HomeTopicsExpat LivingCosta Rica’s Housing Market Fails to Meet the Needs of Most Households

Costa Rica’s Housing Market Fails to Meet the Needs of Most Households

A new report titled “Balance and Trends in the Housing Sector 2023,” presented by the Costa Rican Association of Engineers and Architects (CFIA) in partnership with the University of Costa Rica (UCR), reveals a stark disparity between current housing prices and the needs of Costa Rican households.

The report indicates that nearly 90% of housing solutions are designed to cater to just 30% of households, leaving the majority of the population without affordable housing options.

The UCR further highlights that low-income households are among the most severely impacted by the ongoing housing crisis. Specifically, there has been a significant decrease in the delivery of housing vouchers. In 2021, 11,428 housing vouchers were issued; however, this number dropped to 8,369 in 2022 and further declined to 8,222 in 2023. This represents a 36% average decrease compared to 2021, meaning over 7,000 families have lost the opportunity for adequate housing.

“Housing is a major concern for citizens, whether owned, rented, or through social interest bonds. This report is crucial for guiding authorities in creating policies that genuinely address this fundamental need,” said Olman Vargas Z., president of the General Board of Directors of the CFIA.

Vargas also highlighted the housing challenges within the Greater Metropolitan Area (GAM), noting, “There is a shortage of more than 148,000 homes, and it is urgent to address it. We must also focus on the GAM in terms of bonds, because we are in an increasingly populated area with less access to quality housing.”

Regarding the country’s housing stock, the report registers a total of 1,778,254 occupied individual housing units (VIO) for 2023, with approximately a quarter of these built with state financing through 421,014 family housing bonds.

The Central Region, which houses 62% of the population, also contains 65% of the country’s informal settlements—314 precarious communities sheltering over 120,000 people. Despite this, the Central Region has proportionally received the least amount of bonds, securing only 20% of the total number of family housing vouchers distributed across the country in the last decade.

The report also analyzed the housing market offerings in contrast to households grouped by income deciles according to ENAHO 2023. It concluded that almost 90% of the market’s housing solutions are designed for only 30% of households, leaving 70% of the country’s households without the opportunity to own a home.

Of the 203 housing projects analyzed, 54% fall within the $100,000 to $200,000 range, while only 3% offer solutions under $75,000. The lowest-priced apartment is available in Alajuela for $71,000, with a size of 52 m².

Trending Now

Costa Rica’s President Invites Pope Leo XIV to Visit in 2027

President Laura Fernández formally invited Pope Leo XIV to visit Costa Rica during a private audience at the Vatican, proposing a trip in 2027...

Thinking of Moving to Costa Rica? Put Puriscal at the Top of Your List

Anyone who has lived in Costa Rica for a while knows the question. A friend, a relative or a stranger online is thinking about...

Costa Rica’s Native Stingless Bees at Center of Supreme Court Fight

Costa Rica's tiny native bees have become the center of a legal battle that could affect beekeepers, honey producers and efforts to protect some...

Costa Rica Banks Rank Second Only to Argentina for Dollar Risk, Moody’s Says

Costa Rica's banking system is among the most exposed in Latin America to a sudden squeeze on dollar funding, second only to Argentina, according...

Costa Rica Celebrates National Masquerade Day With Traditional Parades and Music

Costa Rica is celebrating one of its most colorful traditions this weekend as giant masks, lively marching bands and characters from local folklore take...

All Three VIP Lounges at Juan Santamaría Airport Close Sunday

All three VIP lounges at Juan Santamaría Airport will be closed Sunday, Nov. 1, and the Mastercard lounge has no reopening date.

El Niño Squeeze on the Panama Canal Could Raise Costa Rica Import Costs

Drought at the Panama Canal could raise costs for Costa Rica's corn, soy and wheat imports, trade experts say.

Costa Rica’s Cambronero Bridge to Reopen

The Cambronero bridge on Route 1 is scheduled to reopen Tuesday, November 3, restoring traffic through a stretch of the Inter-American Highway closed since...

Shakira Concert in Costa Rica Approved for January 2027 but Not Confirmed

Shakira could perform in Costa Rica on January 31, 2027, after the Ministry of Economy, Industry and Commerce (MEIC) approved a presale plan for...
Loading…

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Car Rentals
Costa Rica Travel Insurance
Costa Rica Travel