Authored by the expert who managed and guided the team behind the Colombia Property Pack
Everything you need to know before buying real estate is included in our Colombia Property Pack
If you're thinking about buying property in Cali (Colombia), you've probably noticed that not all neighborhoods are created equal, and the difference between a great investment and a costly mistake often comes down to picking the right micro-location.
This guide breaks down exactly where yields are strongest, which areas have real momentum, and which spots you should probably avoid as a foreign buyer in 2026.
We constantly update this blog post to reflect the latest market data and neighborhood trends.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Cali (Colombia).
What's the Current Real Estate Market Situation by Area in Cali (Colombia)?
Which areas in Cali (Colombia) have the highest property prices per square meter in 2026?
As of early 2026, the three most expensive areas in Cali (Colombia) for property prices per square meter are Santa Teresita/Normandia in Comuna 2, El Peñon in Comuna 3, and Granada/Juanambu in the center-north lifestyle core.
In these premium neighborhoods of Cali (Colombia), typical asking prices range from around COP 5.8 million to COP 8.5 million per square meter for apartments, with the highest prices found in Santa Teresita where some listings exceed COP 8 million per square meter.
Each of these expensive Cali (Colombia) neighborhoods commands premium prices for distinct reasons:
- Santa Teresita/Normandia: Severe land scarcity plus established high-status residential fabric with quick access to dining and green spaces.
- El Peñon: River-adjacent location with walkable restaurant strips and a premium lifestyle feel that's nearly impossible to replicate.
- Granada/Juanambu: Cali's most walkable area with dense restaurants, services, and strong short-term rental demand driving competition.
Which areas in Cali (Colombia) have the most affordable property prices in 2026?
As of early 2026, the most affordable property prices in Cali (Colombia) are found in parts of Distrito de Aguablanca, some hillside sectors like Siloe, and mid-tier areas such as San Fernando, Tequendama, and Valle del Lili that offer better value without extreme risk.
In the cheapest zones of Cali (Colombia), asking prices can fall as low as COP 2 million to COP 3.5 million per square meter, while the "affordable but investable" mid-tier areas typically range from COP 3.5 million to COP 5 million per square meter.
However, the trade-offs in these lower-priced areas of Cali (Colombia) are significant: in Distrito de Aguablanca, you face higher crime rates and serious resale liquidity problems; in hillside sectors, security can vary dramatically from one block to the next; and even in mid-tier areas like Valle del Lili, oversupply of similar new-build apartments means you may struggle to differentiate your property and attract quality tenants.
You can also read our latest analysis regarding housing prices in Cali (Colombia).
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Colombia. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
Which Areas in Cali (Colombia) Offer the Best Rental Yields?
Which neighborhoods in Cali (Colombia) have the highest gross rental yields in 2026?
As of early 2026, the neighborhoods in Cali (Colombia) with the highest gross rental yields are San Fernando near Parque del Perro at roughly 6.5% to 8.5%, Tequendama at around 6.5% to 8%, Valle del Lili near clinics at approximately 6% to 7.5%, and La Flora in the north at about 5.8% to 7.2%.
Across Cali (Colombia) as a whole, typical gross rental yields for investment properties range from around 4.5% to 8%, with premium neighborhoods like Santa Teresita and El Peñon often delivering lower yields of 4.5% to 6% unless you buy at a significant discount.
These top-yielding neighborhoods in Cali (Colombia) deliver higher returns than other areas for specific reasons:
- San Fernando: Strong tenant pool of professionals and couples, plus hybrid demand from medium-stay renters near clinics.
- Tequendama: Moderate price per square meter while rents stay supported by central location and accessibility.
- Valle del Lili: Constant healthcare-related demand from families and medical professionals near major clinics and malls.
- La Flora: Solid liveability appeal for families and professionals without paying top-tier Santa Teresita prices.
Finally, please note that we cover the rental yields in Cali (Colombia) here.
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Which Areas in Cali (Colombia) Are Best for Short-Term Vacation Rentals?
Which neighborhoods in Cali (Colombia) perform best on Airbnb in 2026?
As of early 2026, the neighborhoods in Cali (Colombia) that perform best on Airbnb are San Antonio with its historic hilltop charm, Granada/Juanambu with its dense dining and nightlife scene, El Peñon with its premium lifestyle feel, and San Fernando near Parque del Perro with its restaurant-heavy "Cali experience" appeal.
