Authored by the expert who managed and guided the team behind the Algeria Property Pack
Everything you need to know before buying real estate is included in our Algeria Property Pack
Whether you're looking at apartments in Algiers, villas in Oran, or family homes in Constantine, understanding where Algeria's property prices stand today is essential before making any decision.
In this article, we break down the current housing prices in Algeria, recent trends, and what experts expect over the coming years.
We constantly update this blog post to reflect the latest data and market shifts.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Algeria.
Insights
- The typical property in Algeria sells for around 18 million DZD in January 2026, but prices in Algiers can run 40% to 80% higher than the national average due to intense urban demand.
- Algeria's property prices rose roughly 6% nationally over the past year, yet real gains after inflation were closer to 4% since consumer prices only increased about 1.7%.
- The Bank of Algeria cut its policy rate to 2.75% in 2025, which has helped ease mortgage conditions and support buyer activity heading into 2026.
- Neighborhoods along Algiers metro extensions, like Baraki and El Harrach, are seeing some of the fastest price growth because improved transport access directly boosts desirability.
- Mid-market apartments are the fastest-appreciating property type in Algeria because most buyers can only afford this segment, making it the most liquid part of the market.
- With about 75% of Algeria's population living in urban areas, housing demand stays concentrated in just a few major cities, which keeps pressure on prices in Algiers, Oran, Constantine, and Annaba.
- Over the next five years, property prices in Algeria could grow by 25% to 45% nationally, with well-connected areas in Algiers potentially reaching 55% cumulative growth.
- Premium districts like Hydra, El Biar, and Dely Ibrahim in Algiers feel overpriced relative to local incomes and rents, making them more sensitive to any credit tightening.
- Algeria's housing market depends heavily on oil revenues, so a significant drop in global oil prices remains the single biggest risk to property values in 2026 and beyond.
What are the current property price trends in Algeria as of 2026?
What is the average house price in Algeria as of 2026?
As of early 2026, the estimated average property price in Algeria across all residential types is around 18 million DZD, which translates to roughly $130,000 USD or about €120,000 EUR.
When looking at price per square meter, properties in Algeria average around 140,000 DZD per square meter, or approximately $1,000 USD and €930 EUR per square meter.
The realistic price range covering about 80% of property purchases in Algeria spans from 8 million to 35 million DZD, which works out to roughly $60,000 to $260,000 USD or €55,000 to €240,000 EUR, depending on location and property type.
How much have property prices increased in Algeria over the past 12 months?
Over the past 12 months, property prices in Algeria have increased by an estimated 6% nationally in nominal terms, with major cities like Algiers seeing gains closer to 8%.
Across different property types in Algeria, price increases ranged from about 4% for older apartments without modern amenities to around 9% for well-located villas and newer semi-collective homes in high-demand areas.
The single most significant factor driving this price movement in Algeria has been the persistent urban housing demand concentrated in a few major metros, combined with relatively limited new supply that matches what buyers actually want.
Which neighborhoods have the fastest rising property prices in Algeria as of 2026?
As of early 2026, the top three neighborhoods with the fastest rising property prices in Algeria are Baraki and El Harrach in Algiers (benefiting from metro connectivity), and Bir El Djir in Oran (driven by university and services demand).
These neighborhoods in Algeria are experiencing annual price growth of approximately 10% to 14%, well above the national average of 6%.
The main demand driver explaining this rapid price growth is improved transport accessibility combined with newer housing stock that attracts families and young professionals who want modern amenities without paying premium district prices.
By the way, you will find much more detailed price ranges across neighborhoods in our property pack covering the real estate market in Algeria.
We have made this infographic to give you a quick and clear snapshot of the property market in Algeria. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which property types are increasing faster in value in Algeria as of 2026?
As of early 2026, the ranking of property types by value appreciation in Algeria is: mid-market apartments first, followed by semi-collective and duplex homes, then villas and detached houses.
The top-performing property type in Algeria, mid-market apartments in large cities, is appreciating at approximately 7% to 9% annually.
The main reason apartments are outperforming other property types in Algeria is that most Algerian buyers can only stretch their budget to apartment prices, which creates the deepest pool of demand and the most transaction activity.
