Buying real estate in Colombia?

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Can Americans rent out their Colombian property to tourists?

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Authored by the expert who managed and guided the team behind the Colombia Property Pack

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Everything you need to know before buying real estate is included in our Colombia Property Pack

Americans can legally rent out their Colombian properties to tourists without needing residency.

However, compliance with national tourism registration, tax obligations, and local building regulations is mandatory and strictly enforced. Non-compliance can result in hefty fines and property closure.

If you want to go deeper, you can check our pack of documents related to the real estate market in Colombia, based on reliable facts and data, not opinions or rumors.

How this content was created 🔎📝

At The Latinvestor, we explore the Colombian real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Bogotá, Medellín, and Cartagena. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

Do Americans need Colombian residency to legally rent out their property to tourists?

No, Americans do not need Colombian residency to legally rent out their property to tourists.

Non-resident foreigners, including Americans on tourist visas, can legally own property and rent it out to tourists in Colombia. Colombian law allows foreign property ownership without residency requirements, and this extends to rental activities.

However, owning property may qualify you for an investment visa if you choose to pursue Colombian residency later. The investment visa requires a minimum property investment of approximately $170,000 USD as of September 2025, but this is optional for rental activities.

You must still comply with all national and local regulations regardless of your residency status, including tourism registration, tax obligations, and building compliance requirements.

What type of visa is required for Americans who own property and want to rent it out in Colombia?

No specific visa is required beyond standard tourist entry for Americans to rent out their Colombian property.

Americans can enter Colombia on a tourist visa and legally conduct rental activities. The standard tourist visa allows stays up to 90 days, which can be extended to 180 days per calendar year.

If you plan to spend significant time in Colombia managing your rental property, you might consider applying for a rental income visa (rentista visa) or investment visa. The rentista visa requires proof of monthly income equivalent to at least 10 times the Colombian minimum wage, approximately $2,800 USD per month as of September 2025.

For Americans planning frequent trips to manage rental properties, the investment visa provides more stability and can lead to permanent residency after five years.

Are there specific permits or licenses Americans must obtain before listing their property for short-term rentals?

Yes, Americans must obtain registration with Colombia's National Tourism Registry (RNT) before listing their property on any platform.

The RNT registration is mandatory for all short-term rental properties and must be completed online through the official government portal. This registration must be renewed annually and costs approximately $150 USD per year as of September 2025.

Required documents for RNT registration include proof of property ownership, local chamber of commerce registration, a Colombian tax ID (RUT), and civil liability insurance coverage. The process typically takes 15-30 business days to complete.

Additionally, you'll need to register with the local chamber of commerce in the municipality where your property is located and obtain a RUT tax identification number from DIAN (Colombia's tax authority).

It's something we develop in our Colombia property pack.

How much Colombian income tax would an American pay on rental income from tourists?

Americans pay a flat 35% income tax rate on rental income from Colombian properties as non-resident taxpayers.

This tax applies only to Colombian-source income, meaning rental income generated from your Colombian property. If your property generates $2,000 USD monthly in rental income, you would owe $700 USD in Colombian income tax per month.

Tax payments must be made to DIAN (Colombia's tax authority) by the 15th of the following month for monthly rental income. Annual tax returns are also required, with deadlines varying based on your tax ID number's last digit.

Additional taxes may include VAT (IVA) at 19% on short-term stays under 30 days, and municipal tourist taxes ranging from $1-5 USD per night depending on the city.

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Does Colombia have a tax treaty with the United States that affects double taxation on rental income?

Yes, Colombia and the United States have a tax treaty that provides relief from double taxation on rental income.

Under this treaty, Americans can claim a Foreign Tax Credit on their U.S. tax return for Colombian taxes paid on rental income. This credit reduces your U.S. tax liability dollar-for-dollar up to the amount of U.S. tax due on the same income.

For example, if you pay $700 USD in Colombian taxes on $2,000 USD rental income, and your U.S. tax rate would be 24%, you'd owe $480 USD to the IRS. The Foreign Tax Credit would eliminate this U.S. tax liability entirely, with $220 USD in excess credits carried forward.

You must file Form 1116 (Foreign Tax Credit) with your U.S. tax return and maintain detailed records of all Colombian tax payments and rental income documentation.

Are there restrictions on the type of property that can legally be rented to tourists in Colombia?

Yes, there are significant restrictions, particularly for apartments in residential buildings governed by horizontal property laws.

For apartments in condominiums or residential buildings, short-term rentals under 30 days must be expressly allowed in the building's bylaws (reglamento de propiedad horizontal). Most residential buildings prohibit stays shorter than 30 days to maintain residential character.

Houses and fincas (rural properties) generally have fewer restrictions since they're not subject to building bylaws. However, they must still comply with zoning regulations and obtain proper permits from local authorities.

