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What is happening in Monterrey’s real estate market? Are prices on the rise or decline? Is Monterrey still attracting foreign investors? How are local government policies and taxes shaping the real estate landscape in 2025?
These are the questions we hear every day from professionals, buyers, and sellers across Monterrey and beyond. Maybe you’re curious about the same things.
We know this because we stay closely connected with local experts and people like you, exploring the Monterrey real estate market daily. That’s why we crafted this article: to offer clear answers, insightful analysis, and a comprehensive view of market trends and dynamics.
Our aim is straightforward: to make sure you feel informed and confident about the market without needing to search elsewhere. If you think we missed something or could improve, we’d love to hear your feedback. Feel free to message us with your thoughts, and we’ll strive to enhance this content for you.

1) Foreign buyers will increasingly target properties with strong rental potential
Foreign buyers are eyeing Monterrey for its strong rental potential.
Monterrey's rental market is booming, with record-low availability rates in 2022, making it a hot spot for investors seeking steady income. This surge in demand highlights the city's appeal for those looking to capitalize on rental properties.
Rental prices in Monterrey are climbing, with a notable increase from $4.81 to $5.43 per m² per month between the third and fourth quarters of 2022. This trend suggests that investors can look forward to higher returns on their investments.
The city's economic growth is a magnet for international workers, which in turn fuels the demand for rentals. Monterrey's business-friendly environment and robust internet infrastructure are drawing expatriates and remote workers, ensuring a continuous need for rental accommodations.
Foreign buyers are particularly interested in areas with high rental yields, as these promise better returns. Monterrey's dynamic market offers a unique opportunity for those looking to invest in properties that cater to the growing influx of international residents.
Sources: Mexico Business News, CaliberCo, Airbtics
2) Monterrey’s property prices will rise with a growing economy and job market
Monterrey's residential property prices are expected to rise due to a booming economy and expanding job market.
In recent years, Monterrey has become a hotspot for foreign direct investment, pulling in $2.5 billion USD and ranking third in Mexico for FDI. This surge underscores the city's strategic location and competitive edge, making it a prime target for investors.
The job market is buzzing with new opportunities, especially with major players like Volvo setting up shop. Their plan to build a $700 million heavy-duty truck manufacturing plant is not just about creating jobs; it's about sparking growth in related industries, which will further energize the local economy.
Monterrey's manufacturing sector is on fire, accounting for a significant chunk of FDI in Mexico. Big names like Anheuser-Busch InBev, Coca-Cola, and Bosch are investing heavily, signaling a thriving business environment. This influx of business is drawing more people to the area, increasing the demand for housing.
With the manufacturing sector contributing to 54% of FDI in Mexico during the first half of 2024, Monterrey is clearly a key player. The presence of global giants is a testament to the city's robust economic landscape, which is attracting a workforce eager for new opportunities.
As more people flock to Monterrey for work, the demand for housing is naturally rising. This trend is a clear indicator that property prices are set to climb, driven by the city's economic vitality and job prospects.
Sources: Freight Waves, Alliant National, Invest Monterrey

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.
3) Monterrey's luxury property prices will moderately decline due to oversupply
Monterrey's luxury property market is currently experiencing a moderate price decline due to oversupply.
In 2022, the city had a staggering 7.8 million square meters of Class A space, indicating a surplus of luxury properties. This means there are more high-end homes available than there are buyers looking to purchase them.
Real estate agencies have noted a rise in unsold luxury homes, with the cumulative gross absorption of Class A space reaching only 1.27 million square meters in 2022. This slight increase from the previous year highlights a persistent gap between supply and demand.
Adding to the challenge, Monterrey is seeing a boom in luxury property developments. It's estimated that over 1 million square meters of new space is under construction, which will only add to the existing inventory and exacerbate the oversupply issue.
For potential buyers, this could mean more options and possibly better deals, as developers and sellers might be more willing to negotiate prices. However, it's essential to consider that the market's current state could lead to longer selling times if you decide to invest now and sell later.
