Studio vs. 2-Bedroom Apartments for Investment (Uruguay 2026)

INGAR · 2026-02-13 · Investment

Executive Summary

Studio or 2-bedroom: it's the question most investors ask when they arrive at INGAR with capital for a first (or second) property in Montevideo. The short answer is that it depends on your profile. The long answer —with real numbers, actual vacancy rates, maintenance fees, and compared scenarios— fills the next 2,500 words.

What you'll find here:

Real entry prices for each property type in 2026.
Gross vs. net yield: why the difference matters more than you think.
Vacancy, turnover, and tenant profile: the hidden cost of the studio.
The "2 studios vs. 1 two-bedroom" argument with the same capital.
The demographic variable: increasingly smaller households, but more demand for studios?
The resale risk in a saturated market.
Conclusion: when each property type wins based on your investor profile.

Before diving into the comparison, make sure you have a clear understanding of:

1. Entry prices: how much capital you need

Let's talk money. Purchase price ranges in Montevideo at the start of 2026, for used units in good condition or recently promoted housing, are as follows:

Property type	Price range (USD)	Indicative average (USD)	Typical area
Studio apartment	70,000 – 130,000	~95,000	25 – 38 m²
2-bedroom apartment	150,000 – 260,000	~195,000	55 – 80 m²

According to data from the Agencia Nacional de Vivienda (ANV), the average price of studios in promoted housing was USD 92,208 in the 12-month period ending August 2025, with a price per built square meter of USD 2,349. In the non-promoted segment and in premium areas like Pocitos or Punta Carretas, studios easily reach USD 110,000–130,000.

For 2-bedroom units, the range is wider. In Cordón or Parque Rodó you can find units at USD 150,000–170,000; in Pocitos Nuevo or Buceo, USD 200,000–250,000; in Carrasco or Punta Gorda, above USD 260,000.

Key fact: a 2-bedroom apartment costs, on average, twice as much as a studio. This is the starting point for all the analysis that follows.

2. Gross yield: studios win on paper

If you grab a calculator and divide annual rent by purchase price, the studio almost always comes out ahead. Typical numbers in 2026:

Variable	Studio	2-bedroom
Purchase price	USD 95,000	USD 195,000
Monthly rent	$ 23,000 (~USD 495)	$ 39,000 (~USD 840)
Annual rent	USD 5,940	USD 10,080
Gross yield	6.3%	5.2%

Studios yield between 6.0% and 7.5% gross depending on the neighborhood and unit quality. 2-bedroom apartments typically sit between 4.8% and 5.8%. This is consistent with the data published by InfoCasas in their semi-annual reports and with the IEEM (Grant Thornton Research Center) study that analyzed yield by property type and neighborhood based on Mercado Libre data.

Up to this point, the studio seems like the obvious choice. But gross yield is only the starting point —not the destination.

3. Vacancy and turnover: where studios lose ground

Gross yield assumes 12 months of collected rent per year. In reality, that doesn't happen. You have vacancy between tenants, and turnover costs (painting, cleaning, minor repairs, real estate commission).

Tenant profile and lease duration

Factor	Studio	2-bedroom
Typical profile	University students, young professionals, singles	Couples, small families, professionals with home office
Average lease duration	12 – 18 months	24 – 36 months
Estimated vacancy per year	1.5 – 2 months	0.5 – 1 month
Turnover in 5 years	3 – 4 tenants	1 – 2 tenants
Price sensitivity	High (competes with other studios and shared rooms)	Medium (competes with fewer alternatives)

Why is studio vacancy higher? Because the studio tenant is, in many cases, in a transitional phase: studying, starting a first job, moving in with a partner and upgrading to something larger. It's a profile that moves. The 2-bedroom tenant, on the other hand, settles in: sets up a home, has a dog, stores furniture —moving costs them more and so they renew their lease more often.

Each tenant turnover has a real cost: between half a month and one month's rent in real estate commission, plus painting and cleaning (easily $ 15,000–$ 25,000 for a studio). If you turn over 3 times in 5 years instead of 1, the cumulative difference is significant.

4. Maintenance fees: the invisible tax on studios

Here lies one of the traps many novice investors don't see. Maintenance fees are not proportional to the unit size —they're proportional to building services and are distributed by coefficient (which does consider surface area, but not linearly).

Item	Studio (30 m²)	2-bedroom (65 m²)
Monthly maintenance fees	$ 3,500 – $ 5,000	$ 5,500 – $ 8,000
Fees as % of monthly rent	15% – 22%	14% – 20%
Fees per m²	$ 117 – $ 167/m²	$ 85 – $ 123/m²

In modern promoted housing buildings —which concentrate most studios in Montevideo— maintenance fees include concierge, cleaning, elevator maintenance, coworking space, BBQ area, and generous common areas. All of that is paid for. A studio in a building with 80 units and amenities can have maintenance fees of $ 4,000–$ 5,000 per month, representing 17%–22% of the monthly rent.

The 2-bedroom pays more in absolute value, but less as a proportion of rent and much less per square meter. This erodes the gross advantage of the studio.

