Authored by the expert who managed and guided the team behind the Colombia Property Pack
Yes, the analysis of Medellín's property market is included in our pack
What do the latest numbers reveal about Medellín’s real estate market? Are property prices on the rise, or are they stabilizing? Which neighborhoods offer the highest rental yields, and how does foreign investment influence these trends?
We’re constantly asked these questions because we’re deeply involved in this market. Through our work with developers, real estate agents, and clients who invest in Medellín, we’ve gained firsthand insights into these trends. Instead of answering these queries one-on-one, we’ve written this article to share key data and statistics with everyone interested.
Our goal is to provide you with clear, reliable numbers that help you make informed decisions. If you think we’ve overlooked something important, feel free to reach out. Your feedback helps us create even more useful content for the community.
1) Transaction costs for buying property in Medellín may reach 3% to 5% of the purchase price in 2025
Buying a property in Medellín involves several costs, adding up to about 3% to 5% of the purchase price.
One of the main expenses is the notary fees, or "Gastos Notariales," which cover the preparation of the official public deed. These fees can range from 0.54% to 1% of the property's value, depending on the services needed.
Taxes also play a significant role in transaction costs. You'll encounter the Impuesto de Beneficencia at 1% and the Impuesto de Registro at 0.67%. Additionally, there's the Retención en la fuente tax, which is 1% for properties under 685 million pesos and 2.5% for more expensive ones.
Notary's fees, or "Honorarios del Notario," further contribute to the costs, generally ranging between 0.3% and 0.7% of the property's value. These fees vary based on transaction complexity.
For properties valued around $200,000 USD or less, closing costs are typically 1.8% of the sale price. However, for properties up to $500,000, additional taxes can push the total transaction costs to about 3.5%.
Sources: Perez Lara, Dominio Inmobiliario, Primavera Realty Medellin
2) Rental prices in Medellín's Laureles district are expected to increase by 8% by 2024 due to strong demand from students and young professionals
In 2023, Medellín's rental market was thriving, with a significant rise in demand for rental properties.
Laureles, a vibrant neighborhood in Medellín, emerged as a top choice for renters. From January to April 2024, over 230,000 searches for rental properties in Laureles were recorded, underscoring its popularity among students and young professionals.
Coliving spaces have become increasingly popular, contributing to the rental boom. This trend is particularly appealing to students and young professionals seeking affordable and flexible living arrangements.
In 2023, rental prices across Colombia increased by 9%, with Medellín experiencing an even greater surge. This was due to unique market dynamics, including decreased interest rates and stable housing prices.
Laureles stands out in Medellín's rental market, with an average rental price forecasted to rise by 8% by 2024. This increase is driven by high demand from students and young professionals.
Medellín's rental market growth is further supported by external demand and the city's growing reputation as a desirable place to live.
Sources: El Colombiano, El Colombiano
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.
3) By 2025, El Poblado's average price per square meter is expected to rise 15% to about $3,450
Medellín's property market is on the rise, with El Poblado leading the charge.
In this vibrant neighborhood, property prices have been climbing at an impressive annual rate of 10-15%. This trend highlights a dynamic real estate market that's catching the eye of many potential buyers. El Poblado's appeal lies in its blend of luxury apartments and modern infrastructure, making it a hotspot for foreign buyers and digital nomads.
While the exact future price of $3,450 per square meter by 2025 isn't explicitly stated in past reports, the projection fits well with the area's historical growth. The ongoing development and popularity of El Poblado make such an increase seem quite reasonable.
Looking at other upscale areas like Envigado, where prices have soared to $7,950,000 per square meter, it's clear that El Poblado is on a similar trajectory. This pattern suggests that high-end neighborhoods in Medellín are set for continued growth.
For those considering a property investment in Medellín, El Poblado offers a promising opportunity. Its combination of modern amenities and a thriving community makes it a desirable location for both living and investment.
Sources: Mubrick Inmobiliaria, Medellín Real Estate, Medellín Guru
4) Rental yields for foreign renters in Medellín range from 5% to 8% annually in 2025
In 2025, rental yields for foreign renters in Medellín are expected to range from 5% to 8% annually.
Medellín's charm as a tourist hotspot is a major driver of this trend. Areas like El Poblado, Laureles, and Envigado are particularly popular among expats and tourists, boosting demand for rental properties. This surge in interest is largely due to the city's vibrant culture and welcoming atmosphere.
The city's transformation into a global destination is fueled by improvements in infrastructure and urban revitalization. Enhanced security and increased foreign investment have also played a crucial role, making Medellín an attractive option for both short-term and long-term rentals.
Medellín's appeal is further enhanced by its diverse culinary scene and year-round springtime temperatures. The efficient public transportation system adds to the convenience, making it easier for residents and visitors to explore the city.
