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Everything you need to know before buying real estate is included in our Honduras Property Pack
Honduras presents a mixed bag for property buyers in June 2025.
The residential market shows steady growth in key areas like Tegucigalpa, San Pedro Sula, and especially Roatán, where beachfront properties have seen remarkable appreciation. While mortgage rates remain high for foreign buyers at 10-14%, the stable currency and growing infrastructure investments create interesting opportunities. Political uncertainty ahead of November 2025 elections adds some risk, but tourist areas and urban centers continue attracting strong foreign investment.
If you want to go deeper, you can check our pack of documents related to the real estate market in Honduras, based on reliable facts and data, not opinions or rumors.
| Factor | Status | Does it make it a good time to buy? |
|---|---|---|
| Price Trends | Rising 3-8% annually | Yes - Buy before further increases |
| Mortgage Rates | 10-14% for foreigners | No - High financing costs |
| Currency Stability | Stable at 25.85:1 | Yes - Low exchange risk |
| Rental Yields | 5-8% in tourist areas | Yes - Strong income potential |
| Infrastructure | Major projects underway | Yes - Future appreciation |
| Political Climate | Elections November 2025 | Neutral - Some uncertainty |
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.
Are property prices in Honduras currently rising or falling in June 2025?
Property prices in Honduras are definitively rising across all major markets in June 2025.
Tegucigalpa saw a 3% increase in 2024 and continues steady growth, with prices averaging $1,200 per square meter. San Pedro Sula maintains medium-high price growth driven by industrial expansion. The standout performer is Roatán, where beachfront properties appreciated 8% in 2024 and are projected to rise another 3-7% in 2025, with some forecasts suggesting up to 20% growth by 2026.
The market is experiencing its strongest growth phase in years, particularly in areas benefiting from infrastructure improvements and foreign investment. Unlike many Central American markets that have plateaued, Honduras continues to see genuine price appreciation driven by real demand rather than speculation.
The rising trend is particularly pronounced in tourist areas and urban centers, where limited inventory meets strong demand from both local and international buyers.
What types of properties offer the best value in Honduras today?
In June 2025, the best value opportunities in Honduras vary significantly by location and buyer goals.
Condominiums within the 3,000 square meter foreign ownership limit represent particularly good value, as they avoid the need for corporate structures while still offering strong rental potential. In Roatán, properties suitable for short-term rental can achieve 6-8% rental yields with proper management.
| Property Type | Location | Price Range | Best For |
|---|---|---|---|
| Urban Condos | Tegucigalpa | $100,000-$200,000 | Rental income from professionals/students |
| Beach Condos | Roatán | $250,000-$400,000 | Short-term rental investment |
| Single-Family Homes | San Pedro Sula | $150,000-$300,000 | Long-term appreciation |
| Beachfront Land | Bay Islands | $350-$500/sqm | Development or speculation |
| Gated Community Homes | Multiple locations | $200,000-$500,000 | Security-conscious buyers |
As of today, are there more buyers or sellers in the Honduras real estate market?
The Honduras property market in June 2025 clearly favors sellers, particularly in high-demand areas.
In Roatán, limited beachfront inventory faces strong competition from North American retirees and investors, creating a seller's market with multiple offers common on desirable properties. Tegucigalpa shows balanced conditions with an 8% vacancy rate, indicating healthy but not excessive demand.
Foreign buyer interest remains robust despite high mortgage rates, with cash buyers from the United States and Canada particularly active. The seller's advantage is most pronounced in beachfront properties in Roatán where there's a severe inventory shortage, modern condos in Tegucigalpa's prime neighborhoods, gated communities near San Pedro Sula, and properties with existing rental income streams.
This seller's market suggests buyers need to act decisively when finding suitable properties, as negotiating power is limited in the most desirable locations. Properties priced correctly often receive offers within weeks, particularly in tourist areas.
What are the current mortgage rates for property buyers in Honduras?
Mortgage rates in Honduras remain challenging for foreign buyers in June 2025, significantly impacting the overall cost of property investment.
Foreign buyers face annual interest rates of 10-14% for 20-year terms, while the general lending rate sits at 16% as of 2024 data. Down payment requirements typically range from 30-40% for foreigners, and a valid residence permit is needed for most bank loans. These rates are substantially higher than North American or European standards, making cash purchases or seller financing attractive alternatives.
