Eastern Antioquia as a Real Estate Investment

Eastern Antioquia continues to position itself as an attractive sector due to its high quality of life, proximity to the Aburrá Valley, great biodiversity, and growing infrastructure. These factors translate into a constant increase in land value, exceeding 10% annually, and a constantly growing traffic flow throughout the subregion. Here we tell you how the real estate market is performing in Eastern Antioquia.

Performance of rental properties

This year, the rental market continues to be fueled by high investment in new housing. It is even believed that 14% of all buyers want to purchase a property to rent out. Additionally, of all new home buyers, 19.5% already own a home, and of those, 69.5% plan to rent out their home in Rionegro or any other area in eastern Antioquia. Thus, in areas with high construction activity, there is clearly a greater supply of rental properties, with demand responding reasonably well to this increased supply.

Housing sales

The new housing market in the eastern part of Antioquia, presented by Galería Inmobiliaria, shows an offering of 117 new house and apartment projects in the eastern region, with 3,882 new homes available for sale and 79 new land subdivision projects with 1,938 units available for sale, a slightly higher supply of properties than that observed in the same period in 2022.

However, during the first four months of this year, there were significant declines in sales of new homes and lots in new subdivision projects. In the case of the former, there was a 70% decline, with a total of 1,090 new homes sold in the area, of which 701 were located in the municipality of Rionegro and 149 in El Retiro.

Lots for sale in subdivision projects showed similar figures: in the first four months of the year, 361 units were sold, compared to 926 in the same period in 2022, representing a 61% drop in sales. Of the total sold, 124 were located in La Ceja, 83 in Rionegro, and 57 in El Retiro.

Commercial vacancy

In January of this year, the Medellín and Antioquia Real Estate Exchange analyzed the occupancy rate of commercial premises and other commercial properties located in the most representative shopping centers and malls in the nearby east, finding the following.

In the sample of 802 properties analyzed, the vacancy rate (number of vacant properties as a percentage of total properties) fell to 11.3%, representing a total of 91 vacant properties during the period studied. Of these, 16 were located in shopping centers and 75 in shopping malls.