When it comes to obtaining a second passport through investment, Costa Rica offers a unique proposition. Unlike traditional citizenship by investment programs that promise passports within months in exchange for a donation or investment, Costa Rica takes a different approach – one rooted in genuine connection to the country and its people.

I've spent years helping investors navigate citizenship options, and Costa Rica consistently stands out for those seeking not just a passport, but a real home with incredible natural beauty, political stability, and a high quality of life. The famous "Pura Vida" lifestyle has attracted investors, retirees, and entrepreneurs from around the world.

But here's what you need to know upfront: Costa Rica doesn't offer an instant citizenship program. Instead, it provides investment-based residency pathways that can lead to citizenship after several years of actually living in the country. It's a journey rather than a transaction.

In this comprehensive guide, I'll walk you through exactly how Costa Rica's investment-to-citizenship pathway works in 2025, what to expect, and how to approach this opportunity with clear eyes.

Does Costa Rica Have a Citizenship by Investment Program?

Let's address the most common question first: As of April 2025, Costa Rica does not have an official "Citizenship by Investment" program that grants immediate nationality in exchange for a monetary contribution or investment.

Unlike countries like St. Kitts and Nevis or Malta that offer direct citizenship in exchange for investments or donations, Costa Rica requires all foreign nationals (including investors) to follow the traditional naturalization route.

What this means in practice is that foreign investors must:

  1. First obtain residency through qualifying investments or income
  2. Physically reside in Costa Rica for multiple years
  3. Learn Spanish and integrate into Costa Rican society
  4. Eventually apply for citizenship through standard naturalization procedures

In other words, there is no shortcut to instantly "buy" a Costa Rican passport. Any service or company suggesting otherwise is misleading you – they're describing a residency-by-investment pathway that eventually leads to citizenship, not a direct CBI scheme.

The good news? Costa Rica's immigration framework is well-established, transparent, and provides a clear path from investment to citizenship for those willing to commit to the country.

Investment-Based Pathways to Costa Rican Residency

While Costa Rica doesn't offer a direct citizenship program, it does welcome foreign investment through several residency categories that serve as the first step toward eventual citizenship.

Here are the three main investment-based residency options available in 2025:

1. Investor Residency (Residencia de Inversionista)

This option requires a minimum investment of USD $150,000 in Costa Rica in one of the following approved forms:

  • Real estate (land, homes, or commercial property)
  • An existing or new business
  • Shares in a Costa Rican corporation
  • Projects declared of national interest
  • Forestry or reforestation projects (which have a lower threshold of $100,000)

The investment must be maintained continuously throughout your temporary residency period. Selling or withdrawing the investment prematurely could jeopardize your status.

One important note: The $150,000 threshold is actually a temporary reduction from the previous $200,000 requirement, introduced by Law No. 9996 in 2021 to attract investors post-COVID. This lower threshold is available until mid-2026 unless extended by the government.

2. Rentista (Fixed Income Residency)

This category is designed for individuals with stable passive income. To qualify, you must demonstrate:

  • A stable monthly income of at least USD $2,500 for a minimum of two years
  • This is often accomplished by depositing USD $60,000 in a Costa Rican bank, which can be withdrawn in $2,500 monthly increments over 24 months
  • A certified letter from a Costa Rican bank confirming the income or deposit

The Rentista residency is granted for 2 years initially and can be renewed by proving continued income or making a new deposit.

3. Pensionado (Retiree Residency)

Created for retirees, this residency category requires:

  • A lifetime pension income of at least USD $1,000 per month from a qualified source (Social Security, government pension, private pension plan, etc.)
  • Official documentation proving the pension is guaranteed for life
  • The permit is issued for 2 years initially and renewable as long as the pension continues

All three categories were bolstered by Law No. 9996 of 2021, which added tax incentives and benefits to encourage foreign investment and relocation to Costa Rica after the pandemic. These incentives include import tax exemptions on household goods and vehicles, and reduced property transfer taxes on real estate purchases.

Family Inclusion and Work Restrictions

One significant advantage of Costa Rica's residency programs is the ability to include your immediate family members. Investors, Rentistas, and Pensionados can typically include:

  • Spouse or domestic partner
  • Minor children (under 18)
  • Dependent adult children (usually those with disabilities or in school)

However, there's an important caveat: While on temporary residency status, neither you nor your dependents are permitted to work as employees in Costa Rica. The regulations explicitly prohibit investor residents and their dependents from engaging in paid employment (whether manual or professional).

