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Everything you need to know before buying real estate is included in our Guatemala Property Pack
Thinking about buying a 3-bedroom apartment in Zone 10, Guatemala City? It’s a great area, but you're probably wondering: is now the right time to buy, or should you wait for prices to drop?
And what about long-term investment—should you look into other zones like Zone 14 or Antigua where property values might appreciate more over time?
In this article, we’ll answer these questions. We know this market quite well - and we have put all our knowledge in the Guatemala Property Pack.
Will property prices increase in Guatemala in 2025?
Yes, property prices in Guatemala are expected to rise in 2025, driven by a combination of economic growth and increasing demand for real estate.
Backed by our fresh, in-depth market analysis, we’re confident that Guatemala remains an attractive market for both local and international investors.
While there are challenges such as political instability and infrastructure issues, the main drivers behind Guatemala’s price growth are strong and persistent.
Demand, particularly in urban areas like Guatemala City, continues to outpace supply, making significant price drops unlikely. Additionally, the country's growing middle class and improving economic conditions are contributing to a robust real estate market.
Signals pointing to a property price increase in Guatemala
Here are some factors suggesting prices could increase:
The Guatemalan economy is projected to grow steadily in 2025, boosting consumer confidence and increasing the purchasing power of potential homebuyers, which is likely to drive up property prices.
Urbanization trends are continuing, with more people moving to cities like Guatemala City in search of better job opportunities. This urban migration is expected to increase demand for housing, pushing property prices higher.
Foreign investment in Guatemala's real estate sector is on the rise, attracted by the country's strategic location and economic potential. This influx of capital is likely to stimulate the market and contribute to price increases.
The government is implementing policies to improve infrastructure, such as roads and public transportation, which are expected to enhance property values, particularly in areas benefiting from these developments.
A growing middle class with increasing disposable income is looking to invest in real estate, further driving demand and supporting higher property prices.
The tourism sector in Guatemala is expanding, leading to increased demand for vacation properties and rental units, which is likely to have a positive impact on property prices.
Limited availability of land for new developments in prime urban areas is constraining supply, which, coupled with strong demand, is expected to result in higher property prices.
Signals pointing to a property price decrease in Guatemala
Here are some factors suggesting prices could fall:
Political instability and uncertainty could deter investment and negatively impact the real estate market, potentially leading to a slowdown in price growth.
Infrastructure challenges, such as inadequate public services and transportation, may limit the attractiveness of certain areas, potentially suppressing property prices in those regions.
Rising construction costs due to inflation and supply chain disruptions could lead to higher prices for new developments, which might reduce affordability and dampen demand in the long term.
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If property prices go up in Guatemala, how much would they increase by?
If real estate prices in Guatemala were to rise in 2025, the increase would likely be between 3% to 7% of their 2024 values.
Typically, real estate in emerging markets like Guatemala appreciates by approximately 3% to 7% annually over the long term. However, fluctuations can occur depending on factors such as region, season, and property type.
It means that, if you spot a charming 2-bedroom colonial-style house in Antigua for 1,200,000 quetzales today, don't be surprised if it's priced between 1,236,000 and 1,284,000 quetzales this time next year.
To give you a better understanding, here is a table that shows 7 types of Guatemalan real estate properties, their estimated prices in 2024, and projections for 2025 based on potential price increases of 3%, 5%, and 7%.
| Type of Property | Average Price in 2024 (Q) | Price in 2025 (3% increase) | Price in 2025 (5% increase) | Price in 2025 (7% increase) |
|---|---|---|---|---|
| Colonial House (150 sqm / 1,615 sqft) | Q1,500,000 | Q1,545,000 | Q1,575,000 | Q1,605,000 |
| Modern Apartment (100 sqm / 1,076 sqft) | Q1,000,000 | Q1,030,000 | Q1,050,000 | Q1,070,000 |
| Luxury Villa (200 sqm / 2,153 sqft) | Q3,000,000 | Q3,090,000 | Q3,150,000 | Q3,210,000 |
| Studio (40 sqm / 431 sqft) | Q400,000 | Q412,000 | Q420,000 | Q428,000 |
| Loft (120 sqm / 1,292 sqft) | Q1,800,000 | Q1,854,000 | Q1,890,000 | Q1,926,000 |
| Townhouse (180 sqm / 1,938 sqft) | Q2,500,000 | Q2,575,000 | Q2,625,000 | Q2,675,000 |
| Investment Property (70 sqm / 753 sqft) | Q700,000 | Q721,000 | Q735,000 | Q749,000 |
Everything you need to know is included in our Property Pack for Guatemala
If real estate prices go up in Guatemala City, which areas are likely to see the biggest increases?
