When looking for the first home, 82% of young Uruguayans opt for apartments, while 18% do it for houses, according to data from the real estate portal InfoCasas. On the typologies of the first homes, the majority of those under 30 years of age (57%) opt for studio apartments. They are followed by homes with one bedroom (31%), then those with two bedrooms (9%) and, finally, those with three bedrooms (3% of preferences).
The profile of young people who opt for a studio apartment or one-bedroom apartments are usually students who come from the interior to pursue their tertiary studies or who are in the process of emancipation, explained the data analyst of the real estate portal Infocasas, Diego Eizmendi.
The largest number of these types of units are concentrated in six neighborhoods of Montevideo. The first place is led, “by far”, by Cordónwhich “is the area with the highest stock of this type of property”, added Eizmendi.
In the second place, “it begins to appear Palermo stronger and stronger.” As a result of the dynamism of real estate developments that Cordón presents, and that, therefore, is running out of available space. This is why Palermo “is presenting itself as an extension of Cordón,” he said.
Tres Cruces, Centro and La Blanqueada complete the first places on the list.
“These neighborhoods have real estate development in common through the Promoted Housing Law; this instrument stopped limiting studio apartments,” and that caused a proliferation of this type of property in the mentioned areas, Eizmendi explained.
On the other hand, recently little bits has been increasing its offer of studio apartments. Although the strength of Pocitos are the one-bedroom apartments, more and more studio apartments are being offered on Calle 26 de Marzo, where there is a stock important of these properties, added Eizmendi.
By being older stock, Cord It is the one with the cheapest price. The average monthly rent for these units is between $16,000 and $17,000.
The Bleached —like Pocitos— aims at a socioeconomic public with more resources and its strength. Its studio apartments are located mainly around the area of 8 de Octubre avenue. Rents in this area average between $18,000 and $19,000.
Below are the average rents according to the area where the studio is located.
| Position | Neighborhood | average monthly rent |
| 1 | Center, Cordon and Palermo | $16,465 |
| 2 | Meadow | $16,950 |
| 3 | The Bleached | $18,700 |
| 4 | Pocitos and Punta Carretas | $21,200 |
| 5 | Malvin | $25,150 |
“Regarding new construction, more than 95% of studio and 1-bedroom units are sold before construction is complete. This causes there to be a low supply of these types and what is available is found through resale”, concluded the latest report on the InfoCasas real estate market.
What aspects are the most valued by young people in properties? According to data from the startup Homera platform whose mission is to expedite the process of finding a property to reside in, the three most important characteristics that a property must have for those under 30 years of age are: natural lightinghave a balcony and, thirdly, the possibility of accessing a yard.
Cost effectiveness
“According to what we have, the profitability of studio apartments and one-bedroom apartments are between 5% and 6%almost does not change between one typology or another”, asserted the CEO of Hornero, Pablo Escudero.
Eizmendi, meanwhile, estimated the profitability of Cordón studios between 6% and 7%.
When the universe of users under 30 years of age is no longer taken into account and the market in general is considered, studio apartments come to be located in the third place of preferences, although close to the second option. In this sense, according to the annual report of Infocasa, which corresponds to 2022 closed: 44% of users prefer the apartment with one bedroom; 26%, the one with two bedrooms; 23%, monoenvironments; and 7%, apartments with three or more bedrooms.
“One-bedroom apartments can be more flexible and adaptable to different lifestyles, which can be attractive for young people who today have to experiment with new ways of studying and working,” Escudero concluded in this regard.