The expectation is that you'll support yourself and your family through your investment returns, business income, or pension. This restriction is lifted once you obtain permanent residency, at which point you and your family will have the right to work without special permits.

The Roadmap: From Temporary to Permanent Residency

Costa Rica's immigration framework provides a clear pathway from initial investment to permanent residency, which is an important milestone on the journey to citizenship. Here's how the progression works:

Temporary Residency Phase

When first approved under any of the three investment categories above, you'll receive a temporary residence ID (known as a "Dimex" card) valid for 2 years.

During this period, you must:

  • Maintain your investment or continue receiving the required income
  • Spend sufficient time in Costa Rica (more on this below)
  • Register with the Costa Rican Social Security Fund (CAJA) and pay monthly healthcare premiums
  • Abide by all conditions of your status (including not working as an employee)

Before your temporary residency expires, you'll need to apply for renewal, demonstrating that you still meet all the original requirements. The renewal is typically granted for another 2-year term.

Permanent Residency Opportunity

After 3 consecutive years of holding temporary residency in good standing, you become eligible to apply for permanent residency.

To qualify for this important upgrade, you should:

  • Have maintained your status throughout the 3-year period
  • Have renewed your temporary residency on time
  • Have been physically present in Costa Rica for the majority of that period

A common guideline is spending at least 183 days per year in Costa Rica during those three years, though this isn't written into law explicitly.

Once granted, permanent residency gives you significantly more freedom:

  • You can live in Costa Rica indefinitely (the permanent resident ID is valid for 5 years and renewable)
  • You and your family members can work freely as employees or start businesses
  • There's no investment or income requirement attached
  • You only need to visit Costa Rica once a year (even a short visit of ~72 hours) to keep the status active

While permanent residency isn't required for citizenship, it makes the path smoother by easing the residency obligations and work restrictions before naturalization.

Costa Rican Citizenship Through Naturalization

The ultimate goal for many investors is gaining Costa Rican citizenship, which offers a valuable passport and full rights in this stable, democratic nation. Let's explore the key requirements for naturalization:

Residency Duration Requirement

For most foreign nationals, including investors:

  • Seven years of legal residency in Costa Rica is required before applying for citizenship
  • This means holding resident status (temporary or permanent) for at least 7 years
  • Importantly, the clock only counts time physically spent in the country as a resident
  • Any significant periods spent abroad will not count toward the 7-year requirement
  • In fact, months lived outside Costa Rica are deducted from your total time
  • If you leave Costa Rica for more than 3 consecutive months, the count can even reset

There are exceptions to the 7-year rule for certain individuals:

  • Citizens of other Central American countries, Spaniards, and Latin Americans by birth can apply after 5 years
  • Those married to a Costa Rican citizen can apply after 2 years of marriage and residency

However, for the typical investor from North America, Europe, or Asia, the 7-year physical presence requirement is standard.

Language Proficiency and Civic Integration

Costa Rica expects new citizens to become part of the fabric of society. The law requires that applicants:

  • Can speak, read, and write in Spanish
  • Have a basic understanding of Costa Rican history, culture, and values
  • Pass two exams – a Spanish language test and a Social Studies (civics) test

These exams are administered by civil authorities (usually twice a year) and cover intermediate Spanish proficiency and knowledge of topics like Costa Rican governance, history, and national symbols. Failing either exam will halt your citizenship application until you pass.

There is an exemption for applicants over 65 years old, who don't have to take these exams – a thoughtful consideration for older adults who might find learning a new language more challenging.

Financial Solvency and Good Character

By maintaining your investor, rentista, or pensionado status, you'll have already proven financial independence. Additionally, you'll need to demonstrate:

  • A clean criminal record both in Costa Rica and your home country
  • A recent police clearance certificate from your home country (apostilled or legalized)
  • Two Costa Rican citizens who will provide sworn statements attesting to your character and integration into the community

Dual Citizenship Advantage

One significant benefit of Costa Rican citizenship is that the country permits dual citizenship. You are not required to renounce your original nationality, allowing you to maintain passports from both countries.

This means you can enjoy the benefits of Costa Rican citizenship – including visa-free travel to many countries and the right to live and work permanently in Costa Rica – while retaining your original citizenship rights.

