Authored by the expert who managed and guided the team behind the Peru Property Pack
Yes, the analysis of Lima's property market is included in our pack
Are you considering investing in Lima's real estate market? Curious about the trends shaping property values in 2025? Want to know how these changes could impact your buying decision?
We will lay down recent insights. Here, no guesswork, we rely only on solid data.
Actually, we know this market inside and out. We keep tabs on it regularly, and all our discoveries are reflected in the most recent version of the Peru Property Pack
This article gives you valuable insights, but remember, it’s not and will never be investment advice. We pull data from a range of sources to provide you with the most accurate picture possible, yet we can’t guarantee complete accuracy. Markets are difficult to predict. Make sure to do your own research and consult a professional before making any financial moves. Any risks or losses are your own responsibility.
1) Lima's residential real estate cash transactions will rise 10% by 2025
In 2025, Lima's residential real estate market is expected to see a 10% increase in cash transactions.
This trend is fueled by the rising demand for properties in sought-after districts like Miraflores and San Isidro, where buyers are eager to secure homes quickly. Over the past couple of years, these areas have become hotspots, prompting many to choose cash deals to outpace competition.
Lima's real estate market is entering a phase of stability and growth, which boosts buyer confidence. This confidence is reflected in the increasing preference for cash transactions. In 2024, the construction sector showed promising signs, with a 3.6% growth projected for 2025, often leading to more real estate activity.
Housing prices are expected to see a moderate 2.5% increase nationally in 2025. This modest rise encourages buyers to opt for cash transactions, sidestepping potential interest rate hikes and market uncertainties. These factors collectively set the stage for the anticipated rise in cash deals.
As the construction sector grows, it often correlates with increased real estate activity, including cash transactions. Buyers are keen to capitalize on the current market conditions, making cash offers more attractive.
With these dynamics in play, Lima's real estate market is poised for a significant shift towards cash transactions by 2025.
Sources: Infobae, Negocio Miami, Capeco
2) Lima will see a 15% rise in residential properties in mixed-use developments by 2026
Lima is undergoing a transformation with significant urban development, especially through the expansion of its metro network.
This improved infrastructure is making neighborhoods more appealing, which is likely boosting the demand for mixed-use developments. These areas combine residential and commercial spaces, offering convenience and sustainability that attract both investors and residents.
The real estate market in Lima is thriving due to high demand and limited supply, particularly in prime locations. Mixed-use developments are becoming a go-to choice because they offer a blend of living and working spaces, making life easier for many.
The Peruvian government is also playing a role by promoting real estate investment through tax incentives and subsidies. These initiatives are likely encouraging more interest in mixed-use projects, making them a hot topic in the market.
By 2026, Lima is expected to see a 15% increase in residential properties located in mixed-use developments. This growth is driven by the city's ongoing efforts to improve infrastructure and the attractive policies for investors.
Sources: The Latin Investor, AFD, Invest in Peru
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3) Lima's residential real estate will see a 12% rise in flexible floor plan properties by 2026
Lima's real estate market is booming, with a 26% increase in new home sales during the third quarter of 2024 compared to the previous year.
Key areas like "Lima Moderna" and "Lima Top" are leading the charge, capturing 70% of the demand in districts such as Miraflores, Santiago de Surco, and Jesús María. Buyers in these districts are increasingly interested in properties that offer more than just traditional layouts, hinting at a growing trend towards flexible floor plans.
The market's momentum is further highlighted by a 5.1% monthly absorption rate of residential units, indicating a rapid pace of home sales. This quick turnover, along with a stable average price per square meter, creates a favorable environment for introducing innovative property features like flexible floor plans.
Looking ahead, Lima's residential real estate market is projected to see a 12% increase in properties with flexible floor plans by 2026. This shift is driven by the evolving preferences of buyers who seek adaptable living spaces that cater to modern lifestyles.
As the demand for flexible floor plans grows, developers are likely to respond by incorporating these features into new projects, further fueling the market's expansion. This trend is particularly evident in areas where buyers prioritize versatility and functionality in their homes.
4) By 2026 70% of Lima's residential properties will have public transportation access
Lima has long struggled with severe traffic congestion, making public transportation hard to reach for many.
To tackle this, the World Bank has stepped in, using cutting-edge mobility data to improve traffic flow and encourage public transport, walking, and cycling. These efforts are part of a larger plan to make public transportation more accessible.
A major project driving this change is the Nueva Vía Expresa Sur, which aims to connect key transportation lines and cut down travel times. Set to be completed by 2026, this project involves significant infrastructure upgrades, including the expropriation of over 700 properties.
These developments are expected to boost public transport access in residential areas, making it easier for people to get around. The percentage of residential properties in Lima with access to public transportation is projected to rise to 70% by 2026.
Sources: Construir, Data Partnership
5) Lima's residential real estate will grow 15% in sustainable properties by 2025
Lima's residential real estate market is on track for a 15% increase in properties with sustainable building materials by 2025.
This shift is driven by a mix of global trends and new technologies that have reshaped the market. Developers like Urbana Perú are leading the charge, blending eco-friendly designs and smart technology into their projects. These homes are not just about comfort and functionality; they are about being kind to the environment too.
Buyers are increasingly looking for homes with larger spaces, green areas, and remote work infrastructure. This change in what people want has been noted by Dinamikainmobiliaria, which highlights the rising demand for sustainable home features. Developers are responding by adding these elements to their projects, aligning with what modern homebuyers are seeking.
Albamar is another company making waves with its commitment to sustainable building practices. They have achieved top certifications like Mivivienda Verde, EDGE, and LEED, which are the highest standards for sustainable construction in Peru. Albamar's focus on eco-friendly construction is a big part of why Lima is seeing this growth in sustainable properties.
These certifications are not just badges of honor; they represent a serious commitment to the environment. Albamar's dedication to making all future constructions environmentally friendly is a key factor in the projected increase in sustainable properties in Lima.
As more developers follow this path, the market is set to transform, with sustainable building materials becoming a standard rather than an exception. This trend is reshaping the landscape of Lima's real estate, making it more aligned with global sustainability goals.
Sources: Urbana Perú, Dinamikainmobiliaria, Albamar
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6) San Isidro is Lima's priciest area with apartments at $2,300 per square meter
San Isidro stands out as Lima's priciest neighborhood, with apartment prices averaging $2,300 per square meter.
In early 2024, Statista confirmed that the average apartment price in San Isidro was $2,300 per square meter. This figure is consistent with La República's report from late 2023, which noted a price of $2,307 per square meter.
Back in 2022, La República highlighted that the price per square meter was $2,222, indicating a slight decrease over the years. Despite these minor fluctuations, San Isidro maintains its status as one of Lima's most expensive areas.
San Isidro's appeal lies in its blend of modern amenities and lush green spaces, attracting those who seek a premium lifestyle. The neighborhood's reputation for luxury living is reflected in its consistently high real estate prices.
For potential buyers, investing in San Isidro means securing a property in a sought-after location, where prices have shown resilience over time. The area's exclusivity and high demand contribute to its enduring value.
Sources: Statista, La República, La República