Authored by the expert who managed and guided the team behind the Honduras Property Pack
Yes, the analysis of Roatan Island's property market is included in our pack
Roatan Island's property market offers diverse pricing across different property types and locations. As of September 2025, land prices average $3,800 per square meter for prime development-ready parcels, while condos and apartments average $2,232 per square meter, and houses or villas cost around $1,647 per square meter on average.
If you want to go deeper, you can check our pack of documents related to the real estate market in Honduras, based on reliable facts and data, not opinions or rumors.
Roatan Island's property market shows significant price variations, with beachfront properties commanding up to 100% premium over inland locations. The island remains one of the most affordable Caribbean destinations for property investment.
Current market trends indicate strong appreciation potential with projected annual growth of 3-8% over the next three to five years, supported by tourism growth and limited land supply.
| Property Type | Average Price (USD/sqm) | Key Characteristics |
|---|---|---|
| Prime Land | $3,800 | Development-ready parcels |
| Condos/Apartments | $2,232 | Bay Islands average pricing |
| Houses/Villas | $1,647 | Standard residential properties |
| Beachfront Land | $350-$500 | Premium coastal locations |
| Construction (Wood) | $1,350-$1,900 | New build costs |
| Construction (Concrete) | $1,900-$2,700 | Premium construction materials |
What's the current average price per square meter for land on Roatan Island?
Prime development-ready land on Roatan Island averages $3,800 per square meter as of September 2025.
This pricing applies to land that's ready for construction with proper access roads and basic infrastructure connections. The $3,800 per square meter represents the market standard for well-located parcels suitable for residential development.
Beachfront land commands significantly different pricing, ranging from $350 to $500 per square meter depending on the specific location and beach access quality. Premium oceanfront lots in areas like West Bay can reach the higher end of this range, while more remote beachfront areas typically fall closer to $350 per square meter.
Land prices vary considerably based on location, with East End properties (Politilly, Milton, Punta Gorda) typically costing 20-30% less than prime areas. Inland parcels without ocean views generally offer better value per square meter compared to coastal properties.
It's something we develop in our Honduras property pack.
What's the current average price per square meter for condos and apartments on Roatan Island?
Condos and apartments on Roatan Island average $2,232 per square meter across the Bay Islands region as of September 2025.
New condo projects typically command higher prices per square meter, particularly in high-demand areas like West Bay and West End. Luxury beachfront condominiums can exceed the average significantly, while older apartment buildings and units further from the beach fall below this average.
The condo market shows strong variation based on amenities and location. Properties with ocean views, swimming pools, and modern finishes can cost 30-50% more per square meter than basic units. Vacation rental-optimized condos with furnished packages often include premium pricing in their per-square-meter calculations.
Most new condominium developments target the short-term rental market, which influences their pricing structure and amenity packages. These investment-focused units typically offer higher rental yields but require larger upfront investments per square meter.
What's the current average price per square meter for houses or villas on Roatan Island?
Houses and villas on Roatan Island average $1,647 per square meter for standard residential properties as of September 2025.
This average covers typical single-family homes across the island, excluding luxury beachfront properties which command significant premiums. Standard homes in neighborhoods like Sandy Bay and French Harbour typically fall within this price range, offering good value for buyers seeking primary residences or long-term rental properties.
Luxury villas and beachfront houses significantly exceed this average, with oceanfront properties often starting around $750,000 to $1,000,000 total purchase price. These premium properties can double the per-square-meter cost due to their exclusive locations and high-end finishes.
The house market offers the most diverse pricing options on the island. Buyers can find smaller homes below the average in developing areas, while custom-built villas with premium locations and finishes can reach several times the average cost per square meter.
How do prices per square meter vary by neighborhood or region on the island?
| Neighborhood/Region | Price Level | Characteristics |
|---|---|---|
| West Bay & West End | Highest | Premium beachfront, luxury condos, tourist amenities |
| Camp Bay | High | Emerging luxury area, nearly matching West Bay prices |
| Sandy Bay & French Harbour | Mid-tier | Consistent growth, good infrastructure, local amenities |
| East End (Politilly, Milton) | Lower | 20-30% cheaper, larger lots, fewer tourist amenities |
| Punta Gorda | Lower | Traditional community, limited tourist infrastructure |
| Interior/Mountain Areas | Lowest | No ocean access, cooler climate, limited development |
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What's the price difference between beachfront properties and inland properties per square meter?
Beachfront properties on Roatan Island cost up to 100% more per square meter compared to comparable inland properties as of September 2025.
This significant premium reflects the limited supply of oceanfront land and high demand from both investors and vacation home buyers. Beachfront homes with direct beach access command the highest premiums, while properties with ocean views but no direct beach access typically cost 30-50% more than inland equivalents.
The premium varies by specific location and beach quality. Properties on white sand beaches like West Bay command higher premiums than those on rocky coastlines. Swimming-friendly beaches with calm waters typically justify higher per-square-meter costs than areas with rougher surf or coral barriers.
Inland properties offer better value for buyers prioritizing space over ocean access. Many inland homes provide mountain views, larger lots, and cooler temperatures while maintaining reasonable access to beaches and amenities.
It's something we develop in our Honduras property pack.
What's the historical price trend per square meter on Roatan over the past 5–10 years?
Property prices per square meter on Roatan Island have increased 30-40% over the past five years and more than doubled over the past decade as of September 2025.
The most significant appreciation occurred in beachfront and ocean-view properties, which led the market's upward trajectory. Homes that cost $200,000-$300,000 ten years ago now typically sell for $500,000 or more, representing substantial per-square-meter value increases.
The five-year trend shows consistent annual growth averaging 6-8% per year, with some premium areas experiencing even higher appreciation rates. This growth outpaced most Caribbean markets and many U.S. real estate markets during the same period.
