How to Find Private Lenders in Costa Rica

Finding private lenders in Costa Rica starts with understanding what private financing is designed to do. A private lender may consider a shorter-term loan secured by real estate when the property, requested amount, use of funds, payment plan, and principal repayment plan make practical sense.

Private financing is not automatic, and a property alone does not guarantee financing. A lender still needs to decide whether the property is suitable security and whether the complete request is reasonable.

GAP Equity Loans reviews qualified property-backed loan requests starting at US$50,000. GAP reviews borrowers of any nationality, does not require or pull a credit score, and uses first-lien security only. GAP coordinates qualified requests with private lenders and may participate directly in selected opportunities.

Submitting a request does not create an approval, funding commitment, rate, term, or closing date. Each request requires individual review.

What Is a Private Lender?

A private lender is an individual, company, family office, investment group, or other source of private capital that may lend against suitable real estate under agreed terms.

Private property-backed financing can be useful when a traditional bank loan is not practical because of the borrower’s situation, the property, ownership structure, timing, requested term, or the purpose of the financing.

Private lenders are not all the same. Each lender may have different preferences about property type, location, loan amount, loan-to-value, borrower profile, use of funds, payment structure, and repayment plan.

That is why a clear request matters more than simply asking whether someone can lend money.

Start With a Clear Property-Backed Request

The best way to approach private lenders in Costa Rica is with enough information for them to understand the opportunity. A lender will normally want to know what property is being offered as security, how much is being requested, why the funds are needed, and how the loan will be repaid.

Before approaching a lender, be ready to explain:

• The requested loan amount
• The exact use of funds
• The Costa Rica property offered as security
• The property’s realistic current value
• Current ownership and whether an individual or corporation owns it
• Any existing mortgage, lien, annotation, tax balance, or registered concern
• How agreed payments will be made during the term
• How the principal balance will be repaid at maturity

A clear request helps identify whether a lender may be interested and what information needs attention before legal work and closing costs move further ahead.

Private Lenders Review the Property Carefully

For a property-backed loan, the property is the lender’s security. The lender needs to understand whether it has realistic value, clear legal standing, and reasonable marketability if a sale were ever necessary.

Completed, well-maintained homes in marketable locations are often easier to review than raw land, remote properties, unfinished construction, properties with weak access, or projects with unanswered permit and infrastructure questions.

A lender may consider:

• Location and buyer demand
• Road access, driveway, drainage, water, electricity, and usable area
• Construction quality, condition, maintenance, and improvements
• Title, survey, ownership, and registered issues
• Comparable properties and realistic resale value
• Existing mortgages, liens, annotations, taxes, or legal claims
• The likely time and cost required to sell the property

A property does not need to be perfect. However, a property can be difficult security if access is weak, title is unclear, buyer demand is limited, or the requested amount is too high for realistic value.

Loan-to-Value Helps Determine a Realistic Amount

Private lenders compare the requested loan amount with the property’s realistic current value. This is called loan-to-value, or LTV.

For example, a US$200,000 request against a property realistically valued at US$500,000 equals 40% LTV.

US$200,000 ÷ US$500,000 = 40% LTV

For stronger completed homes in marketable areas, requests around 30% to 40% of realistic value can often be easier to structure. Some stronger files may support a higher amount, sometimes approaching 50%, depending on the full property file and lender requirements.

A lender does not automatically use the purchase price, listing price, construction cost, insured value, or hoped-for future sale price. Realistic value may be affected by comparable sales, property condition, location, access, local supply, selling costs, and the likely time needed to sell.

Read what loan-to-value means in Costa Rica.

First-Lien Security Is Required

GAP uses first-lien security only. Before a request can move toward closing, the ownership and legal position of the property need to be clear.

If there is an existing mortgage, private loan, lien, annotation, unpaid tax balance, or another registered issue, disclose it early. Existing debt does not always prevent a request from being reviewed, but the current balance, payoff requirements, and legal structure need to be understood.

In some cases, existing debt may need to be paid through the appropriate closing process so a new lender can register in first position.

Most smaller GAP loan requests are secured by a registered first-position mortgage on the Costa Rica property. Some lenders may prefer a trust structure. The closing attorney or notary handles the legal documents, registration, and closing work.

