Introduction
Richard Bexon: Good morning, guys, and welcome to episode 287 of Costa Rica Real Estate and Investments with me, your host, Richard Becks. And today we’re talking with Andres Murillo. He heads up the Guanacaste offices for Two Costa Rica Real Estate in the areas of Playa Grande, Tamarindo, Playa Negra, and Avellanas, plus a variety of other smaller beach towns in Guanacaste that maybe a lot of you haven’t heard of.
But Andres is a Tico, loves to surf. And if there’s anything we know about real estate and tourism, it’s that surf usually makes a great investment for beach towns—if Tamarindo and Jacó are anything to go by, great surf destinations that are two of the strongest destinations in this country. So today, we’re getting a bit of an update from Andres to see what’s happening in those kind of hidden beach towns or the less-known “B” beach towns, if that makes sense—meaning from a popularity point of view, but just the “real Costa Rica,” as I like to say.
So we’ll go deep with him there. Remember, guys, if you are looking to buy real estate here in Costa Rica and looking for representation, we do offer buyer rep services. I always say that the realtor’s “Jedi mind tricks” don’t work on us; we represent you throughout the whole process, guys, just giving you the information needed to make an informed decision.
So you can reach out to us. Even if you just want to chat, guys, it’s never a waste of time to talk to us. Again, we’ve been here in Costa Rica—I’ve been here for 21 years now. Next week, actually, will be 21 years. And there’s not much that I haven’t done or seen here in Costa Rica. And again, if we don’t know how to do it, I’m sure in our Rolodex—if anyone knows what a Rolodex is; I’m sure a few people here don’t, they’ll be looking that one up on ChatGPT or Google—but anyway, we’ll find someone on our Rolodex that definitely does and point you in the right direction.
So just contact us: info@investingcostarica.com. Also, all of our contact details are in the description down below. But let’s get started. Good morning, Andres. How are you doing?
Setting the 2026 global and Costa Rica context
Andres Murrilo: Doing quite well. Thank you. How about you?
Richard Bexon: Good, man. Good. I mean, summer is here. We had a lot of cold fronts come through Costa Rica early this year, and now it seems to have stopped. So, yeah.
Andres Murrilo: Yeah, it’s been pretty wild with the wind. It’s insane with these cold fronts. And the water gets pretty chilly in there, actually. It’s pretty interesting.
Richard Bexon: What a tough life. I mean, how chilly? Not like California chilly, right?
Andres Murrilo: Oh, yeah. Well, you’d be surprised that there’s times of the year, especially if you go to Witch’s Rock to surf, where you’ll be way more comfortable with a spring suit. So, believe it or not. Yeah.
Richard Bexon: Well, Andres, last time we had you on the podcast was quite a while back. I know it was a bit of a hit because we were talking about some of the developing beach towns and the outlook over the next five to 10 years. We’ll get into that later on, because I know a lot of people like to “catch the next wave,” excuse the pun.
But yeah, I mean, look, so far, globally, 2025 was politically and economically volatile. 2026 may be even more volatile. I don’t know; time will tell. But from your perspective, what do you think is going to happen in Costa Rica in 2026?
Andres Murrilo: Well, I think it’s very interesting, because as you know, the world is going crazy right now. I don’t want to get too political, but everywhere you look, there is something going on. But at the same time, this could mean a lot of opportunity for Costa Rica. If you look at the numbers right now for 2026, despite all the challenges, we had an increase of 10.3% in tourism in January, and numbers for February are not out yet, but I’m sure they will be higher.
And we saw this increase starting October last year. In December, we had a 13.4% increase, which is pretty amazing. Guanacaste is still leading the growth. I’ll say three main factors: Number one, premium tourism. Number two, straight flights to the International Liberia Airport (LIR)—and I’m sure you know, but they expanded the private flights wing. And three: hotel investments plus branded residences. I think that has been a great indicator.
A great indicator that I always use personally is my own vacation rentals—I own a couple. I’ve been seeing around 90% occupancy since December, and March is looking the same. I mean, it’s been excellent. So, I use that a lot to see what’s going on, at least in the Tamarindo area, in terms of occupancy.
And of course, I talk to colleagues and restaurant owners. Mexico has been one of our strongest competitors due to lower prices and proximity to our strongest markets, but due to the unfortunate situation they’re experiencing right now, a lot of the tourism is starting to reroute; they’ve decided to visit Costa Rica and invest here as well. So overall, unless things go too crazy on the other side of the world, things are looking pretty good for us.
