by Mark Price 
The Tamarindo-area real estate market shows mixed conditions in early 2026. Performance varies clearly by price segment.
Luxury Real Estate Market
The luxury market remains slow. Buyers act cautiously and choose properties carefully.
Well-priced luxury homes still sell. Sellers who align pricing with current conditions continue to close deals.
Mid-Range Real Estate Market
The mid-range market faces growing pressure. Listings stay active longer than in previous years.
Many sellers have reduced prices. Buyer demand now drives pricing expectations in this segment.
Entry-Level and Condominium Market
Lower-priced properties show strong demand. Condominium inventory remains limited.
Condos in Reserva Conchal and Hacienda Pinilla sell quickly when priced competitively. Supply constraints continue to support this segment.
Rental Market Trends
The high-end rental market has improved significantly year over year. Owners benefit from stronger rental demand.
Many investors now prioritize rental income over immediate resale.
Economic and Construction Factors
Macroeconomic conditions influence pricing across the region. A weaker U.S. dollar increases local cost pressures.
Most construction costs are denominated in Costa Rican colones. Material costs have risen over 10% year over year.
Higher construction costs raise replacement values. New development pricing reflects these increases.
New Development and Inventory Growth
Construction activity continues to expand across the region. New inventory will enter the market over time.
The impact on pricing and absorption rates remains uncertain.
High-Demand Coastal Areas
Playa Avellanas and Playa Grande continue to attract strong buyer interest. These areas remain highly desirable.
Current pricing appears elevated compared to buyer expectations.
Market Outlook
Buyers show increased price sensitivity. They act selectively across all price points.
Realistic pricing now determines success. Properties aligned with market conditions continue to perform best.