Properties in commercial zones or buildings designated for tourist accommodation face fewer restrictions but may require additional permits and higher insurance coverage. Always verify building bylaws and local zoning before purchasing property intended for tourist rentals.

What are the maximum rental periods allowed under Colombian law for short-term tourist rentals?

Colombian national law doesn't set maximum rental periods, but building bylaws commonly impose minimum stay requirements of 30 days.

Most residential buildings in major cities like Medellín, Bogotá, and Cartagena require minimum stays of 30 days for short-term rentals. This effectively prohibits typical tourist rentals of a few days or weeks in many apartment buildings.

Commercial properties and stand-alone houses have more flexibility, with rental periods typically ranging from one night to several months based on market demand and property management preferences.

Some tourist zones may have specific regulations limiting stays to maximum 30 days to prevent permanent residence establishment, but these vary by municipality and should be verified locally.

Are Americans required to register their property with local tourism authorities before renting it out?

Yes, Americans must register with both the National Tourism Registry (RNT) and local municipal authorities.

The RNT registration is the primary requirement and must be completed before listing your property on any platform. This includes Airbnb, Booking.com, Vrbo, and local Colombian rental platforms.

Additionally, you must maintain guest registration cards for every tourist guest, recording their identification details, stay dates, and contact information. These records must be kept for at least two years and made available to authorities upon request.

Local municipalities may have additional registration requirements, particularly in tourist-heavy areas like Cartagena's Historic Center or Medellín's El Poblado district. These often include zoning permits and building use certificates.

infographics rental yields citiesColombia

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.

What safety, insurance, or liability requirements apply to Americans renting to tourists in Colombia?

Americans must obtain civil liability insurance and comply with technical safety standards (NTS) for tourist accommodation.

Civil liability insurance with minimum coverage of 100 times the minimum monthly wage (approximately $27,000 USD as of September 2025) is required for RNT registration. This insurance covers guest injuries, property damage, and third-party claims.

Safety requirements include fire extinguishers, smoke detectors, first aid kits, emergency exit plans, and proper electrical installations. Properties must meet Colombian building codes and pass safety inspections before RNT approval.

Additional municipal requirements may include security systems, backup lighting, and specific insurance coverage for high-risk areas. Coastal properties often require additional coverage for natural disasters and flooding.

How do platforms like Airbnb handle compliance with Colombian short-term rental laws for foreign owners?

Major platforms require proof of RNT registration and compliance documentation before allowing property listings.

Airbnb, Booking.com, and Vrbo now verify RNT registration numbers and require uploads of registration certificates, tax ID documentation, and insurance policies. Listings without proper documentation are rejected or removed.

These platforms also collect and remit applicable taxes in some Colombian cities, including VAT and tourist taxes. However, property owners remain responsible for income tax payments and annual tax returns.

Non-compliant properties face immediate delisting, and platforms may report violations to Colombian authorities. This has resulted in significant enforcement actions since 2023, with thousands of illegal listings removed from major platforms.

Are there city-specific rules in popular tourist destinations that Americans need to follow?

Yes, major Colombian cities have implemented strict additional regulations for short-term rentals.

City Key Restrictions Additional Requirements
Medellín 30-day minimum stays in residential zones Building owner assembly approval, zoning permits
Bogotá Tourist zone designations required Enhanced safety standards, insurance coverage
Cartagena Historic Center special permits Heritage compliance, noise restrictions
Santa Marta Coastal zone regulations Environmental permits, disaster insurance
Cali Residential building bylaws enforced Municipal tourism registry

It's something we develop in our Colombia property pack.

What are the penalties if an American rents out Colombian property without following local regulations?

Penalties for non-compliance are severe and can include fines up to 2,000 times the minimum monthly wage (approximately $54,000 USD as of September 2025).

Operating without RNT registration results in immediate property closure orders, platform delisting, and fines starting at 500 times the minimum wage ($13,500 USD). Repeat violations increase penalties and can lead to permanent RNT suspension.

Additional consequences include tax evasion penalties with interest and surcharges, potential criminal charges for serious violations, and difficulty obtaining future permits or visas. Properties may be sealed by authorities until compliance is achieved.

Building bylaw violations can result in lawsuits from other property owners, forced sale orders, and exclusion from building amenities. Legal defense costs often exceed $10,000 USD for serious violations.

It's something we develop in our Colombia property pack.

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.

Sources

  1. Can Americans Buy Property in Colombia
  2. Short-term Rentals in Colombia - What You Need to Know
  3. Airbnb Colombia Regulations
  4. Colombian Real Estate Visa Options
  5. Colombia Rentista Visa Guide
  6. How to Obtain Residency in Colombia
  7. Colombia Short-term Rental Compliance
  8. National Tourism Registry Guide
  9. Colombia Tax Information
  10. Colombia Individual Tax Guide