In these top-performing Airbnb neighborhoods of Cali (Colombia), well-managed properties can generate typical monthly revenues ranging from approximately COP 3 million to COP 7 million depending on unit size, location within the neighborhood, and seasonal factors like the Feria de Cali.
Each of these Cali (Colombia) neighborhoods outperforms others for short-term rentals due to distinct advantages:
- San Antonio: Clearest tourist narrative in Cali with hilltop views, walkable cafes, and Instagram-worthy streets.
- Granada/Juanambu: Central convenience with dense nightlife, dining options, and where most short-stay guests default.
- El Peñon: Premium feel and easy access to lifestyle amenities without needing a car for daily activities.
- San Fernando: Nightlife hub around Parque del Perro delivers authentic Cali experience for budget-conscious travelers.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Cali (Colombia).
Which tourist areas in Cali (Colombia) are becoming oversaturated with short-term rentals?
The tourist areas in Cali (Colombia) showing the clearest signs of oversaturation with short-term rentals are Granada/Juanambu and San Antonio, both of which have seen significant inventory growth from investor interest over the past two years.
In Granada/Juanambu alone, there are now hundreds of active short-term rental listings competing for the same guest pool, while San Antonio's limited street grid concentrates dozens of "cute" properties into a small area where supply increasingly outpaces demand.
The main indicator that these Cali (Colombia) areas have reached oversaturation is the combination of rising listing counts alongside declining occupancy rates, meaning more hosts are chasing fewer guests, which puts downward pressure on nightly rates and can quickly collapse net income once you factor in cleaning, management, and vacancy costs.
We have made this infographic to give you a quick and clear snapshot of the property market in Colombia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which Areas in Cali (Colombia) Are Best for Long-Term Rentals?
Which neighborhoods in Cali (Colombia) have the strongest demand for long-term tenants?
The neighborhoods in Cali (Colombia) with the strongest demand for long-term tenants are La Flora/Chipichape/Menga in the north and center-north, Santa Teresita/Normandia in the premium west belt, Valle del Lili/Caney/Bochalema in the south growth corridor, and San Fernando/Tequendama in the central zone.
In these high-demand neighborhoods of Cali (Colombia), well-priced properties typically rent within two to four weeks, with vacancy rates generally staying below 5% for units that are competitively priced and well-maintained.
The tenant profiles driving demand vary by neighborhood:
- La Flora/Chipichape: Families with children and mid-to-senior professionals working in nearby commercial zones.
- Santa Teresita/Normandia: High-income professionals and established families seeking prestige addresses and low turnover.
- Valle del Lili/Caney: Healthcare workers, clinic-linked families, and young professionals near major medical centers.
- San Fernando/Tequendama: Young professionals, couples, and university students seeking urban convenience and nightlife access.
What makes these Cali (Colombia) neighborhoods especially attractive to long-term tenants is the combination of walkable services, reliable security infrastructure, and proximity to major employment centers, whether that's the commercial hubs in the north, the clinics in the south, or the restaurant and service corridors in the center.
Finally, please note that we provide a very granular rental analysis in our property pack about Cali (Colombia).
What are the average long-term monthly rents by neighborhood in Cali (Colombia) in 2026?
As of early 2026, average long-term monthly rents in Cali (Colombia) vary significantly by neighborhood, ranging from around COP 1.6 million for a one-bedroom in Valle del Lili to over COP 5.5 million for a two-bedroom in Santa Teresita.
In the most affordable neighborhoods of Cali (Colombia) like Valle del Lili and Caney, entry-level one-bedroom apartments typically rent for between COP 1.6 million and COP 2.5 million per month unfurnished.
In average-priced neighborhoods of Cali (Colombia) such as San Fernando, Tequendama, and La Flora, mid-range two-bedroom apartments typically command monthly rents between COP 2.2 million and COP 4 million depending on building quality and exact location.
In the most expensive neighborhoods of Cali (Colombia) like Santa Teresita, Normandia, El Peñon, and Ciudad Jardin, high-end two-bedroom apartments typically rent for between COP 3.5 million and COP 5.5 million per month, with premium units in the best buildings occasionally exceeding these ranges.