Finally, if you're interested in a specific property type, you will find our latest analyses here:
What is driving property prices up or down in Algeria as of 2026?
As of early 2026, the top three factors driving property prices in Algeria are concentrated urban demand in major metros, easing credit conditions following the Bank of Algeria rate cut, and sustained public spending that supports household purchasing power.
The single factor with the strongest upward pressure on Algeria's property prices is the intense concentration of demand in just a few cities, since about 75% of the population lives in urban areas and most want to stay in Algiers, Oran, Constantine, or Annaba.
If you want to understand these factors at a deeper level, you can read our latest property market analysis about Algeria here.
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What is the property price forecast for Algeria in 2026?
How much are property prices expected to increase in Algeria in 2026?
As of early 2026, property prices in Algeria are expected to increase by approximately 4% to 7% nationally over the full calendar year, with Algiers likely to see gains of 5% to 9%.
The range of forecasts from different analysts for Algeria's property price growth in 2026 spans from a conservative 3% to an optimistic 10%, depending on assumptions about oil prices and government spending.
The main assumption underlying most price increase forecasts for Algeria is that the government will maintain its current level of public spending and that oil prices will stay relatively stable, avoiding any major fiscal shock.
We go deeper and try to understand how solid are these forecasts in our pack covering the property market in Algeria.
Which neighborhoods will see the highest price growth in Algeria in 2026?
As of early 2026, the neighborhoods expected to see the highest price growth in Algeria are Baraki and El Harrach along the metro corridor, Bab Ezzouar near the university hub, and Chéraga and Draria in the family suburbs of Algiers.
The projected price growth for these top neighborhoods in Algeria ranges from 8% to 12% over 2026, roughly double the national average.
The primary catalyst driving expected growth in these Algeria neighborhoods is the combination of metro extensions scheduled for 2026 and 2027, which will significantly improve commute times and accessibility.
One emerging neighborhood in Algeria that could surprise with higher-than-expected growth is Ali Mendjeli in Constantine, where newer housing stock and strong local demand are creating conditions similar to Algiers suburbs a few years ago.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Algeria.
What property types will appreciate the most in Algeria in 2026?
As of early 2026, the property type expected to appreciate the most in Algeria is mid-sized apartments (F3 and F4 equivalents) in major cities like Algiers, Oran, and Constantine.
The projected appreciation for these top-performing apartments in Algeria is approximately 6% to 9% over 2026.
The main demand trend driving apartment appreciation in Algeria is the large pool of first-time buyers and young families who can only afford apartment-level ticket sizes, which keeps this segment the most liquid and competitive.
The property type expected to underperform in Algeria during 2026 is older apartments without parking or elevators in congested central areas, because buyers increasingly prioritize modern amenities and will negotiate harder on dated stock.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Algeria versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
How will interest rates affect property prices in Algeria in 2026?
As of early 2026, lower interest rates are expected to have a supportive but moderate effect on Algeria's property prices by improving affordability at the margin and encouraging banks to extend more mortgage credit.
The current benchmark policy rate in Algeria is 2.75% following the Bank of Algeria's cut in 2025, and mortgage rates are expected to remain stable or edge slightly lower through 2026.
In Algeria's market, a 1% change in interest rates typically shifts affordability by roughly 8% to 10% for buyers relying on financing, though the actual price impact is softer because many transactions still happen without formal mortgages.
You can also read our latest update about mortgage and interest rates in Algeria.
What are the biggest risks for property prices in Algeria in 2026?
As of early 2026, the top three biggest risks for property prices in Algeria are a significant drop in global oil prices triggering fiscal tightening, currency pressure that raises construction costs, and large-scale government housing supply that could temporarily reduce scarcity in some segments.
The single risk with the highest probability of materializing in Algeria is oil price volatility, since the country's economy and government budgets remain heavily dependent on hydrocarbon revenues, which can shift quickly based on global conditions.
We actually cover all these risks and their likelihoods in our pack about the real estate market in Algeria.
Is it a good time to buy a rental property in Algeria in 2026?
As of early 2026, the overall assessment is that it is a reasonably good time to buy a rental property in Algeria, particularly in high-demand areas of major cities, though expectations should focus on capital preservation and steady rental income rather than quick high yields.
