Latin America Condominiums and Apartments Market Size

Latin America Condominiums & Apartments Market Analysis

The Latin American condominiums and apartments market is anticipated to register a CAGR of over 5% during the forecast period. The market is driven by the demand for rental apartments in many cities, preceded by luxurious condos in some of the most expensive cities. The market is driven by growing investments.

• Destination markets in Mexico are heating up, particularly as remote workers seek a year-round, resort-style living due to flexible, remote work policies. Buyers continue to snap up vacation homes that they can use more frequently and then rent out for income the rest of the year. The global rental market has remained at an all-time high for the past two years as demand continues to outpace supply. Single-family home sales increased by 30%, with the median price increasing by 95%. Condos were the most popular commodity, with transactions increasing by 93%, followed by single-family homes and undeveloped land.
• Polanco, known as the "Beverly Hills of Mexico," is the cultural center of Mexico City, the country's capital, and is home to some of Latin America's most expensive properties. In this region, condos in low-rise buildings are the most common housing type. They are typically designed in the Mexican/international contemporary style. Some of the most prestigious residential projects are boutique-style buildings with 10 or fewer condos and five stories or less. They typically range from 1,500 to 4,000 square feet, which is relatively large compared to condos in other large cities. Many of them have private helicopter landing pads on their rooftops, with the newer condos including a gym, swimming pool, playground, and a shared common area, among other things.
• Playa del Carmen, located on the beautiful Riviera Maya about an hour from Cancun, is becoming increasingly popular among the digital nomad crowd as a fun little beach city. This region is more expensive than Mexico City and, along with Cancun and Tulum, ranks second in Latin America only to Punta del Este in Uruguay. However, unlike other Latin American cities, prices in Mexico City are much more closely linked to the North American market, as this is the primary target market for the Mexican industrialists, who are tied to the American economy.
• The rent of apartments in Mexico City is significantly lower than in many other countries. Tourist attractions or major economic centers are located in cities with the most expensive housing. As a result, rent is relatively more expensive in Los Cabos, Monterrey, Guadalajara, and Cancun. On the other hand, Tlaxcala, Zacatecas, and Tepic are several cities with the lowest prices.