Costa Rica Coffee Guide

Lehman Brothers Finance Mortgages for Foreigners

July 25, 2008

Lehman Brothers Bank now finances mortgages for foreigners hoping to buy properties in Costa Rica. Lehman officially announced the launch of this new service June 20 at the Paradisus Playa Conchal hotel in the northwest province of Guanacaste.

Lehman is the first foreign bank to provide home financing to nonresidents. The Delaware-based institution struck a deal with Stewart Title, which has an office in San José, to facilitate the process on local soil. However, the bank does not mean for the deal to be exclusive.

Up until three years ago, nonresidents were not allowed to take out home mortgages at Costa Rican banks. That did not deter home sales. Instead, potential property owners would come with ready cash or take out a second mortgage in their respective countries. Local banks have since loosened their lending restrictions, opening up the mortgage market to foreigners.

Lehman has strong name recognition internationally, something that gives a sense of confidence and security to future borrowers, explained Oscar Salas, a commercial manager at Stewart Title.

Lehman began fielding mortgage inquiries as of July 1, the same date the bank opened a similar agreement in Mexico.

In general, future clients can pick from six different amortization periods, ranging from one to 30 years, for fixed-rate mortgages with 20 percent down on the home purchase price.

The mortgages will be secured with the property through a lien filed with the property section of the National Registry.

Only those with good credit need apply, as Lehman is looking for credit scores of 700 or higher.

Lehman will deal solely with U.S. citizens at first, and plans to expand its operations in time.

 

You may be interested

Costa Rica immigration offices to remain closed until October
Costa Rica
5556 views
Costa Rica
5556 views

Costa Rica immigration offices to remain closed until October

Alejandro Zúñiga - September 19, 2020

The Immigration Administration on Friday said its main and regional offices will remain closed until October due to the coronavirus…

Pic of the Day: Hopping into the weekend
Pic of the Day
781 views
Pic of the Day
781 views

Pic of the Day: Hopping into the weekend

Alejandro Zúñiga - September 19, 2020

Happy weekend from all of us at The Tico Times! [caption id="attachment_62085" align="aligncenter" width="740"] (Courtesy of Brian Kubicki)[/caption] [caption id="attachment_111342"…

Top dental clinics in Costa Rica meet patient needs in the age of COVID
Dental Tourism
2505 views
Dental Tourism
2505 views

Top dental clinics in Costa Rica meet patient needs in the age of COVID

Vayolla Quiros / Goodness Dental - September 18, 2020

The Centers for Disease Control and Prevention (CDC) released its guidelines for dental settings in response to the COVID-19 pandemic.…