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Property prices in Mendoza are experiencing moderate growth in 2025, driven by economic stabilization and increased foreign investment. As we reach mid-2025, the Mendoza residential property market shows clear signs of recovery with the average price now at $1,200 USD per square meter, representing a 4.3% increase from 2024. This wine capital of Argentina continues to attract both domestic and international buyers, particularly in premium neighborhoods like Chacras de Coria and Godoy Cruz.
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Mendoza property prices are rising moderately in 2025, with the average price reaching $1,200 USD per square meter, up 4.3% from 2024.
The market is driven by tourism growth, foreign investment increases of 25% over three years, and improved mortgage access with 40% more approvals year-on-year.
| Market Indicator | Current Value (2025) | Trend/Change |
|---|---|---|
| Average Price (USD/m²) | $1,200 | +4.3% from 2024 |
| 5-Year Price Growth | 26% total increase | From $950 to $1,200 USD/m² |
| Foreign Investment | 25% increase | Over last 3 years |
| Mortgage Approvals | 40% increase | Year-on-year growth |
| Tourism Impact | 1.5 million visitors | Annual growth driving rental demand |
| Fastest Growing Areas | Guaymallén, Luján de Cuyo | +29% and +28% rental increases |
| Property Tax Impact | 150-180% increase | New valuation system 2025 |
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.
What are the current average property prices in Mendoza as of June 2025?
As of June 2025, the average price for residential properties in Mendoza stands at $1,200 USD per square meter.
This represents approximately half the average price seen in Buenos Aires, making Mendoza an attractive option for both domestic and international buyers. For practical reference, a typical one-bedroom property of 60 square meters would cost around $72,000, while a two-bedroom apartment of 85 square meters averages about $102,000.
The pricing varies significantly by location and property type. Premium areas like Chacras de Coria command higher prices around $140,000 for a condominium, while more affordable options can be found in Las Heras for approximately $40,000 or Godoy Cruz at around $30,000. The city center properties typically fall in the middle range at about $130,000 for comparable units.
Rental market data shows that a two-bedroom apartment in the city center averages 506,000 ARS per month, with premium areas reaching 600,000-700,000 ARS monthly. It's something we develop in our Argentina property pack.
These prices reflect the current market dynamics influenced by Argentina's economic stabilization and increased foreign investment in the region.
How much have property prices increased in Mendoza over the past year?
Property prices in Mendoza have increased by 4.3% from 2024 to 2025, rising from $1,150 to $1,200 USD per square meter.
This year-on-year growth represents a healthy but moderate appreciation rate that aligns with typical real estate market expectations for emerging markets. The increase reflects the ongoing economic stabilization in Argentina and renewed confidence from both domestic and international investors.
When examined over a longer timeframe, the growth pattern becomes even more impressive. Over the past five years, since 2021, property values have appreciated by 26% in total, growing from $950 USD per square meter to the current $1,200 USD per square meter. This translates to an average annual appreciation rate of approximately 5.2%.
The expected annual appreciation for Mendoza real estate typically ranges between 3-7% during stable economic periods. The current 4.3% increase falls comfortably within this range, suggesting sustainable growth rather than speculative bubble conditions.
Market analysts attribute this steady growth to several factors including increased tourism, improved infrastructure, and growing foreign investment, particularly from North American and European buyers attracted to Mendoza's wine tourism and lifestyle offerings.
Which neighborhoods in Mendoza are experiencing the fastest price growth in 2025?
As of June 2025, rental price increases serve as the best indicator of neighborhood demand, with Guaymallén leading at 29% growth in the last quarter.
Luján de Cuyo follows closely with a 28% increase, while Maipú shows strong growth at 25%. These three neighborhoods represent the fastest-growing areas in terms of both rental demand and property values. The rental market often leads property price movements, making these areas particularly attractive for investors.
Las Heras and Godoy Cruz demonstrate more moderate but still significant increases of 19-22% respectively. These areas offer a balance between growth potential and current affordability, making them popular choices for both first-time buyers and investors seeking steady returns.
Chacras de Coria and the City Center remain top choices for premium investments, especially among expats and tourists. While their percentage growth may appear lower, these established areas command higher absolute prices and offer stability alongside appreciation potential.
The growth patterns reflect broader market trends, with areas offering proximity to vineyards, tourist attractions, and modern amenities experiencing the strongest demand. Foreign buyers particularly favor neighborhoods that combine traditional Argentine charm with modern infrastructure and easy access to wine tourism activities.
What property types are seeing the biggest surge in prices in 2025?
Luxury properties and tourist-oriented real estate are experiencing the most significant price appreciation in Mendoza's 2025 market.
Premium vineyard estates and scenic rural homes are seeing selective but substantial appreciation, especially in areas favored by international tourists and expats like Chacras de Coria. These properties benefit from Mendoza's growing reputation as a world-class wine tourism destination, with over 1.5 million annual visitors driving demand for high-end vacation homes and investment properties.