The Property Is Security, Not the Repayment Plan

Private property-backed loans are normally shorter-term financing. GAP commonly reviews terms from six months to three years. Many private loans use interest-only payments during the agreed term, with the principal balance due at maturity. The final structure depends on the lender and signed documents.

The lender needs to understand two separate things:

• How agreed payments will be made during the loan term
• How the principal balance will be repaid at maturity

A principal repayment plan may involve established rental income, business income, the sale of the property, sale of another asset, expected liquidity, a realistic refinance plan, or another documented source of funds.

A future sale or refinance can be part of the plan, but neither should be assumed. A property may take longer to sell than expected, and future financing may require different documentation or a lower LTV.

A loan renewal is not automatic. The existing lender may decide not to renew, and a new lender may decide not to replace the loan at maturity.

Read why the repayment plan matters for a private loan.

What Information Helps Start the Review?

You do not need every document perfectly organized before the first conversation. Start with enough clear information for GAP to understand the property and the requested financing.

• A Google Maps, Waze, or WhatsApp location pin
• Current photographs of the property, road access, driveway, and surrounding area
• A Folio Real and Plano Catastro, if available
• The requested loan amount and exact use of funds
• An estimate of realistic value, appraisal support, purchase information, or comparable properties
• Details of any existing mortgage, lien, annotation, tax balance, or legal concern
• Corporate records and signing authority if a corporation owns the property
• A clear payment plan during the loan term
• A practical principal repayment plan and backup exit

If the request involves construction, renovation, land, or development, additional information may be needed about permits, water, utilities, budget, contractor arrangements, remaining work, access, and timing.

Lawsen Tellier, Director of Operations, can help explain what is most important first and what can be gathered as the review develops.

What Can Make a Private Loan Request More Difficult?

• A requested amount that is too high for realistic property value
• Value based mainly on an optimistic listing price or future sale expectation
• Remote property, difficult access, weak resale demand, or limited usable area
• Unclear title, ownership, corporate records, or signing authority
• Existing liens, annotations, unpaid taxes, or unresolved legal issues
• Missing permit, water, utility, construction, or access information
• An unclear use of funds
• No practical payment plan during the loan term
• No realistic plan to repay the principal balance at maturity

These points do not always mean a request cannot move forward. They may mean the amount needs to be lower, more information is needed, the structure needs to change, or an issue needs to be resolved before legal work and closing costs advance further.

How Long Can Private Financing Take?

Qualified property-backed loans can often close in about 2 weeks after GAP has a complete file and due diligence is finished. Timing depends on the property, title, lender review, legal work, banking, documents, and closing requirements for everyone involved.

Clear information from the beginning, early disclosure of existing debt, and a practical payment and repayment plan can help avoid delays.

Start With a Clear Property File

If you are looking for private lenders in Costa Rica, begin with the property location, realistic value, requested amount, ownership details, existing debt, use of funds, payment plan, and principal repayment plan.

Start your loan request here. You can also contact GAP through WhatsApp at +506 4001 6413.

Frequently Asked Questions

How do I find private lenders in Costa Rica?

Start with a clear property-backed request. A lender will normally need to understand the property, realistic value, requested amount, ownership, existing debt, use of funds, payment plan, principal repayment plan, and legal structure before deciding whether to consider it.

Do private lenders require a credit score?

GAP does not require or pull a credit score. The lender still needs to review the complete request, including the property, realistic value, title, requested amount, payment plan, repayment plan, and legal structure.

Can a foreigner apply for a private property-backed loan?

Possibly. GAP reviews qualified requests from borrowers of any nationality. The property, value, title, requested amount, payment plan, repayment plan, lender requirements, and legal structure all need individual review.

Can I borrow if there is already a mortgage on my property?

Possibly, but GAP uses first-lien security only. The existing balance, payoff requirements, and closing structure need to be clear. Existing debt may need to be paid through closing before a new lender can register in first position.

How quickly can a private property-backed loan close?

Qualified property-backed loans can often close in about 2 weeks after GAP has a complete file and due diligence is finished. No closing date is guaranteed.

This article is for general information only. It is not a loan offer, legal advice, financial advice, tax advice, real estate advice, or a promise of financing. Loan availability, loan amounts, rates, terms, costs, and closing timing depend on the individual property, borrower file, lender requirements, due diligence, and signed documents.

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