South America Condominiums and Apartment - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The South America condominiums and apartment market size was valued at USD 126.19 billion in 2025 and is estimated to grow from USD 133 billion in 2026 to reach USD 173 billion by 2031, at a CAGR of 5.40% during the forecast period (2026-2031). This report is segmented by Business Model (Sales and Rental), by Price Band (Affordable, Mid-Market, and Luxury), by Mode of Sale (Primary (New-Build) and Secondary (Existing-Home Resale)), and by Country (Brazil, Argentina, Colombia, Chile, and Rest of South America). The Market Forecasts are Provided in Terms of Value (USD).

South America Condominiums and Apartment Market Trends and Insights

Persistent Housing Deficits and Household Formation Drive Apartment Demand

The South America condominiums and apartment market is supported by a large unmet need for adequate homes. The Inter-American Development Bank reported a housing deficit of more than 45 million homes across Latin America and the Caribbean. Brazil recorded a deficit of 5.77 million dwellings at the end of 2024, even after a second consecutive decline in the total. Smaller households and more single-parent and female-headed households are increasing the number of homes required beyond population growth alone. This pattern favors compact, accessible apartments in locations close to employment, services, and public transport. Developers that align unit layouts, payment schedules, building locations, and pricing with these households can address a durable demand base, particularly where smaller homes offer lower entry costs without separating residents from jobs, schools, health services, and public transport.

Urbanization and Vertical Development Increase High-Density Housing Demand

Cities remain central to the South America condominiums and apartment market because urban residents account for a large share of the region’s population. The Economic Commission for Latin America and the Caribbean reported that 82% of Latin America’s population lived in urban areas. Land constraints in established districts are encouraging higher-density projects in both major metropolitan areas and nearby secondary cities. The Royal Institution of Chartered Surveyors noted that many mid-sized cities in the region are growing faster than megacities. Security, shared amenities, and proximity to daily services are also supporting demand for condominiums. Vertical development, therefore, remains relevant beyond the largest capital cities, as municipal governments, landowners, and developers respond to scarce central land with projects that use existing infrastructure more efficiently and meet residents’ preferences for locations that reduce commuting time.

High Mortgage Rates and Bank Spreads Limit Buyer Purchasing Power

High mortgage costs remain a near-term constraint on the South America condominiums and apartment market. Mortgage costs in Brazil remained elevated during 2026, keeping monthly repayments difficult for many households and limiting the immediate benefit of early policy-rate reductions. The country’s housing finance system caps certain mortgage rates, which can reduce lenders’ willingness to originate loans when their funding costs are high. The gap between buyer income and monthly payments can delay primary-home purchases. Some households are consequently choosing rental accommodation rather than ownership. This transfer of demand supports multifamily rental projects. Still, it limits sales activity in the short term, as developers face slower unit absorption, households defer purchases, and lenders remain selective even after benchmark policy rates begin to decline.

Other drivers and restraints analyzed in the detailed report include:

• Affordable Housing Programs Support Apartment Construction
• Mortgage Recovery and Lower Interest Rates Expand Buyer Demand
• Urban Land Scarcity and Zoning Constraints Restrict New Supply

Segment Analysis

Sales held 72% of the South America condominiums and apartment market in 2025, supported by owner-occupier demand and public programs that facilitate home purchases. Rental is forecast to grow at a 6.30% CAGR through 2031, making it the fastest-growing business model. Colombia recorded 7.3 million renting households and 7.1 million owner households in 2025, marking a change in the country’s housing tenure profile. This shift supports professionally managed rental housing, particularly in large employment centers. Sales will remain important because many households continue to prefer ownership when financing is available.

Rental operators are scaling supply to capture this demand. Greystar operates multifamily and student housing in São Paulo and is expanding its regional operating platform. Rental projects benefit when construction schedules are predictable because earlier completion brings earlier rental income. A study of a Rio de Janeiro multifamily case found that building information modeling and off-site construction reduced project duration by up to 40% and costs by 6%. These methods may improve project economics for rental developers. More rental supply could also intensify competition for new-build sales in selected districts.

Complete Report Scope:

• By Business Model
  • Sales
  • Rental

List of Companies Covered in this Report:

• MRV Engenharia e Participações S.A.
• Cyrela Brazil Realty S.A.
• Direcional Engenharia S.A.
• Cury Construtora e Incorporadora S.A.
• Construtora Tenda S.A.
• Plano&Plano Desenvolvimento Imobiliário S.A.
• EZTEC Empreendimentos e Participações S.A.
• Even Construtora e Incorporadora S.A.
• Moura Dubeux Engenharia S.A.
• Mitre Realty Empreendimentos e Participações S.A.
• Tegra Incorporadora
• Amarilo S.A.S.
• Marval S.A.
• Constructora Bolívar S.A.
• Constructora Capital
• Greystar Real Estate Partners, LLC
• Paz Corp S.A.
• Socovesa S.A.
• Grupo ECIPSA
• EDISUR S.A.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support