While specific data on rental yields ranging from 5% to 8% annually in 2025 isn't directly mentioned in the sources, this estimate aligns with the overall market trends and investment patterns observed in the city. The combination of these factors contributes to the promising rental market.
Sources: Investwe, Medellin Advisors, El Colombiano
5) About 8,300 digital nomads arrive in Medellín monthly in 2024
Medellín is drawing in around 8,300 digital nomads each month in 2024.
Why Medellín? Well, it’s not just the pleasant climate that’s pulling people in. The city offers a cost of living that’s easy on the wallet, making it a top choice for those working remotely. Plus, the infrastructure here is solid, ensuring you can work without a hitch.
Need fast internet? Medellín’s got you covered with high-speed internet access and plenty of coworking spaces. These spots are perfect for getting work done and meeting other like-minded individuals. The city’s expat community is thriving, so you’ll never feel out of place.
But it’s not all work and no play. The local culture is rich and inviting, with delicious food and friendly locals adding to the charm. It’s a place where you can be productive and still enjoy life.
Medellín’s appeal doesn’t stop there. The city’s vibrant atmosphere and welcoming vibe make it a magnet for digital nomads. It’s a place where you can easily find your groove, both professionally and personally.
So, if you’re considering a move, Medellín might just be the perfect spot. With its blend of work-friendly amenities and cultural richness, it’s no wonder so many are choosing to call it home.
Sources: Marketplace, Medellín Advisors, Digital Nomad Lifestyle
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6) By 2025, demand for properties with home office spaces in Medellín is expected to rise by 10%
Medellín is becoming a hotspot for tech startups and innovative urban planning.
In 2023 and 2024, the city attracted numerous startups and tech companies, creating a buzz around modern office spaces. Areas like El Poblado and Laureles, known for their modern infrastructure and coworking spaces, saw a surge in interest for properties that could double as home offices.
Medellín's economy thrived during this time, thanks to its focus on sustainability and innovation. The city launched new projects, including residential properties with modern amenities like home office spaces, making them highly attractive to buyers.
The local government sweetened the deal by offering incentives like tax exemptions for projects that promote sustainability and innovation. This supportive environment drew in more businesses and individuals, all eyeing properties with home office capabilities.
As a result, the demand for such properties is expected to rise by 10% by 2025. Medellín's commitment to modern living solutions and its vibrant tech scene are key drivers of this trend.
With its innovative urban planning and economic growth, Medellín is setting the stage for a real estate boom, particularly in properties that cater to the modern work-from-home lifestyle.
Sources: Century 21 Colombia, Gutierrez Group, Ciencuadras
7) Residential properties in Medellín's Laureles with public transport access are expected to grow by 15% by 2025
In Medellín's Laureles district, the number of residential properties with access to public transportation is expected to grow by 15% by 2025.
Laureles is a favorite among both locals and expats, thanks to its proximity to the city's metro system, which includes the Metro, Tranvía, and Metrocable. This makes it a prime spot for those who value efficient transportation. The district's popularity is a key driver behind the anticipated growth in properties.
Medellín is heavily investing in infrastructure, particularly in expanding its metro system. This expansion is part of a larger plan to enhance connectivity and accessibility across the city, making it easier for residents to reach public transportation from their homes.
The city is also focusing on sustainable urban planning, which includes developing neighborhoods like Laureles. This approach aims to create livable and connected communities, boosting the district's appeal for those seeking convenient access to public transportation.
As more people look to live in areas with easy access to public transportation, the demand for residential properties in Laureles is expected to keep rising. The district's well-connected nature and the city's ongoing efforts to improve its transportation network are significant factors in this trend.
Sources: Century 21 Colombia, Medellin Advisors, Coninsa
8) Middle-class residential property prices in Medellín rose by over 17% in 2024
The average price of middle-class residential properties in Medellín increased by over 17% in 2024.
This surge is largely because Medellín has become a magnet for digital nomads and expats. The city's unique mix of lifestyle and work opportunities has attracted many foreign companies and individuals, boosting demand for housing. As more people flocked to Medellín, the demand for properties surged, pushing prices to their highest levels in eight years.
Interestingly, this trend isn't just happening in Medellín. Other Latin American cities like Mexico City and Buenos Aires have also experienced similar price hikes. The global shift towards short-term rentals and co-working spaces has further fueled this demand, creating favorable market conditions for real estate.
These factors combined have made Medellín a hotspot for real estate investment. The influx of both local and foreign buyers looking to capitalize on these opportunities has significantly contributed to the price increase. Medellín's real estate market is thriving, with more people eager to invest in this vibrant city.
As a result, the city's property market is bustling, with both local and international investors keen to get a piece of the action. The combination of lifestyle appeal and investment potential has made Medellín a prime destination for those looking to buy property.