Richard Bexon: No, I agree. Look, I mean, I think unfortunately what happened in Mexico has sent a lot of people a little bit further south. You have the Canadians to the north of the Americans who don’t want to go to the U.S. anymore, so they’re also heading further south. And I think we’re at that point where a lot of people don’t want to go further south than here—it’s comfortable. I mean, it is expensive, of course. The exchange rate—460 or whatever it is today—is hurting us a little bit.
Tourism numbers, Mexico, and exchange rate discussion
But again, I think Costa Rica has always had a focus on quality over quantity and always will. Someone was mentioning the other day that Cancun gets nearly 20 million visitors a year, while Costa Rica gets like three. So, yeah, it kind of dwarfs it. But what do you think is the biggest misconception that foreign buyers have about today’s market?
Andres Murrilo: Okay, so that’s a great question, and I love that you asked it. This is a bit controversial, but in my experience, the biggest misconception is the expected Return on Investment (ROI). A lot of people are expecting 15% plus returns, or 12% returns, just by buying a home and putting it up for rent. The fact is that unless you have built something from the ground up—with a stellar location, great design, and great service—your real ROI is going to be between 5% and 8% when you get really lucky. You have experience with your projects as well.
Richard Bexon: Yeah, I mean, look, if you run it all on your own, you can get those numbers, but you’re going to have to do everything yourself and not pay yourself.
Andres Murrilo: Exactly, 100%. And in my opinion, an investment is something that should have an intention. If you’re looking for a pure investment, it won’t necessarily be your “dream home.” But if you’re looking for your dream home in the tropics, then you should see it more as a lifestyle decision with added value—generating some additional income, like I’ve just expressed. That said, there are definitely exceptions to every rule, especially with really rare, irreplaceable properties, but they usually come with a higher price tag.
Richard Bexon: Yeah. Or you just “catch a wave” in an area. I have a yurt in San Gerardo de Dota, dude, at 3,000 meters high, which returns about 14% a year. But again, I’m managing it. It doesn’t take that much work—I have a local cleaner and my team tells people when they’re checking in and out—but that’s about it. A lot of people just want to “lock it and forget it,” hand over the keys to a property manager. And when they’re taking 25% of your revenue plus fixed expenses, I think 5% to 8% is definitely a good number. In some areas, it might even just be break-even.
Andres Murrilo: Definitely. And that’s exactly how I run my own rentals. Like I said, I built them from the ground up, found the land, did the construction, and managed them myself. Like you, I have a small team of two or three people. In that property, I’m getting around a net 18%, but that’s an exception because I got it many years ago, did it myself, and I’m hands-on. People looking to just delegate and forget about it—visiting whenever they want—that is going to eat your profit. You’re probably around a 5% if you’re not doing anything and letting someone else run it for you.
Richard Bexon: Which is not bad. It’s a storage of wealth and diversification for 5%. You actually get to use it and you can deduct your travel down here, etc.
Andres Murrilo: That’s why I say it’s a lifestyle decision. You choose your dream in the tropics: “I want to buy this house, love it, use it whenever I want, rent it out to pay the bills, and maybe pocket some money.”
Buyer profile shifts and market type
Richard Bexon: Have you seen a change over the last, say, six months in who the buyers are?
Andres Murrilo: I’ll say the U.S. is still by far the strongest market, followed by Canada—though Canada is hurting a little bit with their exchange rate. We’ve seen some European presence. I’ve also been seeing Costa Ricans buying a lot, especially in my area like Hacienda Pinilla, Tamarindo, and Avellanas. Costa Ricans and some South Americans for sure, but the U.S. remains our strongest market.
Richard Bexon: I always like to ask this: are we in a buyer’s or a seller’s market?
Andres Murrilo: Oh, that’s a great one. I’ll say we are in a buyer’s market right now, but not completely. There are two sections to that. The market is more negotiable for properties with higher inventory, especially “average” products that don’t stand out.
But here is where it changes: outstanding properties—A+ properties with unique locations, unique designs, and proven rental records—I feel are more of a seller’s market. If you have a very successful business, somebody is going to pay you what you want.
Data from Hacienda Pinilla and Tamarindo
In our company, Two Costa Rica Real Estate, we pride ourselves on producing data to help buyers and sellers make informed decisions. I absolutely love data because it’s just the facts. One of the markets I’m really strong in is Hacienda Pinilla. In 2026, considering all active listings, the average price was around $2,050,000. That represents a just over 22% increase compared to the year before. The average price per square meter increased by 60%, near $6,000 per square meter. We’ve seen really nice high-end homes being finished in Los Corales, La Dulce Vida, and the rest.