Tech-smart, energy-efficient apartments represent another high-growth segment. These modern units, featuring smart technology and energy-saving systems, appeal particularly to young professionals and remote workers. The trend toward sustainable living and remote work capabilities has made these properties increasingly valuable.
Properties with outdoor spaces such as terraces, balconies, or gardens have become highly desirable post-pandemic. In Mendoza's outdoor-oriented lifestyle culture, these features command premium prices and faster sales times. Suburban homes near the Andes mountains and vineyards are particularly sought after by families seeking larger living spaces.
Mid-range and affordable housing shows steady but more modest growth. While demand remains strong from first-home buyers, the fastest appreciation concentrates in premium segments driven by foreign investment and tourism-related demand. This creates a two-tier market where luxury and tourist-oriented properties outperform traditional residential segments.
What are the property price forecasts for Mendoza through 2026?
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Property prices in Mendoza are forecast to continue rising through 2026, with expected annual increases of 3% to 7% in most market segments.
Short-term projections for 2026 indicate selective increases in prime areas, with annual appreciation rates of 2-5% expected across most neighborhoods. However, less desirable areas may experience stagnation or slight decreases of 1-3% as the market becomes more discerning and competitive.
Medium-term forecasts spanning 5-10 years suggest potential cumulative appreciation of 15-40% in prime areas, assuming continued macroeconomic stability. This growth trajectory depends heavily on sustained tourism development, foreign investment flows, and Argentina's overall economic performance. Wine tourism infrastructure improvements and international marketing efforts could accelerate this timeline.
The luxury segment is expected to outperform mid-range properties in the next 1-3 years, driven by foreign buyers and tourism-related demand. Premium areas like Chacras de Coria and vineyard properties may see annual appreciation rates approaching the higher end of the 3-7% range.
Long-term projections beyond 2030 remain highly speculative but optimistic, with potential for property values to double over 20 years if Argentina maintains relative economic stability and Mendoza continues developing its tourism and wine industry infrastructure. It's something we develop in our Argentina property pack.
How is Argentina's economic stabilization affecting Mendoza's property market in 2025?
Argentina's economic stabilization has created a dramatic positive impact on Mendoza's property market, with property sales surging 45% year-on-year in 2025.
Lower inflation and a stable dollar have revived mortgage lending significantly, making property purchases accessible to a broader range of buyers. The number of mortgage approvals has increased by 40% year-on-year, directly contributing to increased market activity and faster property sales.
Demand has grown 40-45% in the past year as more buyers gain confidence in the market and access to financing. Properties are selling more quickly than in previous years, with well-positioned homes in desirable neighborhoods often receiving multiple offers within weeks of listing.
Property values are stabilizing and beginning to recover from previous economic uncertainties, especially in dollar-denominated transactions. The premium segment shows particular strength as foreign investors return to the market with renewed confidence in Argentina's economic direction.
The stabilization has also improved purchasing power for domestic buyers, who can now plan long-term investments without the extreme currency volatility that previously characterized the Argentine market. This stability makes Mendoza particularly attractive for both investment and lifestyle purchases, supporting sustained demand across multiple market segments.
What impact is the new property tax reform having on Mendoza prices?
The April 2025 property tax reform in Mendoza has increased property tax burdens by 150% to 180% due to updated property valuations and improved detection of property improvements.
The reform significantly increases tax obligations, especially for owners of improved or newly valued properties. Many property owners are facing tax bills nearly double their previous amounts as the government implements more accurate valuation methods and identifies previously unreported improvements or additions.
Despite the increased tax burden, the reform has not reversed the overall upward trend in property prices. Strong underlying demand from tourism, foreign investment, and improved mortgage access continues to outpace the dampening effects of higher taxation.
Some property owners are considering selling due to increased carrying costs, which could increase supply in certain market segments. However, robust demand has thus far absorbed this additional supply without significant price pressure.
The reform may slightly reduce speculative demand as investors factor higher ongoing costs into their return calculations. However, the tax increases are viewed as a normalization of Argentina's tax collection rather than a punitive measure, and most serious investors are adapting their strategies accordingly while maintaining confidence in Mendoza's long-term growth prospects.
How does foreign investment influence current property prices in Mendoza?
Foreign investment in Mendoza real estate has increased by 25% over the last three years, significantly influencing property price dynamics across premium market segments.
International buyers, particularly from North America and Europe, are most active in luxury properties, vineyard estates, and short-term rental investments. This foreign capital influx is driving up prices in premium zones and creating increased competition for high-quality properties with tourism potential.
The wine tourism appeal attracts foreign buyers seeking vacation homes or investment properties in vineyard areas. These international purchasers often pay premium prices and compete aggressively for properties with scenic views, modern amenities, and proximity to major wineries.
Foreign investment contributes substantially to price appreciation in established expat-friendly neighborhoods like Chacras de Coria, where international buyers feel comfortable with infrastructure, services, and community atmosphere. These areas see accelerated price growth compared to purely domestic market segments.