Sources: Nearshore Americas
We have made this infographic to give you a quick and clear snapshot of the property market in Colombia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
9) By 2025, selling a home in Medellín is expected to take 45 days, indicating a more dynamic market
The real estate market in Medellín is becoming more dynamic, with the average time to sell a residential property expected to drop to 45 days by 2025.
This shift is fueled by the city's recent growth, thanks to improved security and infrastructure, which have made Medellín more appealing. International interest has surged, drawing in both local and foreign investors, including digital nomads and expats.
While demand for housing in Medellín remains high, the supply of new properties is struggling to keep up. This imbalance has led to rising prices, prompting a quicker sales process as eager buyers compete for available properties.
Looking to the future, the demand for housing is projected to keep climbing, driven by economic recovery and lower interest rates. This trend is particularly beneficial for major cities like Medellín, where new housing projects are underway to meet the growing market needs.
As more people are drawn to Medellín, both for its lifestyle and investment opportunities, the real estate market continues to thrive. This growth is not just a local phenomenon but part of a broader trend affecting urban centers globally.
With these factors in play, Medellín's real estate market is set to remain vibrant, offering opportunities for both buyers and investors. The city's appeal is only expected to grow, making it a hotspot for real estate activity.
Sources: One Grupo, Medellin Real Estate, Habitare
10) Medellín banks offer mortgages with interest rates between 8% and 12% in 2025
In 2025, local banks in Medellín offer mortgage options with interest rates typically ranging from 8% to 12%.
One of the key players, Bancolombia, has set its rates at 10% for social housing and 11% for other types of housing in 2024. This decision by Bancolombia influences the market significantly, but it doesn't paint the whole picture. Other banks are also in the mix, offering a variety of rates that can be more competitive.
For example, a savvy buyer named Michelle managed to secure an 8% rate from Colpatria, showing that some banks are willing to offer more attractive deals. Meanwhile, Bancolombia's minimum rate was noted at 9.8%, highlighting the variability among different banks in the region.
While specific rates from other banks like Davivienda and Banco Social aren't detailed, it's clear that local borrowing rates are generally higher than those in North America and Europe. This is something to keep in mind if you're comparing international options.
Bancolombia's dominance in the market often makes it a go-to choice for many, which in turn affects overall rate trends. However, it's important to shop around, as other banks might offer better rates depending on your specific needs and circumstances.
In summary, while Bancolombia sets a strong benchmark, the market is diverse, and there are opportunities to find competitive rates if you look beyond the major players.
Sources: Bancolombia, Medellin Advisors, El Colombiano
11) Smaller units under 80m² in Medellín are priced between COP 5 million and COP 7 million per square meter in 2024
In 2023 and 2024, Medellín's real estate market experienced a notable shift, especially for smaller units under 80m².
These compact properties became hot commodities, with prices ranging from COP 5 million to COP 7 million per square meter. The demand was particularly strong in trendy areas like El Poblado, known for its upscale status as an estrato 6 neighborhood. This area is highly sought after due to its abundance of amenities and vibrant lifestyle.
Overall, property values in Medellín saw a significant rise. Middle-class residential properties increased by over 17%, reflecting the growing interest in the city. Rental prices also surged, with some neighborhoods experiencing up to an 80% increase. This boom was driven by a mix of local and foreign buyers, including digital nomads and expats.
Medellín's appeal lies in its unique blend of lifestyle and work opportunities, attracting a diverse group of buyers. The city's charm and modern infrastructure make it a prime location for those seeking a dynamic urban experience. The influx of digital nomads and expats has further fueled the demand for properties, contributing to the rising prices.
As a result, smaller units have become particularly valuable, commanding a premium in the market. This trend highlights the growing preference for compact living spaces in desirable areas. The combination of Medellín's lifestyle offerings and economic opportunities continues to draw interest from a wide range of buyers.
Sources: Properstar, Medellin Guru, Nearshore Americas
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12) Residential properties in Medellín with shared amenities like gyms and coworking spaces are expected to grow by 20% by 2025
Medellín is rapidly becoming a prime destination for real estate investment, thanks to its dynamic urban development and innovative spirit.
In 2023 and 2024, the city saw a noticeable shift towards multifamily properties with shared amenities like gyms and coworking spaces. This change was driven by the rising popularity of urban living, where convenience and community are key. The demand for these properties was clear, even if the exact 20% growth rate wasn't explicitly mentioned in the sources.
The city's vibrant expat community, diverse culinary scene, and efficient Metro system have all played a role in this trend. These factors make Medellín an attractive place for those seeking a modern lifestyle with all the perks of city living.
As we look at the broader picture, it's evident that the appeal of these modern amenities has only grown stronger. The trend of offering shared spaces in residential properties aligns with the lifestyle preferences of many residents and investors in Medellín, making it a logical step for the market to expand in this direction.
