Green Season Scams

Green Season Rental Scams Targeting Landlords in Costa Rica

Costa Rica’s green season (May to November) is a time when rental demand drops off. This time of year can attract digital nomads, long-term travelers, and expats looking for lower rates. While this can be a great opportunity for property owners to generate income through the low season, it’s also a prime time for rental scams targeting landlords. If you own a rental property in Costa Rica, here are the most common scams to watch out for—and how to protect yourself. It may seem like an attractive option to lower your rent for the green season and put some renters in place but be very careful because there are predatory renters that look for well-meaning landlords to take advantage of.

Common Green Season Rental Scams Targeting Landlords

1. Fake Tenants & Chargeback Scams

Some scammers pose as potential tenants, book a property, and pay the deposit using a stolen credit card or fraudulent payment method. After staying for a few days or weeks, the payment gets reversed by the merchant account or processor, leaving the landlord with an unpaid rental and potential damages.

💡 How to Avoid It:

  • Only accept payments through secure, verifiable platforms like bank transfers, Airbnb, or PayPal (with seller protection).

  • Be cautious of tenants who offer overpayments or request to send money via wire transfer or cryptocurrency.

  • Wait for payments to fully clear before handing over keys.

2. Long-Term Tenants Who Never Pay

A common scam involves tenants signing a longer short-term 3-6 month “green season” lease, moving in, and never paying rent after the first month. Because Costa Rica has strict tenant protection laws, evicting a non-paying tenant can take months or even years.

💡 How to Avoid It:

  • Require proof of income and references before signing a lease.

  • Use a formal rental contract drafted by a lawyer to protect your rights.

  • Request a security deposit and first and last month’s rent upfront before moving in.

  • Consider only renting through platforms like Airbnb, where payments are collected in advance.

3. Subletting & Illegal Rentals

Some renters will sign a green season lease with off-season pricing and then secretly sublet your property to multiple tenants—often at higher rates—without your knowledge. In worse cases, your property could be used for illegal activities.

💡 How to Avoid It:

  • Include a no-subletting clause in your lease agreement. Always have a lawyer draft and go over the lease.

  • Conduct regular inspections or have a property manager check in on the unit every month. You have a right to monthly inspections.

  • Set up security measures like requiring all tenants to be registered, and include this clause in your lease.

4. False Damage Claims & Deposit Refund Scams

Some tenants intentionally damage a property and then claim it was pre-existing damage. Others will demand their deposit back before departure, only to leave unpaid bills or hidden property damage behind. This is a common scam, in which tenant will demand their deposit in exchange for keys. The CR law states that deposits should be returned after inspections and the bills are settled, which is usually within 30 days. However, many rent scammers will demand their deposit back in cash or they refuse to leave.

💡 How to Avoid It:

  • Take photos and videos of the property before move-in and after move-out to document its condition.

  • Keep detailed records of all repairs and maintenance. Do not allow a tenant to do maintenance themselves.

  • Clearly outline in the lease what is covered by the security deposit. Despite this, some scammer tenants will try to leverage vacating the property for their deposit. Know your rights!

5. Bogus Rental Agents & Property Managers

Some scammers pose as "rental agents" or "property managers", claiming they have good tenants lined up to rent your property, only to collect fees or deposits upfront and disappear with the money. Others may impersonate legitimate agencies, using fake contracts and stolen property photos.

💡 How to Avoid It:

  • Work only with reputable real estate agencies with a strong presence in Costa Rica. Ask around, and get references.

  • Never pay upfront fees to agents unless you verify their legitimacy. Do your research!

  • Personally verify tenants before handing over property keys. Always have an in-person interview with a potential tenant, even if it is a Zoom, you need to assess their vibes for yourself. Someone can look good on paper, then in real life, they give you the creeps.

6. Squatters & Unwanted Occupants

Some “tenants” move in and then refuse to leave, using Costa Rica’s tenant protection laws to delay eviction. This is especially common with verbal rental agreements where there’s no official lease. If you have a vacant property or land, make sure you have a property manager, private property signage, and fencing up. You need to make it difficult for someone to get possession of your land and if a squatter is found, you need to remove them promptly so they cannot claim squatter rights.

💡 How to Avoid It:

  • Never rent without a formal contract drafted by a lawyer that complies with Costa Rican tenancy laws. Do not make a verbal agreement.

  • Register all caretakers of your land, and have a property manager oversee the property.

  • Fence in your property to protect from encroachment, mark with signage, and contact for property manager.

How to Protect Your Rental Property in Costa Rica

Screen Tenants Carefully – Ask for references, proof of employment, and previous rental history before accepting a tenant.
Get Everything in Writing – Always use a legally binding rental agreement that outlines rent, deposits, and eviction terms.
Use Secure Payment Methods – Avoid cash payments and untraceable transactions like Western Union or cryptocurrency.
Hire a Property Manager – If you don’t live in Costa Rica full-time, working with a trusted local property manager can help prevent fraud.
Monitor Your Property – Schedule routine inspections or install security cameras (where legal) to ensure no unauthorized activity occurs, like subletting or illegal activities.

Final Thoughts

While Costa Rica is a wonderful place to own rental property, green season scam artists are a real risk for landlords. Scammers take advantage of lower rental demand and looser tenant screening during this time. By staying vigilant, using proper legal contracts, and verifying tenants, you can protect your investment and avoid costly headaches. Consider solely using platforms like Airbnb to rent your home and make sure to register it with the ICT to protect yourself from any potential scams.

Have you experienced rental scams in Costa Rica as a landlord? Share your story in the comments!

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