My late father was a CPA and every year he had clients come in who had sold an investment property, taken possession of funds, and then wanted to do a 1031.

Of course, as with other property in Costa Rica, appropriate permits must be obtained from the local municipality.Can foreigners possess concession property in the Restricted Area?

Are there prepayment penalties, is prepayment allowed, when are you granted possession, is the Vendor paying for title insurance on the front-end or are you responsible for it? 

A few days later you meet them at the property and take possession.

At the time we took back possession, we let the real estate management company know that we were no longer interested in renting the house and instead wanted improve the house to a sellable condition and sell.On Day 1 after repossession I changed the locks. 

Time is our most valuable possession.

Beware that some property it titled and some of ROP (right of possession). 

@Dave Jimenez  I bought my first house in 1975.. so probably not germane to today.. and it was very straight forward.. we put 10% down  its was a 80k house in Milpitas CA.. got a 10% second from HML and a first for 80% it was new construction. there were no auctions then.. like you see today there were foreclosures though I bought my first one in 1976.If your using a FHA loan and first time homebuyer or there abouts its tough to buy auction proeprties. because they make it tough.. that's the point.You can easily buy one off of MLS and go through the normal hoops.. but I am sure your thinking you want to buy this because its such a screaming deal . and of course everyone wants that.. those deals primarly go to cash buyers.. unfortuanatly .. 5 to 6 years ago was different now there is just so much cash chasing deals its not funny.. so just trying to be a realist that's all.Look at some google on line about Vegas.. poor families trying to buy who just had to have financing got shut out.. because of cash investors.. and let me tell you the sellers banks and other lenders in possession could give a hoot.. they just want the cash.

…I had it easy I managed the property so I had details of the house and tenants.As soon as you take possession you need a new lease.

You can usually flip a certificate or deed for a few thousand dollars profit, if someone will be able to take possession immediately and make those preservation improvements that increase the redemption price tag over and above what they paid you.