In Costa Rica, the minimum duration stipulated by the Rental Law for a contract is three years. This period is counted from the day the lessee receives the property, as established in Article 70 of the law. Renting a property in the country can be a straightforward process if the legal deadlines and available options are understood. In this article, we will explore the different terms for rental contracts, both for residential and commercial properties, including the extension of the extensions.
The Rental law in Costa Rica applies to both residential and commercial properties. However, commercial properties may have different and specific stipulations. Working with a real estate advisor is crucial, as their experience allows them to efficiently navigate these differences, ensuring legal compliance and fairness for both parties.
Salomé Brenes, Nativu Cartago AdvisorTerms and Notifications in a Rental in Costa Rica
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Minimum contract term: The law establishes a minimum term of three years for any residential rental contract (Article 70). This term aims to provide stability to the tenant and protect them from arbitrary evictions.
- Notification period to terminate the contract:
–Tenant: If the tenant wishes to terminate the contract before its expiration, they must notify the landlord with three months’ notice (Article 71). This notification must be in writing and delivered in person or by certified mail.
-Landlord: If the landlord wishes to terminate the lease agreement, they must notify the tenant with at least three months’ notice. Failure to do so will result in an implicit extension.
In the rental contract, the tenant has the right to terminate the agreement at given any time, if there is justifiable non-compliance by the tenant, as stipulated in the contract. This flexibility provides a legal framework to address specific situations and ensure fair agreements.
Salomé Brenes, Nativu Cartago AdvisorExtension of Rental Terms in Costa Rica
The implicit extension is regulated by Article 71 of the Rental Law. This provision states that there will be an implicit extension of the lease if the landlord does not notify the tenant of their intention not to renew the contract at least three months before the expiration of the original term or any previously extended term.
The implicit extension automatically implies a new three-year period, regardless of the initial term of the contract or the purpose of the property. During this extension, all stipulations of the original contract remain valid. It is important to note that, despite the implicit extension, the parties may agree to modifications in the contract clauses if they wish to do so.
The extension of the rental contract plays a fundamental role in the stability and predictability of the relationship between landlord and tenant. Understanding the importance of the extension involves recognizing the continuity and validity of the agreed conditions, providing security and clarity for both parties over time.
Salomé Brenes, Nativu Cartago AdvisorFrequently Asked Questions
Understanding rental terms in Costa Rica is critical to establishing strong relationships. Collaborating with a local, experienced real estate advisor adds significant value to this process. By having a professional at your side, legal security is strengthened and a hassle-free rental experience is encouraged in the Costa Rican real estate environment.