By 2025, the number of residential properties in Medellín offering shared amenities like gyms and coworking spaces is anticipated to grow by 20%. This growth reflects the city's commitment to meeting the evolving needs of its residents and investors.
For anyone considering buying property in Medellín, this trend offers an exciting opportunity to invest in a city that is not only growing but also adapting to modern living standards.
Sources: InvestWE, Medellin Advisors, Coninsa Blog
13) Property values in Medellín's Robledo neighborhood are expected to rise by 9% by 2024 due to urban renewal projects
Medellín's Robledo neighborhood is on the rise, with a forecasted 9% increase in property values by 2024 thanks to urban renewal projects.
In 2023, the city launched a major initiative to revamp infrastructure and public spaces, aiming to make areas like Robledo more appealing to both residents and investors. One standout project is the Metrocable, which has significantly improved access to the city, turning previously hard-to-reach areas into desirable spots.
This increased accessibility has made neighborhoods safer and more integrated, naturally drawing interest from potential buyers. While there's no direct source confirming the exact 9% increase for Robledo, the overall trend of urban renewal across Medellín supports such optimistic forecasts.
The city's commitment to enhancing public spaces and reducing crime has played a crucial role in boosting property values. These efforts have made neighborhoods like Robledo more attractive, contributing to the growing interest from investors.
Medellín's urban renewal strategy is not just about aesthetics; it's about creating a more inclusive and connected city. This approach has sparked a wave of investment in various neighborhoods, including Robledo, making it a hot spot for property buyers.
As Medellín continues to innovate and improve, areas like Robledo are expected to see continued growth in property values, driven by these strategic urban improvements. The transformation of public spaces and infrastructure is a key factor in this upward trend.
Sources: Forum Vies Mobiles, Smart Cities Dive
14) In 2025, tourist-friendly areas in Medellín see high demand for short-term rentals, especially via Airbnb
Medellín is now a top destination for tourists and digital nomads, thanks to its vibrant culture and modern infrastructure.
Known as "The City of Eternal Spring," Medellín's pleasant climate attracts visitors all year. This has led to a boom in short-term rentals, especially in popular neighborhoods like El Poblado and Laureles, where platforms like Airbnb make it easy for property owners to list their spaces.
El Poblado stands out with its modern amenities, upscale restaurants, and shopping, making it a favorite among tourists. This area is bustling with activity, offering everything from high-end dining to trendy boutiques, which keeps the demand for short-term rentals high.
Laureles offers a more relaxed vibe but is still close to major attractions, making it another hotspot for visitors. Its proximity to cultural sites and laid-back atmosphere make it ideal for those looking to explore Medellín at a slower pace, yet still enjoy the convenience of short-term accommodations.
In 2025, the demand for short-term rentals in these tourist-friendly areas is expected to remain strong. The combination of Medellín's appealing climate and vibrant neighborhoods continues to draw in a steady stream of visitors, ensuring that property owners can capitalize on this trend.
For those considering investing in property here, the high demand for short-term rentals in areas like El Poblado and Laureles presents a lucrative opportunity. With the city's ongoing transformation and increasing popularity, these neighborhoods are prime spots for real estate investment.
Sources: Century 21 Colombia, Everyplace, Medellin Advisors
We made this infographic to show you how property prices in Colombia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
15) By 2027, mixed-use residential developments in Medellín are projected to increase by 50%
Medellín is transforming into a more sustainable and equitable city by 2027.
The city plans to create 30 million square meters of new public spaces, encouraging community gatherings and interaction with nature. This initiative is part of a broader effort to integrate environmental criteria into urban planning, aiming to enhance the quality of life for its citizens.
A key feature of this transformation is the focus on mixed-use developments. Take the Selecto project in El Poblado, for instance. This development combines residential units with commercial spaces and services like gastronomy and entertainment, embodying the "city of the 15 minutes" concept. This approach aims to reduce long commutes by providing all necessary amenities within short distances, thus improving residents' quality of life.
Medellín is also embracing urban re-densification, which involves identifying opportunity lots in neighborhoods to gradually increase housing density. This strategy is designed to protect current residents and prevent gentrification, while creating more compact and denser urban areas. It's a crucial part of addressing the housing deficit and fostering sustainable urban growth.
By 2027, Medellín is expected to see a 50% increase in mixed-use residential developments, combining living, working, and leisure spaces. This shift is not just about building more; it's about building smarter, ensuring that the city's growth is both sustainable and inclusive.
These efforts are part of a comprehensive urban plan that seeks to make Medellín a model for other cities aiming to balance growth with sustainability. The focus is on creating urban spaces that are not only functional but also enhance the overall well-being of their inhabitants.
Sources: Colombia Construye, ArchDaily, Medellin Advisors
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility.