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9 trends for 2025 in the Salvador (Brazil) property market

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Authored by the expert who managed and guided the team behind the Brazil Property Pack

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What is happening in Salvador’s real estate market? Are prices on the rise or decline? Is the city still attracting foreign investors? How are Brazil’s government policies and taxes shaping the real estate landscape in 2025?

These are the questions we hear every day from professionals, buyers, and sellers alike, from Pelourinho to Barra and beyond. Perhaps you’re curious about the same things.

We know this because we stay closely connected with local experts and people like you, exploring the Salvador 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 the mark or could improve, we’d love to hear your thoughts. Feel free to message us with your feedback or comments, and we’ll strive to enhance this content for you.

How this content was created 🔎📝

At The Latinvestor, we study the Salvador (Brazil) real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers throughout the place. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These trends are originally based on what we’ve learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources, like Brazil’s IBGE, the World Economic Forum, and the World Bank (among many others).

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded. For the "trends" meeting our standards, we go and look for more insights from real estate blogs, industry reports, and expert analyses, alongside our own knowledge and experience. We believe it makes them more credible and solid.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make forecasts accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

If you think we could have done anything better, please let us know. You can always send a message. We answer in less than 24 hours.

1) Interest in properties with home office spaces will grow as remote work increases

Remote work is booming in Brazil, and it's changing how people think about their homes.

In 2022, 7.4 million Brazilians were working from home, highlighting a major shift in work culture. This change has made home office spaces a hot commodity, as people look for homes that support their new work-from-home lifestyle.

Fast forward to 2023, and 98% of workers expressed a desire to work remotely at least part-time. This preference is reshaping the real estate market, with many buyers prioritizing properties that offer a dedicated office space.

The rise of coworking spaces in Latin America, expected to hit USD 1.84 billion by 2025, also reflects this shift. While coworking spaces grow, they indirectly boost the demand for home offices, as people seek flexible work environments.

Brazil's tech industry is thriving, with companies investing heavily in digital transformation. This boom is pushing more businesses to adopt remote work policies, further increasing the need for homes with office amenities.

As remote work becomes the norm, properties with home office spaces are becoming increasingly desirable. This trend is likely to continue as both companies and individuals embrace the flexibility of working from home.

Sources: IBGE News Agency, Mordor Intelligence, Remote People, Nucamp Blog

2) Eco-friendly properties will become more attractive due to new tax incentives for green buildings

New tax incentives are making eco-friendly properties more appealing to potential buyers.

In Salvador, Brazil, the IPTU Verde program is a real game-changer. It offers property tax discounts of 5%, 7%, or 10% for buildings that achieve bronze, silver, or gold certification. This is achieved by investing in sustainable technologies and reducing CO2 emissions. These financial perks have sparked a noticeable increase in the development of eco-friendly properties.

Developers are now more inclined to invest in green technologies because the tax savings can significantly offset the initial costs. This makes green buildings not only environmentally friendly but also economically viable. The trend is catching on globally, with cities like London and Paris seeing a premium on low-carbon office spaces.

There's a growing demand for sustainable living spaces as people become more conscious of their carbon footprints. They prefer homes and offices that align with their values. This shift is not just local; it's a global movement towards sustainability.

Besides tax savings, green buildings often lead to reduced energy and water consumption, which means further financial savings for property owners. This combination of immediate tax benefits and long-term cost savings makes eco-friendly properties an attractive investment.

In the end, these incentives and savings make eco-friendly properties a smart choice for anyone looking to invest in real estate. The benefits are clear, and the trend is only growing stronger.

Sources: C40, UNESCO, World Economic Forum

infographics rental yields citiesSalvador (Brazil)

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Brazil 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) Demand for accessible properties in Salvador will rise due to an aging population

The aging population in Salvador is set to boost demand for homes with accessibility features.

In Brazil, the number of elderly people is on the rise, and by 2070, 37.8% of the population will be 60 or older. Salvador, with its large urban population, is expected to mirror this trend. This shift means more people will need homes that cater to their age-related needs.

Brazil is also on track to have the fifth largest senior population globally by 2030. This is due to longer life expectancy and lower birth rates. As people live longer, the demand for homes that accommodate assistive devices and other accessibility features will grow.

Surveys show that older adults in Brazil prefer living in age-friendly and accessible environments. This preference is likely to increase the demand for properties with features like ramps, elevators, and adaptable bathrooms.

Real estate trends in Brazil are already highlighting a rise in demand for accessible homes as the population ages. This trend is particularly noticeable in urban areas like Salvador, where the need for such properties is becoming more pronounced.

As the senior population grows, the real estate market in Salvador will need to adapt to meet these changing needs. This means more properties with accessibility features will be in demand.

Sources: IBGE News Agency, AARP International, SciELO Brazil

4) Demand for affordable housing near universities will rise with the growing student population

The student population in Brazil is booming, especially in cities like Salvador.

In 2023, Brazil saw over 9.9 million undergraduates enrolled in universities, a big jump from 4.6 million in 2005. This surge means more students are on the hunt for places to live near their schools.

Take Salvador, for example. The Federal University of Bahia, with its 50,000 students, is a major player in the local housing scene. Students love being close to campus for the ease and safety it offers, which is why universities in Salvador score high on student satisfaction.

Even though living in Salvador is cheaper than in places like London, there's still a shortage of affordable student housing. With more students enrolling, expect rental prices in these areas to climb. Universities don't just educate; they also boost local housing demand by attracting students and faculty.

