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Guatemala City's rental market offers compelling investment opportunities with yields ranging from 5.7% to 8.4% across different property types.
As of September 2025, the Guatemala City rental market shows strong fundamentals with average rents of Q5,577 ($720) for central 1-bedroom apartments and Q10,000 ($1,290) for central 3-bedroom units. Premium zones like Zona 10, 14, 15, and 16 command the highest rents, while short-term rentals achieve impressive yields of 7-10% despite lower occupancy rates of 41%.
If you want to go deeper, you can check our pack of documents related to the real estate market in Guatemala, based on reliable facts and data, not opinions or rumors.
Guatemala City rental market delivers strong yields of 5.7-8.4% with 1-bedroom apartments averaging Q5,577 monthly in central areas and Q3,241 in outer zones.
Premium zones (Zona 10-16) command the highest rents while short-term rentals achieve 7-10% yields despite 41% median occupancy rates.
| Property Type | Central Area Rent | Outer Area Rent | Rental Yield |
|---|---|---|---|
| 1-bedroom apartment | Q5,577 ($720) | Q3,241 ($420) | 7-8% |
| 3-bedroom apartment | Q10,000 ($1,290) | Q5,035 ($650) | 6-7% |
| Short-term rental (STR) | $570 median monthly | $46/night ADR | 7-10% |
| Premium condos (Zona 10-16) | Q7,000-15,000+ | N/A | 6-8% |
| Houses (Mixco/Villa Nueva) | N/A | Q6,000-10,000 | 8-9% |
| Studio apartments | Q4,500-7,700 | Q2,500-4,000 | 8-9% |
| 2-bedroom apartments | Q6,000-9,000 | Q4,000-6,500 | 7-8% |
What's the current average rent in Guatemala City by property type and neighborhood?
Guatemala City rental market shows distinct pricing patterns across property types and neighborhoods as of September 2025.
Central area apartments command premium prices with 1-bedroom units averaging Q5,577 ($720) monthly, ranging from Q4,000 to Q7,700. Three-bedroom apartments in central areas reach Q10,000 ($1,290) monthly, with ranges from Q6,000 to Q16,000.
Outside the center, rental prices drop significantly with 1-bedroom apartments averaging Q3,241 ($420) monthly and 3-bedroom units at Q5,035 ($650) monthly. Premium zones including Zona 10, 14, 15, and 16 represent the highest-priced segments, often commanding Q7,000 to Q15,000 monthly for family-sized and luxury properties.
Mid-range neighborhoods typically see Q4,000 to Q8,000 monthly for 2-3 bedroom properties, while affordable outer areas range from Q2,500 to Q5,000 monthly for smaller units.
It's something we develop in our Guatemala property pack.
How do rents vary by property size and surface area?
Property size significantly impacts rental pricing in Guatemala City, with larger units offering better value per square meter.
Economy of scale applies strongly in Guatemala City rentals, where larger properties demonstrate cheaper cost per square meter. In outer zones, 100m² properties typically sell for $80,000 to $150,000, while 250m² properties range from $200,000 to $350,000, showing proportional savings for larger spaces.
Central area properties follow similar patterns with 100m² units priced at $100,000 to $200,000 and 250m² properties ranging from $250,000 to $500,000. Small apartments between 45-90m² dominate rental demand due to affordability and urban migration patterns.
Three-bedroom family-sized units experience rising rents due to increased urban migration and growing middle-class demand for larger living spaces.
What's the average total monthly rent including fees, utilities, and taxes?
Total monthly housing costs in Guatemala City extend well beyond base rent when including utilities, fees, and additional services.
Standard utilities including electricity, water, and gas average $61 to $67 monthly for typical apartments. Internet services range from $48 to $66 monthly for standard broadband connections.
Condominium service charges vary significantly, particularly in premium buildings where they can add $50 to $150 monthly, though some properties include these in base rent. Property taxes for renters are typically covered by landlords but factor into overall rental pricing.
Total all-in costs for average central 1-bedroom apartments range from $600 to $850 monthly, while 3-bedroom units total $1,100 to $1,600 monthly including all utilities and fees.
What's the typical cost of ownership and mortgage payments for a rental property?
