What rental yield can you expect in Mexico City? (2026)

If you're thinking about investing in rental property in Mexico City, understanding actual returns is the first step.

This article breaks down gross and net rental yields across neighborhoods and property types, so you know what's realistic before you buy.

We constantly update this blog post to reflect the latest Mexico City rental market data.

And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Mexico City.

Who is the author of this content?

THE LATINVESTOR

A team specialized in real estate investing in LATAM countries

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Mexico City. If you’d like to learn more about us, you can check our presentation page.

What are the rental yields in Mexico City as of 2026?

What's the average gross rental yield in Mexico City as of 2026?

As of early 2026, the average gross rental yield in Mexico City sits around 5.5% to 6.5%, with most typical investments landing near 6%.

This range covers everything from studios in trendy Cuauhtemoc to family houses in Benito Juarez, though you'll find yields as low as 4% in luxury pockets and above 7% in emerging neighborhoods.

Compared to other major Latin American capitals, Mexico City's gross yields are middle-of-the-road.

The key factor pushing yields right now is the gap between how fast purchase prices have climbed in central neighborhoods versus how much landlords can actually charge for rent.

What's the average net rental yield in Mexico City as of 2026?

As of early 2026, the average net rental yield in Mexico City falls between 3.8% and 4.8%, with a typical figure near 4.3%.

The difference between gross and net yields usually runs 1.5 to 2 percentage points, meaning landlords lose roughly 20% to 35% of gross rent to operating costs.

The expense hitting Mexico City landlords hardest is condo maintenance fees, running MXN 1,500 to 3,200 monthly (USD 75 to 160, EUR 70 to 150) in central amenity-heavy buildings.

Most standard investment properties deliver net yields between 3.5% and 5%, with lower end typical in luxury towers and upper end achievable in buildings with modest monthly charges.

By the way, you will find much more detailed rent ranges in our property pack covering the real estate market in Mexico City.

We made this infographic to show you how property prices in Mexico 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.

What yield is considered "good" in Mexico City in 2026?

Local investors generally consider a gross rental yield of 6.5% or higher to be "good" in early 2026, while anything above 4.5% net is seen as solid after expenses.

The threshold separating average from high-performing properties falls around that 6.5% gross mark, indicating rent is genuinely strong relative to purchase price.

How much do yields vary by neighborhood in Mexico City as of 2026?

As of early 2026, gross rental yields in Mexico City range from about 3.5% in priciest neighborhoods to over 8% in emerging areas, a spread of roughly 4.5 percentage points.

Highest yields come from "core but not ultra-premium" neighborhoods like Narvarte Poniente, Portales Norte, and Santa Maria la Ribera, where prices remain reasonable but professional and family rental demand stays strong.

Lowest yields show up in prestige areas like Polanco, Lomas de Chapultepec, and trendy Roma Norte and Condesa pockets, where buyers pay premiums that rents cannot match.

Yields vary so much because purchase prices often include a "cool premium" unrelated to actual rent tenants will pay.

By the way, we've written a blog article detailing what are the current best areas to invest in property in Mexico City.

How much do yields vary by property type in Mexico City as of 2026?

As of early 2026, gross yields range from around 4% for large luxury apartments to above 7% for well-located studios, with houses varying by neighborhood and tenant profile.

Studios and one-bedroom apartments in central neighborhoods like Cuauhtemoc and Benito Juarez deliver the highest gross yields because rent per square meter is significantly higher for smaller units.

Large three-bedroom luxury apartments deliver the lowest gross yields because high purchase prices grow faster than rents landlords can charge.

Yields differ because smaller units command premium rent per square meter from young professionals, while larger units compete for fewer families willing to pay top prices.

By the way, you might want to read the following:

• What rental yields can you expect for an apartment in Mexico City?

What's the typical vacancy rate in Mexico City as of 2026?

As of early 2026, the typical residential vacancy rate in Mexico City runs between 4% and 8%, meaning 92% to 96% occupancy over time for reasonably priced units.