The Application Process: Step by Step

Now that we've covered the basic requirements, let's walk through the entire process from initial investment to obtaining citizenship. I'll break this down into three phases:

Phase 1: Obtaining Temporary Residency by Investment

Step 1: Pre-application – Eligibility and Preparation

  • Determine which category you qualify for (Investor, Rentista, or Pensionado)
  • Make your qualifying investment or arrange the required income/pension proof
  • Budget for application expenses, including the $50 application fee and $200 guarantee deposit required by immigration, plus legal fees if using an attorney (recommended)

Step 2: Gather Documentation For the main applicant and any dependents, prepare:

  • Passport copies (notarized)
  • Birth certificates (apostilled or legalized)
  • Marriage certificate for spouse applications (apostilled)
  • Police clearance certificate from your country of origin (apostilled)
  • Proof of investment or income (certified by a Costa Rican notary or bank)
  • Application form stating your intent to seek residency
  • Passport-size photos
  • Any other documents required for your specific situation

All documents not in Spanish must be officially translated by a certified translator in Costa Rica.

Step 3: Submit the Residency Application

  • File your complete application with the Dirección General de Migración y Extranjería (DGME)
  • Pay the application fees
  • Receive a receipt confirming your application is in process

Step 4: Wait for Processing and Approval

  • Processing typically takes 3-9 months under normal circumstances
  • Immigration officials may request additional documentation or clarification
  • Eventually, DGME will issue a resolution approving your temporary residency

Step 5: Registration and Obtaining Residence ID

  • Register with the Costa Rican Social Security Fund (CAJA)
  • Pay the monthly healthcare premium based on your reported income
  • Get fingerprinted at the immigration office
  • Receive your photo ID card (DIMEX) valid for the 2-year term

Step 6: Maintain Residency Status

  • Abide by all category rules (no prohibited employment)
  • Continue CAJA payments and maintain your investment or income
  • Spend sufficient time in Costa Rica
  • Renew your status before it expires (typically after 2 years)

Phase 2: Transitioning to Permanent Residency

Step 7: Apply for Permanent Residency

  • After three years as a temporary resident, file for permanent status
  • Present evidence of your continuous residency and time in the country
  • Submit application form, proof of clean record, and fees
  • After approval (a few months), receive a new ID indicating permanent resident status
  • As a permanent resident, you can now work freely in Costa Rica
  • Permanent residency is renewed every 5 years with just an annual visit requirement

Phase 3: Applying for Citizenship Through Naturalization

Step 8: Complete Naturalization Prerequisites

  • Ensure you've accumulated 7 years of physical presence in Costa Rica
  • Prepare for the Spanish and civics exams (many take language classes)
  • Study the test materials provided by Costa Rican authorities

Step 9: File the Citizenship Application Submit to the Registro Civil's Oficina de Opciones y Naturalizaciones:

  • Completed naturalization request form
  • Proof of 7 years of residency (certification from DGME)
  • Recent apostilled birth certificate
  • New apostilled background check from your home country
  • Certificates showing you passed the Spanish and civics exams
  • Statements from two Costa Rican citizen witnesses
  • Passport and residency ID copies
  • Required photographs and filing fee

Step 10: Take Exams and Interview

  • Complete the Spanish and Social Studies exams if not done previously
  • Attend an interview with a civil registry official
  • Your Costa Rican witnesses may also be interviewed

Step 11: Await the Decision

  • The naturalization process typically takes 12-18 months from application to resolution
  • The authorities conduct thorough background checks and review all documentation
  • If approved, you'll receive formal notice and may be called for an oath ceremony

Step 12: Obtain Citizenship Documents

  • Register for a Costa Rican national ID card (cédula de identidad)
  • Apply for a Costa Rican passport
  • Begin enjoying all rights of citizenship, including voting

Each step must be completed in compliance with Costa Rican law, and patience is essential throughout this multi-year process. The reward, however, is full Costa Rican citizenship with all associated rights and benefits.

