Eleven markets, twelve months of data, and an uncomfortable conclusion: occupancy explains almost none of the difference between a good investment and a mediocre one.
Everyone asks about occupancy. It is the wrong question.
When a foreign client comes to me about buying a property to rent by the night, the first question is always the same: what is the occupancy rate in that area? It is a reasonable question, and it is almost always irrelevant.
I reviewed the eleven largest tourism markets in Costa Rica using data from the last twelve months. The occupancy of all of them fits inside a ten-point range: between 36% and 46%. Revenue per available night, by contrast, varies by more than threefold.
La Fortuna runs 44% occupancy. Tamarindo runs 46%. Two points apart. Yet Tamarindo generates two and a half times more per available night.
The difference is not in how many nights get filled. It is in what gets charged for each one.
Ranking by RevPAR: revenue per available night
RevPAR combines occupancy and rate into a single figure. Trailing twelve-month average, in US dollars.
| Market | Occupancy | Avg. rate | RevPAR | Annual revenue | Stay | Listings |
|---|---|---|---|---|---|---|
| 01. Tamarindo | 46% | $409 | $197 | $46,928 | 5.6 | 1,405 |
| 02. Nosara | 43% | $437 | $193 | $40,425 | 6.6 | 923 |
| 03. Cabo Velas (Flamingo, Conchal) | 43% | $420 | $189 | $42,843 | 5.5 | 882 |
| 04. Cóbano (Santa Teresa, Malpaís) | 42% | $301 | $132 | $29,769 | 5.6 | 1,653 |
| 05. Quepos (Manuel Antonio) | 44% | $267 | $131 | $32,468 | 3.8 | 1,215 |
| 06. Sardinal (Coco, Hermosa) | 40% | $264 | $115 | $25,789 | 5.8 | 1,357 |
| 07. Jacó | 36% | $321 | $113 | $25,669 | 4.7 | 2,124 |
| 08. Bahía Ballena (Uvita) | 41% | $259 | $113 | $26,131 | 4.8 | 1,224 |
| 09. Sámara | 45% | $205 | $101 | $21,490 | 6.5 | 623 |
| 10. La Fortuna | 44% | $158 | $78 | $19,767 | 2.8 | 1,475 |
| 11. Cahuita (Puerto Viejo) | 39% | $160 | $64 | $16,381 | 4.1 | 1,965 |
The five characteristics that actually predict returns
1. The rate ceiling, not the occupancy floor
The three most profitable markets in the country charge more than $400 per night. The bottom three do not reach $210. Since occupancy is practically identical across all of them, rate is the only variable moving the result.
2. Supply scarcity, not market size
This is the most counterintuitive lesson in the set. Nosara and Cabo Velas each have fewer than a thousand active listings and both land on the podium. Jacó has more than double the supply of either and finishes seventh, with the lowest occupancy in the country at 36%. A large market is not a good market; it is a market with more competition for the same guest.
3. Longer stays
Every booking costs money: cleaning, coordination, commission, wear. Nosara averages 6.6 nights and Sámara 6.5; La Fortuna, 2.8. That differential does not show up in gross revenue, but it eats into your margin.
4. Booking lead time
Sámara books 77 days out and Cabo Velas 73; La Fortuna, 49. A market that books early is a market you can plan for: you know your cash flow months ahead and you can adjust pricing with time. Last-minute bookings get paid for in discounts.
5. The ability to require minimum nights
In Nosara the average minimum is 3.2 nights and in Cabo Velas 2.9; in La Fortuna, 1.4. Where a host can require minimum stays without losing the booking, there is real demand. Where they have to accept a single loose night, they are competing for leftovers.
The three on the podium, and why
Tamarindo leads on combination rather than extremes: the highest occupancy in the country paired with a $409 rate. It is the only market that wins on both variables at once.
Nosara has the highest average rate in Costa Rica — $437 — with fewer than a thousand properties competing, the longest average stay and the highest minimum-night requirement.
Cabo Velas — Flamingo, Conchal, Brasilito — is the market least mentioned in investment conversations and it lands third.
At the other end, Cahuita and Puerto Viejo concentrate nearly two thousand listings and produce the lowest RevPAR in the ranking.
What the numbers will not tell you
This analysis measures market performance. It does not measure whether you will be able to buy, register and legally operate that property — which is where deals are lost. Before signing, verify:
- The Maritime Zone. The first 50 metres from the high tide line are public and cannot be owned. The next 150 are a municipal concession zone with ownership restrictions for foreigners. A significant share of what is sold as «beachfront» is a concession, not property.
- ICT registration. Ley 9742 requires non-traditional lodging to be registered. Operating without registration is a risk you inherit with the purchase.
- The condominium bylaws. Many condominiums prohibit nightly rental in their internal regulations. That document outweighs any revenue projection.
- Water availability. In Guanacaste the availability letter is decisive and does not always exist.
- Municipal licence and VAT. Lodging services are taxed and require a licence. Both affect the net return these figures do not discount.
- A full title study. Liens, easements, annotations, cadastral plan and correspondence with the physical reality of the property.
The conclusion
If you are evaluating a purchase-to-rent in Costa Rica, stop asking how occupied an area is and ask three things instead: how much you can charge per night, how much competition you are facing, and how many nights the average guest stays. Those three explain almost all of the difference between the top and the bottom of this table.
And after that, verify the title. The best numbers in the world are worthless on a property that cannot be transferred.
Methodology. AirROI data for the twelve months preceding August 2026, in US dollars, for the eleven Costa Rican markets with the most active listings. RevPAR is revenue per available night and integrates occupancy and rate. These figures measure market performance, not return on investment: they do not incorporate purchase price, operating costs, management, taxes or financing. An individual property may perform substantially differently from its market average. This article is general information and does not constitute legal advice for a specific matter.
Una versión de este artículo en español está disponible aquí.
