Buying real estate in Guatemala?

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How's the housing market in Guatemala City now?

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

buying property foreigner Guatemala

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

As of September 2025, Guatemala City's housing market shows strong momentum with steady price appreciation and high rental yields attracting both local and international investors.

Property prices in central neighborhoods like Zona 10, 14, and 15 now range from US$1,400-2,000 per square meter for apartments, while the Guatemala City residential market has seen consistent growth of 4-6% annually over the past year.

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.

How this content was created 🔎📝

At The LatinVestor, we explore the Guatemala 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 areas like Zona 10, Zona 14, and Ciudad Cayalá. 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.

Trustworthiness 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.

What are the current average selling prices for houses and apartments in different parts of Guatemala City?

Guatemala City property prices vary significantly by location, with central neighborhoods commanding premium rates.

In prestigious areas like Zona 10, Zona 14, and Zona 15, apartments sell for US$1,400-2,000 per square meter, while houses in these same zones range from US$1,000-1,500 per square meter. Typical property prices in these central areas span from US$120,000 to over US$2,000,000, depending on size and luxury level.

Outskirt areas offer more affordable options at US$800-1,000 per square meter for both apartments and houses. Luxury units in prime locations, particularly in Zona 10 and Zona 15, reach the highest end of the pricing spectrum at US$2,000 per square meter.

The Guatemala City residential market shows clear price segmentation, with modern developments and gated communities in central zones attracting premium pricing due to security, amenities, and proximity to business districts.

How have property prices changed over the past 3 months, 12 months, and 5 years?

Guatemala City property prices have shown consistent upward momentum across all timeframes.

Over the last 3 months in 2025, prices increased 1-2%, reflecting steady market appreciation. The 12-month trend shows stronger growth of 4-6% citywide, which aligns with the market's historical average annual appreciation rate.

Looking at the 5-year trajectory, Guatemala City has experienced cumulative price increases of 15-25%, with premium zones like Zona 10 and 15 leading this growth. Some city-center properties have seen increases exceeding 59% over this period, demonstrating particularly strong long-term appreciation in desirable locations.

This consistent growth pattern reflects Guatemala City's stable economic fundamentals and increasing demand from both domestic buyers and international investors seeking exposure to Central American real estate markets.

What's the current average rental yield in each neighborhood for different property types?

Guatemala City rental yields are among the most attractive in Central America, particularly in central business districts.

City center properties deliver gross rental yields of 8.4-10.3%, with apartments generally outperforming houses in yield generation. Areas outside the center still offer solid returns of 5.7-8.7%, making Guatemala City an appealing market for income-focused investors.

The highest yields concentrate in Zona 10, where business travelers and young professionals drive strong rental demand. Zona 4's creative and trendy atmosphere also supports premium rental rates, while established residential zones like Zona 14 and 15 provide more stable, moderate yields.

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

Apartments consistently outperform houses in rental yield metrics due to higher tenant density, lower maintenance costs per unit, and stronger demand from young professionals and expatriates working in Guatemala City's growing business sector.

Which areas are seeing the highest demand for buying versus renting?

Guatemala City's demand patterns clearly favor premium central zones for both purchasing and rental activity.

The highest purchase demand concentrates in Zonas 10, 14, 15, and 16, driven by modern amenities, infrastructure improvements, and enhanced security features. These areas attract buyers seeking long-term residence or investment properties with strong appreciation potential.

For rental demand, Zona 10 leads due to its business district concentration and nightlife options, making it popular with working professionals and expatriates. Zone 4 attracts the creative community and younger demographics, while central zones maintain consistent rental demand from both locals and international residents.

Short-term rental demand peaks in Zona 10, Zona 4, and historic downtown areas, where tourists and business visitors prefer proximity to restaurants, cultural attractions, and commercial centers. The buying market shows stronger preference for security-focused developments, while rental demand emphasizes lifestyle and convenience factors.

What's the average time a property stays on the market before selling in each area?

Guatemala City's property sales velocity varies significantly between central and peripheral locations.

Prime zones including Zona 10, 14, and 15 typically see properties sell within 2-4 months, with luxury units often moving even faster due to limited supply and strong buyer demand. These central areas benefit from established buyer networks and clear value propositions.

Peripheral zones require longer marketing periods, with properties often remaining on the market for 4-7 months. This extended timeline reflects buyer preferences for central locations and the additional due diligence required for properties in developing areas.

Newly constructed apartments and houses in gated communities typically sell faster than older properties requiring renovation. The luxury segment moves most quickly, while mid-range properties require more strategic pricing and marketing to achieve timely sales.

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Are there more listings coming on the market now compared to last year?

Guatemala City's property listings increased 7% year-on-year in 2025 compared to 2024, indicating growing seller confidence and market activity.

This increase reflects new development completions hitting the market, particularly in established zones where developers have focused their recent construction efforts. The rise in listings also suggests property owners are confident in current pricing levels and market demand.

New developments in Zona 14, 15, and Ciudad Cayalá contribute significantly to listing growth, as these projects target the expanding middle and upper-middle class markets. Additionally, some investors are capitalizing on strong price appreciation by selling properties acquired in previous years.

The 7% increase in listings, combined with maintained sales velocity in prime areas, suggests a healthy balance between supply and demand rather than market oversaturation.

