While national headlines on security and politics cause concern, Cuenca’s property market remains a resilient and affordable haven for expats. Here’s what you need to know in 2025.

For years, Cuenca has consistently ranked among the top destinations in the world for expatriates and retirees, and its real estate market is a primary driver of that reputation. The city’s blend of UNESCO-recognized colonial charm, modern amenities, walkability, and a large, welcoming expat community of up to 10,000 people creates a powerful allure. In 2025, the market remains a beacon of stability and affordability, though prospective buyers must navigate a landscape where local resilience contrasts with broader national challenges.

A key draw continues to be the cost. Compared to North America and many other popular retirement destinations, property in Cuenca remains a bargain. This affordability extends to the overall cost of living, with many retired couples able to live comfortably, including rent and healthcare, on a budget of $1,600 to $2,000 per month.

Key Market Trends for 2025

For those considering a purchase, several distinct trends define the Cuenca market today:

• Stability and Continued Appreciation: After a period of rapid growth fueled by returning Ecuadorians, the market has stabilized but continues to show healthy appreciation. In recent years, annual property value increases have ranged from 8% to 12%, bucking downturns seen elsewhere in the world.
• The Reign of the Condominium: New and resale condos are the property of choice for the majority of foreign buyers and returning Ecuadorians, accounting for an estimated 50% to 60% of sales to expats. Their popularity is driven by modern amenities, security, and the ease with which they can be rented out or resold.
• Sought-After Expat Neighborhoods: While the city offers diverse living options, two areas remain particularly popular with foreign residents. El Centro, the historic heart of the city, is perfect for those who value walkability and proximity to cultural attractions, though space is limited and prices are higher. For those seeking modern comforts and a quieter environment, Ordoñez Lasso is the premier destination, lined with contemporary condominium buildings and gated communities offering U.S.-style amenities.
• A Robust Rental Market: The demand for rental properties remains exceptionally strong. This is driven by a constant flow of tourists and new expats seeking short-term, furnished accommodations while they explore the city. This trend makes “buy-to-rent” a viable investment strategy.

The Macro-Economic Context: Stability in a Sea of Variables

Understanding the Cuenca market requires looking at both the foundational economic factors that provide stability and the national-level risks that could influence future trends. The single most important factor underpinning the market’s stability is Ecuador’s dollarized economy. Since adopting the U.S. dollar in 2000, the country has offered foreign investors a crucial advantage: the complete elimination of currency exchange risk. This provides a level of price stability and financial predictability that is rare in the region, making it a relative “haven” for real estate investment.

This fundamental stability has helped create what might be termed the “Cuenca bubble.” While national headlines in 2024 and 2025 have been dominated by concerns over public safety and political uncertainty—factors that contributed to a 51% drop in foreign direct investment nationwide in 2024—the reality on the ground in Cuenca has remained one of relative tranquility and continued demand. The local market has shown remarkable resilience, fueled by a steady stream of new expat arrivals and returning Ecuadorians who perceive the city as a safe and desirable enclave. The primary long-term risk for investors is not an imminent collapse of local property values, but the possibility that a sustained negative perception of national security could eventually slow the influx of new foreign residents, who are a key pillar of demand.

Practical Advice for Prospective Buyers

Navigating the property market in Cuenca is straightforward, but it has its own unique characteristics.

• Ownership Rights: Foreigners enjoy the same rights to own property as Ecuadorian citizens.
• Investor Visa: A real estate purchase with a tax-assessed value of just $42,500 can be used to qualify for an investor residency visa, a popular pathway for many expats.
• Financing: Mortgages are generally not available to non-residents, so buyers should be prepared for a cash transaction.
• Finding Properties: The market lacks a centralized Multiple Listing Service (MLS). Therefore, success depends on working with a network of reputable, well-established local real estate agents who have access to a wide range of listings.

A Calculated Investment in Quality of Life

For those who conduct thorough research, the Cuenca real estate market in 2025 continues to offer exceptional value. It represents a calculated investment not just in property, but in a high quality of life characterized by culture, community, and affordability. While it is essential to remain aware of the national context, the city’s unique dynamics continue to make it one of the most attractive and resilient real estate markets for expatriates in the Americas.