What to know before you rent in Paraguay
This guide covers the four areas where tenants most often encounter confusion or surprises: prices, requirements, furnishing decisions, and contracts. Read it before you start viewing properties.
Understanding price ranges
When you see a rental listing in Paraguay, the price shown is the landlord's asking price. Here's how to interpret it in context.
Reading a price range
When we publish a range like ₲ 1.800.000 – 4.500.000 for a neighborhood, that range reflects the spread of asking prices we observed for comparable properties (same type, similar size) in that area during the survey period.
A property priced at the lower end of the range may reflect an older building, a higher floor without an elevator, fewer amenities, or a landlord motivated to rent quickly. A property at the upper end may be newer, better located within the neighborhood, or include additional features.
When you find a property priced outside the range for its neighborhood, that's worth investigating. A price significantly below the range may indicate issues with the property. A price significantly above the range should prompt you to ask what justifies the premium.
When negotiating, referencing the market range for the neighborhood gives you a factual basis for the conversation — rather than simply saying the price "feels high."
What landlords typically require
Before you start scheduling property viewings, it helps to have your documentation ready. Here's what landlords in Paraguay commonly ask for.
Identity documents
A valid cédula de identidad (Paraguayan national ID) is the standard identification requirement. Foreign nationals are typically asked for their passport and, where applicable, their residency documentation. Some landlords also request a copy of the tenant's employment contract or student enrollment certificate.
Proof of income
Landlords want to see that the tenant can afford the rent. Common documents include recent payslips (recibos de sueldo), a bank statement showing regular deposits, or — for self-employed tenants — a recent tax declaration or accounting statement. The income requirement is often expressed as a multiple of the monthly rent.
Guarantor (fiador)
The fiador is the most distinctive feature of the Paraguayan rental system. This is a third person — typically a family member, employer, or close contact — who owns real property in Paraguay and agrees to be responsible for the rent if the tenant defaults. The fiador's property title and their own cédula are typically required. Not all landlords accept alternatives to a fiador, though this is gradually changing.
References
Some landlords, particularly for higher-value properties, request personal or professional references. These may be former landlords, employers, or character references. The practice is not universal, but it's worth being prepared with contact details for two or three people who can speak to your reliability as a tenant.
Furnished vs unfurnished — making the decision
The choice between furnished and unfurnished affects your monthly cost, your flexibility, and the terms of your contract. Here's how to think about it.
- Lower monthly rent — typically 30–50% less than the equivalent furnished property in the same building or block
- You choose your own furniture — better suited to long-term tenants who want to personalize the space
- No disputes over the condition of the landlord's furniture when you leave
- Significant upfront cost if you need to buy furniture and appliances
- Moving furniture in and out creates logistics and cost when you leave
- Less practical for short stays or temporary relocations
- Move-in ready — practical for people relocating from another city or country
- No large upfront furniture investment required
- More flexible for shorter lease terms (6–12 months)
- Higher monthly rent — the furniture cost is built into the price
- You are responsible for the condition of the landlord's furniture — document everything at check-in
- Less control over the style and quality of the furnishings
To compare fairly: take the monthly rent difference between the furnished and unfurnished option. Multiply by the number of months you plan to stay. Compare that total to the cost of buying equivalent furniture. If the furniture cost is lower, unfurnished may make financial sense. If you're staying less than a year, furnished is usually more practical.
Contracts and the guarantee system
Understanding what you're signing is as important as finding the right property. Here's what you need to know about Paraguayan rental contracts.
Key contract clauses explained
Most residential leases in Paraguay are for one or two years. The contract should clearly state the start and end date. Some contracts include an automatic renewal clause — check whether this applies and what notice period is required to avoid automatic renewal.
Contracts typically include a clause allowing the landlord to adjust the rent at certain intervals — usually annually. The adjustment may be tied to inflation, a fixed percentage, or a negotiated amount. Make sure this clause is explicit and that you understand the mechanism before signing.
A security deposit of one to two months' rent is common in Paraguay. The contract should specify the amount, the conditions under which it can be retained by the landlord, and the timeline for its return after the tenancy ends. Get this in writing — verbal agreements about deposits are difficult to enforce.
The contract should clearly state which utilities and expenses are the tenant's responsibility and which are the landlord's. Common tenant expenses include electricity (ANDE), water (ESSAP or municipal), and gas. Building maintenance fees (expensas) are typically the landlord's responsibility but confirm this explicitly.
If you need to leave before the contract ends, what are the consequences? Some contracts require you to pay the remaining months; others allow early exit with a penalty of one or two months' rent. If there is no early exit clause, you may be legally obligated to pay through the end of the term. Clarify this before signing.
The three main guarantee types in Paraguay
Fiador propietario
The most common form. A third person who owns real property in Paraguay co-signs the contract and accepts legal liability if the tenant fails to pay. The fiador must provide their property title (escritura) and personal identification. This person is taking on real legal risk on your behalf.
Seguro de caución
A rental insurance product offered by some insurance companies in Paraguay. The tenant pays an annual premium (typically a percentage of the annual rent), and the insurer guarantees the landlord against non-payment. Not all landlords accept this alternative, but it is growing in acceptance, particularly in Asunción.
Depósito en efectivo
Some landlords accept a larger cash deposit in lieu of a fiador — typically two to three months' rent held for the duration of the lease. This ties up capital but avoids the need to find a willing fiador. The deposit conditions (return timeline, deduction rules) must be clearly documented in the contract.
Still have questions?
Use the price reference calculator on our homepage or get in touch with any questions about how to use our data.