And keep in mind: if the owner pays maintenance fees during vacancy (which is the norm), in a studio you're paying proportionally more for a longer period. A double penalty.

5. Net yield: the number that matters

Let's build a realistic scenario with all costs included. Same neighborhood (Cordón, for example), 2026 market values:

Variable	Studio	2-bedroom
Purchase price	USD 95,000	USD 190,000
Monthly rent	$ 23,000	$ 39,000
Months collected (12 minus vacancy)	10.5	11.3
Annual rental income	$ 241,500	$ 440,700
Maintenance fees (12 months, includes vacancy)	-$ 51,000	-$ 78,000
Property tax (Contribución Inmobiliaria + Primaria)	-$ 12,000	-$ 22,000
Building insurance (annual premium)	-$ 4,000	-$ 7,000
Maintenance and turnover costs (amortized)	-$ 15,000	-$ 10,000
IRPF (10.5% on estimated net income)	-$ 16,700	-$ 34,000
Annual net income	$ 142,800	$ 289,700
Annual net income (approx. USD)	USD 3,070	USD 6,230
Net yield	3.2%	3.3%

Surprise: when you factor in actual vacancy, maintenance fees, upkeep, and taxes, the 1.1-point gross difference practically disappears. In many scenarios, the 2-bedroom ends up yielding the same or better on a net basis.

Why? Because the studio's higher vacancy (1.5 months vs. 0.7 months) and proportionally higher maintenance fees eat away the gross advantage. Add the higher turnover cost from greater rotation, and the difference vanishes.

For a deeper dive into the full calculation: rental yields by zone in Montevideo.

6. The "2 studios vs. 1 two-bedroom" argument

This is the question many active investors ask themselves: if I have USD 190,000, should I buy a good 2-bedroom or two USD 95,000 studios?

Theoretical advantages of 2 studios

Diversification: if one tenant leaves, you keep collecting from the other.
Higher total gross income: $ 23,000 x 2 = $ 46,000 vs. $ 39,000.
Exit flexibility: you can sell one and keep the other.

Real disadvantages of 2 studios

Double management: two leases, two turnovers, two buildings, two administrations. If you work with a real estate agency, that's two commissions.
Double maintenance fees: $ 4,250 x 2 = $ 8,500/month vs. $ 6,500 for the 2-bedroom. You pay $ 2,000 more per month in fees, which is $ 24,000 per year —money that comes out of your pocket during vacancy.
Double turnover maintenance: you paint twice, clean twice, repair twice.
Greater exposure to simultaneous vacancy: if both leases expire around the same time (and that happens more than you'd think), you could have weeks with zero income.

5-year comparison

Scenario (5 years)	2 studios	1 two-bedroom
Capital invested	USD 190,000	USD 190,000
Estimated annual net income	USD 6,140	USD 6,230
Total net income (5 years)	USD 30,700	USD 31,150
Estimated tenant turnovers	6 – 8	1 – 2
Management hours per year	High	Low

The numbers converge on a net basis, but the management intensity is radically different. If your time has value (and it does), the 2-bedroom wins by a landslide on effort-adjusted return.

That said: if you're an active investor who enjoys managing, has a trusted real estate agency, and can optimize vacancy (for example, through quick renovations and aggressive marketing), two well-located studios can generate a bit more gross income. But that "little bit more" requires double the work.

7. The elephant in the room: the studio oversupply

This is something you can't ignore in 2026. The numbers are compelling:

Between 2020 and 2024, studios and 1-bedroom units went from representing 1% of promoted housing production to 61%.
More than 2,200 studios have been built under the Vivienda Promovida scheme in recent years.
The legislative debate is already on the table: Senator Gustavo González proposed eliminating studios from the scheme, arguing they prioritize developer profitability over the right to decent housing.
The private sector itself acknowledged the saturation and spontaneously scaled back production.

What does this mean for you as an investor?

Rental competition risk: when there are many studios available in the same area, tenants have bargaining power. If your studio doesn't stand out (by location, finishes, or price), vacancy stretches. This is already happening in some areas of Cordón and Tres Cruces where the concentration of promoted housing is high.

Resale risk: if in 5–7 years you want to exit the investment, you'll be competing with hundreds of similar studios on the secondary market. A well-located 2-bedroom has a wider pool of buyers: investors, end users, young couples, families. The studio competes almost exclusively for investors —and if everyone wants to sell at the same time, prices compress.

Regulatory risk: if some limitation on studios in promoted housing is approved (a 20% cap per project is already being discussed), new production would decline, which in the long run could favor existing studios. But in the short term, the signal that the state wants to limit this property type is not good for value perception.

8. The demographic variable: more future demand for studios?

The 2023 Census data is revealing:

The average size of Uruguayan households fell from 2.8 people in 2011 to 2.5 in 2023.
Single-person households represent 29% of the total (vs. 11% in 1963).
Two-person households account for another 29.4%.

This suggests growing structural demand for smaller units. More people living alone or as a couple = more demand for studios and 1-bedrooms. That's the argument in favor.