What's the current trend in mortgage interest rates and lending conditions in Guatemala?

Guatemala's mortgage market offers accessible financing with conservative but stable lending conditions.

Typical mortgage rates range from 6-10% fixed for 20-year terms, requiring down payments of 20-30%. Local banks maintain relatively stable lending standards, making mortgages accessible for salaried buyers with good credit histories.

Lending conditions remain more conservative compared to North American markets, with stricter income verification and debt-to-income requirements. The World Bank reports average lending rates of 12.4%, though consumer mortgage rates typically fall in the lower 6-10% range.

Guatemala's banking system emphasizes stability over aggressive lending, resulting in steady mortgage availability without the dramatic rate fluctuations seen in other markets. This conservative approach supports sustainable homeownership growth and reduces market volatility risks.

Which neighborhoods are considered the safest and most desirable for long-term living?

Zone Safety Features Lifestyle Benefits
Zone 10 Private security, gated areas Upscale dining, nightlife, business district
Zone 14 Affluent residential, 24/7 security Family-oriented, parks, quality schools
Zone 13 Hotel district security presence Airport proximity, business facilities
Zone 9 Business area patrol, hotel security Commercial amenities, transportation
Zone 16 (Ciudad Cayalá) Modern gated community design Planned development, modern amenities
Zone 15 Established residential security Mature neighborhoods, local services
Zone 4 Improving security infrastructure Creative district, cultural venues

Where are the best opportunities for short-term rental income right now?

Guatemala City's short-term rental market offers strong income potential in strategic locations.

Zona 10 delivers the highest short-term rental performance within Guatemala City, attracting business travelers and tourists seeking proximity to restaurants, nightlife, and commercial districts. The top 10% of properties in Guatemala City generate US$1,469+ monthly with occupancy rates above 80%.

Zone 4 appeals to younger travelers and the creative community, while downtown areas capture tourists interested in historical attractions. The median short-term rental property in Guatemala City generates approximately US$570 per month.

While Antigua remains the most profitable short-term rental market in Guatemala overall with yields up to 12%, Guatemala City's Zona 10 provides the strongest urban short-term rental opportunity with consistent business and leisure travel demand.

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

infographics rental yields citiesGuatemala City

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.

Which property types are expected to appreciate the most in the next 2-3 years?

Guatemala City's property appreciation will be led by modern vertical developments and sustainable projects.

Luxury apartments in new vertical developments, particularly in Zonas 10, 14, and 15, are projected to appreciate 5-7% annually over the next 2-3 years. These properties benefit from limited land availability in prime locations and growing demand from affluent buyers.

Eco-friendly and sustainable projects command premium pricing and are gaining value as environmental consciousness increases among buyers. These developments often trade at 10-15% premiums over conventional properties.

Mid-range condos and apartments targeting young professionals show steady appreciation potential of 4-5% annually, supported by Guatemala's growing middle class and urbanization trends. Properties in areas with new infrastructure development, particularly near the Metro Riel corridor, offer additional upside potential.

If I have a specific budget, what are the best areas and property types to target for buying now?

Budget Range Recommended Areas Property Types
Under $150,000 Outer zones, Mixco, Villa Nueva 1-2 bedroom apartments, small houses
$150,000-$350,000 Zone 4, parts of Zone 10, Zone 14 Modern condos, townhouses
$350,000-$500,000 Zona 10, Zona 14, select Zone 15 Luxury apartments, gated community homes
$500,000-$750,000 Prime Zona 10, Zona 15, Ciudad Cayalá Premium apartments, upscale houses
$750,000+ Ultra-prime locations all central zones Luxury penthouses, estate homes
Investment Focus Areas near infrastructure development New construction, rental-optimized units
First-time Buyers Emerging areas with growth potential Move-in ready apartments, low maintenance

If my goal is to resell in the medium term, where should I focus my search for maximum profit potential?

Guatemala City's best medium-term profit opportunities concentrate in premium central zones and emerging infrastructure corridors.

Focus on Zona 10, Zona 15, and upscale new developments for maximum appreciation and liquidity. These areas maintain consistent buyer demand and typically appreciate faster than the market average, making them ideal for 3-5 year investment horizons.

Gentrifying neighborhoods near new infrastructure, particularly areas along the Metro Riel corridor and parts of Mixco with improved transportation access, offer strong profit potential as urban development expands. These locations benefit from infrastructure improvements while maintaining more accessible entry prices.

Modern apartments in premium zones move fastest and yield strong appreciation with less volatility compared to houses or older properties. Target new or recently completed developments in established neighborhoods for optimal resale potential.

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

Properties near planned commercial developments, international schools, or business centers offer additional upside as these amenities typically drive sustained demand and price appreciation in Guatemala City's evolving urban landscape.

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. The LatinVestor - Average House Price in Guatemala
  2. The LatinVestor - Guatemala City Price Forecasts
  3. The LatinVestor - Guatemala City Real Estate Market
  4. The LatinVestor - Guatemala Price Forecasts
  5. Numbeo - Property Investment Guatemala
  6. Food Travel Explore - Where to Stay Guatemala City
  7. AirROI - Guatemala City Report
  8. Trading Economics - Guatemala Lending Interest Rate
  9. Guatemala Explorer - Planning Trip Guatemala
  10. Global Property Guide - Guatemala Rent Yields