Vacancy rates vary from 2% to 3% in high-demand areas like Roma Norte and Del Valle to 10%+ in luxury segments or overpriced buildings.

The main driver is pricing relative to micro-location: well-priced units fill within weeks while overpriced units on the same street might sit empty 2 to 4 months.

Mexico City's vacancy rate aligns with other major Mexican urban centers, though central alcaldias tend to have tighter markets due to concentrated job centers.

Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Mexico City.

What's the rent-to-price ratio in Mexico City as of 2026?

As of early 2026, the average rent-to-price ratio in Mexico City falls between 0.45% and 0.55% monthly (5.5% to 6.5% annually), another way of expressing gross rental yield.

Buy-to-let investors look for at least 0.5% monthly (6% annually) to consider a property favorable, covering operating costs while leaving reasonable net returns.

Mexico City's rent-to-price ratio sits mid-range compared to other Latin American capitals, lower than secondary cities but more attractive than ultra-premium markets.

We have made this infographic to give you a quick and clear snapshot of the property market in Mexico. 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.

Which neighborhoods and micro-areas in Mexico City give the best yields as of 2026?

Where are the highest-yield areas in Mexico City as of 2026?

As of early 2026, the top highest-yield neighborhoods are Narvarte Poniente in Benito Juarez, Portales Norte, and Santa Maria la Ribera in Cuauhtemoc, combining reasonable prices with steady rental demand.

These areas typically deliver gross yields between 6% and 8%, with well-bought properties sometimes pushing higher when priced competitively.

What they share is being "core enough" for easy commuting without the prestige premium that compresses yields in Roma Norte or Polanco.

You'll find a much more detailed analysis of the areas with high profitability potential in our property pack covering the real estate market in Mexico City.

Where are the lowest-yield areas in Mexico City as of 2026?

As of early 2026, the lowest-yield neighborhoods are Polanco in Miguel Hidalgo, Lomas de Chapultepec, and luxury segments of Roma Norte and Condesa, where prestige pricing outpaces rents.

These areas typically deliver gross yields between 3.5% and 4.5%, sometimes below 4% for trophy properties on exclusive streets.

Yields are compressed because buyers pay significant premiums for the address and cachet, but tenants won't pay proportionally higher rents.

Buying a property in a low-yield area is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Mexico City.

Which areas have the lowest vacancy in Mexico City as of 2026?

As of early 2026, neighborhoods with lowest vacancy rates are Roma Norte and Roma Sur in Cuauhtemoc, Del Valle in Benito Juarez, and Polanco in Miguel Hidalgo.

These areas typically see vacancy rates between 2% and 4%, meaning well-priced units find tenants within days or weeks.

The main demand driver is their combination of walkability, job proximity, transit connections, and lifestyle amenities.

The trade-off: purchase prices are much higher, compressing yields even though you're less likely to experience costly tenant gaps.

Which areas have the most renter demand in Mexico City right now?

The neighborhoods with strongest renter demand are Roma and Condesa in Cuauhtemoc for lifestyle seekers, Del Valle and Narvarte in Benito Juarez for professionals, and Santa Fe for corporate employees.

The typical renter profile is young to mid-career professionals aged 25 to 45 in tech, finance, or creative industries, prioritizing walkability and commuting over maximum space.

In these high-demand neighborhoods, correctly priced listings typically fill within one to three weeks, with desirable units receiving multiple inquiries within days.

If you want to optimize your cashflow, you can read our complete guide on how to buy and rent out in Mexico City.

Which upcoming projects could boost rents and rental yields in Mexico City as of 2026?

As of early 2026, top infrastructure projects expected to boost rents are the Tren Interurbano "El Insurgente" to Toluca, World Cup 2026 renovations around Estadio Azteca, and Metro/Cablebus improvements around Observatorio.

Neighborhoods most likely to benefit are Santa Fe and Observatorio near the train corridor, Santa Ursula Coapa and Tlalpan around stadium upgrades, and areas connected to upgraded transit hubs.

