Bitcoin Real Estate Transactions in Costa Rica: What to Know

Bitcoin real estate transactions in Costa Rica draw interest from buyers, sellers, and property owners who hold part of their wealth in bitcoin. A deal that involves bitcoin can work, but it needs more planning than a standard purchase or loan: the legal basics, the timing of any conversion, the paper trail for the funds, and a plan for price swings all matter. GAP Equity Loans is open to cryptocurrency for all of its loans, with the details agreed between the lender and the borrower.

This guide covers what to know before bitcoin becomes part of a property transaction. It is general information, not legal, tax, or financial advice.

Where Bitcoin Shows Up in Property Deals

• A buyer who wants to use bitcoin toward a purchase
• An owner who holds bitcoin and wants to borrow against Costa Rica property
• A borrower who plans to make payments or repay a loan from bitcoin holdings
• An investor converting bitcoin to fund a renovation or another property

The Legal Basics

Under the Organic Law of the Central Bank of Costa Rica, the colón is the country’s monetary unit, and the legal means of payment consists of the notes and coins issued by the Central Bank, which has the exclusive right to issue them. Bitcoin is not part of that legal means of payment. In a 2023 opinion on a proposed crypto-asset market law, Costa Rica’s Attorney General’s Office also noted that crypto assets and their service providers were not regulated in the country at the time.

For any transaction, ask your attorney how bitcoin can be used, how the payment will be documented in the purchase or loan documents, and whether any newer rules apply.

Timing and Price Risk

Bitcoin prices can move sharply in a short time. A price that works when you sign an agreement may look very different on closing day. Agree in writing when any conversion happens, what exchange rate or reference is used, and what happens if the value changes before closing. If a loan will be repaid from bitcoin, leave a margin, because the loan balance does not change when bitcoin’s price does.

Keep a Clear Paper Trail

People and companies that lend in an organized, habitual way must register with SUGEF for anti-money-laundering purposes, and every loan is reviewed individually. Expect to show where the bitcoin came from and how the funds will move. Useful records include:

• Wallet addresses and transaction history
• Exchange account statements
• Records of when bitcoin was bought or received
• Conversion records and the bank statements that show the resulting funds

Combining Bitcoin With a Property-Backed Loan

GAP’s standard loans are secured by qualifying Costa Rica real estate, with the lender in first-lien position. Loans start at US$50,000, terms run from six months to three years with interest-only payments, and no credit score is required. Borrowers of any nationality can apply, there are no costs to pay before closing, and loan fees are deducted from the proceeds at closing. How bitcoin fits into the loan is discussed and agreed between the lender and the borrower. Read more about real estate loans with crypto in Costa Rica.

Speed Still Depends on Documents

Banks set their own requirements, which can make bank loans harder for newcomers, and bank loans can take many months, if not longer, to close. GAP closes loans within 10 business days once the required documents are complete. For bitcoin real estate transactions in Costa Rica, having your wallet and conversion records ready from the start is one of the best ways to avoid delays.

Frequently Asked Questions

Can you buy property in Costa Rica with bitcoin?

Some buyers and sellers look to use bitcoin in a transaction. Because bitcoin is not part of Costa Rica’s legal means of payment, review with your attorney how it can be used and documented.

Does GAP accept bitcoin?

GAP is open to cryptocurrency, including bitcoin, for all of its loans. The details are agreed between the lender and the borrower.

Is bitcoin regulated in Costa Rica?

In 2023, the Attorney General’s Office noted that crypto assets were not regulated in the country. Ask your attorney about any newer rules.

What records should I prepare?

Wallet and exchange records, transaction history, conversion records, and bank statements that trace the funds.

What happens if bitcoin’s price drops before closing?

That depends on what the parties agreed. Put the conversion timing and reference rate in writing before you sign.

This article is general information only and is not legal, tax, or financial advice. Every loan depends on property review, documentation, and lender approval.

WhatsApp us at +506 4001 6413 to get started, or call 855-562-6427 from the US or Canada.

Planning a property transaction that involves bitcoin? Start a loan request, see how it works, or email info@gap.cr.

Article by Glenn Tellier (Founder of CRIE and Grupo Gap)