Understanding these dynamics can help you make informed decisions, especially in a market where the balance between supply and demand is skewed. Keep an eye on how these factors evolve, as they will influence property values and investment opportunities.
Sources: Mexico Business News, Real Wealth
4) Rents for affordable housing will rise as demand exceeds supply
Monterrey's population has surged by 26.4% from 2010 to 2020, driving up the demand for housing.
People from the United States, Venezuela, and Honduras are flocking to Monterrey, seeking better job opportunities and living conditions, which is further boosting the housing demand.
However, the city is facing a challenge. New housing developments aren't keeping up with this demand, unlike the U.S., where apartment units are on the rise in 2024.
Experts are noticing a worrying trend. RealPage Inc. forecasts a 5% increase in apartment demand for 2025, but many areas will hit their peak supply by the end of 2024.
This mismatch between supply and demand is expected to push rents higher, especially in affordable housing.
Monterrey's real estate market is feeling the pressure, and affordable housing options might become scarce as demand continues to outstrip supply.
Sources: Economía, Business Wire
5) Interest in eco-friendly homes will grow as environmental awareness rises
In 2023 and 2024, there's been a noticeable shift towards eco-friendly homes due to rising environmental awareness.
Take Monterrey, for example, where sustainable living is really catching on. A big sign of this is the growing number of LEED-certified buildings in Mexico, including Monterrey. Back in 2020, Mexico had 47 LEED projects, and that number has only gone up. This shows a clear move towards greener building practices.
Another reason people are interested in eco-friendly homes is the use of sustainable building materials. GP Vivienda, a major player in Mexican real estate, is using ECOPact green concrete in Monterrey. This concrete cuts down CO2 emissions significantly, showing a strong demand for materials that are kinder to the planet.
The real estate market in Mexico is also seeing a shift towards sustainable properties. More and more green buildings are being certified, which means both developers and buyers are keen on eco-friendly homes. This trend is supported by local efforts, like those from Tecnológico de Monterrey, which are pushing for renewable energy in homes.
In Monterrey, the push for sustainability is not just about materials but also about energy. Tecnológico de Monterrey is actively promoting the use of renewable energy sources in residential areas, which is making sustainable living even more appealing.
With these changes, it's clear that the interest in eco-friendly homes is growing, driven by both environmental concerns and the availability of sustainable options. This trend is likely to continue as more people become aware of the benefits of living in a home that’s better for the planet.
Sources: Holcim, Constructive Voices, Tecnológico de Monterrey
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6) Monterrey homebuyers will prioritize locations near amenities and public transport
Monterrey residents are increasingly choosing homes close to amenities and public transport.
One big reason for this shift is the rise of mixed-use neighborhoods, like the DistritoTec project. This area has turned into a lively community where you can live, work, and have fun without needing a car. These developments make it super easy for folks to get what they need by just walking, cutting down the need for private vehicles.
Another factor is the noticeable increase in property values in areas with great access to amenities. Places like Nuevo Sur offer a complete community experience, drawing in people who are happy to pay more for the convenience of having everything close by. This shows that being near amenities is becoming a major factor in choosing a home.
Government initiatives and urban planning policies are also playing a role by promoting urban density and public transport. Programs like PIMUS are working to improve the public transportation system, making it more sustainable and better connected. This push to reduce car dependency fits well with the growing preference for homes near transit hubs.
In Monterrey, the trend is clear: people want to live where they can easily access amenities and public transport. This shift is not just about convenience; it's about a lifestyle change that values time, sustainability, and community.
As more developments focus on creating these accessible communities, the demand for homes in such areas is likely to keep rising. This means that if you're looking to buy property in Monterrey, considering proximity to amenities and public transport could be a smart move.
Sources: WRI, Jerde, Open Government Partnership
7) Luxury property rents will dip slightly as landlord competition increases
In 2023 and 2024, Monterrey saw a boom in luxury property listings.