Sources: Statista, Times Higher Education, CRE, University Guru

5) Property prices in suburban areas like Lauro de Freitas will drop as urban living gains popularity

More people are now choosing to live in cities, with urban areas becoming increasingly popular.

In places like Salvador, property prices have surged as city living becomes more desirable. This shift is evident as residential property prices in Brazil rose by 7.73% in 2024, with Salvador seeing a big chunk of this increase. People are drawn to the conveniences and opportunities that city life offers.

Younger generations are leading this trend, moving to cities for better job opportunities and a vibrant lifestyle. This change means less interest in large family homes in suburbs like Lauro de Freitas, which could lead to a drop in property prices there.

The job market is a big pull towards urban centers. Job growth is mainly happening in major cities, making them attractive for employment seekers. This is likely to continue, reducing the appeal of suburban living.

New residential projects and better public transportation in cities like Salvador are making urban living even more appealing. These developments are drawing more people to the city, further decreasing the demand for suburban homes.

Sources: The Rio Times, The Rio Times

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6) Pituba’s property prices will rise due to its central location and amenities

Salvador's property market is booming, with a significant rise in residential prices in 2024.

Central neighborhoods like Pituba are expected to benefit from this trend, thanks to their prime locations and amenities. The National Association of Realtors highlights that central areas will be hotspots in 2025, driven by affordable inventory and rising incomes among young adults.

In Pituba, the demand for housing is likely to increase, as more people are drawn to its central location and vibrant lifestyle. The Salvador Social Project has played a key role in enhancing the area's appeal by improving social services, healthcare, and education.

These improvements have made Pituba a more attractive place to live, potentially leading to higher property prices. The neighborhood's central location, combined with these enhancements, makes it a desirable choice for potential buyers.

As more residents move in, the demand for housing in Pituba is expected to rise, further driving up prices. This trend is supported by the ongoing development and investment in the area, making it a promising option for property buyers.

With its central location and improved amenities, Pituba is poised to experience a significant increase in property values in the coming years.

Sources: The Rio Times, CBS News, World Bank

7) Barra’s property prices will rise as beachfront homes grow more desirable

Barra in Salvador is set for a rise in beachfront property prices due to several key factors.

In 2024, the median price per square meter for apartments in Salvador hit BRL 12,576, showing a strong appetite for coastal living. This demand naturally pushes property values up, making beachfront homes more desirable.

Looking at other coastal areas in Brazil, we see a pattern. Balneário Camboriú in Santa Catarina is one of Brazil's priciest markets, with properties at R$ 13,593 per square meter. Barra might be on a similar path, given its appeal.

Barra is also seeing a wave of luxury developments. High-end apartments and condos, like the BARRAPORTO CONDOMINIO CLUB, are already commanding high prices. This shift towards luxury living is likely to further boost property values.

These new developments are not just about luxury; they are reshaping the neighborhood's landscape. As more upscale projects emerge, the area's overall appeal and property values are expected to rise.

With these trends, Barra is becoming a hotspot for those seeking premium beachfront living. The combination of demand, luxury developments, and historical trends suggests that property prices in Barra will continue to climb.

Sources: The Rio Times, Properstar, FazWaz

8) Graça will see rising rental yields as it becomes popular with young professionals

Rental yields in Graça are set to rise as it becomes a magnet for young professionals.

In recent years, Salvador has seen a surge of young professionals flocking to the city, drawn by its burgeoning coworking spaces and tech hubs. A prime example is Hub Salvador, which hosts over 70 companies and startups, making it a hotspot for entrepreneurs and tech enthusiasts.

Spaces like Casa Coworking and Colabore have fostered a thriving environment for young professionals. These coworking spaces provide shared meeting rooms and support for impact businesses, making Salvador an appealing destination for startups. Consequently, neighborhoods like Graça, close to these amenities, are becoming highly sought after.

Improved public transportation in Salvador has made commuting to business districts easier for young professionals. This infrastructure boost enhances the appeal of living in areas like Graça. Additionally, the rise in local amenities, such as cultural venues like Colaboraê, indicates Graça's transformation into a lively community, further drawing in young professionals.

Graça's proximity to these coworking spaces and cultural spots makes it an ideal location for those seeking a vibrant lifestyle. The neighborhood's growing popularity among young professionals is expected to drive up rental yields, as demand for housing in the area increases.

As Graça continues to evolve, it is poised to become a key residential area for the city's burgeoning professional class. This shift is likely to result in higher rental yields, making it an attractive investment opportunity.

Sources: World Population Review, Salvador da Bahia, Airbtics

statistics infographics real estate market Salvador (Brazil)

We have made this infographic to give you a quick and clear snapshot of the property market in Brazil. 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) Stiep's rental yields will decline as new developments flood the market

In Stiep, rental yields are expected to drop as new developments flood the market.

The Salvador Cidade Sete Sois Residential Complex is a major player here, with 4,500 new units coming by 2025. This influx is set to create an oversupply, making it tougher for landlords to find tenants.

As more homes pop up, competition among landlords will heat up. This often leads to higher vacancy rates, a trend already seen in other parts of Salvador. While we don't have exact numbers for Stiep, the pattern is clear: more homes mean more empty ones.

Looking at other Brazilian cities like Fortaleza, rental prices tend to drop when markets get crowded. Landlords often cut rents to fill their properties, which means lower returns for property owners.

Tenants are drawn to new developments for their modern amenities, shifting demand away from older properties in Stiep. This preference can further pressure landlords to lower rents to stay competitive.

Sources: Global Property Guide, World Construction Network, Airbtics

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.