Financial Requirements and Costs: A Complete Breakdown

Let's talk money. What will this entire journey from investment to citizenship really cost? Here's a comprehensive breakdown:

Initial Investment or Income Requirement

  • Investor Pathway: Minimum investment of $150,000 USD in qualifying Costa Rican assets
  • Rentista Pathway: Proof of $2,500 monthly income (often via a $60,000 bank deposit)
  • Pensionado Pathway: Verified lifetime pension of at least $1,000 per month

Government Fees and Charges

  • Residency Application: Approximately $250 ($50 application fee plus $200 deposit)
  • DIMEX Card Issuance: Small fee for the physical ID card (usually under $50)
  • Residency Renewal: Similar fees apply when renewing temporary residency
  • Permanent Residency Application: Comparable fees to the initial application
  • Naturalization Application: Relatively modest (usually under $100 in revenue stamps)

Professional Services

  • Legal Representation: $1,500-$5,000 depending on services and number of applicants
  • Document Translation: Several hundred dollars for official translations
  • Notarizations and Certifications: Varies but budget a few hundred dollars

Healthcare and Insurance

  • CAJA (Social Security) Enrollment: Monthly payments of approximately $100-$300 based on declared income (required throughout your residency)

Real Estate and Investment Costs

If investing in property:

  • Property Transfer Tax: Normally 3-4% of property value (reduced by 20% under Law 9996)
  • Legal Fees for Property Purchase: 1-1.5% of property value
  • Ongoing Property Taxes: Annual municipal taxes (typically very low in Costa Rica)
  • Property Maintenance: Varies based on the type and size of property

Other Expenses to Consider

  • Language Classes: If needed to pass the Spanish exam (variable cost)
  • Travel Costs: For maintaining residency with periodic visits if you're not living full-time
  • Document Procurement: Costs of obtaining birth certificates, police records, etc.
  • Apostille Services: For authenticating documents from your home country

Opportunity Costs

While not a direct fee, consider that your $150,000 investment will be tied up for several years, representing an opportunity cost (you can't use that money elsewhere).

In total, beyond the core investment or income requirement, you should budget at least $5,000-$10,000 in administrative costs and fees over the 7+ year journey to citizenship, plus the ongoing CAJA payments for healthcare coverage.

The good news? Unlike some citizenship programs that require large donations, most of your financial commitment in Costa Rica remains something you own – whether it's property, a business, or funds in a local bank.

Timeline, Risks, and Practical Considerations

I believe in setting realistic expectations, so let's be clear about the timeline, potential challenges, and practical considerations when pursuing Costa Rican citizenship through the investment pathway.

Realistic Timeline

From start to finish, here's what to expect:

  • Initial Investment to Temporary Residency Approval: 3-9 months
  • Temporary Residency Period: 3 years minimum (to qualify for permanent status)
  • Permanent Residency Application Processing: 2-4 months
  • Additional Waiting Period to 7-Year Mark: Variable depending on your situation
  • Citizenship Application Processing: 12-18 months

In total, you're looking at approximately 8-9 years from initial investment to holding a Costa Rican passport. This is significantly longer than traditional citizenship by investment programs, but reflects Costa Rica's emphasis on genuine connection to the country.

Key Challenges and Considerations

1. Residency Obligation & Physical Presence

The biggest challenge for many investors is the requirement to actually live in Costa Rica. Simply making an investment and staying abroad will not lead to citizenship.

You must spend the majority of your time in Costa Rica during the qualifying period, with months spent elsewhere not counting toward your citizenship timeline. Extended absences (over 3 months) can even reset your clock.

This means you'll need to:

  • Make Costa Rica your primary home for several years
  • Plan for limited time abroad (short trips are fine)
  • Consider how this fits with your global lifestyle and business commitments

2. Language Requirement

Learning Spanish to an intermediate level is non-negotiable for citizenship applicants under 65. This means being able to:

  • Converse comfortably in everyday situations
  • Read and understand basic texts about Costa Rican history and culture
  • Write short essays for the citizenship exam

For non-Spanish speakers, this requires dedication and likely formal language instruction. The good news is you have years to gradually build these skills while living in the country.

3. Policy and Legal Changes

Immigration laws can evolve. Law No. 9996 (2021), which provided the more favorable $150,000 investment threshold, is set to expire in 2026 unless renewed.

While those already in the system would likely be grandfathered under the rules that applied when they began, it's important to stay informed about potential changes that could impact future applicants or renewal conditions.

4. Investment Considerations

If your residency is tied to a specific investment:

  • You must maintain that investment throughout your temporary residency period
  • Selling or significantly changing the investment could jeopardize your status
  • Consider the investment's performance and liquidity constraints

Real estate is often the simplest option as its value doesn't typically fluctuate drastically, and the purchase price (not current market value) is what immigration considers for qualification purposes.