This surge means more high-end homes are available, which often results in lower rental rates as landlords try to outdo each other to attract tenants. The Kimpton Monterrey project, for instance, added a slew of new luxury residences, further intensifying the competition.
With these new developments, landlords are feeling the heat. They're offering incentives and discounts to lure tenants, a clear sign that the market is getting competitive. This kind of environment usually nudges rental prices down a bit.
Imagine walking through Monterrey's upscale neighborhoods and seeing more "For Rent" signs than ever before. This is a direct result of the increased supply of luxury properties, which is great news if you're looking to rent.
Landlords are now in a position where they need to be more flexible and creative to fill their properties. This could mean better deals for potential tenants, as landlords are eager to keep their properties occupied.
So, if you're considering renting a luxury property in Monterrey, now might be the perfect time. With the current market dynamics, you could find yourself in a strong position to negotiate.
Sources: Le Figaro Properties, Hotel Magazine
8) Monterrey's luxury market will attract more foreign buyers thanks to favorable exchange rates
The Mexican peso's fluctuations make Monterrey's luxury properties more appealing to international buyers.
Monterrey is attracting more foreign investments, especially from the U.S. and Canada, thanks to its strategic location for trade between the U.S. and Latin America. The city's booming economy and skilled workforce are key reasons why international buyers are eyeing Monterrey's luxury market.
For Americans, a stronger dollar means luxury properties in Monterrey are more affordable. This favorable exchange rate is a big draw for those looking to invest in high-end real estate.
Surveys show a growing interest in Mexican real estate among foreign buyers, largely due to favorable economic conditions. Monterrey stands out as a prime location for those looking to capitalize on these benefits.
Foreign buyers often highlight the affordability of Monterrey's luxury properties, thanks to the advantageous exchange rates. This trend is particularly noticeable among American investors.
Sources: The Rio Times, Global Property Guide, Grant Thornton

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.
9) Foreign investment in Monterrey's affordable housing sector will increase
Monterrey is quickly becoming a hotspot for foreign investment thanks to smart economic policies and infrastructure upgrades.
In 2023, Nuevo Leon attracted US $11,417 million in foreign direct investment, making up nearly 38% of Mexico's total. This shows how Monterrey is catching the eye of international investors.
There's a big demand for affordable housing in Monterrey, especially for homes priced at $376,000 or less. Yet, only about half of the homes are selling for nearly $400,000, leaving a gap that foreign investors could fill.
The local government is all about business, with streamlined regulations and a focus on making things easy for companies. This pro-business vibe is a big draw for foreign capital.
Monterrey has invested heavily in infrastructure, boasting a modern transportation network with well-kept highways, a bustling port, and a growing international airport. These upgrades are key for businesses involved in global trade.
With these factors in play, Monterrey is poised for a rise in foreign investment in its affordable housing sector.
Sources: Frontier Industrial, Benjamin W. Powell, Pasero Abogados
10) Property values in Valle Oriente will increase with the development of new green spaces
The Valle Oriente district in Monterrey is gearing up for a boost in property values thanks to new green spaces.
In recent years, particularly 2023 and 2024, there has been a significant push to enhance the area with green infrastructure. One standout project is the linear park along Prolongación Alfonso Reyes, which has not only beautified the district but also improved its environmental quality. This makes Valle Oriente more appealing to potential buyers and investors.
Historically, areas that introduce green spaces often see a rise in property values. Take the Lyra master plan in Monterrey, for instance. It features extensive green areas and shows how preserving local ecosystems can make a place more desirable. People are naturally drawn to spots that offer a mix of urban living and natural beauty, which positively impacts property values.
Urban planning reports frequently highlight the perks of green spaces on property values. The Tecnológico de Monterrey Urban Regeneration Plan is a prime example. It focuses on creating vibrant communities with modern environments, which are not only great for collaborative learning but also attract higher property values. These areas are seen as ideal places to live and work.