Major banks offering foreign mortgages include Banco Ficohsa, Banco Atlántida, and Banco de Occidente. Seller financing is particularly common in Roatán, often with more flexible terms than traditional bank loans. Many developers offer payment plans at 8-10% interest, making this a viable option for buyers unable to secure favorable bank financing.
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How do current property prices in Honduras compare to regional competitors?
Honduras offers compelling value compared to other Central American countries in June 2025.
The country remains the most affordable option for beachfront property in Central America, with prices 50-70% lower than Costa Rica. Honduras beachfront properties range from $350-500 per square meter, while Costa Rica commands $800-1,500. Urban properties in Honduras average $1,200 per square meter compared to over $2,000 in Costa Rica.
| Country | Beachfront $/sqm | Urban $/sqm | Overall Cost Level |
|---|---|---|---|
| Honduras | $350-500 | $1,200 | Lowest |
| Costa Rica | $800-1,500 | $2,000+ | Highest |
| Belize | $600-1,000 | $1,500 | High |
| Nicaragua | $400-700 | $900 | Low-Medium |
| Guatemala | $500-800 | $1,100 | Medium |
The Bay Islands' special status allowing easier foreign ownership makes Honduras particularly attractive compared to Nicaragua or Guatemala's more restrictive policies.
What infrastructure developments are currently impacting Honduras property values?
Major infrastructure projects in 2025 are significantly boosting property values across Honduras.
The fully operational Palmerola International Airport is boosting Tegucigalpa and Comayagua property values, while CA-13 highway upgrades linking San Pedro Sula to the Caribbean coast improve accessibility. Currently under construction are new road corridors in northwestern Honduras, major urban road projects in Tegucigalpa, and tourism infrastructure in Roatán and Tela.
Properties near these improvements are seeing accelerated appreciation. Areas within 30 minutes of Palmerola Airport have experienced 5-10% value increases since operations began. The improved connectivity is particularly benefiting Comayagua residential developments, properties along upgraded highway corridors, and tourist-oriented real estate in newly accessible coastal areas.
These infrastructure investments represent a long-term catalyst for property appreciation, particularly in previously underserved areas now gaining improved access to major cities and tourist destinations.
Are Honduras condos and houses regarded as safe investments today?
Honduras residential properties present a moderate-risk, potentially high-reward investment in June 2025.
The safety of these investments varies significantly by location and property type. Positive investment factors include consistent price appreciation of 3-8% annually, strong rental yields in tourist areas reaching 6-8%, stable currency reducing exchange rate risk, a growing expat community ensuring demand, and limited supply in prime locations.
Risk factors include political uncertainty with November 2025 elections, high crime rates affecting some areas, slow legal processes for property disputes, limited financing options for foreigners, and natural disaster exposure in coastal areas. Properties in gated communities, established expat areas, and tourist zones like Roatán represent the safest investments.
Urban properties in secure neighborhoods of Tegucigalpa and San Pedro Sula also offer reasonable safety with proper due diligence. The key is thorough research and working with reputable local professionals who understand the market dynamics.
What are the short-term and long-term price forecasts for properties in Honduras?
Property price forecasts for Honduras show continued appreciation potential through 2030.
Short-term forecasts for 2025-2026 project Roatán growth of 3-7% in 2025, potentially reaching 20% by end of 2026. Tegucigalpa expects steady 3-5% annual appreciation, while San Pedro Sula anticipates 4-6% growth driven by industrial expansion. The overall market expects 5.12% growth through 2029.
Long-term outlook for 2027-2030 shows strong fundamentals for continued appreciation. Infrastructure completion could add 10-15% in affected areas, tourism growth might boost coastal properties by 15-25%, and urban development could see 20-30% cumulative growth in cities. Foreign investment is expected to sustain 5-7% annual growth, though political stability remains a key variable.
The most optimistic scenarios see Roatán beachfront properties doubling in value by 2030, while conservative estimates suggest 40-50% appreciation across quality properties in prime locations.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Honduras. 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.
What are the current costs of buying property in Honduras as a foreign investor?
Foreign property buyers in Honduras face several costs beyond the purchase price in June 2025.
