Hurricanes and Earthquakes are typically not terms that realtors want to discuss, especially when working in second-home or vacation markets. That being said, those “taboo” issues regarding natural disasters and their impact on property values, tourism, investment caliber, and most importantly on the health, safety, and security of the people living or visiting can be the MOST important factors in selecting a place to live or invest. Watching the destruction during the most recent Hurricane season and some of the recent quakes in Mexico (and other areas), especially those involving areas where I have dear friends and colleagues who lost everything, including family and friends, was an overwhelming sensation. The lack of ability to help, the impotence to be able to do anything in the face of Mother Nature's power, and the aftermath of what these natural disasters leave is certainly impossible to encapsulate in words or even in emotion.
As a long-time resident of Costa Rica, I am acutely aware of the unique position of this country as both a natural haven from these storms as well as a country whose progressive government and citizens are better equipped than most to prevent and face natural disasters when approached. That being said, when was it, is it, ok to start to shed some light on how important these factors can be in selecting a place to vacation, invest or retire, while respecting the still very open wounds and recovery which many of our brothers, sisters, friends, family and colleagues are facing in Houston, Mexico, the Keys, Puerto Rico, St Marteen, amongst a host of other destinations.
As we move towards a new high season here and are already seeing our tourism figures, reservations and demand rising as temps drop in the USA and people look to plan their winter trips, I thought it pertinent to outline some very important elements regarding Costa Rica, its natural protections in regards to Hurricanes AS WELL as some of the risks regarding Earthquakes, but how this country is equipped to prevent and respond.
Hurricanes
Costa Rica has a unique geographic location that basically prevents direct hits from Hurricanes. Over the past 100 years, there have not been any direct hurricane landfalls in Costa Rica. We certainly do see some residual rains during our rainy season, the result of low pressure systems like hurricanes entering the waters of the Caribbean, and while these rains can certainly impact and cause damage, the nation is truly blessed to avoid the hurricane force winds, rain and destruction which can literally change the landscape and lifestyle in a country or region in a matter of 24-48 hours. From a real estate perspective, the importance and impact are wide in scope, affecting everything from our insurance rates (MUCH LOWER than hurricane-prone areas), tourism seasons, and natural landscape, flora, and fauna, which do not face the periodic destructive events. The sportfishing and yachting world was especially hard hit, and Costa Rica is already seeing an influx of interest from boat owners, captains, and charters looking to explore the relatively uncharted and flat waters of Costa Rica’s Pacific Coastline. Once all but untouchable due to the lack of services, but with the new marina facilities up and down the coast, the hurricane-free zone, tax incentives for boat owners in the key marinas, and stunning beauty are all very serious considerations for making Costa Rican waters a destination on a semi-permanent or permanent basis. For real estate investors, the low tax rates here for property taxes and low insurance rates are also VERY attractive investment incentives, which, combined with the lack of capital gains tax and a strong growth trend, make Costa Rica a very unique destination.
Earthquakes
Couldn’t write an honest blog here without discussing and acknowledging that Costa Rica does have its fair share of Mother Nature’s power here, and while we are “immune” from the wrath of the Hurricane, we are in the ring of fire and do have active volcanoes and an active seismic region. Earthquakes are common here in Costa Rica, the vast majority of which are small pressure-releasing quakes that are either unperceivable or are just minor rumbles that make for a great chatter at happy hour. That being said, we can and do get some big quakes periodically, including the 6.4 earthquake that shook the Pacific coast last night. While anxiety roared during the event, what most struck me during this and previous quakes of 6.5 magnitude or greater (which seem to happen every 10-20 years) is the preparedness of this country. First and foremost, there was almost NO DAMAGE of any kind anywhere, even close to the epicenter. The seismic code here in Costa Rica is very strict, and even in what could be catastrophic earthquakes in other countries, Costa Rica has faced these seismic events with relative calm and minimal damage. In addition to the preventative work, the seismic codes provide, the country's emergency response teams and coordination are nothing short of amazing. Cell, TV, radio, and emergency prevention teams spring into action even at the threat or perceived threat of a natural disaster, and the effects are palpable and evidenced.
So... while nowhere in the world is immune to either the beauty of Mother Nature or her wrath, when considering where to travel, invest, live or retire.. put some thought into just another element of what makes Costa Rica so special.