Costa Rica Guide

travel information and maps

  • Vacation Planning
  • Best Trips Ever>>
  • More Fun Than Humanly Possible
  • Costa Rica
    • Top Ten
    • Best Time to Visit Costa Rica
    • Things To Do in Costa Rica
    • Maps
    • Transportation
      • Rental Cars
        • Advantages of Driving
        • Disadvantages Driving
        • Code of the Road
        • Navigation & Drive Time
        • Rental Insurance Explained
        • Can’t Get There
      • Airports
        • Flights Worth Taking
        • LIR or SJO
        • Airfare Deals
        • Domestic Airlines
        • Domestic Air Tips
      • Taxis
      • Bus Schedule
    • Food
      • Typical Menu
      • Batidos & Refrescos
      • Gallo Pinto
      • Tamales
      • Ceviche
      • Ensalada Palmito
      • Sopa Negra
      • Vinagre Chilera
    • Weather
      • Seasons in Costa Rica
      • Current Storms in Costa Rica
    • Regions
  • Nature & Wildlife
    • National Parks
    • Wildlife Refuges
    • Ecozones
    • Best Places to See Wildlife in Costa Rica
  • Practical Info
    • Health & Safety
      • Health Tips
        • Altitude Sickness
        • Chikungunya
        • Natural Disasters
      • Crime
        • Cons & Rip-offs
        • Corruption
        • Violent Crime
    • Will My Phone Work?
    • Packing List
    • Passports & Docs
    • Money – How To?
    • How Much Does it Cost?
    • Travel Tips
  • Stories
    • Photos
    • Trek Across Costa Rica
    • Sendero de Oro
    • Quebrada Gata
    • Bicycle Touring
    • About Us
  • Move to Costa Rica
  • Free Travel Pack
no obligation custom trip plan & price quote

1-866-816-0197

· Copyright © 2021 ·

Kamikaze Expats & the Boomerang

Kamikaze expats are the ones who are convinced that to succeed they have to “believe” in themselves and “prove” it by fully committing, burning their parachute and jumping in with both feet.

beer delivery to airplane bar
Delivering beer to the airplane bar up the hill from Playa Dominical where local kamikaze go to drown their sorrows

Boomerang Expats are the Majority

A recent article in Travel and Leisure Magazine about “Boomerang Expatriates” observed that most retirees that leave the U.S. return within a few years.  People who relocate to Costa Rica are no exception and reasonable estimates say 8 out of 10 are back home in less than 3 years. There are no accurate statistics because the majority never complete the residency process and therefore never officially exist as expats.

The article goes on to point out that many who stay a few years end up returning later when they’re ready to exchange surfing and sunset cocktails for assisted living, need to care for loved ones “back home,” or because of their own medical issues.

It’s not just retirees either.

Over the past three decades we’ve known a number of young and middle aged people who’ve started businesses and new lives in Costa Rica.  Hotels, rental car agencies, publishing companies, rafting companies, restaurants and others.  Some lasted ten years or more but eventually the majority departed.

Don’t Kamikaze Expatriate

It may be hard to accept while dreaming of a new life in Costa Rica but odds are good you’ll boomerang.  So what can you do to avoid crashing and burning?

More importantly, what can you do that won’t hurt your odds of succeeding in Costa Rica while easing the landing if you do return.

Costa Rica Real Estate

Often the first (often inadvertent) step on the road to becoming a relocation kamikaze is the misconception that Costa Rica real estate is an “investment” and selling a house in the States, Canada or Europe to buy one on the beach is a good idea.

If you’ve got millions stashed for retirement and you’re considering selling a second or third home in Hawaii it’s no big deal.  But if you’re planning to sell your primary residence and using the equity to buy in Costa Rica that’s the fastest way to turn the adventure into a suicide mission.

Buying property is easier than selling and that’s ten times more true in Costa Rica.  It’s not uncommon for properties to languish on the market for years even at deeply discounted prices.    There are many other reasons it’s a bad idea. Far and away the most common piece of advice found on all Costa Rica expat forums and facebook groups is “rent for a few years before you buy.”

Instead of selling your property “back home” consider renting it out and using the rent you collect to pay rent in Costa Rica.  This has immense advantages should you decide to return and no downside if you decide to stay.

Medicare

Cheap medical care is one reason cited (especially by transplants from the U.S.) for moving to Costa Rica. The “free” public health care system is definitely cheaper but some find the care inadequate and waits too long.  The private hospitals are more state of the art but also cost a whole lot more and neither Costa Rican caja nor foreign insurance covers the cost.

Consider using a little of the money you’re saving on healthcare in Costa Rica to enroll in Medicare Part B.  It’s not expensive if you start at 65, but if you sign up later you’ll be penalized 10% for every year you should have been enrolled and the penalty is added every year for the rest of your life.

Leave Your Money Home

You may be required to deposit your social security, pension or other payments into a Costa Rican bank account to qualify for residency but if you have savings, IRAs, stocks, bonds or big piles of cash you’re probably better off leaving it where it is.  The financial institutions are reliable in Costa Rica and it’s easy to deposit but because it’s an international center for money laundering there may be challenges to repatriating large sums if you go back.

There are easy, free and secure ways (like Schwab online checking) to transfer funds for rent and other expenses.

Get a P.O. Box

California and many other states will bill you for back payments of state income tax on your social security or other income if you move back in two years or less.   Florida and a few others don’t have state income tax so consider changing your “home” address just in case.  Check with an accountant and/or attorney.


There’s almost never any good reasons to burn all your bridges and strap in for a one way or die mission to Costa Rica.  If you really feel that you need the motivation succeed that comes with making it very difficult or impossible to return then perhaps you should reconsider the move.  If it turns out not to be what you want for the rest of your life it’s okay to try something else.

Ray & Sue

Cost · ToDo · Plan·Costa Rica Guide logo animated·Top10 · Best Time · Contact


toll free Costa Rica travel desk!
1-866-816-0197

CONTACT US

Relocate
  • Kamikaze Expats & the Boomerang
  • Costa Rica Cost of Living Comparisons
  • Change of Scenery
  • Residency Options in Costa Rica
  • Relocation Reality Check
  • Residency in Costa Rica – Perpetual Tourism



Costa Rica Guide on facebook
Costa Rica Guide on Facebook