You may want to check our latest analysis about the rents in Cali (Colombia) here.
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Which Are the Up-and-Coming Areas to Invest in Cali (Colombia)?
Which neighborhoods in Cali (Colombia) are gentrifying and attracting new investors in 2026?
As of early 2026, the neighborhoods in Cali (Colombia) that are actively gentrifying and attracting new investors include the edges of San Antonio beyond the tourist core, selected blocks of San Fernando near the restaurant strips, certain pockets of Tequendama with improving building stock, and parts of Bochalema/Valle del Lili with new services and better access.
These gentrifying neighborhoods in Cali (Colombia) have experienced typical annual price appreciation rates of around 5% to 10% in real terms over recent years, though this varies significantly by exact micro-location and building quality within each area.
Which areas in Cali (Colombia) have major infrastructure projects planned that will boost prices?
The areas in Cali (Colombia) most likely to benefit from planned infrastructure projects are the south corridor neighborhoods of Ciudad Jardin, Valle del Lili, and Bochalema, which would gain improved connectivity if the regional commuter rail project progresses.
The main infrastructure project under discussion is the Tren de Cercanias del Valle connecting Cali to Jamundi, which as of late 2025 has partial regional cofinancing commitments but remains politically contentious regarding national participation, plus ongoing improvements to Alfonso Bonilla Aragon Airport operations that support event-driven tourism demand.
Historically in Cali (Colombia), areas that have benefited from major infrastructure completions like improved road access or new commercial developments have seen price increases of roughly 10% to 20% above city averages over the following three to five years, though results depend heavily on the specific project and neighborhood context.
You'll find our latest property market analysis about Cali (Colombia) here.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Colombia 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.
Which Areas in Cali (Colombia) Should I Avoid as a Property Investor?
Which neighborhoods in Cali (Colombia) with lots of problems I should avoid and why?
The neighborhoods in Cali (Colombia) with significant problems that foreign investors should generally avoid include parts of Distrito de Aguablanca (such as Mojica, Charco Azul, and Marroquin), high-conflict hillside sectors like parts of Siloe and Terron Colorado, and various far-east industrial-adjacent pockets.
Each of these problem areas in Cali (Colombia) has distinct issues:
- Distrito de Aguablanca zones: High concentration of serious crime, unreliable property management options, and severe resale illiquidity.
- Siloe/Terron Colorado hillsides: Security conditions that swing sharply from one block to the next with unpredictable risk.
- Far-east industrial areas: Weak tenant demand, minimal services, and virtually no foreign buyer interest for resale.
For any of these neighborhoods in Cali (Colombia) to become viable investment options, they would need sustained multi-year improvements in security metrics, development of reliable property management infrastructure, and emergence of stable leasing comparables that demonstrate consistent tenant demand.
Buying a property in the wrong neighborhood is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Cali (Colombia).
Which areas in Cali (Colombia) have stagnant or declining property prices as of 2026?
As of early 2026, the areas in Cali (Colombia) most likely to show stagnant or declining property prices are not specific neighborhoods but rather property types: cookie-cutter new apartments in oversupplied south sectors, buildings with disproportionately high administration fees, and units in noise-heavy locations next to major arterial roads.
These underperforming property segments in Cali (Colombia) have experienced price stagnation of roughly 0% to 3% in real terms over the past two to three years, effectively losing value when adjusted for inflation, while better-located properties in the same general areas have appreciated normally.
The main causes of stagnation vary by property type:
- South Cali new-builds: Oversupply of similar units forces price competition and caps appreciation potential.
- High-admin-fee buildings: Monthly fees that eat into rental yields make these units less attractive to investors.
- Arterial-adjacent units: Chronic noise and traffic drawbacks cause tenants to negotiate hard and buyers to discount.
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Which Areas in Cali (Colombia) Have the Best Long-Term Appreciation Potential?
Which areas in Cali (Colombia) have historically appreciated the most recently?
The areas in Cali (Colombia) that have historically appreciated the most over the past five to ten years are Santa Teresita/Normandia, El Peñon, Granada/Juanambu, and Ciudad Jardin, all of which benefit from structural land scarcity and persistent high-income demand.
