Top 6 Retirement Destinations in Costa Rica

Costa Rica has been named the 2024 destination of the year by Travel + Leisure, and it’s not hard to see why. With its lush rain forests, stunning beaches, and fascinating wildlife, it’s a perfect vacation spot. But what many people may not realize is that Costa Rica is also an ideal place to retire.

According to International Living’s 2024 Annual Global Retirement Index, Costa Rica tops the list as the best place to retire. The country’s climate, health care system, biodiversity, outdoor activities, welcoming locals, and the laid-back “pura vida” lifestyle all contribute to its appeal for retirees.

One of the lesser-known benefits of retiring in Costa Rica is the favorable tax laws. The government only taxes income sourced within Costa Rica, which means income from foreign sources like U.S. Social Security payments or retirement plans is typically tax-free.

Retirees can also take advantage of the Costa Rican temporary residence permit, which allows them, their spouses, and children to live in the country for two years. This permit can be renewed as long as the retirees continue to meet the necessary qualifications.

When considering where to retire in Costa Rica, factors like medical facilities, infrastructure, activities, expat communities, housing costs, transportation, and even employment opportunities should all be taken into account. To help retirees make an informed decision, we’ve compiled a list of the best places to retire in Costa Rica based on input from travel experts, professional organizations, and personal experiences.

One top pick for retirees is Santa Ana, located in the Central Valley at an elevation of 3,000 to 4,500 feet. This area offers a mild and cool climate, excellent infrastructure, and a range of amenities. Santa Ana is known for its professional golf courses, bustling downtown area, shopping, restaurants, and upscale developments.

Another popular choice is Guanacaste, located along the northwestern coast of Costa Rica. This region boasts a warm, dry climate, beautiful beaches, and a large expat population. From the fishing village of Playas del Coco to the luxurious town of Las Catalinas, Guanacaste offers a range of housing options for retirees.

Other recommended retirement destinations in Costa Rica include Grecia, a mountain town with a comfortable climate and strong expat community; Heredia, known for its cooler temperatures and rural charm; Quepos, a harbor town on the Pacific coast with easy access to the Manuel Antonio National Park; and the Arenal region, a popular tourist destination with a growing expat community.

Ultimately, the best place to retire in Costa Rica will depend on individual preferences and needs. But no matter where retirees choose to settle, they can be sure to enjoy the country’s natural beauty, friendly locals, and relaxed lifestyle that make Costa Rica a top choice for retirement.