One might think the increase in prices is due to a lack of inventory, but the opposite happened. There has been growth based on 300% more inventory than last year because we saw an increase in new gated communities within Hacienda Pinilla—like Jaguar and Las Lapas. Between those, we’re talking over 250 new lots on the market.
In Tamarindo, the opposite happened. We saw an increase to over 400 active listings, and there was a decrease in the average price—it went from just over a million to around $850,000. Tamarindo’s price per square meter dropped to around $3,000. It is still a very strong, mature market, but data tells us people are starting to look at surrounding areas like Playa Grande.
Richard Bexon: Yep. But in Playa Grande, we’ve seen a reduction in the price per square meter; that’s definitely become a buyer’s market. Houses aren’t moving as quickly, and there are price reductions of 10–15% on land. I think it just went too high. In 2020, lots there were $80,000; today, they are nearly $400,000 for an 800-square-meter lot.
Andres Murrilo: It’s crazy. It’s the same in La Pinitilla. You used to sell lots for $85k; then it jumped to $150k, and now you cannot get a lot in Las Brisas for less than $600,000. Just for the lot. It’s just what the market does.
Richard Bexon: Look, the market often wants gated communities, luxury homes, and luxury amenities. I always say Costa Rica is just getting started on the luxury end. If you go to Hawaii, Costa Rica isn’t even a smidgen of the cost. There is a huge runway still, and that’s why they’re expanding the airport and building the private terminal—because that’s the type of business coming here.
Andres Murrilo: 100%. I agree with you.
What’s selling fast and why
Richard Bexon: What types of properties are moving fast, Andres? When you get a listing, what makes you say, “Oh my God, this is going to be a home run”?
Andres Murrilo: Number one: well-priced properties in gated communities with access to amenities and rental appeal. Number two: turnkey properties with proven rental track records.
Richard Bexon: How important is that track record, Andres? What is the difference in pricing and ease of sale?
Andres Murrilo: When there is global uncertainty, and you have a track record, you are investing in something certain. You have a guarantee. If a property has three to five years of records—or even one really good year—people are willing to pay full price because the record is proven. When you only have a forecast, it’s a bit slower. You have to build up your reviews and service. It’s a big difference.
Richard Bexon: Huge. You’re buying a “going concern” that has cash flow. I hate having land that isn’t cash-flowing; it frustrates the hell out of me. We’ve got a small property in Arenal, 500 square meters, where we’re going to put two yurts with hot tubs and volcano views.
Andres Murrilo: You want to make them produce. A third type of property that moves fast is anything hard to replicate—unique features, amazing decoration, or incredible views. “Average” properties stay longer on the market.
Richard Bexon: For all of our developments, I hire an interior designer. We stick to our lanes. I used to think I could do it myself, but I’m like, “Rich, come on, you paint by numbers. Let an artist create something magical.”
Andres Murrilo: We all have different abilities. My ability might be projecting and thinking; someone else’s is making a place look amazing. You go to the right person for the job.
Biggest seller mistakes and pricing strategy
Richard Bexon: What is the biggest mistake sellers are making right now?
Andres Murrilo: Pricing way too high, expecting a “wild, crazy buyer” who will fall in love with the house and pay extra, while still leaving huge room for negotiation. Buyers today are way more educated. House pricing should be based on today’s cost, not the market from 8 or 12 months ago. If you want to sell, you market to today’s price. Follow your trusted advisor, especially if they are showing you data. We have the same goal: I make more money if you make more money, but it has to make sense.
Five- and ten-year town picks
Richard Bexon: If you had to pick a beach town to invest in for a five-year horizon, and then a ten-year “punt,” which would they be?
Andres Murrilo: For five years: the stretch between Playa Grande and Playa Avellanas, with an emphasis on Avellanas. The paved road is finally under construction! It’s in three phases. The first phase is from Hernandez (the main road to Tamarindo) to Pueblo Pinilla. Properties there are gaining a lot of value. The second phase will go to the end of Avellanas, almost to Lagartillo. That brand-new road is a huge game changer.
There are great new gated communities like Alma Avellanas—where I have personally invested—which is a boutique 16-lot community with high-end features. There is also Ave Moana, Romandie, and Symbiosis. Plus, new hotels are coming. The famous Selina (or similar) model is expanding, and there is gossip about a cool recovery/wellness center coming.
For ten years: I’d go further down to the Playa Negra area or the Marbella-Ostional area. Prices are still affordable there. The gap between Tamarindo and Nosara is shortening. Ostional has beautiful views and the waves are really nice.
Richard Bexon: Usually where there is surf, the beach town develops. People just need to understand that if U.S. development is at a “10,” here it’s like a “2.” It doesn’t happen overnight.
