Yes, foreigners can buy and own property in Paraguay on essentially the same terms as citizens, and you do not need to be a resident to hold title. Rural land inside the 50 km border security zone (Ley 2532/2005) cannot be owned by nationals of Argentina, Bolivia or Brazil, or companies they control, without an Executive decree. Urban property in Asunción is not affected; rural plots near the river border can be, so we check the location first. Every purchase goes through an escribano, who prepares the public deed after due diligence on the title.
One of Paraguay's most appealing features for newcomers is how open its property market is. Foreigners can buy and own real estate on essentially the same terms as Paraguayan citizens: you do not need to be a resident or citizen to hold title. This guide explains how a purchase actually works and how to do it safely.
Can foreigners really own property?
Yes. Urban property, apartments, houses and commercial units, is fully open to foreign buyers with the same rights of ownership as locals. Rural land inside the 50 km border security zone (Ley 2532/2005) cannot be owned by nationals of Argentina, Bolivia or Brazil, or companies they control, without an Executive decree. Urban property in Asunción is not affected; rural plots near the river border can be, so we check the location first.
The role of the escribano
Paraguay uses a civil-law notary system, and the escribano público (public notary) is central to every transaction. The escribano drafts the public deed (escritura pública), verifies the parties, and lodges the transfer for registration. Choosing a competent, independent escribano is one of the most important decisions in the whole process.
Step by step
- 1. Agree terms. Prices are commonly negotiated and paid in US dollars. Once you agree, a reservation agreement and deposit take the property off the market.
- 2. Due diligence. This is the critical stage. Your advisors verify the title (título de propiedad) at the Public Registry (Dirección General de los Registros Públicos), confirm there are no mortgages or liens (gravámenes), check the cadastral records at Catastro, confirm municipal taxes are paid up, and verify the seller's identity and right to sell.
- 3. The deed. The escribano prepares the escritura pública. Both parties sign, and payment is made.
- 4. Registration. The transfer is registered at the Public Registry, completing the change of ownership.
Costs to budget for
These are typical figures for planning, not quotes. Your escribano gives you the exact breakdown for your deal.
- Buying: buyers usually budget about 2% to 4% of the price for the escribano's fee (set by the notary tariff, Ley 1307/1987, plus VAT), registration at the Public Registry and the municipal transfer tax (Ley 3966/2010, Art. 152). If the seller is an IVA taxpayer, such as a developer or a company, the sale also carries IVA at 5% on 30% of the price, about 1.5% (Ley 6380/2019, Arts. 82, 85.3 and 90 b); a private individual resident in Paraguay selling property that is not part of a business does not charge it, while a non-resident seller is an IVA taxpayer too (Art. 82.8) and the escribano withholds it.
- Selling: a seller who is a Paraguayan tax resident pays 8% IRP on the capital gain, and the law takes as the gain the lower of 30% of the sale price or the documented profit (Ley 6380/2019, Arts. 59 and 60). A non-resident seller pays 15% INR on 30% of the sale price (Arts. 75 and 76). The Public Registry does not register the deed without proof of that payment (Art. 137).
- Owning: every year, owners pay the municipal property tax (impuesto inmobiliario), 1% of the property's fiscal value (Ley 125/1991, Art. 61).
Why due diligence matters
As in any market, title problems and informal arrangements exist. The safeguard is independent verification: never rely solely on the seller's paperwork, and use your own escribano and legal advisor rather than one chosen by the other side. Proper due diligence is what turns an attractive price into a secure investment.
Buying as part of a bigger move
Many buyers purchase property alongside establishing residency in Paraguay and taking advantage of the territorial tax system. Property ownership pairs naturally with a low cost of living in Asunción, and there is no residency requirement to own. Our FAQ on residency and buying property answers the most common questions about both.
Clarity Paraguay, a residency and real estate firm in Asunción led by a registered lawyer and sworn translator, helps buyers find, vet and acquire property end to end, from sourcing listings to coordinating the escribano and due diligence. If you are moving too, we can handle your temporary residency at the same time. Browse our current property listings or send us a message to start your property search. Learn more about our real estate service.
This article is general information, current as of 2026, and not legal advice. Property law and taxes change and every transaction is different; always engage a qualified Paraguayan escribano and independent legal counsel before buying.
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