Transfer taxes range from 1.5-2.5% based on property value, while notary fees add 0.3-0.5% of the purchase price. Title insurance, though optional, is recommended at 0.5% with a minimum of $1,000. If buying through a corporation for properties exceeding the 3,000 square meter limit, setup costs range from $9,950-$21,400.
| Cost Category | Percentage/Amount | On $300,000 Purchase |
|---|---|---|
| Transfer Tax | 1.5-2.5% | $4,500-$7,500 |
| Notary Fees | 0.3-0.5% | $900-$1,500 |
| Title Insurance | 0.5% (min $1,000) | $1,500 |
| Legal Fees | 1-2% | $3,000-$6,000 |
| Total Closing Costs | 3.3-5.5% | $9,900-$16,500 |
Annual property taxes remain low at 0.15-0.25% based on cadastral value, making ongoing ownership costs minimal compared to many countries.
How do current rental yields in Honduras compare to other investment options?
Honduras offers attractive rental yields in June 2025, particularly in tourist areas where returns significantly outperform traditional investments.
Current rental yields vary by location, with Roatán short-term rentals achieving 6-8% and best properties exceeding 10%. Tegucigalpa urban apartments generate 5-7%, while San Pedro Sula residential properties yield 4-6%. Utila vacation rentals produce 6-7%, and rural properties typically see 3-4% returns.
Compared to alternatives, these yields are compelling. Honduras bank deposits offer only 4-5% annually, while US Treasury bonds yield 4.5-5%. Regional real estate in Costa Rica generates 4-5% and Nicaragua 5-6%. The Honduras stock market offers limited options with high volatility.
The combination of rental income and appreciation potential makes Honduras property particularly attractive. A well-managed Roatán Airbnb generating 7% yields plus 5% annual appreciation offers 12% total returns, significantly outperforming most traditional investments.
It's something we develop in our Honduras property pack.
What visa and residency benefits come with property investment in Honduras today?
Property investment in Honduras provides attractive pathways to residency in June 2025.
The investment residency program requires a minimum investment of $50,000 USD in real estate, with an application process taking 3-6 months. Initial renewals are required every 1-3 years, with permanent residency available thereafter. Benefits include legal residence status, ability to obtain bank financing, access to local business opportunities, a path to citizenship after 5 years, and no worldwide income tax for foreign-source income.
Alternative programs include the Rentista Program for those with passive income and the Pensionado Program for retirees with pension income. Both programs remain active with streamlined processes in 2025. Property investment represents the most straightforward residency path, particularly attractive given the country's territorial tax system that doesn't tax foreign-source income.
This residency benefit adds significant value to property investment, especially for those seeking a tax-efficient retirement or investment base in Central America.
Is the political and economic climate stable enough for property investment in June 2025?
Honduras presents a mixed political and economic picture in June 2025, with both opportunities and risks for property investors.
Economic indicators show GDP growth of 2.8% projected for 2025, down from 3.6% in 2024. Inflation remains stable at 4.4-5%, while the currency holds steady at 25.85 HNL per USD. Foreign investment continues to flow, especially to the tourism sector, indicating international confidence in select market segments.
Political considerations include general elections scheduled for November 2025, creating some short-term uncertainty. Current political polarization and persistent concerns about governance, crime, and corruption add to the risk profile. However, no major policy changes affecting foreign property ownership are expected regardless of election outcomes.
The upcoming elections create short-term uncertainty but historically haven't significantly impacted property rights or foreign investment policies. Tourist areas like Roatán remain largely insulated from political turbulence.
Buyers comfortable with emerging market risks will find the current uncertainty already priced into the market, potentially creating buying opportunities before post-election stability returns.
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.
June 2025 represents a rather good time to buy property in Honduras, particularly for buyers who can navigate the market's complexities.
The combination of rising prices, stable currency, improving infrastructure, and strong rental yields outweighs concerns about high mortgage rates and political uncertainty. Roatán stands out as the star performer with exceptional growth potential, while urban markets offer steady appreciation and rental income. Foreign buyers willing to work within ownership restrictions and pay cash or secure seller financing will find genuine opportunities in a market that remains significantly undervalued compared to regional alternatives. The key is acting before infrastructure improvements and growing foreign interest push prices beyond current attractive levels.
Sources
- The Latin Investor - Honduras Real Estate Forecasts
- The Latin Investor - Tegucigalpa Real Estate Market
- The Latin Investor - Honduras Price Forecasts
- Fazwaz Honduras - San Pedro Sula Properties
- Trading Economics - Honduras Lending Interest Rate
- The Latin Investor - Honduras Real Estate for Foreigners
- Global Property Guide - Honduras Buying Guide
- International Living - Honduras Real Estate
- The Latin Investor - Roatan Island Price Forecasts
- Airroi - Roatan Rental Market Report