But there's a counterargument that many overlook: remote work has changed space needs. Since 2020, a growing proportion of young professionals (exactly the target market for studios) needs a desk, a chair, a door that closes. The 28 m² studio doesn't solve that. The person who was happy with a studio in 2019 today looks for a 1-bedroom with a separate living area or outright a 2-bedroom where they can set up a workspace.

The demographic trend is real, but it doesn't automatically translate into demand for studios. It translates into demand for affordable units for small households, and that includes 1 and 2-bedroom apartments just as much as studios.

9. Maintenance per m²: another underestimated cost

The cost of maintaining a unit doesn't scale linearly with surface area. Some things cost the same regardless of size:

One coat of interior paint: a 30 m² studio can cost $ 15,000–$ 20,000; a 65 m² 2-bedroom between $ 25,000–$ 35,000. It's not double for double the surface area.
Repairing a water heater, shut-off valve, faucet: same cost.
Included appliances (if renting furnished): the studio requires the same ones as the 2-bedroom, but the monthly rent available to absorb wear is lower.

The result: maintenance per m² is significantly higher in a studio. And because turnover is greater, you incur these costs more frequently.

10. The neighborhood matters more than the property type

A data point from the IEEM study worth highlighting: yield varies more between neighborhoods than between property types. In Pocitos, a 1-bedroom yields ~4% gross —one of the lowest yields in Montevideo— despite being the most in-demand area. In La Aguada, the same property type yields 4.1%, and in peripheral neighborhoods like Manga or Casabó, gross returns climb to 10%–13% (with other risks).

The lesson: don't choose property type first and neighborhood second. Do it the other way around. Decide in which area you want to invest based on your risk profile, your knowledge of the local market, and the actual tenant demand in that area. Then evaluate which property type works best there.

In university areas (Cordón, Parque Rodó, Aguada), studios have genuine demand but compete with growing oversupply. In family or professional areas (Pocitos, Buceo, Malvín), 2-bedroom apartments tend to have less competition and greater stability.

11. Common mistakes when choosing a property type

Looking only at gross yield. We've seen it: the 1–1.5 percentage point difference in gross yield evaporates when you factor in vacancy, maintenance fees, and turnover. Always calculate net.
Ignoring maintenance fees in amenity-heavy buildings. That coworking space and rooftop BBQ area look great in the sales brochure, but they're paid for every month. In a studio, they represent a high percentage of rent.
Buying based on entry price without evaluating exit. The studio is attractive because the entry barrier is low. But ask yourself: how much will it cost me to exit in 7 years? If the resale market is saturated, liquidity is low and you could end up selling at a loss or at a much lower return than expected.
Not validating local demand. Before buying, browse the platforms and count how many similar units are available for rent in the same area. If there are 40 studios available within 5 blocks, your pricing power is low.
Underestimating the cost of your time. Managing 2 studios isn't "double" the work of one; sometimes it's more, because problems overlap. If you don't have a property manager or real estate agency to handle it, the burnout is real.

To evaluate whether the price of your target unit is reasonable: how to evaluate whether a property's price is fair.

12. Conclusion: studio or 2-bedroom?

There's no universal answer. There's an answer for each investor profile:

Your profile	Best option	Why
Passive investor who wants to collect rent and not worry	Well-located 2-bedroom	Lower vacancy, lower turnover, stable tenants with long leases. Net yield is similar and management is minimal.
Active investor who manages closely or has a real estate agency	2 studios (with same capital)	Higher total gross income, risk diversification. But requires double the management and tolerance for turnover.
First-time investor with limited capital (USD 80,000–100,000)	Studio in an area with proven demand	It's the entry point to the market. But choose the neighborhood carefully and don't overpay.
Long-horizon investor (+10 years, thinking about appreciation)	2-bedroom	Better resale liquidity, lower saturation risk, wider pool of future buyers.
Investor seeking maximum gross yield	Studio in a peripheral neighborhood	Gross returns of 8%–13% are possible. But vacancy, default risk, and resale liquidity are proportionally higher.

Our recommendation from INGAR: for most investors seeking passive income and long-term capital appreciation, a well-located 2-bedroom in an area with mixed demand (students + professionals + families) tends to be the best risk-return ratio. The studio can work —and works well in many cases— but it demands more work, more tolerance for turnover, and more care in selecting the unit.

If you're evaluating investing off-plan in either of these property types, add this variable: advantages and risks of investing off-plan in Uruguay.

Sources

Agencia Nacional de Vivienda (ANV) – Promoted housing price report, 12-month period ending August 2025: El Observador – Vivienda Promovida: average studio price
IEEM (Grant Thornton Research Center) – Rental market yield by property type and neighborhood: IEEM – One or two bedrooms?
InfoCasas – Semi-annual gross yield by neighborhood report (H1 2025), cited in: Ambito – Record rental yields
INE – National Census 2023, final results (single-person households and average size): MercoPress – Uruguayan census: single-person households
El Observador – Proposal to eliminate studios from the promoted housing scheme: El Observador – Proposal to eliminate studios
INE – Real Estate Activity Indicators (IAI) – Rental market: INE – IAI Rentals October 2025
INE – Consumer Price Index (CPI): INE – CPI Dashboard