Tourism growth, infrastructure improvements, and increased international awareness of Roatan drove much of this appreciation. The COVID-19 pandemic actually accelerated growth as remote workers and vacation home buyers discovered the island's appeal.
What are the typical price ranges per square meter for new developments versus older properties?
New developments on Roatan Island typically cost 20-40% more per square meter than older properties, with new condos and homes commanding premium pricing for modern amenities and construction standards.
Older properties often require renovation investments that can add $200-$500 per square meter to bring them to modern standards. However, they offer opportunities for buyers to customize properties according to their preferences while potentially achieving lower total costs per square meter.
New developments typically include modern electrical systems, updated plumbing, hurricane-resistant construction, and energy-efficient features that older properties may lack. These improvements justify higher per-square-meter pricing but reduce ongoing maintenance costs.
The age premium varies by property type, with new condos showing the largest price differences compared to older units. Single-family homes show smaller premiums between new and old properties, particularly when older homes have been well-maintained.
What's the average rental yield per square meter for investment properties on Roatan?
Investment properties on Roatan Island achieve 8-10% gross rental yields, representing notably high returns for Caribbean markets as of September 2025.
Vacation rental properties consistently achieve the higher end of this range, particularly those optimized for short-term rental platforms like Airbnb. Properties with ocean views, swimming pools, and modern amenities typically generate rental income of $15-25 per square meter per month during peak tourist seasons.
Long-term rental yields generally fall slightly lower but still offer attractive returns compared to many international markets. Local rental demand from expats and tourism workers provides steady income streams for investment properties.
The strong tourism industry supports consistent rental demand throughout the year, though seasonal variations affect monthly income. Properties in West Bay and West End achieve the highest per-square-meter rental rates due to tourist proximity and amenities.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Honduras 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 do construction costs per square meter compare to buying ready-built properties?
| Option | Cost per Square Meter (USD) | Considerations |
|---|---|---|
| Ready-built homes (average) | $1,647-$3,800 | Immediate occupancy, established neighborhoods |
| New wood construction | $1,350-$1,900 | Lower cost, faster construction, hurricane risk |
| New concrete construction | $1,900-$2,700 | Durability, hurricane resistance, higher cost |
| Luxury custom builds | $2,700-$4,000+ | Premium finishes, custom design, extended timeline |
| Basic construction | $1,000-$1,350 | Minimal finishes, basic materials, local labor |
What's the average price per square meter in comparable Caribbean islands, and how does Roatan rank?
Roatan Island ranks among the most affordable Caribbean destinations for property investment, with significantly lower per-square-meter costs than most established Caribbean markets as of September 2025.
Comparable destinations show much higher pricing: Belize costs $4,500-$6,000 per square meter, Bocas del Toro in Panama ranges $8,000-$12,000 per square meter, Costa Rica's Guanacaste province costs $6,000-$10,000 per square meter, and Punta Cana in the Dominican Republic reaches $20,000 per square meter.
The Caribbean average ranges $1,100-$3,100 per square meter, placing Roatan near the middle of this range while offering superior tourism infrastructure compared to many lower-priced alternatives. This positioning provides both affordability and growth potential.
Roatan's competitive pricing reflects its emerging market status rather than any fundamental disadvantages. The island offers similar amenities and climate to more expensive Caribbean destinations while maintaining accessibility for middle-market investors.
It's something we develop in our Honduras property pack.
What taxes, fees, or legal costs need to be added per square meter when buying property in Roatan?
Property buyers on Roatan Island should budget approximately 6% of the purchase price for closing costs, which includes transfer taxes, legal fees, and registration expenses as of September 2025.
Transfer taxes cost 1.5% of the purchase price, while notary and legal fees typically range 1-3% of the total cost. Additional miscellaneous fees account for approximately 0.5% of the purchase price, covering various registration and administrative costs.
Annual property taxes remain relatively low, averaging around $800 per year for a typical three-bedroom home. Vacant land carries approximately $100 annual property tax, making land ownership very affordable from a carrying cost perspective.
These costs apply regardless of property size, meaning larger properties benefit from lower per-square-meter tax and fee costs. Foreign buyers face the same tax structure as local buyers, with no additional penalties or restrictions.
What's the forecasted growth rate of price per square meter in Roatan for the next 3–5 years?
Property prices per square meter on Roatan Island are projected to grow 3-8% annually over the next three to five years, with beachfront and luxury properties expected to achieve the higher end of this range.
Market fundamentals supporting this growth include continued tourism expansion, infrastructure investments, and limited land supply constraints. The island's increasing international recognition as a retirement and vacation destination drives consistent demand growth.
Beachfront properties are expected to outperform the market average due to their scarcity and high investor demand. New development projects and improved airport facilities should support overall market appreciation throughout the forecast period.
Economic factors including U.S. interest rates, Caribbean tourism trends, and local infrastructure development will influence the actual growth rates. Conservative estimates suggest 3-5% annual growth, while optimistic scenarios project 6-8% annual appreciation.
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.
Roatan Island's property market offers compelling opportunities for both investors and residents seeking Caribbean living at accessible price points.
The combination of competitive per-square-meter pricing, strong rental yields, and projected appreciation makes the island an attractive real estate destination for 2025 and beyond.
Sources
- The LatinVestor - Roatan Island Price Forecasts
- The LatinVestor - Honduras Price Forecasts
- Roatan Real Estate - Average House Costs
- Jorge Chavez - Construction Costs in Roatan
- Global Citizen Solutions - Caribbean Cost of Living
- YouTube - Roatan Property Purchase Process
- The LatinVestor - How to Buy House in Honduras
- Roatan Real Estate - Buyer's Guide