Ameri-Vida Financ- Frequently Asked Questions

Ameri-Vida Financial

Costa Rica

Home

Products

About Us

FAQ

1.	How do I know if I can afford a house in Costa Rica? Answer
2.	What kind of loan programs are available in Costa Rica? Answer
3.	Why are the rates so much higher in Costa Rica? Answer
4.	I heard that purchasing property in another country isn't safe. Is this true? Answer
5.	What does my mortgage payment include? Answer
6.	How much cash will I need to purchase a home in Costa Rica? Answer

Q :	How do I know if I can afford a house in Costa Rica?
A :	Generally speaking, you can purchase a home with a value of two or three times your annual household income. However, the amount that you can borrow will also depend upon your employment history, credit history, current savings and debts, and the amount of down payment you are willing to make. Costa Rica Financing is very similar to U.S. financing, and you might be able to afford more than you know. Give us a call, and we can help you determine exactly how much you can afford.

Q :	What kind of loan programs are available in Costa Rica?
A :	Most of the loan programs available in Costa Rica are adjustable rate programs up to 25 year amortizations. Rates are based off of U.S. prime and adjust on a quarterly basis. Ameri-Vida is now offering an Adjustable Rate Loan that is Fixed for the first five years. Call us for more details.

Q :	Why are the rates so much higher in Costa Rica?
A :	The history of Financing in Costa Rica is being written right now. American Financing has never before existed in CR until the last six months. Even though lenders in Costa Rica have opened up tremendously to non-resident financing, they are not yet aggressive with their rates. As financing becomes more of an intricate part of purchasing property in CR, rates will continually improve.

Q :	I heard that purchasing property in another country isn't safe. Is this true?
A :	There is always a risk when purchasing property regardless of what country it is in. There are many rumors about purchasing in Costa Rica that are today not true. Costa Rica today, has actions non-resident buyers can take to ensure that their beautiful property is acquired properly and safe. Some of these included the addition of Stewart Title Costa Rica, working only with licensed Real Estate Agents, and acquiring the services of a CR attorney. Doing these will ensure you that research has been done on the property, your purchase will be recorded with the country's registry, Title is free and Clear, and that proper due diligence has been done on the property, Seller, and builder. Costa Rica today is safe, and is continually being recognized as a smart place to buy.

Q :	What does my mortgage payment include?
A :	For most homeowners, the monthly mortgage payments include two separate parts: Principal: Repayment on the amount borrowed Interest: Payment to the lender for the amount borrowed items such as Home Owners Association Fees, Fire insurance, and Property taxes are sometimes required depending on your purchase. The type and value of your property will determine the cost associated with these. Costs are minimal in these areas compared to the U.S.

Q :	How much cash will I need to purchase a home in Costa Rica?
A :	The amount of cash that is necessary depends on a number of items. Generally speaking, though, you will need to supply: Earnest Money: The deposit that is supplied when you make an offer on the house Down Payment: A percentage of the cost of the home that is due at settlement Closing Costs: Costs associated with processing paperwork to purchase or refinance a house The standard Loan-to-Value Ratio a Lender in Costa Rica will allow is between 70-85%. You will need a minimum 15% down payment of total purchase of home. There certain exceptions depending on development you are purchasing in. Please see Special Offers for more information.