Costa Rica fits all of these requirements and more, with the following advantages. Inexpensive homes and properties, very low property taxes often less than $100 per year, low utility rates, no air conditioning or heat required in most areas, good medical facilities, and much more.

Costa Rica is only 2 to 3 hours flying time from the U.S. and has many different climates from which to choose, the coastal areas are known to get quite warm and humid, with the higher elevations cooler. at 1,000 meters the average temperature year round is around 72 degrees, and at higher elevations it sometimes gets quite chilly in the evenings. Sometimes driving only a few kilometers makes a vast difference.

There is a very relaxed lifestyle associated with living in Costa Rica because there is no hectic pace to ascribe to. The mindset is “if it does not get done today, there is always manana” which is very refreshing, but hard to get used to by those who have led a fast pace in their life. There are two seasons reverse from the U.S. in Costa Rica. Our summer or dry season generally runs from December to May which is winter in the U.S. and our major tourist season in Costa Rica. Our winter or rainy season generally runs from May to November which is summer in the U.S. and our slowest tourist season. I state this because the number one economic engine in Costa Rica is tourism.

There are several reasons why people choose to live in Costa Rica, chief among them is the selection of climate. Secondly, the low cost of living and low taxes appeal to many even those with higher retirement incomes. I believe the people of Costa Rica are another reason many choose to live here. They accept foreigners as if they were native Costa Ricans, and many speak English, which relieves expats of being forced to learn much of the Spanish language.

Although living costs are rising, retirees in Costa Rica can still live very comfortably on $15,000 and sometimes less per year if their home and major items are paid for, and they have no large outstanding debts. One expat in our area near San Ramon in the western central valley recently calculated he and his wife’s monthly bill for everything including electric, water, phone, TV, internet, and groceries, and eating our once a week excluding any other payments and it came to $1,150 per month or $13,800 per year.

Retirees must still submit their U.S. tax forms each year, but are allowed to earn from a business or some other means, $80,000 per year tax exempt in foreign gains. Currently, property taxes are extremely low and are calculated not on the sales price of the home but the estimated value recorded in the national registry. A home which sold for $75,000 would be registered for a value of perhaps $10,000 in the registry and taxes may run somewhere around $100-$150 per year.

With the current average wage of a domestic at around $1.40 per hour, many retirees are able to afford to have maids or cooks on a regular basis. Skilled labor can be hired at around $2.10 per hour for building or repair work. Building costs are rising with material costs being the major increase. Quality homes can still be constructed in the rural areas for $45 per square foot and sometimes less. Although costs are rising at the rate of 2 to 3% per year.

Electric for a 3 bedroom home with appliances such as hot water etc. are currently running less than $50 per month with water around $10 per month. In most towns you can obtain high speed internet for around $25 per month and cable TV at about the same rate. In the rural areas you need satellite TV which ranges around $60 per month and if you require high speed internet it can be obtained in many areas for around the same price.

Certain grocery items can be expensive, such as meats and imported items. This will perhaps be the largest expenditure item on a monthly budget and many shop at the weekly open market where fresh vegetables and other items are much less expensive than grocery stores. Chicken, rice, beans, eggs and vegetables are the staple diets of many in Costa Rica in various forms. Other items that are expensive are appliances, vehicles, gasoline and diesel fuel. Major appliances are perhaps 50% more expensive than the States, and vehicles about the same. Gasoline and Diesel fuel currently average around $4.00 per gallon. Most Costa Ricans use the excellent bus service which is extremely reasonable or taxis, and many drive small cars or trucks that are easy on gasoline or diesel fuel.

The cost of homes and property is also rising but a nice home or property can still be obtained in the rural areas at reasonable prices. Many of these affordable homes range between $40,000 and $100,000 with some occasionally lower, and some above.

One of the items that is inexpensive compared to the U.S. is medical care, with medical costs generally one half of U.S. costs. Medicare is not supported outside the continental limits of the U.S. but most other insurance programs are, including Tri-Care for military retirees. If you become a resident you can participate in the national insurance program of Costa Rica which is called Caja with quarterly payments of around $30 for a family. This entitles you to medical care at hospitals and clinics and includes prescription medicine.

I can honestly say that my wife and I have never missed living in the U.S. and although we maintain a small residence there, we seldom go back except for major things we must take care of. Our relatives and children have visited us, some more than once, and we pay for our grandchildren to fly down on summer vacation. Costa Rica has been very good to us, and we return the favor as much as possible by hiring as many locals as possible, donating to the schools, and contributing to the roadway maintenance in our area. We would never consider living anywhere else.

If anyone has a question which I can answer please do not hesitate to visit our website at www.costaricahomesandproperty.com or send an e-mail to me at bob@costaricahomesandproperty.com. As we say in Costa Rica, Pura Vida.