Authored by the expert who managed and guided the team behind the Nicaragua Property Pack
Everything you need to know before buying real estate is included in our Nicaragua Property Pack
Nicaragua's real estate market offers significantly lower property prices compared to neighboring Costa Rica and Panama, making it an attractive destination for international buyers and investors.
As of September 2025, apartment prices in Managua average $1,230 per square meter, while houses nationwide cost around $930 per square meter. Beachfront properties on the Pacific coast command premium prices of $1,000-$2,000 per square meter, particularly in tourist hotspots like San Juan del Sur.
If you want to go deeper, you can check our pack of documents related to the real estate market in Nicaragua, based on reliable facts and data, not opinions or rumors.
Real estate prices in Nicaragua remain affordable with apartments averaging $1,230/m² in Managua and houses around $930/m² nationally, while beachfront properties command premium prices of $1,000-$2,000/m².
Property taxes are low at 1% annually, closing costs total 3-4% of purchase price, and construction costs range from $500-$800/m² for standard homes to $1,200/m² for high-end coastal properties.
| Property Type | Location | Price Range |
|---|---|---|
| Apartments | Managua (per m²) | $1,230/m² |
| Houses | National average (per m²) | $930/m² |
| Beachfront Land | Pacific Coast (per m²) | $1,000-$2,000/m² |
| Urban Land | City centers (per m²) | $130-$200/m² |
| Rural Land | Remote areas (per m²) | $5-$40/m² |
| 1-Bedroom Rent | Managua center | $240-$320/month |
| Construction Cost | Standard homes (per m²) | $500-$800/m² |
What's the average price per square meter for buying an apartment in Nicaragua right now?
As of September 2025, apartments in Nicaragua cost an average of $1,230 per square meter, with significant variation by location.
In Managua, the capital city, apartment prices average $1,230/m² (NIO 45,245/m²), reflecting higher demand in the urban center. This price represents the median for the metropolitan area, with premium neighborhoods commanding higher rates.
Regional variations show Granada apartments averaging $878/m², while more affordable inland cities like Estelí offer apartments at around $679/m². Coastal areas like Rivas can reach up to $1,395/m² due to tourism and foreign investment interest.
These prices reflect the current market conditions where Nicaragua remains one of the most affordable real estate markets in Central America, particularly when compared to Costa Rica where similar apartments cost 2-3 times more.
It's something we develop in our Nicaragua property pack.
What's the average price per square meter for buying a house in Nicaragua?
Houses in Nicaragua cost an average of $930 per square meter nationally as of September 2025, making them more affordable than apartments on a per-square-meter basis.
The national median of $930/m² (NIO 34,090/m²) reflects prices across all regions, with coastal areas commanding premium prices. In Rivas and other coastal towns, house prices can reach up to $1,395/m² due to proximity to beaches and tourist amenities.
Inland cities offer more affordable options, with Granada houses averaging $878/m² and budget-friendly locations like Estelí offering houses at $679/m². These price differences reflect varying levels of infrastructure development and international buyer interest.
The lower per-square-meter cost for houses compared to apartments reflects the abundance of land in Nicaragua and lower construction costs outside urban centers. Houses also offer more potential for expansion and customization.
How much does land cost per square meter in urban areas compared to rural areas?
Urban land in Nicaragua costs $130-$200 per square meter in city centers, while rural land ranges from $5-$40 per square meter depending on location and accessibility.
City center land commands the highest prices at $130-$200/m² due to infrastructure, services, and commercial potential. These areas offer immediate access to utilities, transportation, and urban amenities that justify the premium pricing.
Rural land pricing varies dramatically based on accessibility and development potential. Remote areas start as low as $5-$10/m² for large agricultural or eco-tourism plots, while land closer to main roads or urbanizing towns ranges from $20-$40/m².
The vast price difference between urban and rural land creates opportunities for different investment strategies, from urban development projects to agricultural ventures or eco-tourism developments in scenic rural locations.
