2023 has been characterized as a year of challenges and new horizons in the real estate sector. In general terms, from January to March the sale of new homes at the national level reached 56% compared to the same period of the previous year, the rental fee for homes increased by 7% and the supply of commercial real estate increased (such as warehouses, lots and offices) in the country.

(Rise in the price of new housing, the highest in 8 years).

For the first quarter of 2023, the platform that integrates all housing solutions and procedures in one place, Ciencuadras.com, delivered its report «Behavior of real estate in Colombia: New, Used and for Rent»; in which he presents an analysis with the platform’s own data, more information from the Economic Studies of Banco Davivienda, La Galería Inmobiliaria and El Libertador of the behavior of the market in the country and the following 10 outstanding points are highlighted:

1- It is evident a concentration of the supply of new and used real estate in Bogotá (27.84%), Medellín (25.95%) and Barranquilla (13.84%). Compared to the first quarter of the previous year, probably the participation of Bogotá and Medellín, while Cali increased its percentage of supply. Other movements are also seen, Sabaneta and Itagüí do not appear, giving entry to Pereira (which has gained strength since the middle of last year) and Manizales.

2- There is evidence of a 56.2% decrease in new housing units sold nationwide, compared to the same period of the previous year. More than 17,000 VIS housing sales and more than 11,000 units in the Non-VIS segment were registered. In monetary terms, sales in constant pesos decreased by 51% in Social Interest Housing, while for Non-VIS Housing the reduction was 34%. Apartments are the most widely offered type of property nationwide for used and new housing, with 54.09% of the total of this inventory.

(Bogotá, Medellín and the Caribbean: the best areas to invest in housing).

3- The median sale price of a new apartment from January to March 2022 was $346,219,433, by the end of the same period of 2023 an increase of $39,905,067 was increased. This behavior occurred due to the decrease in the supply of new housing, mainly in the VIS segment, which causes prices to increase. Added to this is the new offer that is emerging and the trend of country housing on the outskirts of the main cities. Regarding used housing, there is greater stability, with a slight variation in apartment prices of 0.54%.

4- Contrary to the offer of real estate for sale, the largest concentration for rent was in the city of Medellín, with a 33.3% share. In this modality, Bucaramanga and Itagüí gained relevance, entering the top, while Pereira was left out. Commercial real estate stands out (such as warehouses, lots and offices) with more than 50% of the inventory for rent. This can be attributed to the new modalities of teleworking and hybrid work in the country, which require fewer physical spaces to work, thus increasing the offer of this type of property.

5- Leasing fees will increase significantly. An annual variation of 7% for houses and 6.7% for apartments is registered, doubling the variations of last year in residential real estate. In the non-residential segment, there was also a significant increase. For example, in the type of offices, it went from a variation of 0.97% in February 2022 to 1.51% for the same month in 2023.

6- By cities, the behavior of rental fees for residential properties presented a higher annual variation in Barranquilla (7.8%), in the housing segment. For its part, Cartagena (8.2%) continues to lead the acceleration in the increase in apartment rental fees, a trend seen since previous months.

7- For non-residential, Cali stands out as the main city with a below-average variation in the category of wineries. In turn, Cartagena also continues to lead the increases in this type of property.

8- With 68.53% of the participation, apartments and studio apartments are the most sought after types of properties in the country for new and used purchases. The demand during the first quarter of 2023 leaned towards apartments, with more than 80% of the total searches.

9- The availability of new housing will be reduced by approximately 30,000 units compared to the same period of the previous year. This, due to the changes that have been presented in the subsidies, payment terms, rates and delivery time of the projects. On the other hand, in the offer of launches of new housing projects, Girardot stood out as it had a positive growth of 18%. This shows the relevance in this area of ​​the country, which is equal to that of large cities such as Bogotá, Medellín and Cali.

(How it was before and how it is now the lease law in the country).

10- According to Economic Studies of Banco Davivienda y Ciencuadras, in terms of rates, there are monthly averages for VIS housing in pesos of 15.97% and 18.04% for Non-VIS housing in pesos. Credit rates presented variations of 0.84 percentage points for VIS and 3.1 percentage points for Non-VIS, in UVR terms. For the month of July, a forecast of a decrease in rates is foreseen, as follows: No VIS pesos (17.93), VIS pesos (17.05), No VIS UVR (20.82) and Vis UVR (21.45).

“For the second semester, with the formalization of the Development Plan and the implementation of the transition model of the Mi Casa Ya program, certainty is expected in the Social Interest Housing – VIS market. Additionally, the banking entities that grant housing loans are carrying out different strategies to reduce rates, to encourage the placement of loans and the sale of real estate. And in turn, the construction companies are extending the terms of the payment of the initial installment to give Colombians the opportunity to buy a home and reduce withdrawals ”, said Álvaro Carrillo, president of Seguros y Servicios Bolívar.

For Paola Suárez, vice president of Ciencuadras.com «Innovation and interaction with real estate agents, construction companies, financial institutions and insurers is increasingly important so that people can access a property that meets their needs.»

«From our portal we think about the needs that the market is demanding in terms of housing. For Colombians, it is important to understand the rhythm of real estate prices and the benefits that these offer them. For this reason, on our platform you will always be able to find options that fit your needs. Suarez finished.