The trend toward remote work and digital nomadism has brought new categories of foreign buyers seeking lifestyle properties in Mendoza. These buyers often have higher budgets and different criteria than traditional investors, creating additional upward pressure on properties offering modern connectivity, outdoor spaces, and proximity to cultural amenities. It's something we develop in our Argentina property pack.
How do Mendoza property prices compare to Buenos Aires and Córdoba in 2025?
We made this infographic to show you how property prices in Argentina 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.
Mendoza remains the most affordable major city among Argentina's top three metropolitan areas, with prices approximately 50% lower than Buenos Aires and 20-30% cheaper than Córdoba.
| City | Average Price (USD/m²) | Price Trend (2024-2025) | Key Market Segments |
|---|---|---|---|
| Mendoza | $1,200 | +4.3% | Wine tourism, expat lifestyle, luxury vacation homes |
| Buenos Aires | $2,300-$2,500 | +5.3% (Villa Crespo) | Urban luxury, gentrifying neighborhoods, business district |
| Córdoba | $1,400-$1,600 | +3-5% | Student housing, industrial growth, tourism |
Buenos Aires commands the highest prices at $2,300-$2,500 per square meter, reflecting its status as Argentina's economic and cultural capital. Certain neighborhoods like Villa Crespo show strong growth at 5.3%, driven by urban gentrification and luxury development projects.
Córdoba sits in the middle range at $1,400-$1,600 per square meter, with steady 3-5% growth supported by its universities, industrial base, and growing tourism sector. The city appeals to students, young professionals, and families seeking affordable urban living.
Mendoza's competitive advantage lies in its unique combination of affordability, lifestyle appeal, and investment potential. Rental yields in Mendoza remain competitive due to strong tourism demand and the growing digital nomad community, often outperforming Buenos Aires on a yield basis despite lower absolute prices.
What are the main economic and political risks affecting Mendoza property prices?
Macroeconomic instability represents the primary risk to Mendoza property price growth, with potential for renewed inflation, currency devaluation, or political turmoil to stall or reverse current trends.
Currency volatility remains a persistent concern for property investors, particularly those dealing in dollar-denominated transactions. Any return to high inflation or peso devaluation could impact purchasing power and investment attractiveness for both domestic and foreign buyers.
Tax policy changes beyond the current property tax reform could affect investment appeal. Higher transaction costs, additional property taxes, or changes to foreign investment regulations might reduce demand from international buyers who currently drive premium segment growth.
Credit access represents another vulnerability. If monetary policy tightening resumes or economic conditions deteriorate, mortgage availability could shrink dramatically, reducing the buyer pool and slowing market activity. The current 40% increase in mortgage approvals could reverse quickly under adverse conditions.
External economic shocks affecting tourism or wine exports could significantly impact Mendoza's economy and property market. Global downturns reducing international travel or trade wars affecting Argentine wine exports would directly affect demand for tourism-related and luxury properties that currently drive market growth.
What role does tourism play in driving Mendoza property demand in 2025?
Tourism plays a crucial role in Mendoza's property market, with over 1.5 million annual visitors creating strong demand for short-term rentals, vacation homes, and hospitality-related real estate investments.
The wine tourism sector specifically drives luxury property demand, as visitors seek authentic experiences in vineyard areas and scenic locations. Many tourists become potential property buyers after experiencing Mendoza's lifestyle and investment opportunities firsthand.
Short-term rental properties show exceptional performance, with approximately 1,840 active Airbnb listings generating average daily rates around $35. Property owners offering short-term rentals can generate around $500 per month with average occupancy rates of 62%, making tourism-oriented properties highly attractive investments.
Infrastructure improvements supporting tourism have increased property values by 30% in affected areas. New roads, airport expansions, and tourism facility developments directly benefit nearby residential properties through improved accessibility and amenities.
The growing expat and digital nomad communities, initially attracted by tourism opportunities, are creating sustained demand for longer-term rentals and property purchases. These lifestyle migrants often have higher budgets than local buyers and prefer properties in tourist-friendly areas with established infrastructure and international amenities.
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.
Yes, property prices in Mendoza are going up in 2025. The market shows healthy 4.3% annual growth driven by economic stabilization, increased foreign investment, and strong tourism demand.
The outlook remains positive through 2026 with expected continued appreciation of 3-7% annually, particularly in premium areas and tourism-related properties, making Mendoza an attractive destination for both investors and lifestyle buyers.
Sources
- TheLatinvestor - Mendoza Property Market Analysis
- TheLatinvestor - Mendoza Price Forecasts 2025
- Numbeo - Property Investment Data Mendoza
- Overseas Property Alert - Mendoza Real Estate Overview
- TheLatinvestor - Argentina Property Investment
- PwC - Argentina Individual Tax Summary
- DLA Piper - Argentina Tax Measures Law
- Live and Invest Overseas - Argentina Taxes 2025