Andres Murrilo: Costa Rica likes to take its sweet time, but with the road actually under construction now, it’s a huge game changer.
Richard Bexon: We never believe anything in Costa Rica until it happens! Three predictions for 2026?
Andres Murrilo: One: tourism keeps growing. Two: affordable, well-priced, high-quality rentals will move fast, while overpriced listings will keep correcting. Three: pricing will become more data-driven. The market will reward sellers who price correctly from the start.
Richard Bexon: I agree. I think we’ll see less construction because the Costa Rican colón is so strong, making it more expensive to build. Our higher-end projects ($2M+) continue, but for the $800k range, a 16% increase in construction costs has a huge impact. It’s probably better to buy than to build at the moment.
Andres Murrilo: I definitely agree. The exchange rate is wild.
Richard Bexon: Reuters did an analysis saying it could get to 420 (colones per dollar) by the end of the year. The current government basically says, “Get used to it.”
Andres Murrilo: Those were his literal words: “Get used to it.”
Richard Bexon: It’s turning into the “Switzerland of Central America.” I keep giggling that a colón might be worth more than a dollar at some point!
Andres Murrilo: It’s insane when you think it was almost 700 a few years ago.
How would you invest $500,000 in Costa Rica?
Richard Bexon: If you inherited $500,000 and had to invest it in Costa Rica, what would you do?
Andres Murrilo: Diversify and partner up. I love the idea of flipping houses. I’d also look into Puerto Viejo on the Caribbean side. And definitely wellness businesses—globally, people are looking for a healthy lifestyle, and Costa Rica is very attractive for that.
Richard Bexon: Andres, it’s been an absolute pleasure. Anyone who wants to get in contact with Andres, his details are below. I love that he uses data. He’s one of my favorite people in Guanacaste.
Andres Murrilo: Thank you so much for having me. It’s always a pleasure, man.
Richard Bexon: Thanks, man. Have a good day.
Guys, it’s always great to have Andres on. I love that he uses data. He’s one of my favorite people up there in Guanacaste, so if you’re looking to make a real estate purchase, definitely chat with him. He has his own listings but also provides excellent buyer’s rep services.
It’s interesting to see how those gated communities continue to do well; I think that trend will stay. They hold their value, especially with the type of higher-end buyer now coming into Costa Rica. It’s definitely a great place, but I think it’s more of a lifestyle play and a “storage of wealth” for a lot of people. They’ve made a lot of money over the last couple of years and are just looking to diversify a little bit—and Costa Rica is a solid place to do that.
There is even talk about having U.S. military bases here to assist in the fight against drug cartels; we’ll see if that actually happens. Costa Rica has a very strong constitution against that, but you never know.
Anyway, guys, we have some interesting investments coming up. We’re about to start a brand-new development and are currently working on the master plan. If anyone’s interested in knowing more about it, investments start at $50,000.
And again, I think as Andres was mentioning there of like the returns, we actually can generate those returns because of our distribution channels through the luxury travel network, which I don’t think anybody else has here in Costa Rica. As many of you know, I spent 18 years of my life in that network. So, it’s very easy for me to plug it in.
Airbnb is a very small part of our revenue. And the thing that I love is on that luxury travel network, those basically those agents that are selling to high-net-worth individuals, they don’t compare. On Airbnb when you go, you can compare to other properties.
These high-net-worth people go to agents and say, this is what I’m looking for. Give it to me and don’t ask questions and pay.
So, it really helps us deliver a higher end service because we’re able to basically deliver a higher average daily rate and then occupancy.
But anyway, guys, I appreciate you listening to the podcast. If anyone wants to get in contact, again, a lot of the emails come to info at investing costa rica.com. That’s info at investing costa rica.com.
And also, in the description down below is that email and also the link there if you want to organize the time to chat with us guys. But anyway, until the next podcast, we’ll catch you later. Bye.
The number one Costa Rica real estate and investment podcast, bringing you experts from all over Costa Rica. If anyone’s interested in knowing more about it, investments start at $50,000.
And again, I think as Andres was mentioning regarding returns, we actually can generate those returns because of our distribution channels through the luxury travel network, which I don’t think anybody else has here in Costa Rica. As many of you know, I spent 18 years of my life in that network, so it’s very easy for me to plug into it.
Airbnb is a very small part of our revenue. The thing that I love about the luxury travel network is that the agents selling to high-net-worth individuals don’t compare prices the same way. On Airbnb, you can easily compare properties. These high-net-worth people go to agents and say, “This is what I’m looking for. Give it to me,” and they don’t ask questions—they just pay. This really helps us deliver a higher-end service because we’re able to deliver a higher average daily rate and occupancy.
