Real Estate in Paraguay: Complete Guide to Investing in 2026

Paraguay is attracting a growing number of international buyers looking for accessible property prices, competitive taxation and exposure to a real estate market that is still developing.

Asunción has experienced significant residential and commercial construction, particularly around its main business districts. Other locations, including San Bernardino, Encarnación, Luque and Ciudad del Este, offer different opportunities involving apartments, family homes, vacation properties, land and commercial real estate.

However, buying an inexpensive apartment is not enough to guarantee a successful investment. Location, construction quality, developer reliability, rental demand, operating costs and resale liquidity must all be considered.

This guide explains what foreign buyers should know before investing in Paraguayan real estate in 2026.

Why invest in Paraguay?

Paraguay benefits from sustained economic growth, relatively low taxation, abundant hydroelectric energy and a strategic position between Brazil and Argentina. These factors continue to support international investment and urban development.

Potential advantages include:

• lower prices than in many Latin American capitals;
• continued development of Greater Asunción;
• growing demand for modern apartments;
• a young population;
• new professional developers;
• direct ownership by foreigners;
• off-plan payment plans;
• relatively moderate property taxation.

The market remains less transparent than established markets in Europe or North America. Public information on completed sale prices, actual rents and average resale times remains limited.

Independent analysis is therefore essential.

Can foreigners buy property in Paraguay?

Yes. Foreign nationals can generally buy, own, rent and sell property in Paraguay in their own names. Creating a Paraguayan company is not normally required.

Permanent residency is not generally required to become a property owner.

Specific restrictions may apply to certain border areas or unusual legal structures. A title and legal review should always be completed before funds are committed.

A purchase may also be completed remotely through a properly drafted and legalized or apostilled power of attorney.

How much does property cost?

Prices depend on:

• city and neighborhood;
• age of the building;
• construction quality;
• amenities;
• floor and view;
• parking;
• developer reputation;
• whether the unit is completed or off-plan.

As of 3 August 2026, TuLugar was monitoring 25,717 properties in Paraguay. For July 2026, the national median advertised price for apartments for sale was USD 1,617 per square meter. These are asking prices rather than final transaction prices.

In desirable areas of Asunción, new apartments are frequently marketed at approximately USD 1,500 to USD 2,000 per square meter, with premium projects exceeding this range.

Small units often carry a higher price per square meter, although they may be easier to rent in the right location.

Best places to invest

Asunción

Asunción is Paraguay’s main real estate market and contains the country’s largest concentration of companies, private services, restaurants, shopping centers and international residents.

Popular neighborhoods include:

• Villa Morra;
• Ykua Satí;
• Carmelitas;
• Las Lomas;
• Manorá;
• Recoleta;
• Mburucuyá;
• Herrera;
• Los Laureles.

Areas around Santa Teresa Avenue, Aviadores del Chaco, Paseo La Galería, Shopping del Sol and the World Trade Center attract professional and international tenants.

Prime areas are not automatically the most profitable. Acquisition prices and competing supply may also be higher.

Greater Asunción

Luque, Fernando de la Mora, San Lorenzo, Mariano Roque Alonso and Lambaré may provide lower entry prices.

These markets can be suitable for long-term rentals aimed at local workers and families. Rental levels and tenant profiles differ substantially from premium Asunción.

San Bernardino

San Bernardino is known for vacation homes, houses and land.

It can work for personal use or short-term rental strategies, but investors must account for seasonality, maintenance and occupancy outside peak periods.

Encarnación

Encarnación benefits from its riverfront and proximity to Argentina. Opportunities include apartments, family housing and seasonal rentals.

The market is smaller than Asunción, which may reduce liquidity.

Ciudad del Este

Ciudad del Este is a major border and commercial hub.

Residential, warehouse, office and retail opportunities exist, but investors need a strong understanding of local trade and demand linked to Brazil.

What type of property should you buy?

Studio or one-bedroom apartment

These units may appeal to young professionals, expatriates, students and business travelers. They can offer a lower total entry price.

Two- or three-bedroom apartment

Larger apartments target couples, executives and families. They may provide more stable tenancies, although the purchase price is higher.

House

Houses can meet family demand in Greater Asunción. Maintenance, security, roofing, gardens and air-conditioning systems must be evaluated carefully.

Land

Land can benefit from the future development of an area, but it normally produces no immediate income. Access, utilities, zoning and future demand are critical.