What's the average total price of a small one-bedroom apartment in Managua versus similar ones in Granada or León?
| Location | One-Bedroom Apartment Price Range | Average Price |
|---|---|---|
| Managua | $55,000 - $75,000 | $65,000 |
| Granada | $50,000 - $70,000 | $60,000 |
| León | $50,000 - $100,000 | $75,000 |
| Managua (city center) | $65,000 - $75,000 | $70,000 |
| Granada (city center) | $60,000 - $70,000 | $65,000 |
| León (premium areas) | $80,000 - $100,000 | $90,000 |
How much would a typical three-bedroom family home cost in the capital compared to coastal towns?
Three-bedroom family homes in Managua cost $130,000-$180,000, while coastal towns range from $150,000-$600,000 depending on proximity to beaches and tourist amenities.
In Managua, the capital, three-bedroom homes typically cost $130,000-$180,000 for standard properties in established neighborhoods. These homes offer urban conveniences, access to schools and healthcare, and established infrastructure.
Coastal towns like Rivas show prices ranging from $150,000-$350,000 for similar homes, with the premium reflecting proximity to beaches and tourism infrastructure. San Juan del Sur, the premier beach destination, commands $350,000-$600,000 for three-bedroom homes, especially those with ocean views or beachfront access.
The significant price difference reflects the coastal premium driven by international buyers, tourism potential, and the limited supply of quality properties in prime beach locations. Coastal properties also offer rental income opportunities from vacation renters.
Don't lose money on your property in Nicaragua
100% of people who have lost money there have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.
What's the price range for beachfront property per square meter on the Pacific coast compared to the Caribbean coast?
Pacific coast beachfront property costs $1,000-$2,000 per square meter, while Caribbean coast properties range from $400-$800 per square meter due to lower tourism development.
The Pacific coast, particularly around San Juan del Sur and Tola, commands premium prices of $1,000-$2,000/m² for direct beachfront properties. This area benefits from established tourism infrastructure, international airport access, and consistent surf conditions that attract foreign buyers and investors.
Caribbean coast properties cost significantly less at $400-$800/m² in remote areas due to limited tourism development, challenging infrastructure, and lower international buyer interest. The Atlantic coast faces accessibility challenges and less developed amenities compared to the Pacific side.
The price differential reflects the Pacific coast's more developed tourism industry, better road access from Managua, and established expatriate communities. The Caribbean coast offers value opportunities but requires more consideration of infrastructure limitations and development potential.
How much more expensive are properties in tourist hotspots like San Juan del Sur compared to smaller inland towns?
Properties in San Juan del Sur cost 40-120% more than similar properties in smaller inland towns, with the premium increasing for ocean views and beach access.
San Juan del Sur, Nicaragua's premier beach destination, commands significant premiums over inland locations due to tourism infrastructure, international buyer demand, and beachfront location. Properties with ocean views or walkable beach access can cost over 120% more than comparable homes in Granada or León.
Smaller inland towns like Estelí and Matagalpa offer properties below $700/m², making them attractive for budget-conscious buyers seeking affordable living costs. These areas provide authentic Nicaraguan culture and lower cost of living but lack tourism amenities and rental income potential.
The premium reflects San Juan del Sur's established tourism economy, rental income potential, and foreign buyer interest. However, inland towns offer authentic experiences, lower living costs, and opportunities for those prioritizing affordability over tourism amenities.
It's something we develop in our Nicaragua property pack.
What are the average monthly rental prices for a one-bedroom apartment in Managua, Granada, and León?
| Location | City Center | Outside Center |
|---|---|---|
| Managua | $240-$320/month | $180-$250/month |
| Granada | $200-$280/month | $150-$220/month |
| León | $200-$300/month | $150-$250/month |
| Managua (premium) | $300-$320/month | $230-$250/month |
| Granada (tourist areas) | $250-$280/month | $200-$220/month |
| León (university areas) | $250-$300/month | $200-$250/month |
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Nicaragua 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.