Investors might expect rent increases of 5% to 15% once projects mature, with stronger boosts for furnished units and medium-term rentals.

You'll find our latest property market analysis about Mexico City here.

What property type should I buy for renting in Mexico City as of 2026?

Between studios and larger units in Mexico City, which performs best in 2026?

As of early 2026, studios and one-bedrooms outperform on gross yield, but two-bedrooms often win on stability with broader tenant appeal and less turnover.

Studios in central Mexico City typically deliver 6.5% to 8% gross yields (MXN 10,000 to 15,000 monthly, USD 500 to 750, EUR 470 to 700), while two-bedrooms fall in the 5% to 6.5% range.

Smaller units command premium rent per square meter from young professionals and digital nomads prioritizing location over space.

However, two-bedrooms can be better for targeting families, long-term couples, or roommate setups, since these tenants stay longer and reduce turnover gaps.

What property types are in most demand in Mexico City as of 2026?

As of early 2026, the most in-demand property type is the well-located two-bedroom apartment with good light, security, and ideally parking.

Top three by tenant demand: two-bedroom apartments, one-bedrooms and studios in central walkable areas, and "casa en condominio" townhouses for families wanting space with security.

Remote and hybrid work growth has made home office space a priority while keeping central locations desirable for lifestyle access.

Large three-bedroom luxury apartments are underperforming because families with those budgets often prefer houses with outdoor space.

What unit size has the best yield per m² in Mexico City as of 2026?

As of early 2026, units between 40 and 60 square meters deliver the best gross yield per square meter, balancing compact efficiency with broad tenant appeal.

This optimal size generates roughly MXN 400 to 500 per square meter monthly (USD 20 to 25, EUR 19 to 23), yielding stronger returns than either tiny studios or large family apartments.

Studios under 35 square meters lose efficiency because rent has a floor tenants resist, while units above 80 square meters see rent per square meter drop as families are more price-sensitive.

By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Mexico City.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Mexico 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.

What costs cut my net yield in Mexico City as of 2026?

What are typical property taxes and recurring local fees in Mexico City as of 2026?

As of early 2026, annual property tax (predial) for a typical rental apartment runs MXN 3,000 to 12,000 (USD 150 to 600, EUR 140 to 560), depending on cadastral value and location.

Other recurring fees include water charges at MXN 500 to 2,000 annually (USD 25 to 100, EUR 23 to 93) and, most significantly, condo maintenance ranging MXN 18,000 to 38,000 yearly (USD 900 to 1,900, EUR 840 to 1,775).

Combined, these typically represent 8% to 20% of gross rental income, with condo fees being the biggest variable that can make or break net yield.

By the way, we cover all the hidden fees and taxes in our property pack covering the real estate market in Mexico City.

What insurance, maintenance, and annual repair costs should landlords budget in Mexico City right now?

Annual landlord insurance typically costs MXN 2,000 to 8,000 (USD 100 to 400, EUR 93 to 375), varying by coverage and whether the building has shared insurance.

Recommended annual maintenance budget is 0.7% to 1.5% of property value, or roughly one month of rent for routine fixes.

The expense most catching landlords off guard is water damage and plumbing issues, particularly in older central buildings with aging infrastructure.

Combined, budget MXN 15,000 to 40,000 annually (USD 750 to 2,000, EUR 700 to 1,870) for insurance, maintenance, and repairs.

Which utilities do landlords typically pay, and what do they cost in Mexico City right now?

In most long-term Mexico City rentals, tenants pay electricity, gas, and internet, while landlords cover condo maintenance, predial, and sometimes water if billed to the owner.

For landlord-paid utilities, monthly cost usually runs MXN 200 to 800 (USD 10 to 40, EUR 9 to 37) for water when billed separately, though often included in condo fees.

What does full-service property management cost, including leasing, in Mexico City as of 2026?

As of early 2026, full-service property management costs 8% to 12% of monthly rent (MXN 1,600 to 2,500 or USD 80 to 125, EUR 75 to 117 on MXN 20,000 rent), covering collection, communication, and coordination.

