Medellín is one of the world’s most livable cities thanks to its efficient public transportation system, friendly locals, ample green spaces, and perfect weather. It’s never too cold or too hot, so you don’t need heating or air conditioning, helping to keep utility bills low.
The city’s varied cosmopolitan offerings put it on par with the world’s top metropolises… However, unlike comparable destinations, life in Medellín is inexpensive, particularly for American retirees. The U.S. dollar to Colombian peso exchange rate accentuates the already-low prices.
Medellín has a special energy, which emanates from the fun-loving locals, known as Paisas. They’re proud of their city and eager to welcome foreigners. They speak Spanish but have their own regional lingo and lilt. You’ll want a basic grasp of Spanish to live well here, although more English is spoken every year.
For most expats, the highlight of living in Medellín is the vibrant local culture. A wide range of festivals and events are hosted throughout the year, from The Festival of the Flowers and The International Jazz Festival to The Tango and World Latin Dance Festivals and The International Poetry Prize.
There are museums all over town, including open-air ones like the Botero Sculpture Park, where all you need to do is walk around to marvel at the iconic, larger-than-life statues to take in fine art. There’s opera in season, symphonies, theater and orchestra performances, and major concerts… There’s also great shopping, dance clubs, nightclubs (even for the silver-haired crowd), and fine dining…
Locals are active and fit. The whole city comes out to cycle and jog on Sunday mornings when a major road is closed to cars. They also know how to have a good time… Party buses roll down the street, football fans take a few shots of aguardiente (the local firewater) while cheering on the local clubs, and people dress to impress for a night of dancing.
With its vibrant art, music, and culinary scenes, the city’s energy is infectious. It’s easy to feel this and be a part of it, whether by checking out the street art, sitting down at a new restaurant, or signing up for salsa lessons. No matter what your interests are, you’ll never be bored here.
The weather is lovely here year-round, earning it the nickname “The City of Eternal Spring.” It boasts one of the most scenic skylines in the world, with the Andes Mountains serving as its backdrop.
On top of a long list of other accolades attributed to Medellín, it’s often called the world’s most innovative city. Just look at its public transport system: It consists of two lines and a funicular service to accommodate the city’s geography and get people who live in the surrounding hills from A to B. It’s the only city in Colombia with a metro, putting the capital, Bogotá, to shame.
The metro is famous for its efficiency and cleanliness and is well-loved by all of the city’s residents. When you consider the standard of living in Medellín, all of this adds up to incredible value. For the retiree or expat looking for a new life in a cosmopolitan setting, Medellín offers a Euro-chic lifestyle supported by modern comforts.
What About Medellín’s Property Market?
Property markets across Colombia have seen significant price growth over the past 15 years. Nationwide, existing house prices grew by 347% from 2005 to 2023.
The same goes for Medellín: its property market has grown significantly over this period. A rising reputation for safety and standard of living, foreign investment, and urban development have driven this growth.
New house prices rose by over 7% in May 2024 compared to a year earlier, but prices remain low relative to most North and South American cities. The price per square meter is currently $1,804 (or $168 per square foot).
Thanks to its growing popularity among tourists and digital nomads, the city commands strong rental yields. In Q1 of 2024, gross rental yields were 6.51% to 9.75%. Demand for short-term rentals of smaller apartments in popular neighborhoods is high.
In terms of neighborhood dynamics, the most popular areas for investment are El Poblado, Laureles and Envigado, and a handful of other areas. Laureles and Envigado offer laid-back, residential atmospheres with lots of green spaces.
El Poblado has long been the most desirable and expensive neighborhood in the city, and it attracts foreigners with its shopping, dining, and nightlife. An important avenue called Las Palmas runs through El Poblado and connects the neighborhood to important and exciting areas of the city like Provenza, a tourist and nightlife area, and Milla de Oro, the financial and commercial center.
It’s along this avenue in El Poblado that Lief Simon has identified an exciting new residential investment project. He says, “This project is as well placed as could be in a city enjoying an unprecedented tourist boom.
“It’s in a neighborhood I know extremely well. I’ve owned a home here since 2010—the value of which has increased fourfold in the years since.
“Units start at $120k, and you can reserve yours with just $5k down. The net return is projected conservatively at 10% to 12% per year, and if you’re shopping for capital appreciation, you’ll be positioned to make a minimum of 50%+ on your money by the completion of construction.
“Frankly, this is the most exciting profit opportunity I’ve seen in this location in 15 years.”
Other Incentives For Investment In Medellín
Medellín is renowned for urban innovation, not only when it comes to its metro service but also when it comes to social innovation and climate change. For example, it came up with the “library park” concept to provide lower-income people with access to free books and internet.
It launched its “green corridors” program (in which trees and other vegetation are planted to absorb excess heat and air pollution) in 2016. Medellín has become famous for coming up with innovative solutions to common problems and actually acting on them (while cities in other countries stagnate).
Medellín has the potential for more growth, especially as its star continues to rise among expats, digital nomads, and retirees. The U.S. dollar to Colombian peso enhances the already low cost of living and enhances your spending power, whether you’re buying an apartment or a latte.
On top of all of this, making an investment in Colombia can bring benefits like a visa. The Colombian government offers a three-year Migrant Visa if you invest 350 times the monthly minimum wage (which works out to about $103,030). In the context of global golden visa offers, this is an extremely competitive price.
To smooth travels and successful property buys,
Sophia Titley
Editor, Overseas Property Alert