Real Estate Prices in Ecuador
There is a lot of bad information out there regarding real estate prices in Ecuador.
And as a result, a lot of misinformed people.
Real estate prices here vary GREATLY by region and several other factors. This piece is an attempt to help you to understand what factors into prices – in order to help you understand what you are looking at when you view properties here in Ecuador.
There is no ‘price for land in Ecuador’ as a client once told me (and she knew what it was). There are so many factors that go into determining fair market value.
For example. Beachfront always holds a premium. Land in the major cities is very expensive. In undesirable areas land is dirt cheap.
In general – the hotter the climate, the cheaper the land. The coastal region, on average (outside of beachfront) is cheaper than the Sierra*. The orient is also cheaper than the Sierra.
Next the amount of flat, access, electricity, water and productivity of the land are the biggest determining factors of value.
In the mountains, flat land is at a premium.
You could buy 1,000 hectares of mountain for practically nothing here in the Loja area. However you could pay as much as a couple hundred thousand for just a few flat hectares with all the amenities.
Where it is really hot and humid, prices are much lower. This can be a great option for agricultural projects.
Prices also decrease rapidly per square meter (or hectare) as the size of the land increases.
A 3-hectare flat property in a desirable location can often be on the market at or near the same price as a 300 hectare one with much more flat!
Lack of flat, lack of water, access or electricity drive prices down rapidly. People often see properties advertised that are not indicative of ‘prices’ in the area. For example someone may see an amazing looking 18-hectare Finca in the Sierra for lets say $30,000. But when they go to look at it, it turns out there is no way to gain road access.
If riding a horse or walking to your land is an acceptable solution to you than that can be great way to buy beautiful land in a desirable area for cheap.
Prices as of January 2015 look something like this. A flat hectare in the south of the Sierra will sell between $40,000-$100,000 (This includes places like Loja, Malacatos and Vilcabamba). That number goes way down per hectare as the size of the land increases. For a 50-hectare Finca for example with 10 flat hectares, you could be down well under $5,000 a hectare (depending on a multitude of factors).
In beautiful places like Gonzanama, Loja, Yangana , and many others, you can get over 50 hectares with lots of flat, good access, water and electricity for between $2,000 and $5,000 per hectare (depending on location, amount of flat and how productive the land is).
In the Orient (hotter, more humid) you can be under $1,000 per hectare for large properties with flat, access, etc., depending on the location.
There are beautiful areas on the coast but inland, also hot and sometimes humid where prices can be similar to the Orient.
Bottom line: If you’re looking for what many people moving here are; a large property with flat, temperate climate, water, privacy, productivity, good access and views – if your budget is between $100,000 and $350,000 you will have many great options.
*Note: Ecuador has 3 mainland regions, coast, mountains (Sierra) and Jungle (Orient). Guyaquil, Manta and Montanita are examples of the coast. Cuenca, Loja and Quito are all located in the Sierra. And Zamora, Puyo and Macas are all in the Orient.
