Here we have a compiled list of frequently asked questions about Real Estate in El Salvador, and the new Bitcoin Law, if you don’t find yours feel free to read the rest of our blog with tips in English and Spanish.
The first part of this guide will relate to general pricing information and the new Bitcoin Law but we hope it will cover a variety of topics that will help you make the best investment decisions.
- How much is a home, beach home, beachfront home, apartment, condo or others in San Salvador and in other areas of El Salvador? El Salvador has a stable real estate market denominated in US Dollars since the Monetary Integration Law passed in 2001. El Salvador’s original national currency, the Salvadoran Colón, while officially accepted, has not been in circulation for almost two decades now. All transactions currently and since 2001 have been in US Dollars. Beach homes are hot in the Salvadoran Real Estate Market but more so properties in the Surf City La Libertad area. Read our post on Salvadoran beaches to learn more about your different options. But as a general rule of thumb on pricing:
A little tip before we continue while El Salvador officially uses the metric system, some measurements, particularly in land, are based on old Spanish Colonial measurements. For interior space we measure in square meters (M2), for land size on smaller lots (most homes and beach homes) we measure in square varas (V2).a vara is 32.9 inches long, so it’s almost a meter, but not quite. For larger properties we use the term Manzana, a manzana is about 2/5ths of an acre, but it equals 10,000 square varas. A manzana or Mz, traditionally 100×100 varas, is the most common size for a city block in Spanish Colonial cities.
|Property Type||Description||Price Range|
|San Salvador Apartment||2 Bedroom in different buildings (no amenities vs pool/gym and other amenities). 70-90M2||$100K-$180K USD|
|San Salvador Apartment||3 Bedroom in different amenity levels 120 M2||$135K-$235K USD|
|San Salvador Apartment||3 Bedroom Penthouse in Luxury Buildings 200-300 M2||$350K-$500K USD|
|Surf City area Apartment||Not many available, tend to be for rental income mostly.||$80K-$150K USD|
|Beachfront Home||Beachfront, pricing will depend on how popular the beach is. 2000V2 200M2||$125K- $350K USD|
|Beach or Lake Mansion||Usually have anywhere from 4000 V2 to 1 Mz, 350-600M2||$450K-$1M USD|
|Beach Home||Not beachfront, but just meters from the beach. 3 Bedrooms. 2000 V2 150 M2||$75-k-$200K USD|
|San Salvador office||100 M2 Average Office||$1000|
|San Salvador Office||100M2 Luxury Office||$3000|
All these prices are to give you an idea but feel free to look at specific pricing for specific properties on our online El Salvador property catalog. Keep in mind most San Salvador apartments or homes are only 30 minutes from the Surf City beaches, El Salvador being a fairly small and compact country you can be waking up in your apartment in San Salvador, having breakfast in the Comasagua mountains or the San Salvador Volcano, lunch at the beaches of La Libertad, dinner in the lovely Coatepeque Lake, and be back in your San Salvador apartment time for bed.
- Is it true that the Bitcoin Law was passed? Yes. The El Salvador Bitcoin Law announced by the president passed congress on June 8th, 2021. The law says to take effect a period of 90 days must pass since approved, sanctioned (approved) by the president, and published in the Diario Oficial (Official Journal of El Salvador). The law was published in the Diario Oficial N. 110, Tomo No. 431 on June 9th, 2021.
- What does the law say? The law has a total of 16 articles and you can read it in English right here in our blog. Click El Salvador Bitcoin Law to read an english version. A spanish official version can be found here.
- Can you purchase Real Estate in El Salvador with Bitcoin? Presumably yes, starting 90 days past the publication of the law in the official journal. It should take effect on Tuesday, September 7th, 2021. We’ve worked with expats and other foreign investors since 2018 so we’re familiar with the process. Granted, with the Bitcoin Law and subsequent specific regulations to follow the process might become much simpler than it is right now.
- Is it true that El Salvador will give permanent residency to Bitcoin investors? Presumably so, while not currently (as of June 16th 2021) in discussion in the Salvadoran congress, this was announced by the president while speaking with Bitcoin investors on a public Twitter space. It is expected that formal legislation will follow with the specifics. So far we know that the executive’s proposal is that anyone with a minimum investment of 3 BTC would qualify for permanent residency. How will this work? So far we do not know for sure and are expecting a law regarding the matter. As soon as the law regarding Salvadoran Permanent Residency for Bitcoin investors is published we will share it in the HomeFinder Real Estate blog.
We hope this you will find the first FAQ installment a useful one, feel free to click the WhatsApp button and text us or email us at firstname.lastname@example.org if you have any questions.