Commercial property

Commercial units may offer attractive rents, but vacancy can be longer. Visibility, parking and surrounding business activity are essential.

Buying off-plan

Off-plan property is common in Asunción.

Potential advantages include:

• launch pricing;
• staged payments;
• a choice of better units;
• possible appreciation during construction;
• modern amenities.

Before buying, verify:

• the developer’s track record;
• completed projects;
• ownership of the land;
• construction authorization;
• contractual delivery date;
• delay provisions;
• refund conditions;
• specifications and materials;
• estimated condominium fees;
• contract-assignment rules.

Marketing material is not a substitute for legal due diligence.

Expected rental yield

A professional calculation must distinguish between gross and net yield.

Gross yield

Annual rent ÷ purchase price × 100.

Net yield

Income after vacancy, condominium fees, management, maintenance, insurance, taxes, furnishing and repairs.

Promotional projections may exclude important costs. Investors should use conservative, standard and optimistic scenarios rather than relying on a single forecast.

Long-term or short-term rental?

Long-term rentals generally provide greater income stability and require less operational management.

Short-term rentals may generate more revenue in certain locations but require cleaning, guest communication, linen, maintenance, platform fees and active pricing management.

No occupancy rate should be treated as guaranteed unless it is supported by verifiable historical data.

Purchase costs

Expenses may include:

• notary fees;
• registration costs;
• legal searches and certificates;
• lawyer’s fees;
• powers of attorney;
• banking and transfer fees;
• transaction-related taxes.

Market professionals frequently estimate total closing expenses at approximately 3% to 5% of the purchase price, although every transaction must be calculated individually.

Always request a written breakdown before transferring funds.

Property purchase process

1. Define your investment strategy

Establish your budget, desired return, investment horizon, tenant profile and liquidity requirements.

2. Compare suitable properties

Compare total acquisition cost rather than the advertised price alone. Include parking, furnishing, fees and required work.

3. Complete due diligence

Review ownership, liens, mortgages, debts, cadastral boundaries, authority to sell and project permits.

4. Sign the reservation or preliminary contract

Understand the refund and cancellation clauses before paying a substantial deposit.

5. Prepare the transfer

Banks and professionals may request documentation showing the legitimate source of funds.

6. Sign the public deed

The final sale is formalized through a public deed prepared by a Paraguayan notary.

7. Complete registration

The registration of the new owner should be monitored until the process is fully completed.

Can you buy remotely?

Yes. A remote purchase may involve:

• a power of attorney;
• identity verification;
• legalized or apostilled documents;
• banking compliance;
• a trusted local representative;
• legal monitoring of title registration.

Remote buying should not mean buying without inspection. A detailed video tour, neighborhood review and technical inspection are recommended.

Mistakes to avoid

• relying only on an advertised yield;
• neglecting construction quality;
• overpaying in a fashionable neighborhood;
• ignoring condominium fees;
• confusing market growth with resale liquidity;
• buying land without checking access and utilities;
• transferring money before legal verification;
• assuming that every off-plan project will appreciate.

Investing through Paraguay Realty

Paraguay Realty assists international buyers with the selection, analysis and acquisition of property in Paraguay.

Services may include:

• personalized property searches;
• project comparisons;
• price-per-square-meter analysis;
• rental-potential assessments;
• physical and remote viewings;
• negotiation;
• legal and notarial coordination;
• off-plan purchases;
• remote acquisitions;
• rental and property management.

Our objective is not to present the largest number of listings. It is to identify properties that match the buyer’s budget, strategy and acceptable level of risk.

Contact Paraguay Realty to receive a personalized selection of available properties and developments.

Frequently asked questions

Do I need residency to buy property?

No. Foreign nationals can generally buy property without Paraguayan residency.

Can I buy with a foreign passport?

Yes, subject to identity, compliance and source-of-funds requirements.

Can I complete the purchase remotely?

Yes, usually through a properly prepared power of attorney.

Is Paraguayan real estate profitable?

It can be, but results depend on location, entry price, costs, rental demand and management.

Is Asunción the best market?

It is the country’s deepest and most diverse market, but it is not necessarily the best choice for every investment strategy.

Is off-plan property better?

It may provide attractive pricing and staged payments, but it introduces developer, construction and delivery risks.

Sources and methodology