Real Estate in Uruguay
Secure your property in one of the most reliable legal systems in Latin America.
Your Assets in the Most Stable Country in Latin America
Advantages of acquiring property in Uruguay
Simplified Purchase
Enjoy the same rights as Uruguayan citizens when purchasing property, as anyone can buy real estate without the need for a visa, residency, or government authorization. The process is straightforward, there is no minimum investment amount, and you can even complete the purchase remotely via a notarized power of attorney.
Secure and Appreciating Real Estate Market
Investing abroad requires trust, and Uruguay offers this with a solid legal system, high respect for private property, and low corruption rates, making it one of the safest destinations for investors in Latin America. Additionally, it has an open, stable, and low-debt economy that drives the real estate market with security, predictability, and high asset appreciation.
Attractive Prices and Good Profitability
With more affordable prices than in Mexico, Costa Rica, or Chile, the Uruguayan real estate market offers average values between USD 2,000 and USD 3,000 per m². Furthermore, rentals offer stable profitability, ranging between 3.1% and 8.04% per year, with an attractive average of 5.37%.
Favorable Taxation
The tax system is simple and transparent, with no excessive property taxes. There is no inheritance tax, ensuring your assets pass to your heirs without extra costs. If you wish to profit from rentals, taxation is affordable at 7% to 25%, and for property purchases, the ITP (Uruguayan transfer tax) is only 2% of the cadastral value.
More Freedom, Security, and Quality of Life
Enjoy a safe, modern life with high quality and autonomy over your lifestyle. Gain access to an excellent healthcare system, live in clean, well-organized cities that value your freedom, allowing for homeschooling, gun ownership, and the regulated use of cannabis.
A Plan B Close to Brazil
Achieve greater personal and fiscal freedom without moving far from Brazil. With a strategic location between Brazil and Argentina, you have quick and easy access, with short, frequent flights, as well as affordable ground transportation. This means total flexibility to come and go whenever you like.
What Do You Need to Know Before Buying Your Property?
Taxes and Fees Involved
Property transfer tax
Description
Real estate transfer tax.
Amount
2% of the cadastral value (usually lower than the sale price).
Who pays
Buyer.
Public notary
Description
Tax on property registration at the Public Registry.
Amount
3% + VAT (22%) of the sale price.
Who pays
Buyer.
Real estate advisory
Description
Applicable to our partners' services.
Amount
3% + VAT (22%) on the sale price.
Who pays
Buyer.
Property tax
Description
Annual tax on the value of assets owned.
Amount
Between 0.25% and 1.40% of the property's taxable value.
Who pays
Owner.
Rental income tax
Description
Tax on income generated from property rentals.
Amount
7% to 25% on rental income.
Who pays
Owner.
Wealth tax
Description
Charged on corporate taxpayers, but also on the net worth of individuals.
Amount
0.1% to 0.4% for residents and 0.7% to 1.5% for non-residents.
Who pays
Owner.
Capital gains tax
Description
Capital gains tax on the sale of real estate.
Amount
12% on the difference between the sale and purchase prices.
Who pays
Seller.
Take advantage of favorable taxation and invest safely in Uruguay.
Required Documents
The following are generally required:
- Identity document or passport
- Public deed of sale
- Property certificate
- Property appraisal
- Tax receipts and certificate of occupancy
Step-by-Step Guide to Buying Your Property in Uruguay
- Real Estate Consulting and Support:
The first step is to work with a licensed real estate agent who will assist with market research and selecting the best opportunities based on your needs. - Viewings and Negotiation:
After selecting properties, viewings are conducted to evaluate the assets and negotiate the best purchase terms. - Property Reservation:
When the buyer decides to move forward, a reservation agreement is signed, establishing:
1. The final price of the property.
2. Delivery deadlines and payment terms.
3. Guarantees and penalties in case of contract breach. - Legal Analysis and Deed Registration:
The notary has a period of 60 to 90 days to review the documentation and ensure the property can be transferred without legal encumbrances. If the property is under construction, a purchase and sale agreement is signed until the final deed is delivered.
Services Include:
- Buying, selling, and leasing residential, commercial, rural, and farm properties
- Feasibility studies for the development of new real estate projects
- Strategic consulting for investors and developers, assisting at every stage of the project
- Property management, ensuring efficient and worry-free operations
- Management of rental insurance, offering protection for both landlords and tenants
Is Property in Uruguay Right for Me?
We Recommend Acquiring Property in Uruguay For:
- Those looking for a Plan B abroad: Own property in a stable, safe country close to Brazil, ensuring greater freedom and an alternative for the future.
- Investors seeking appreciation and passive income: The Uruguayan real estate market offers continuous appreciation and rental yields between 3.1% and 8.04% per year, with strong demand in cities like Montevideo and Punta del Este.
- Business owners and professionals looking to diversify their assets: Protect your capital with a secure investment in a country with clear regulations, low taxes, and strong private property protections.
- Those looking for a vacation home or second residence: Uruguay combines beautiful beaches, modern infrastructure, and a high quality of life, making it the perfect refuge for relaxation or extended stays.
We Do Not Recommend Acquiring Property in Uruguay For:
- Those seeking quick returns and real estate speculation: The Uruguayan market is solid and stable, but its growth is gradual, focused on long-term appreciation and consistent profitability rather than immediate gains.
- Those unwilling to deal with a strong currency: In Uruguay, properties are priced in US dollars, which may not be viable for those who rely exclusively on income in a weaker currency.
- Those looking for local financing: Unlike some countries such as Panama and Paraguay, Uruguay does not offer advantageous financing terms for foreigners, making it necessary to rely on your own funds or international alternatives.
Frequently Asked Questions (FAQ)
Buying a property can support your residency application, but it does not automatically grant residency status. In other words, there is no specific visa for real estate investment in the country. The Uruguayan government evaluates your economic and personal ties to the country; while owning property is a positive factor, it is not the only one.
To apply for residency, you must prove stable income or sufficient savings, and provide documents such as a criminal background check, a health certificate, and other legal requirements. Once approved, you initially receive temporary residency, which can lead to permanent residency and, subsequently, Uruguayan citizenship.
For more information on residency in Uruguay, visit our page: https://www.settee.io/residencia-no-uruguai
Financing for foreigners is quite limited in Uruguay. Typically, purchases are made in cash or through international financing.
No. Uruguay does not have an inheritance tax, ensuring that the property can be transferred to your heirs without additional costs.
The process can take between 60 and 90 days, depending on the document review and property registration timeline.
While not mandatory, working with a consultant makes the process safer and more efficient. An expert can assist in drafting the Purchase and Sale Agreement, ensure all documents are in compliance, and conduct a Title Search to avoid legal issues. Additionally, a consultant helps with the correct payment of taxes and fees, and provides guidance on the permits and approvals required for property registration.
Yes! Uruguay has a secure and regulated property registry system, ensuring full legal protection for your purchase. Contracts are legally sound, guaranteeing the transfer of property free of any liens.
We can issue an invoice for the service. Please send us your preferred billing address.