Today, people who want to move to Guatemala City seek a blend of cultural heritage and modern amenities, which Zona 10 offers. Hence, we could see a price increase there in 2025.
Also, lately, there's been a shift toward more youthful, vibrant neighborhoods, and Zona 4 has really taken off.
We like it when information is clear and easy to digest. So, here’s a table that highlights the areas where prices might rise the most, along with the reasons behind those expected increases. It’s very high-level. If you want more details on a specific area, please check our real estate pack tailored to the Guatemalan market.
| Neighborhood | Level of Increase | Why |
|---|---|---|
| Zona 10 | High | Recent development of luxury housing projects and its increasing appeal to international buyers as travel normalizes post-pandemic, driving demand. |
| Zona 14 | High | Expected rise due to limited housing stock, upcoming renovations to heritage buildings, and growing demand for prime properties in central Guatemala City. |
| Zona 4 | Medium-High | Ongoing gentrification and new transport links, along with several planned redevelopment projects in the area, are likely to push prices higher. |
| Zona 15 | Medium | The shift towards hybrid workspaces is driving demand for residential properties near business districts, combined with new mixed-use developments. |
| Zona 16 | Medium-High | Eco-friendly urban projects and recent construction of new schools and parks are increasing its attractiveness for families, pushing prices upward. |
| Zona 1 | Medium | Investment in local infrastructure, such as the extension of tram lines and renovation of historic areas, is boosting long-term value. |
| Zona 13 | Medium-High | With new cultural and commercial spaces being developed, this trendy neighborhood is seeing increased demand from both residents and investors. |
| Zona 9 | High | Upcoming large-scale urban regeneration projects and improved public transport access are expected to make this area more desirable. |
| Carretera a El Salvador | Medium-High | Its proximity to Guatemala City, along with new office and residential developments, makes it increasingly attractive to professionals seeking more space. |
| Zona 11 | Medium | Gentrification and cultural regeneration projects are attracting new residents, leading to rising prices as the area becomes more fashionable. |
| Antigua Guatemala | High | As new luxury developments are launched, demand for premium housing among wealthy buyers is expected to further increase property values. |
| Zona 2 | High | Upcoming restoration of historic sites and high-profile cultural projects are driving a renewed focus on this central, historic location. |
If I'm looking to invest in real estate, what types of properties should I focus on for the best value appreciation in Guatemala?
In 2025, Guatemala's real estate trends focus on tech-smart, energy-efficient apartments, larger suburban homes for families, properties with outdoor spaces, and eco-friendly buildings—all driving higher demand and prices. Here is a summary.
- Tech-Equipped and Energy-Efficient Apartments:
Driven by remote work and sustainability trends, these homes offer smart technology features and energy-saving systems. They cater to young professionals and tech workers, making them a hot commodity in 2025.
- Family-Sized Homes in Suburban Areas:
With a growing demand for larger living spaces, especially among families, suburban areas near Guatemala City are seeing increased interest. Proximity to green spaces and schools is a major factor driving value.
- Properties with Outdoor Spaces:
Post-pandemic, outdoor spaces like terraces, balconies, or gardens have become highly desirable. In urban areas like Guatemala City, these features offer a much-needed escape and are likely to drive up property values.
- Eco-Friendly Buildings with Low Carbon Footprints:
Guatemala's growing commitment to sustainability is boosting demand for eco-certified buildings. Buyers are increasingly valuing properties that align with the country's green goals, leading to price appreciation in this category.
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