It is no secret to anyone that colonies like Rome and Countess are going through a process gentrification which causes an excessive increase in rental prices. But they are not the only ones.
The arrival of the “digital nomads”(meaning people who work remotely and have the freedom to travel and live in different parts of the world), has generated quite a discussion around how this social phenomenon is affecting access to housing in Mexico City.
Colonia Roma is a favorite among digital nomads due to its central location. This has caused the prices of housing rentals to increase.
In this and other colonies favored by digital nomads, Rental prices for an apartment currently range between 25,000 and 30,000 Mexican pesos per month.
Data obtained by analysts from Propiedades.com show that there has also been a considerable increase in the supply of apartments for rent from October 2022 to February 2023.
The following table shows the median prices for the monthly rent of an apartment in different neighborhoods of Mexico City, as well as the increase in the supply of apartments for rent from October 2022 to February 2023:
Gentrification in Guerrero and Doctors
Although colonies like Escandón I Section, Warrior and Doctors show lower rents than the average of the municipality where they are located, they show significant increases in the supply of apartments for rent.
And in the case of Condesa Racecoursethe 2.6 percent decrease that can be seen in the table, in the supply part, is probably due to high demand, or because digital nomads find your apartment through recommendations.
It is important to point out that the current gentrification process that is taking place in different neighborhoods of Mexico City is opening up the gap between those who can or cannot access housing.
The United Nations Organization (UN) says that gentrification “happens when a process of urban renewal and reconstruction is accompanied by a flow of middle- or upper-class people that tends to displace the poorest inhabitants of the intervention areas.”
This brings positive and negative consequences to the residents of the neighborhoods and neighborhoods, who can offer their properties for rent at a higher cost, or have to move to other areas due to the rise in rental prices.
leonardo gonzalez PhD in applied economics, with experience in economic consultancy, teaching and research; For 6 years he has been working in the Real estate analyst position in the real estate portal Propiedades.com.