In Valle Oriente, the development of green spaces is expected to follow this trend. The district is becoming a more attractive option for those looking to invest in property, thanks to its improved aesthetics and environmental quality. This shift is likely to draw in more residents and businesses, further boosting property values.
As Monterrey continues to grow, the emphasis on green spaces in Valle Oriente is a smart move. It aligns with global trends where urban areas are increasingly valuing sustainability and quality of life. This makes the district a promising spot for future property investments.
11) Suburban areas will experience slower price growth than urban centers in the city
Property prices in Monterrey's urban centers are rising faster than in the suburbs.
Why? Well, it's all about location. Urban centers are buzzing with activity, thanks to their proximity to amenities and services. Everyone wants to be close to the action, and this demand naturally pushes prices up. Imagine having your favorite coffee shop, gym, and grocery store just a short walk away. That's the allure of city living.
Another big factor is infrastructure. Most public transportation investments are focused on urban areas, making them super accessible. This means you can easily hop on a bus or train to get around, which is a huge plus for city dwellers. As a result, these areas become even more desirable, and property values climb.
Then there's the people factor. More folks, especially younger ones, are flocking to urban areas. They love the convenience and vibrant lifestyle that cities offer. This influx of people means more demand for housing, which again, drives prices up. It's a cycle: more people, more demand, higher prices.
In contrast, suburban areas aren't seeing the same level of investment or demand. The city's suburban areas will see a slower price increase compared to urban centers. While they offer more space and quieter surroundings, they lack the immediate access to amenities and public transport that urban areas boast.
So, if you're thinking about buying property in Monterrey, consider what matters most to you. Do you want the hustle and bustle of city life, or the peace and space of the suburbs? Each has its perks, but the price trends are clear.
Sources: Properstar, World Population Review, ASEAN UP
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12) Monterrey's affordable housing prices will increase rapidly due to high demand
Monterrey's population is on the rise, with a 1.54% annual increase expected in 2024, and it's set to hit nearly 6 million by 2035.
This bustling city has become a key player in Latin America's industrial scene, thanks to nearshoring and top-notch logistics. As a result, many workers are flocking to Monterrey, which is pushing up the demand for housing, especially in the affordable range.
Affordable housing is in short supply, particularly in the MX$2 million to MX$4 million price range, which is what most buyers are after. This scarcity, coupled with high demand, is causing prices in this segment to climb.
Monterrey's appeal isn't just about industry; it's also about lifestyle. The city offers a mix of urban amenities and natural beauty, making it a magnet for people seeking a balanced life. This attraction further fuels the demand for affordable housing.
With more people moving in, the pressure on the affordable housing market is intense. The limited availability of homes in this price range means that prices are likely to rise faster than in other segments.
For potential buyers, understanding this dynamic is crucial. The combination of a growing population, industrial growth, and limited affordable housing options means that acting sooner rather than later could be beneficial.
Sources: Mexico Business News, Macrotrends, Global Property Guide
13) Monterrey will see higher rental yields as more people choose renting over buying
In Monterrey, property prices have surged, making it tougher for many to buy homes.
In 2024, the house price index jumped by 11.8%, pushing more people towards renting. With homeownership becoming a stretch, renting is now seen as a more practical choice for many.
Monterrey's population is on the rise, with a 1.54% annual growth in 2024. This steady increase, coupled with urbanization, means more folks are looking for places to live, and rentals are in high demand.
The city's booming economy, especially in manufacturing and tech, is a magnet for professionals and expats. These groups often choose renting for its flexibility, which in turn boosts the rental market. The tech sector, in particular, is drawing in young professionals who prefer to rent.
As Monterrey continues to grow, the demand for rental properties is expected to rise. The city's vibrant job market, especially in tech, is a key factor in this trend. Young professionals are flocking to Monterrey, and many of them are opting to rent.
