Nicaragua offers some of the most liberal island ownership laws, allowing 100% direct freehold ownership for foreigners with no local partner required... Read More. This is particularly popular in the Isletas de Granada and the Corn Islands. The main restriction is the Border Zone Law, prohibiting foreign ownership within 5km of Costa Rica or Honduras. In 2025, Ley 1258 expanded government control in the 5–15km border buffer, making title insurance and rigorous registry checks essential. Read Less