A serene Costa Rican landscape featuring a modern home with lush greenery and tropical plants in the foreground. In the middle ground, a diverse group of professionals, casually dressed in smart clothing, engaged in a discussion around a table covered with property documents and a laptop. The background shows a clear blue sky, with soft, natural lighting accentuating the vibrant colors of the scene. Use a wide-angle lens to capture the depth of the environment, creating a welcoming and collaborative atmosphere. The mood is positive and focused, reflecting a professional yet relaxed approach to property-backed loan requests in the context of home equity loans.

Home Equity Loans in Costa Rica

September 29, 2026
Loan Requirements

If you own property in Costa Rica, you already hold the money you need. A home equity loan lets you borrow against the value of that property without selling it. GAP Equity Loans arranges these loans privately, so the decision rests on your property, not on your credit history.

Costa Rica property documents and financing review

How much can you borrow?

Loans start at US$50,000, and there is no published maximum. The amount depends on your property’s value: financing goes up to 50% of it, and lower is better. A request at 30% of value is treated more favourably than one at the 50% limit.

On a property worth US$500,000, that means US$150,000 is 30%, US$200,000 is 40%, and US$250,000 is the 50% maximum. For requests over US$1 million, additional property and file documents may be requested.

How to calculate loan-to-value on a Costa Rica home equity loan

Loan-to-value, usually shortened to LTV, is the one number that decides most of this. It is the size of the loan measured against the value of the property, written as a percentage. The arithmetic is simple: divide the loan amount by the property value, then multiply by 100.

On a property valued at US$500,000, a US$150,000 loan is an LTV of 30%. A US$200,000 loan is 40%. A US$250,000 loan is 50%, which is the ceiling here. To work the other way and find the most you could ask for, multiply the value by 0.50.

Existing debt counts too

If the property already carries a mortgage or a registered lien, the calculation does not start from zero. A lender looks at everything secured against the property together, which is sometimes called the combined loan-to-value. Suppose that same US$500,000 property already has US$100,000 owing on it and you ask for US$150,000. The lender is looking at US$250,000 against US$500,000, which is 50%, not 30%. This is why any existing balance has to be disclosed at the start, and why it is normally paid off at closing so the lender takes first position on the title.

Which value is used

Not what you paid for it, not what you hope to sell it for, and not the registered value used for municipal tax. The figure that counts is the value established during the review of the property itself. Owners are often surprised by the gap between an asking price and a supportable value, so it is worth being realistic about this before deciding how much to request.

Why a lower percentage is better

LTV is the lender’s cushion. At 30% there is a wide margin between the loan and the value of the security; at 50% there is much less. A request near the ceiling is scrutinised harder, takes longer, and is more likely to come back with conditions attached. If you have flexibility on the amount, asking for less than the maximum is the single easiest thing you can do to improve your position.

No credit score, no income verification

Banks want a credit file, employment records and income proof, which is difficult for expats, retirees and foreign owners. GAP does not request a credit score at all. Your property secures the loan, and the lender receives first-lien position on the title. Any existing lien must be paid off before closing or as part of the financing at closing.

“We don’t require a credit score for our standard loans, but a simpler process doesn’t mean skipping the work. We still need to understand the property and review the documents. We’ve closed many loans in less than ten business days. When one takes longer, it’s usually because a document is missing or something needs more checking, so having your paperwork ready makes a real difference.”

Glenn Tellier, founder of GAP

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Terms and timing

Loans run from six months to three years, with interest-only payments. A qualified file can close within 10 business days, while bank financing commonly takes many months. The timeline depends on how complete your file and property documentation are.

What is reviewed instead of credit

Supporting information may include title information, lien details, planos, tax records and proof of income, depending on the individual property and file. Exactly what is requested varies with the property type, its location and the size of the request.

What this is, and what it is not

The same arrangement is described in a lot of different ways. You will see it called a home equity loan, equity release, a cash-out refinance, a second mortgage, a property-backed loan or asset-backed financing. In Costa Rica these all point at the same thing: borrowing a fixed sum against real estate you already own, with the property as security.

One distinction is worth being clear about, because it catches people out. This is not a HELOC. In the United States and Canada a home equity line of credit is revolving — a limit you can draw on, repay and draw on again, usually over many years. That is not what is on offer here. This is a defined amount, advanced once, on interest-only payments, running from six months to three years, with the principal repaid at the end. If you are expecting a line of credit you can dip into indefinitely, this is a different product and it is better to know that now.

Who this suits

Foreign owners who have no Costa Rican credit history can move forward based on their real estate. Expats and retirees who no longer keep an active credit file at home can access their equity without rebuilding a credit profile. Costa Rican owners whose credit record does not match bank requirements can also apply. The structure works for houses, condos, commercial property and land.

Costa Rica property financing discussion

What owners use the money for

Common reasons include buying a second property, finishing construction, funding a business, consolidating more expensive debt, or bridging a gap while another property is being sold. The use of funds is your decision; the loan is secured by the property.

Frequently asked questions

Does GAP Equity Loans check my credit score?
No. No credit score is requested. The evaluation is based on the qualifying Costa Rica property and supporting file information.

What is the minimum request amount?
Requests start at US$50,000 and up. There is no published maximum request amount.

How long does it take to close a qualified file?
Qualified files can close within 10 business days.

What terms are available?
Terms are six months to three years, with interest-only payments.

What happens if my property has an existing lien?
It must be paid off before closing or as part of the financing at closing. In either case, the lender must receive first-lien position.

Ready to discuss a property-backed financing request in Costa Rica? Contact GAP Equity Loans at +506 4001 6413 or info@gap.cr.

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

This article is general information only. It is not a loan offer and not legal, tax, financial or real estate advice, and it does not promise financing. Availability, amounts, terms and timing all depend on the individual property, the documents, the lender’s review and the final signed agreement.

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