Looking to buy property
in Uruguay?

Yes, in general a foreign individual may buy and register property in their own name without first obtaining legal residency. The notary and the financial institutions must still verify identity, source of funds, title and any rules specific to the property or ownership structure.

Not always. Live video viewings, document review and some signatures can be coordinated from abroad. Whether the reservation or deed may be signed through a power of attorney depends on the instrument and must be confirmed in advance by the acting notary and the banks handling the funds.

An independent Uruguayan civil-law notary studies the ownership history and registry information, prepares or reviews the legal instruments and registers the transfer. Deposit, custody and release terms depend on the signed reservation or purchase agreement, so the notary must explain them before funds are sent.

There is no single percentage that fits every purchase. The estimate must separate notary and agency fees, VAT where applicable, ITP calculated on the taxable value, registration and certificates, banking costs and any taxes arising from rental income, ownership or a later sale. We prepare the itemized scenario; the notary or accountant confirms the tax treatment for your case.

There are two routes. One: make the 10.5% withholding on gross accrued rent definitive (residents under IRPF, non-residents under IRNR), with no annual filing. Two: file at 12% on net rental income, deducting the admitted expenses (management fee, lease-contract fees with their VAT, the municipal property tax and the primary-education tax). The break-even is deductible expenses of ≈12.5% of gross rent: below that, the definitive 10.5% wins; above it, the 12% on net income does.

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Yes — on Uruguayan assets, with the property assessed at its cadastral value, which is usually well below market price. The rate hinges on a detail almost nobody mentions: if you rent the property out, you pay IRNR on that income, which places you under the general 0.10% rate, charged only on the amount above the non-taxable minimum (UYU 6,653,000 for individuals, 2025). The higher 0.70%–1.50% scale applies only to non-residents who do NOT pay IRNR — for instance, an apartment kept empty or for personal use — and applies progressively to the excess above the non-taxable minimum (UYU 6,653,000 for individuals and undivided estates, tax year 2025). Marginal brackets: 0.70% on the portion above UYU 6,653,000 up to 13,306,000; 1.10% up to 19,959,000; 1.40% up to 33,265,000; and 1.50% on the portion above 33,265,000. Family units have a different minimum and brackets. In Vivienda Promovida projects the wealth tax can be exempt while the benefit lasts. Source: DGI's official rate table and art. 53, Title 14.

Official source: DGI — 2025 rates →

Uruguay XXI reports free repatriation of capital and no exchange-control restriction for foreign investment. In practice, the banks involved review identity, tax information and source and destination of funds; timing and required documents therefore depend on the specific transaction.

Honest answer: the purchase and eventual resale are in US dollars, but long-term residential leases are typically set in Uruguayan pesos and adjusted by inflation indexes — while short-term and seasonal rentals usually run in dollars. Which mix suits you depends on your strategy; it's one of the first numbers we model with you before you buy.

According to the INGAR Index (September 2026 · v2.0), the published median gross yield for Montevideo apartments is 6.1% per year on asking prices. The highest published yield is Colón, at 11.1%. Gross yield excludes vacancy, management, maintenance, taxes and acquisition costs. Net return is calculated for each deal; these figures do not represent seasonal rentals or all of Uruguay.

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No. Owning property and obtaining legal residency are separate matters, and buying does not replace the immigration process. Nationals of Mercosur member and associated countries, including Brazil, may apply through the Mercosur residence route based on nationality, independently of any property purchase. Tax residency is also a separate status determined by DGI under its own rules (see the next question).

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Not automatically. A real-estate investment may establish tax residency through either of two separate tests: holding property worth more than 15,000,000 UI on December 31; or holding property worth more than 3,500,000 UI, acquired on or after July 1, 2020, and spending at least 60 days physically present in Uruguay during the year. DGI uses the UI value in force on December 31 and applies specific valuation and evidence rules. Tax residency and immigration status are separate processes; buying property does not by itself grant legal residency.

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It is a tax option for people who acquire Uruguayan tax residency from January 1, 2026. It allows qualifying foreign capital income to be taxed under IRNR for the year of the change and the following ten tax years. Depending on the case, Law 20.446 requires an investment above 12,500,000 UI in urban property, annual contributions of at least 625,000 UI to eligible funds, or meeting the more-than-183-day physical-presence test in each year. Under Decree 188/026, the real-estate route only counts urban property acquired on or after January 1, 2026, and it cannot be the same property used to establish tax residency through a real-estate investment; in departments with no coast on the Río de la Plata or the Atlantic Ocean, its tax cost is increased by 50% for this purpose. It also sets conditions on prior tax residence and use of earlier regimes. This is general information; a tax adviser should confirm how it applies to an individual case.

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We work fluently in English, Português and Español, and coordinate the notary, due diligence and translation so nothing is lost between languages.