It is important to take appropriate measures in order to secure your investment. You should always consider using knowledgeable and trustworthy counsel to avoid losing on your investment, always consider the following:

Adequate legal representation and experienced Notary. A notary is an impartial party at the closing looking to protect the transction and all the parties involved.

Title Guaranty. A contract by which a third party (Guaranty Company) commits to indemnify losses due to legal situations such as defects in the chain of titile, hidden liens or fraudulent registration of the property´s title that could affect the property and that are not excepted or excluded from the respective coverage. It’s a legal document that grants the buyer the security and peace of mind that he is aquiring property with clear title to his or her investment and its protected in the event of defect.

The process of issuing a Title Guaranty includes the issuance of a Title Commitment that allows the buyer to examine the legal status of the property and provide them with a tool to evaluate if the property is in proper condition for purchase. The final title guaranty is issued after the close and is based on the title commitment.

Escrow Most buyers from the US understand Escrow service to include not only the managing of funds for a property purchase, but all of the administrative work required to execute a close. In fact, in states where an attorney is not required for a real estate purchase, the escrow agent becomes the central party responsible for ensuring that all of the documentation is in order before the close. In Costa Rica, escrow is more narrowly defined as a financial service that prevents the manipulation or mishandling of funds prior to closing. The escrow agent is a neutral third party with responsibility for issuing checks and executing payments. This system gives confidence to all interested parties (e.g. attorneys, brokers, seller) that they will receive funds at the closing.

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