Typical leasing fee is about one month's rent (MXN 15,000 to 25,000, USD 750 to 1,250, EUR 700 to 1,170), sometimes charged to tenants or split.

What's a realistic vacancy buffer in Mexico City as of 2026?

As of early 2026, landlords should set aside 4% to 8% of annual rental income as vacancy buffer, roughly half to one month's rent in reserve.

Typical vacant weeks per year: 2 to 4 for well-priced properties in liquid areas, stretching to 6 to 8 weeks for luxury or overpriced units.

What sources have we used to write this blog article?

Whether it's in our blog articles or the market analyses included in our property pack about Mexico City, we always rely on the strongest methodology we can … and we don't throw out numbers at random.

We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.

Source	Why it's authoritative	How we used it
Inmuebles24 Index CDMX	Large property portal publishing regular market indices based on actual listing data.	We anchored citywide listing-based sale prices and rents. We translated those into early 2026 yield ranges.
Inmuebles24 Roma Norte	Major marketplace with neighborhood dashboards showing explicit price and rent per square meter.	We computed neighborhood-level rent-to-price ratios. We cross-checked implied yields with other portals.
Propiedades.com Valores	Major Mexican portal showing medians and clearly labeled data from listed properties.	We sanity-checked rent per square meter for central neighborhoods. We kept yield estimates conservative.
Vivanuncios Narvarte Poniente	Large classifieds portal with explicit neighborhood price guides.	We computed worked example yields in core non-premium areas. We used as reality check versus citywide averages.
El Economista	Leading Mexican business newspaper with dedicated real estate coverage.	We contextualized citywide rent trends. We validated yield band assumptions.
Sociedad Hipotecaria Federal	Federal housing finance institution with widely referenced official price index.	We validated housing price direction and momentum. We used for triangulation, not exact pricing.
INEGI CPI Bulletin	Mexico's national statistics agency providing official inflation data.	We contextualized nominal rent growth versus inflation. We applied this when interpreting good yields.
INEGI CDMX Census	Official census output from Mexico's national statistics agency.	We framed vacancy carefully, distinguishing housing stock from rental vacancy. We set reasonable risk bounds.
Banco de Mexico SIE	Central bank portal providing official mortgage and credit cost data.	We described the 2026 financing environment. We explained why yields matter versus borrowing costs.
CDMX Secretaria de Finanzas	Official tax and payments authority for Mexico City.	We anchored property tax and fee definitions. We referenced official guidance for predial payments.
Codigo Fiscal CDMX	Published legal text for Mexico City's fiscal rules.	We grounded predial as a legal formula-based tax. We expressed practical budgeting ranges.
CDMX Water Authority	Official city water management site.	We confirmed water charges as real recurring items. We aligned utility guidance with official sources.
Expansion Obras (Tren)	Major business outlet compiling official infrastructure information.	We identified corridors likely to see demand support. We linked to neighborhood yield hotspots.
Reuters (Azteca)	Global wire service with strong editorial and fact-checking standards.	We supported south Mexico City rent pressure around World Cup upgrades. We focused on medium-term impacts.
Expansion Obras (Fees)	Mainstream business outlet with focused real estate cost coverage.	We set realistic condo maintenance fee ranges. We incorporated directly into net yield sections.
Houm	Recognizable proptech offering property management in Mexico City.	We described full-service management scope. We priced costs using conservative ranges.
Century 21 Mexico	Long-established international brokerage with Mexico operation.	We validated standard commission structures. We modeled realistic leasing costs.
El Pais Mexico	Major international newspaper with strong Mexico City real estate coverage.	We identified colonias being pulled up by demand shifts. We cross-checked repricing dynamics.
Propiedades.com Polanco	Major portal with dedicated neighborhood value pages for premium areas.	We documented yield compression in prestige neighborhoods. We compared against middle-class areas.
ADN Politico	Detailed Mexico City infrastructure and mobility policy reporting.	We tracked Metro and Cablebus focus areas. We identified neighborhoods benefiting from connectivity.