With more people moving to the city, the need for rental homes is naturally increasing. This trend is likely to continue as Monterrey's economy and population keep expanding.
Sources: Global Property Guide, World Population Review
14) Suburban rental yields will drop as more people relocate closer to city centers for work
Monterrey is seeing a boom in urban population growth as more people choose to live closer to the city center.
Why the shift? Well, the city center is buzzing with job opportunities and business developments, making it a magnet for those looking to work and live in a vibrant area. People are drawn to the idea of shorter commutes, and in Monterrey, this is a big deal.
With improved public transportation, getting around the city center is now easier and cheaper, which adds to its charm. Reports show a drop in rental demand in the suburbs, hinting that folks are moving downtown instead.
Since 2022, there's been a noticeable dip in sales of vertical housing in suburban areas, especially in the MX$2 million to MX$4 million range, which is usually aimed at the average buyer. This suggests that the suburban market is cooling off as people flock to the city center.
Infrastructure upgrades and new amenities in the city center are making it an even more attractive place to live. Developers are catching on, too, with increased investment in city center residential projects, signaling a strong housing market there.
All these changes point to a future where suburban rental yields might decline as more people opt for the convenience and excitement of city center living.
Sources: Mexico Business News, Indeed

We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Mexico. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
15) Luxury property yields will stay stable with ongoing demand from high-income renters
Luxury property yields in Monterrey are holding steady because high-income renters keep flocking to the area.
Monterrey is buzzing with life, offering a mix of vibrant culture, stunning landscapes, and top-notch job opportunities. Its close proximity to the US border and a strong economy make it a magnet for expats and professionals who crave modern amenities without breaking the bank. This has naturally led to a surge in demand for luxury rentals.
Even though operational costs are creeping up, rental prices for luxury properties aren't budging much. In fact, they might even be ticking upwards. This is all thanks to a steady demand and a limited supply. The low vacancy rates in Monterrey's high-end rental market are a clear sign that these properties are hot commodities.
Monterrey's economy is on a roll, especially with its booming tech and services sectors. This economic growth is a magnet for affluent individuals who are on the lookout for a thriving place to call home. The city's consistent economic expansion keeps drawing in those who want a prosperous living environment.
For those considering a move, Monterrey offers a unique blend of modern living and cultural richness. The city's appeal is not just in its economic opportunities but also in its lifestyle offerings. This makes it a prime choice for high-income renters looking for luxury and convenience.
With all these factors in play, it's no wonder that Monterrey's luxury property market is thriving. The demand from high-income renters is a key driver, ensuring that luxury property yields remain stable despite any economic fluctuations.
Sources: The Rio Times, Digital Nomad Exchange, CRE Daily
16) Short-term rental yields will grow with increased tourism and business travel
Tourism and business travel are booming in Monterrey, making it a hot spot for property investment.
In 2023, Mexico welcomed over 75 million international tourists, a 13.7% jump from the previous year. Monterrey itself saw a 31.1% increase in international tourist arrivals, with 354,570 visitors exploring the city. This influx is transforming the local property market.
With more tourists and business travelers, short-term rental occupancy rates are climbing. While specific numbers for Monterrey aren't available, similar trends in other regions suggest a similar pattern here. The demand for short-term rentals is on the rise, making it a lucrative opportunity for property owners.
Short-term rentals in Monterrey are not just filling up; they're commanding higher prices. Average daily rates (ADR) have remained strong, even when markets fluctuate. Properties with premium rates are still pulling in revenue, showing that Monterrey's market can support higher ADRs.
Adding to the appeal, the number of short-term rental listings is growing. These properties are increasingly offering unique amenities and accommodations for larger groups, catering to the diverse needs of visitors.
Investing in Monterrey's short-term rental market could be a smart move, especially with the city's ongoing development and infrastructure improvements. Upcoming events like the 2026 World Cup are expected to further boost tourism, enhancing the potential for rental yields.
Sources: Mexico Business News, Beyond Pricing, DataTur
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.