How much rent would you expect to pay for a larger three-bedroom home in a city versus a coastal area?
Three-bedroom homes rent for $400-$800 per month in cities like Managua, while coastal areas like San Juan del Sur command $700-$1,500 per month for comparable properties.
In Managua, three-bedroom homes typically rent for $400-$800/month depending on neighborhood quality, amenities, and proximity to business districts. Mid-range neighborhoods offer good value around $500-$600/month for families seeking urban conveniences.
Coastal areas, particularly San Juan del Sur and Popoyo, command premium rents of $700-$1,500/month for three-bedroom homes. Beachfront properties with ocean views command the highest rents, often exceeding $1,200/month during peak tourist seasons.
The coastal premium reflects tourism demand, foreign renter interest, and seasonal fluctuations. Properties in beach towns often generate higher rental yields due to vacation rental potential, but also face more seasonal vacancy periods compared to steady urban rentals.
What are the typical annual property taxes as a percentage of property value in Nicaragua?
Annual property taxes in Nicaragua are 1% of the assessed municipal value, which is typically well below market value.
The property tax rate is set at 1% annually based on the municipal assessment, not the market value of the property. This creates favorable conditions for property owners as municipal valuations often lag significantly behind actual market prices.
Local valuations are frequently 30-50% below market value, resulting in effective tax rates of 0.3-0.7% of actual property value. This makes Nicaragua one of the most tax-efficient jurisdictions for property ownership in Central America.
Property owners benefit from this system as it keeps carrying costs low, though valuations may be updated periodically. The low tax burden makes property ownership more affordable and contributes to positive rental yields for investment properties.
How much are closing costs, legal fees, and registration fees as a percentage of the purchase price?
Total closing costs in Nicaragua typically range from 3-4% of the purchase price, including registration fees, notary fees, and transfer taxes.
- Registration Fee: 1% of the declared purchase price, paid to register the property transfer with the Property Registry
- Notary Fee: 1.5-2% of the purchase price for legal documentation and property transfer procedures
- Transfer Tax: 1-3% (typically 1.5%) of the declared value, collected by municipal authorities
- Legal Fees: Additional attorney fees for due diligence, title review, and transaction management
- Total Buyer Costs: Usually 3-4% of the declared price, making Nicaragua relatively affordable for property transactions
How much does it cost to build a house per square meter in Nicaragua, including materials and labor?
Construction costs in Nicaragua range from $500-$800 per square meter for standard homes, with high-end coastal properties reaching $1,200 per square meter including materials and labor.
Standard residential construction in urban areas costs $500-$800/m² for quality homes with local materials and standard finishes. This includes concrete block construction, tile roofing, basic electrical and plumbing systems, and standard interior finishes.
High-end construction with imported materials, premium finishes, and coastal-specific requirements can reach $1,200/m². Beachfront properties often require additional structural considerations for salt air, hurricane resistance, and premium materials that justify the higher costs.
Labor costs remain competitive in Nicaragua, with skilled construction workers available at reasonable rates. Material costs vary based on local versus imported supplies, with locally-sourced concrete, steel, and basic finishes offering cost advantages over imported alternatives.
It's something we develop in our Nicaragua property pack.
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.
Nicaragua's real estate market offers compelling opportunities with apartment prices averaging $1,230/m² in Managua and national house prices at $930/m², making it one of Central America's most affordable markets.
With low property taxes at 1% annually, modest closing costs of 3-4%, and construction costs ranging from $500-$1,200/m², Nicaragua provides an accessible entry point for both residential buyers and real estate investors seeking value in the region.
Sources
- Nicaragua Price Forecasts - The LatinVestor
- Cost of Living in León - Expat Exchange
- Real Estate in Managua - Digital Nomad Exchange
- San Juan del Sur Real Estate Market - The Wandering Investor
- Cost of Living in Managua - Numbeo
- Nicaragua Taxes and Costs - Global Property Guide
- Nicaragua Buying Guide - Global Property Guide
- Nicaragua Transaction Tax - BVN