These top-performing areas have achieved notable appreciation:
- Santa Teresita/Normandia: Approximately 6% to 9% annual appreciation in COP terms over the past five years.
- El Peñon: Around 5% to 8% annual growth driven by lifestyle demand and limited new supply.
- Granada/Juanambu: Roughly 5% to 7% yearly gains supported by restaurant and nightlife development.
- Ciudad Jardin: About 4% to 7% annual appreciation with stability during market downturns.
The main driver behind above-average appreciation in these Cali (Colombia) areas is structural scarcity: these neighborhoods are largely built out with no room for new development, meaning demand consistently outpaces supply and prices hold better during market slowdowns than areas where developers can simply add more inventory.
By the way, you will find much more detailed trends and forecasts in our pack covering there is to know about buying a property in Cali (Colombia).
Which neighborhoods in Cali (Colombia) are expected to see price growth in coming years?
The neighborhoods in Cali (Colombia) expected to see the strongest price growth in the coming years are San Fernando (particularly the best blocks near amenities), selected Tequendama pockets with improving building quality, and south corridor areas like Ciudad Jardin, Valle del Lili, and Bochalema that could benefit from infrastructure improvements.
Projected annual price growth varies by neighborhood:
- San Fernando best blocks: Expected growth of roughly 5% to 8% annually as amenities continue improving.
- Tequendama select pockets: Potential growth of around 4% to 7% yearly as the value gap with nearby areas closes.
- Ciudad Jardin/Valle del Lili: Projected growth of approximately 4% to 6% annually, higher if rail connectivity materializes.
- Bochalema: Estimated growth of about 5% to 7% per year driven by family demand and new services.
The single most important catalyst expected to drive future price growth in these Cali (Colombia) neighborhoods is the potential completion of the Tren de Cercanias commuter rail, though smart investors should underwrite their purchases so the deal works even without this project materializing.
We made this infographic to show you how property prices in Colombia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What Do Locals and Expats Really Think About Different Areas in Cali (Colombia)?
Which areas in Cali (Colombia) do local residents consider the most desirable to live?
The areas in Cali (Colombia) that local residents consistently consider the most desirable to live are Santa Teresita/Normandia, El Peñon, Granada/Juanambu, and Ciudad Jardin/Pance in selected gated communities.
Each desirable area appeals to Cali locals for distinct reasons:
- Santa Teresita/Normandia: Established prestige address with mature trees, quiet streets, and proximity to top restaurants.
- El Peñon: River views, walkable lifestyle, and a sense of exclusivity that's difficult to replicate elsewhere.
- Granada/Juanambu: Urban energy with dense services, nightlife, and the convenience of walking to everything.
- Ciudad Jardin/Pance: Family-oriented security in gated communities with green space and good schools nearby.
The residents who typically live in these locally-preferred areas of Cali (Colombia) are established upper-middle-class and wealthy Colombian families, successful professionals, business owners, and some retirees who prioritize safety, services, and social status.
Local preferences in Cali (Colombia) largely align with what foreign investors target, with one key difference: locals often prioritize family-oriented neighborhoods like Ciudad Jardin more than foreign buyers, who tend to focus heavily on walkable lifestyle areas like Granada and San Antonio that work better for short-term rentals.
Which neighborhoods in Cali (Colombia) have the best reputation among expat communities?
The neighborhoods in Cali (Colombia) with the best reputation among expat communities are Granada/Juanambu, El Peñon, San Antonio, and Ciudad Jardin/Pance for those seeking a more suburban lifestyle.
Expats prefer these Cali neighborhoods for practical reasons:
- Granada/Juanambu: Easy to navigate without perfect Spanish, dense restaurants and services within walking distance.
- El Peñon: Premium feel with safety and lifestyle amenities that meet international expectations.
- San Antonio: Tourist-friendly atmosphere with cafes, views, and a creative community that welcomes foreigners.
- Ciudad Jardin/Pance: Gated security and suburban comfort for expats with families or those seeking quiet.
The expat profile most commonly found in these popular Cali (Colombia) neighborhoods includes digital nomads and remote workers in Granada and San Antonio, retirees and long-term residents in El Peñon and Ciudad Jardin, and salsa enthusiasts or cultural tourists doing extended stays across all four areas.
Which areas in Cali (Colombia) do locals say are overhyped by foreign buyers?
