which will automatically apply distribution provided by Civil Code—which may differ significantly from wishes expressed in potential foreign will not immediately recognized.

Practical Tips for Planning Real Estate Succession in Costa Rica:

Recommended checklist

• Systematically consult attorney specialized in Costa Rican real estate law before any purchase or major estate disposition
• Draft a will compliant with local law, specifically covering all assets located in Costa Rica; expressly indicate it doesn’t replace your potential foreign will but complements it
• Anticipate: organize succession planning well before any major medical risk to avoid post-mortem legal blockages

Useful Legal References/Official Resources:

• Article 572 of Costa Rican Civil Code
• French Embassy/Consulate – “international succession” section
• Costa Rican Chamber of Public Notaries

To Learn More:

Precautions for Cross-Border Inheritance in Costa Rica

Legal and Administrative Steps to Transfer Real Estate Through Inheritance From Abroad to Costa Rica

1. Obtaining and Legalizing Required Documents
   
   • Death certificate (from country of origin, legalized/apostilled and translated into Spanish if necessary).
   • Will (original, legalized/apostilled and translated).
   • Proof of family relationship (birth certificate, family record book, etc.).
   • Heir’s identification document.
   • Property extract from Costa Rican land registry.
   • Non-opposition certificate or inheritance certificate, according to country of origin.
2. Official Document Translation
   All foreign documents must be translated into Spanish by sworn translator and, depending on case, apostilled or legalized to be recognized by Costa Rican authorities.
3. Procedure Before Costa Rican Notary or Attorney
   
   • Presentation of all legalized and translated documents.
   • Drafting of succession declaration deed (acta de aceptación de herencia).
   • Publication of notice in local press to inform potential creditors and heirs.
   • Registration of transfer with Costa Rican National Registry.
4. Fees and Taxes to Anticipate
   • Transfer taxes: approximately 1.5% of property value.
   • Attorney/notary fees: generally 1 to 2% of transaction value.
   • Translation and apostille/legalization fees.
   • Municipal taxes: annual, varying by municipality.
   • Absence of inheritance taxes in Costa Rica: no direct tax on real estate inheritance exists in the country.
5. International Taxation
   • If heir is tax resident in France (or another country applying worldwide taxation), they must declare inherited property to their home country tax administration and may be subject to local inheritance taxes, according to France’s 6-year rule.
   • No tax treaty between France and Costa Rica to avoid double taxation: France may claim taxes on assets located in Costa Rica, even if no tax is levied locally.

Element	Costa Rica	Country of Origin (example: France)
Inheritance taxes	None	Yes, according to heir’s tax residence
Translation/apostille	Mandatory for all foreign documents	Not applicable
Attorney/notary intervention	Mandatory for local procedure	Yes, depending on succession
Transfer taxes	1.5%	Not applicable
Professional fees	1 to 2%	Variable
Municipal taxes	Yes (annual)	Not applicable

Role of Local Attorney or Notary:

• Verifies document compliance and validity regarding Costa Rican law.
• Drafts and authenticates succession declaration deed.
• Performs registration with National Registry for property transfer.
• Advises on tax obligations and potential complementary procedures.
• Serves as intermediary with Costa Rican administration and, if needed, with country of origin.

Tips to Avoid Cross-Border Disputes and Facilitate Transfer:

• Engage local professional (attorney/notary) experienced in international successions.
• Prepare all required documents in advance, with compliant translation and legalization.
• Verify will validity both in country of origin and Costa Rica.
• Inform all heirs and stakeholders to avoid disputes.
• Consult tax specialist to anticipate obligations in heir’s country of origin.
• Maintain written record of all procedures and official exchanges.

⚠️ Points to Monitor:

• Absence of inheritance taxes in Costa Rica doesn’t exempt declaring inherited property in heir’s country of tax residence.
• Non-compliance of translations or apostilles can delay, or even block, property transfer.
• In absence of bilateral tax treaty, double taxation risk persists for certain heirs.