The law in Colombia for real estate purchases is applied exactly to foreigners as it is to locals. Colombia has a long history of private property rights as the longest running democracy in Latin America and probably the closest ally of the United States in the region. In order to use your investment for visa/immigration purposes you simply need to register your funds correctly when bringing them into Colombia and file with the central bank.

Banking in Colombia is relatively straightforward however we don’t recommend the use of retail banks you find on every corner. Retail banks (Bancolombia, etc.) are not geared towards foreign investors, lack English at every level in their branches, and lack standard processes for banking with foreigners (even locals). The vast majority of our clients use brokerage firms that are regulated just as banks who have staff that are well versed in foreign investment and business with foreigners in general. Not to mention lower foreign exchange rates. When you’re ready we’ll point you in the right direction.

The Medellin real estate market is remarkably non-volatile unlike many foreign markets. According to data from the Lonja of Medellin (Medellin Real Estate Association) the market in $COP has increased 6-10% per year in almost every 5 year period over the last 20 years.

Short-term capital gains (less than a 24 month holding period) is treated as ordinary income an taxed at a non-resident rate of 35%. Long-term capital gains (>24 months) are taxed at 10%.

For properties focused on tourism/foreign clients, we have averaged close to 85% annual occupancy rates since our beginning, even on daily rentals. This requires an incredibly dedicated and hard working property management team to maintain these levels throughout the year on our >500 keys in 2021.

While closing costs can vary slightly for buyers and seller, the sum of legal fees, notary fees and transfer taxes will add up somewhere close to 2% for each of buyer and seller.

Our management fees range from 10-20% depending on a range of factors including core building status, daily/monthly rental and optional services. We’ll share our management contract with you upon request when you’re ready to review.

Travel and tourism to Colombia has been on an ever increasing, compounding rate for the last 10-15 years. Medellin real estate values have steadily outperformed even the largest drops in COP in recent years, and the world wakes up more and more every day to the opportunities in Colombia. There are risks with every single investment decision, including Medellin real estate – you must search through the “hay stack”. At the right stage, let’s talk about the risks at the same time as the opportunities so you have a full perspective on the Medellin real estate market.

Anyone in real estate knows this saying: everybody sells. And when the time comes for you, you simply perform the transaction in reverse, that is: sell the asset, receive funds in COP, convert to USD, send yourself USD, cancel foreign investment.

Contact one of our sales team members directly or all at once at sales@casacol.co. We try to learn the unique needs of each individual client before matching you to potential properties or investments. Then come for a visit, get to know our entire team, our founder, tour our core rental buildings, individual properties, our hotel projects, etc., before you narrow down to the right fit.