The areas in Cali (Colombia) that locals most commonly say are overhyped by foreign buyers are San Antonio (particularly the tourist core), generic new-build developments in south Cali marketed as "guaranteed appreciation," and to a lesser extent Granada when buyers expect Cartagena-style short-term rental returns.
Locals believe these areas are overvalued for specific reasons:
- San Antonio core: Oversupply of short-term rentals and seasonal demand swings that foreign buyers underestimate.
- South Cali new-builds: Developer marketing overstates appreciation potential while hiding supply competition risks.
- Granada for STR: Cali is not Cartagena, and occupancy rates rarely match what foreign investors project.
What foreign buyers typically see in these Cali (Colombia) areas that locals don't value as highly is the "Instagram appeal" and tourist-friendly atmosphere, which foreigners often overweight relative to practical factors like actual rental demand depth, seasonal volatility, and the operational challenges of managing property remotely in a city that's not primarily a tourist destination.
By the way, we've written a blog article detailing the experience of buying a property as a foreigner in Cali (Colombia).
Which areas in Cali (Colombia) are considered boring or undesirable by residents?
The areas in Cali (Colombia) that residents commonly consider boring or undesirable include car-dependent far-south gated communities with no street life, some purely residential north pockets that are safe but lack amenities, and any neighborhood where security concerns make residents feel uncomfortable walking outside.
Residents find these Cali areas boring or undesirable for specific reasons:
- Far-south gated communities: Comfortable but isolated, requiring a car for everything and lacking urban energy.
- North residential pockets: Safe and quiet but with minimal restaurants, nightlife, or walkable services.
- Security-challenged areas: Not "boring" but actively avoided due to crime concerns and poor quality of life.
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Cali (Colombia), we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why It's Authoritative | How We Used It |
|---|---|---|
| DANE - IPVN (New Housing Price Index) | Colombia's official statistics agency and the reference index for new-home price changes. | We used IPVN to anchor how fast new-build prices have been moving recently. We also used its city breakdown to keep our 2026 estimates consistent with official trends. |
| Banco de la Republica - IPVU (Used Housing Price Index) | Colombia's central bank housing index used for macroeconomic and financial monitoring. | We used IPVU to anchor how resale housing prices have been evolving. We treated it as a macro reality check against neighborhood-level portal data. |
| Alcaldia de Cali - Observatorio de Seguridad | Official city security analytics unit publishing crime and safety reports for Cali. | We used it to identify riskier communes and explain why some cheap areas stay cheap. We built the "avoid" recommendations using their measurable security indicators. |
| AirDNA - Cali STR Market Data | One of the most-used global short-term rental analytics providers with methodology-based metrics. | We used it to estimate occupancy, ADR, and revenue for short-term rentals as of early 2026. We compared STR economics versus long-term rents by neighborhood. |
| Camacol - Coordenada Urbana | National construction chamber's widely-used housing market tracking system. | We used it to frame new-supply, launch, and absorption dynamics affecting Cali in 2025 and early 2026. We treated it as a supply-side counterweight to listing portals. |
| Metrocuadrado | Major Colombian real estate portal useful for rent and sale asking-price sampling. | We used it to sample asking rents and compare them to sale asking prices for gross-yield estimates. We sanity-checked outliers against other portal data. |
| Properati | Established real estate portal with searchable neighborhood-level inventories across Colombia. | We used it to sample asking prices and sizes by specific neighborhoods like Ciudad Jardin and Granada. We treated it as one leg of triangulation rather than absolute truth. |
| Cali Como Vamos - Citizen Perception Survey | Long-running civic survey program with consistent methodology tracking resident sentiment. | We used it to ground the "locals' desirability" section without relying on social media anecdotes. We contextualized safety and quality-of-life perceptions affecting liquidity. |
| Camara de Comercio de Cali | The city's chamber of commerce with strong local labor and business cycle context. | We used it to identify which job clusters are expanding and supporting long-term rental demand. We connected neighborhood demand to where people actually work and open businesses. |
| MINCIT - Tourism Reports | National ministry that compiles and publishes official tourism statistics and methodology notes. | We used it to anchor tourism demand context for Cali including events, visitor flows, and seasonality. We cross-checked third-party STR metrics against official data. |
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