Guatemala City property ownership costs involve multiple components that significantly impact investment returns for rental property investors.
| Cost Component | Amount/Rate | Details |
|---|---|---|
| Average property price | $1,000-2,000 per m² | Premium areas; lower in outer zones |
| Entry-level apartments | $120,000-250,000 | Suitable for rental investment |
| Luxury properties | $1-2.5 million | High-end rental market |
| Mortgage rates | 6-8% (20-year fixed) | For residents; higher for foreigners |
| Down payment | 10-20% | Standard requirement |
| Property taxes | 0.9% annually | Of declared property value |
| Transaction costs | 4-5% (used), 15-16% (new) | Including taxes and fees |
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What are the most in-demand areas for property rentals right now?
Guatemala City rental demand concentrates in specific zones based on renter type and rental duration preferences.
Short-term rental demand peaks in Zona 10, 14, and 15 for business travelers and expatriates seeking modern amenities and security. Zona 1 and 4 attract younger travelers and budget-conscious visitors, while Mixco and Villa Nueva serve budget-conscious commuters seeking affordability.
Long-term rental demand focuses heavily on Zona 10, 14, 15, and 16, attracting expatriate families, executives, and upper middle-class locals who prioritize security, modern amenities, and proximity to international schools and business districts.
Mixco experiences growing demand due to its affordability combined with improved transportation links to central Guatemala City, making it attractive for both investors and renters seeking value.
What's the breakdown of rents for short-term vs long-term rentals?
Guatemala City rental market shows distinct patterns between short-term and long-term rental segments with different occupancy rates and guest profiles.
Short-term rentals achieve median monthly revenues of $570 with 41% median occupancy rates and average daily rates of $46. These properties serve 45% domestic and 55% foreign guests, with Generation Z and Alpha showing strong demand patterns.
Long-term rentals command Q5,000 to Q10,000+ monthly for 1-3 bedroom units with occupancy rates exceeding 95% in most areas. Professional tenants, families, and expatriates form the primary long-term rental market.
Short-term properties consist of 86% entire homes, mostly apartments, with 45% being 1-bedroom units. Vacancy rates run significantly higher in short-term rentals with median 41% occupancy compared to less than 8% vacancy in premium long-term rental neighborhoods.
Can you give example rental prices for different property types and sizes?
Guatemala City rental market offers diverse options across property types, sizes, and neighborhoods with clear pricing patterns.
| Property Type | Location | Size | Monthly Rent (2025) |
|---|---|---|---|
| Studio/1-bed apartment | Zona 10 (central) | 45-65m² | Q4,500-7,700 |
| Studio/1-bed apartment | Outer/affordable | 45-65m² | Q2,500-4,000 |
| 2-bed apartment | Central area | 85-110m² | Q6,000-9,000 |
| 3-bed apartment | Central premium | 120-180m² | Q10,000-16,000 |
| House, mid-range | Mixco, Villa Nueva | 120-200m² | Q6,000-10,000 |
Who are the main renter profiles in Guatemala City and what do they look for?
Guatemala City rental market serves diverse renter segments with distinct preferences and requirements.
Primary long-term renter segments include young professionals seeking 1-2 bedroom apartments with modern amenities, executives and couples demanding security and proximity to business districts, families requiring 3+ bedrooms with international school access, and expatriates prioritizing safe neighborhoods with international amenities.
Short-term rental guests consist mainly of business travelers, international tourists (primarily from the United States), younger travelers from Generation Z and Alpha demographics, and digital nomads seeking flexible accommodation options.
Long-term renters typically prioritize security features, modern amenities, reliable utilities, parking availability, and proximity to international schools, business districts, and shopping centers. Short-term guests value location convenience, modern furnishing, reliable internet, and tourist accessibility.
It's something we develop in our Guatemala property pack.
What are the current vacancy rates by property type and neighborhood?
Guatemala City vacancy rates vary significantly between rental types and neighborhoods, reflecting demand patterns and market dynamics.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Guatemala versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What are the smartest investment choices for rental properties as of today?
Guatemala City rental property investment opportunities vary significantly by location, property type, and investment strategy as of September 2025.
Premium city zones including Zona 10, 14, 15, and 16 offer the best rental yields for mid-range condominiums due to minimal all-in costs and strong rental demand from executives and expatriates. These areas consistently achieve 6-8% rental yields with low vacancy rates.
