SANTA TERESA MARKET UPDATE: WHAT IS GOING ON?

Just a few short months ago prices were soaring in the Santa Teresa market and the influx of home buyers from around the globe was unprecedented. With high demand and a true sense of urgency to purchase during the long months of the pandemic, quickly came low inventory and a strong seller’s market. Things have changed dramatically in the last 8 months as the market cooled considerably.

Inventory is on the rise again and we are starting to see a healthy correction in our market as things seem to be normalizing Buyers are around yet they are not willing to spend what many sellers are asking at the moment causing sellers to start to drop asking prices and negotiate down to get things sold

The rapid increase in real estate pricing was directly related to the urgency and demand during the pandemic as people from cities around the globe could only dream of relocating to places like Costa Rica Currently, as more listings continue to become available we should expect a leveling out of prices and motivated sellers cashing out quicker and setting the correction and comp data needed to set the new stage

It is no secret that worldwide prices dropped from the recent economic uncertainty, inflation and mortgage rates peaking Most recently things are starting to look a bit more optimistic on a world economic level and overall market activity is starting to correct and pick up with rates coming down and inflation easing up All of which is good news for real estate markets heading into 2023

The Santa Teresa market is continuing its return back to a more normal-looking market after the pandemic-fueled frenzy And we have officially shifted back to a more balanced market in a few short months There is no shortage of buyers coming back out into the market but have replaced sense of urgency with the desire to find a balanced opportunity

Helping sellers price properties accurately is a critical aspect of our role as real estate brokers and agents Sales data, comps and an in depth understanding of our market will help us price things accordingly to actually get them sold

The first quarter of 2023 seems to be starting off with a busier outlook than the last quarter of 2022 Buyers are more confident to get back in the market but also understand there is no rush And sellers will me more flexible with not only pricing but also contingencies and negotiation terms in general

Costa Rica will continue to stand out internationally as a fantastic option for many buyers for many reasons This country offers a great alternative with natural beauty, steady and fast internet connections, easy travel access from the US and Europe, similar time zones as the US workdays, a steady and democratic government Another appealing factor that of course stands out is that when investing in real estate, when compared to other markets, your money goes a long way, it is good value for your money, with a higher and healthier quality of life, there are good international schools, and the list goes on

Whether you’re thinking of selling or buying, you can take advantage of the current trends by strategizing and partnering with a professional real estate agent who really knows your local market Working with a local real estate professional to learn about the opportunities in your area will give you valuable insight and leverage to make the best choices regarding your investment or sale