5. Lifestyle and Cultural Adaptation

Beyond the legal requirements, successfully gaining citizenship involves genuine integration into Costa Rican society. This means:

  • Adapting to the local pace of life (which may be different from what you're used to)
  • Building meaningful connections in your community
  • Understanding and respecting local customs and culture
  • Finding your place in Costa Rican society through work, community involvement, or other engagement

Those who embrace this aspect of the journey tend to have the smoothest path to citizenship, as they naturally fulfill both the letter and spirit of the naturalization requirements.

Making the Most of Your Costa Rican Journey

For those seriously considering this path, I'd like to offer some practical advice on how to approach the Costa Rican citizenship journey most effectively:

1. Start with a Fact-Finding Trip

Before committing to a major investment, spend time in Costa Rica exploring different regions. The country offers diverse environments from beach towns to mountain communities, each with its own character and climate.

Use this time to:

  • Meet with immigration attorneys to discuss your specific situation
  • Visit potential investment properties or business opportunities
  • Get a feel for daily life and whether it suits your preferences
  • Begin building a network of contacts and potential advisors

2. Assemble a Qualified Team

The process is complex enough that having professional guidance is well worth the investment. Consider assembling:

  • A reputable immigration attorney with specific experience in investor residency
  • If purchasing property, a real estate attorney for due diligence
  • A tax advisor familiar with both Costa Rican rules and your home country's tax system
  • If starting a business, local business consultants who understand the market

3. Plan for the Long-Term Commitment

Since citizenship requires years of physical presence, approach your Costa Rican residency as a lifestyle choice, not just a passport strategy:

  • Consider how you'll earn income during this period (remote work, business investment, retirement funds)
  • Plan for children's education if applicable
  • Think about healthcare needs and how the Costa Rican system works for your situation
  • Develop a realistic budget for living expenses over multiple years

4. Begin Language Learning Early

Don't wait until citizenship application time to start learning Spanish. Begin before or immediately upon relocating:

  • Consider an immersion program in the first few months
  • Find a local tutor for regular practice
  • Use language apps and resources for daily study
  • Immerse yourself in Spanish-speaking environments and social groups
  • Join community activities where you'll need to use the language

5. Track Your Physical Presence Carefully

Since time in the country is critical for citizenship qualification:

  • Keep detailed records of your entries and exits
  • Save boarding passes, entry stamps, and other travel documentation
  • Consider using a tracking app to log your days in/out of Costa Rica
  • When planning trips abroad, be mindful of the continuous absence rule

6. Build Authentic Community Connections

The requirement for Costa Rican citizens to vouch for you isn't just a formality – it reflects the expectation that you'll become part of the community:

  • Get involved in local events and organizations
  • Volunteer with community initiatives
  • Develop friendships with neighbors and locals
  • Participate in cultural activities and traditions
  • Consider joining professional associations or groups relevant to your interests

These connections will not only help with your citizenship application but will enrich your experience of living in Costa Rica immeasurably.

Conclusion: Is Costa Rica's Path to Citizenship Right for You?

Costa Rica's "citizenship by investment" journey is essentially a residency-to-naturalization program rather than an instant passport scheme. The country requires genuine connection, integration, and commitment from those seeking to become Costa Ricans.

For investors seeking the fastest or cheapest path to a second passport, Costa Rica's program may not be ideal. The 7+ year timeline and physical residency requirements make it unsuitable for those primarily interested in quick mobility benefits or tax planning.

However, for those who embrace what Costa Rica truly offers, the path to citizenship here provides something more valuable: the opportunity to build a real life in one of the world's most beautiful, stable, and welcoming countries.

Costa Rica shines for investors who:

  • Want to actually live in Costa Rica and enjoy its exceptional quality of life
  • Are drawn to the country's natural beauty, peaceful democratic tradition, and "Pura Vida" lifestyle
  • Have flexibility in their work or retirement arrangements
  • Are willing to learn Spanish and integrate into the local culture
  • Seek a long-term second home rather than just a travel document

The reward for this commitment is not just a passport, but full membership in a nation known for its stability, democracy, natural beauty, and commitment to sustainability. Costa Rica consistently ranks among the happiest countries in the world, with strong healthcare, education, and environmental protections.

For the right investor – one who values the journey as much as the destination – Costa Rica's path to citizenship offers something authentic and meaningful that transcends the transactional nature of many CBI programs.

If you're considering this option, approach it with clear eyes about the commitment involved, but also with excitement about the rich experiences and opportunities that await during your years of building a life in this extraordinary country.