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How is the real estate market performing in Colombia?
How is the real estate market performing in Colombia?
November 25, 2022
Recently, a study was conducted in the real estate sector to analyze trends in new, used, and rental properties in Colombia. This allows buyers, sellers, owners, and tenants to gain a broader view of market supply and demand over recent months. Here we explain how the real estate market in Colombia is behaving, according to a third-quarter report of the year. With this information, you will be able to make more informed decisions in the real estate market.
Property supply in Colombia
The supply of properties for sale during the third quarter of the year was concentrated in Bogotá and Medellín, accounting for 55.27% of the total. Compared to the same period last year, this figure represents an increase of 2.8 percentage points in market share.
The most commonly listed properties were apartments for sale, with 56.61%, followed by houses for sale at 25.54%, and finally lots, warehouses, and offices with 17.85%. It is important to note that supply has decreased in cities such as Medellín, Envigado, Barranquilla, and Cartagena.
What Is the Behavior of the Real Estate Market in Colombia?
Recently, a study was conducted in the real estate sector to analyze trends in new, used, and rental properties in Colombia. This analysis allows buyers, sellers, owners, and tenants to gain a broader understanding of market supply and demand over recent months. Below, we explain how the real estate market in Colombia is behaving according to a third-quarter report. With this information, you will be able to make more informed decisions in the real estate market.
Property Supply in Colombia
During the third quarter of the year, the supply of properties for sale was concentrated in Bogotá and Medellín, accounting for 55.27% of the total. Compared to the same period the previous year, this figure represents an increase of 2.8 percentage points in market share.
The most commonly offered properties were apartments for sale, representing 56.61%, followed by houses for sale at 25.54%, and finally lots, warehouses, and offices at 17.85%. It is important to note that supply has decreased in cities such as Medellín, Envigado, Barranquilla, and Cartagena.
Speaking today about real estate investment in Colombia means speaking about Medellín. The city has evolved from being solely a benchmark of urban transformation to becoming
On the other hand, it is noteworthy that in the used housing market there is a growing trend of searching by property publication time. Buyers even filter their searches to prioritize properties that have been listed for less than seven (7) days.
Analysis of Housing Price Supply
The greatest availability of houses and apartments for sale was found in the price range between 300 and 600 million Colombian pesos, with a 32.43% share in the used housing segment. Compared to the previous quarter, this reflects stability in the used housing market, demonstrating that it continues to be the safest and most stable option within the real estate sector.
Characteristics of Properties for Sale
Certain features make properties more attractive to buyers. In this case, the laundry area is the most frequently offered feature in homes and other properties, ranking first with 11.28%. This is followed by balconies at 9.18%, elevators at 8.19%, and green areas at 8.08%.
Rental Property Supply
In the third quarter of the year, the supply of rental properties was led by cities such as Medellín and Bogotá, which together accounted for 60.8% of the market. This percentage remains stable compared to the same quarter of the previous year.
Additionally, the highest percentage of rental properties offered corresponds to warehouses, offices, and lots, representing 48.72%. This is followed by apartments for rent at 40.73% and houses for rent at 10.54%.
How Is the Real Estate Market Performing in Colombia?
Recently, a study was conducted in the real estate sector to analyze trends in new, used, and rental properties in Colombia. This study allows buyers, sellers, owners, and tenants to gain a broader understanding of market supply and demand over recent months. Below, we explain how the real estate market in Colombia is performing, according to a third-quarter report. With this information, you will be able to make better-informed decisions in the real estate sector.
Property Supply in Colombia
The supply of properties for sale during the third quarter of the year was concentrated in Bogotá and Medellín, accounting for 55.27% of the total. Compared to the same period last year, this figure increased by 2.8 percentage points in market participation.
The most commonly listed properties were apartments for sale, representing 56.61%, followed by houses for sale at 25.54%, and finally lots, warehouses, and offices at 17.85%. It is important to note that property supply has decreased in cities such as Medellín, Envigado, Barranquilla, and Cartagena.
On the other hand, it is noteworthy that in the used housing market there is a growing trend of searching by the length of time a property has been listed. Buyers are even filtering their searches to prioritize properties that have been published for fewer than seven days.
Analysis of Housing Price Supply
The greatest availability of houses and apartments for sale was found in the price range between 300 and 600 million Colombian pesos, with a 32.43% share in the used housing market. Compared to the previous quarter, this indicates stability in used housing, demonstrating that it continues to be the safest and most stable option in the market.
Characteristics of Properties for Sale
Certain features make a property more attractive to buyers. In this case, laundry areas are the most commonly offered feature in homes and other properties, ranking first with 11.28%. This is followed by balconies at 9.18%, elevators at 8.19%, and green areas at 8.08%.
Rental Property Supply
During the third quarter of the year, the supply of rental properties was led by cities such as Medellín and Bogotá, which together accounted for 60.8% of the market. This percentage remained stable compared to the same quarter of the previous year.
Meanwhile, the highest percentage of properties offered corresponded to warehouses for rent, offices, and lots, representing 48.72%. This was followed by apartments for rent at 40.73% and houses for rent at 10.54%.
Analysis of Rental Property Prices
The highest supply was found in properties with rental prices between 3 and 5 million Colombian pesos, followed by those in the 2 to 3 million peso range. According to these figures, there were no significant changes compared to the same period last year.
Characteristics of Rental Properties
The most relevant features are elevators at 7.55%, followed by laundry areas at 5.68%, balconies at 5.04%, and green areas at 4.37%. This information highlights differences in preferred features, as laundry areas are the top priority for properties for sale, while this preference varies for rental properties.
Demand for Rental Properties in Colombia
With 56.29%, cities such as Medellín, Bogotá, and Cali continue to be the locations where people most frequently search for properties to buy or rent. However, a decrease in interest was observed in Bogotá and Medellín.
Properties with the Highest Demand
Used houses and apartments for rent continue to be the most sought-after properties in the country. Apartments are the most in-demand property type, with 81.49%, primarily for rental purposes. Meanwhile, houses recorded a demand of 54.19%, indicating that people prefer used properties over new ones or other rental alternatives.
This report allows us to better understand the dynamics and behavior of the real estate sector during the last quarter of the year. It also provides a broader perspective that facilitates decision-making within the industry. Remember to rely on a company with strong market knowledge, as proper guidance and support will contribute to your well-being and financial stability.
Source: Ciencuadras, Banco Davivienda, El Libertador, and La Galería Inmobiliaria
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