For Costa Rica Real Estate Sellers
Most of my posts focus on Costa Rica real estate buyers. This one is for the sellers.
Sellers tend to think there is some "magic bullet" they need to sell their properties. For that reason they'll jump from agent to agent trying to find the one possessing "the bullet."
Truth be told, there really isn't one!
Selling real estate in Costa Rica is just plain hard. Most of the time it's a slow slog to success. Understandably sellers can get frustrated and disillusioned with the process.
As I've written before, you just can't compare time on the market in the U.S. (or most other developed country markets) to average time on the market in Costa Rica.
In normal times, it’s very common for even good properties that are priced correctly to stay on the market for over a year.
Now, granted I'm talking about the expat real estate market, since that’s the one I play in. There's also a local ("tico") market, but I really don't know much about that one. From the little I do know, it seems time on market is even longer.
Our expat market is largely tied to the good or bad fortunes of the markets from which our buyers are coming from. And right now the market is down in large part because the real estate market in the States is down.
Could Trump's "big beautiful bill" change that? Perhaps. We shall see.
So, what are the three factors that determine the success for any seller in Costa Rica?
- Exposure
- Time
- Luck
Let's discuss each in turn...
Exposure
There is a big difference between the amount of exposure your listing will gain from different agencies.
Generally, you'll get more exposure from a global franchise like Coldwell Banker or Century 21 than you will from most independent agencies. The franchises have the networks, technology, and marketing budgets that the independents just don't have access to.
And exposure is an important factor in achieving the desired result! I'm talking about exposure to buyers AND exposure to other agents who could bring them.
So, even while having good rapport with your agent is important. It's even more important to understand the level of exposure that he or she is able to give you versus competing agents and agencies.
Time
Once you've chosen the agent, you just have to sit back and give the process time. And, usually, that means lots of it.
While you're waiting your agent should communicate fairly regularly about progress, or even lack thereof.
But a losing strategy is when sellers get impatient too soon and start jumping ship from one agent to another. That destroys the goodwill you've built with your agent. It also pretty much wastes all the time spent with that agent since you'll basically be starting all over again.
Do this too many times and the seller (and his listing) will get a negative reputation in the market.
A better strategy is to make sure you're getting an adequate level of exposure and communication from your agent. And then give him or her the time necessary to achieve a result for you.
And that will usually mean at least a year, maybe even more!
Luck
Sure this or that seller can come across the anecdotal tale of the buddy who sold his property in 30 days. Is that because his agent was a proverbial rock star?
No. It was luck!
The way you increase your luck is by (1) getting adequate exposure and (2) letting time take its course.
Sometimes lady luck will shine early. Other times, she's more reluctant to appear.
But make no bones about it, selling real estate in Costa Rica successfully will normally take a healthy dose of good luck.
It's about as simple as that.