Short-term rental investments perform strongest in Zona 10, 14, and 4, achieving high occupancy rates, good average daily rates, and significant tourist and business traveler inflows. These properties can achieve 7-10% yields despite higher management requirements.
Early-phase condominium developments in emerging neighborhoods offer growth potential through pre-construction discounts ranging from 15-30% gains before completion, though they carry higher development risks.
Small apartments consistently yield over 8% due to strong demand from young professionals and couples, while larger family units in premium areas typically achieve 6-7% yields but offer more stable long-term tenancy.
What's the current average rental yield and how does it compare by property type?
Guatemala City rental yields demonstrate strong performance across property types, with short-term rentals leading returns as of September 2025.
Overall Guatemala City rental market achieves gross yields ranging from 5.7% to 8.4%, with short-term rental properties reaching the highest yields of 7-10% despite requiring more active management and dealing with vacancy periods.
Small apartments consistently deliver yields exceeding 8% due to strong demand from young professionals, couples, and budget-conscious renters. These properties benefit from high occupancy rates and lower maintenance costs relative to rental income.
Larger family units in premium areas typically achieve 6-7% yields while offering advantages including longer-term tenancy stability, higher-quality tenants, and lower tenant turnover costs. Mid-range condominiums in prime locations balance yield and stability effectively.
It's something we develop in our Guatemala property pack.
How have rents and yields changed compared to one year ago and five years ago?
Guatemala City rental market has experienced consistent growth in both rents and property values over recent years, with acceleration in premium segments.
Annual rent and property price growth averages 4-6% in Guatemala City, reflecting steady economic growth and urban migration patterns. This growth rate has remained relatively consistent over the past several years.
Over the past five years, cumulative rent and property value increases range from 15-25% across most areas, with premium zones including Zona 10, 14, 15, and 16 outperforming with gains reaching 30-35%.
Premium zone outperformance reflects increased demand from expatriates, international businesses expanding operations, and growing local wealth seeking high-quality housing options. These areas benefit from infrastructure improvements, security enhancements, and amenity development.
What's the forecast for rents and yields in one year, five years, and ten years?
Guatemala City rental market outlook shows continued growth potential across multiple time horizons based on economic and demographic trends.
Next 12 months projections indicate 4-8% rent growth driven by continued urban migration, economic recovery, and infrastructure development projects. Short-term rental recovery following tourism sector improvement supports higher yield expectations.
Five-year outlook suggests sustained annual growth of 3-8% with tourist and urban renewal areas expected to outperform due to government infrastructure investments and private development projects. Premium zones should continue leading growth due to limited supply and strong demand.
Ten-year projections show stable moderate growth with strongest prospects in urban renewal areas, eco-friendly developments, and tourism-related projects. Demographic trends including urbanization and middle-class growth support long-term rental demand fundamentals.
How do rents and yields in Guatemala City compare with other similar large cities?
Guatemala City stands out as one of Central America's most attractive rental investment destinations when compared to regional cities.
| City/Country | Price/m² (USD) | Rental Yield | Growth Rate | Market Position |
|---|---|---|---|---|
| Guatemala City | $1,000-2,000 | 5.7-8.4% | 4-6% | Highest regional value |
| San José, Costa Rica | $1,800-2,200 | 4.5-7% | 5-7% | Higher cost, less value |
| Panama City | $2,200-2,800 | 4.5-7% | 6-8% | Most expensive market |
| San Salvador | $1,000-1,300 | 4-6% | 3-5% | Similar price, less developed |
| Tegucigalpa | $800-1,000 | 4% | 2-4% | Lowest regional prices |
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Guatemala City's rental market offers exceptional investment opportunities with yields ranging from 5.7% to 8.4%, making it one of Central America's most attractive real estate destinations.
Premium zones consistently outperform with strong demand from expatriates and professionals, while short-term rentals achieve the highest yields despite requiring active management and dealing with seasonal fluctuations.
Sources
- Numbeo Guatemala City Property Investment
- Travel Safe Abroad Guatemala City Cost of Living
- Food Travel Explore Guatemala Cost of Living Guide
- Expatistan Guatemala Cost of Living
- The LatinVestor Average House Price Guatemala
- The LatinVestor Guatemala City Real Estate Trends
- Exiap Cost of Living Guatemala
- Nomads Guatemala City Cost of Living
- The LatinVestor Guatemala City Price Forecasts
- AirROI Guatemala City Report