The strongest argument in favor of buying a rental property now in Algeria is that interest rates are low, urban demand remains intense, and well-located apartments in Algiers, Oran, or Constantine typically stay rented with minimal vacancy.
The strongest argument for waiting before buying a rental property in Algeria is that oil price uncertainty could trigger an economic slowdown that weakens both rents and resale values, so buyers with shorter time horizons face more risk.
If you want to know our latest analysis (results may differ from what you just read), you can read our assessment on whether now is a good time to buy a property in Algeria.
You'll also find a dedicated document about this specific question in our pack about real estate in Algeria.
Buying real estate in Algeria can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Where will property prices be in 5 years in Algeria?
What is the 5-year property price forecast for Algeria as of 2026?
As of early 2026, the estimated cumulative property price growth over the next five years in Algeria is approximately 25% to 45% nationally, with well-connected areas in Algiers potentially reaching 30% to 55%.
The range of 5-year forecasts for Algeria spans from a conservative scenario of around 20% cumulative growth (if oil prices drop and fiscal spending tightens) to an optimistic scenario of 50% or more (if macro conditions stay favorable and infrastructure projects proceed on schedule).
The projected average annual appreciation rate over the next five years in Algeria is roughly 5% to 8%, though this will not be evenly distributed across all years or locations.
The key assumption most forecasters rely on for their 5-year property price predictions in Algeria is that the government will continue its public spending model and that no severe external shock will force major fiscal cutbacks.
Which areas in Algeria will have the best price growth over the next 5 years?
The top three areas in Algeria expected to have the best price growth over the next five years are the El Harrach and Baraki corridor in Algiers (metro-linked growth), family suburbs like Chéraga, Draria, and Ouled Fayet (modern stock with strong demand), and Bir El Djir in Oran (university and services gravity).
The projected 5-year cumulative price growth for these top-performing areas in Algeria ranges from 35% to 55%, significantly outpacing the national average.
This 5-year outlook largely mirrors the shorter-term forecast because the same structural drivers, particularly transport improvements and urban demand concentration, will simply compound over a longer period rather than suddenly shifting.
One currently undervalued area in Algeria with strong potential for outperformance over five years is Ali Mendjeli in Constantine, where newer housing stock and limited competition from other modern developments create room for catch-up growth.
What property type will give the best return in Algeria over 5 years as of 2026?
As of early 2026, the property type expected to give the best total return over five years in Algeria is mid-market apartments in large cities, which combine reasonable price appreciation with consistent rental demand.
The projected 5-year total return for well-located apartments in Algeria, combining appreciation and rental income, is approximately 45% to 70%, depending on location and how actively the property is managed.
The main structural trend favoring apartments over the next five years in Algeria is that most buyers can only afford apartment-level prices given current incomes and limited mortgage access, which keeps this segment the most liquid and easiest to exit.
For investors seeking the best balance of return and lower risk over five years in Algeria, modern semi-collective or duplex homes in established family suburbs offer solid appreciation potential with less volatility than high-end villas, which depend more on wealthy buyer cycles.
How will new infrastructure projects affect property prices in Algeria over 5 years?
The top three major infrastructure projects expected to impact property prices in Algeria over the next five years are the Algiers metro extensions (improving access to the airport and outer districts), tramway expansions in Oran and Constantine, and road and highway upgrades connecting satellite cities to main employment centers.
The typical price premium for properties near completed infrastructure projects in Algeria ranges from 15% to 25% compared to similar properties without improved access, though this premium takes one to three years to fully materialize after project completion.
The specific neighborhoods in Algeria that will benefit most from these infrastructure developments are El Harrach, Baraki, and Bab Ezzouar in Algiers (metro), Bir El Djir and Akid Lotfi in Oran (tramway), and Ali Mendjeli in Constantine (improved road links).
How will population growth and other factors impact property values in Algeria in 5 years?
Algeria's population is projected to grow at roughly 1.5% annually over the next five years, which translates into steady household formation that will add continuous baseline demand for housing, particularly in urban areas.
The demographic shift with the strongest influence on property demand in Algeria is the large cohort of young adults entering household formation age, combined with continued preferences for nuclear family living rather than extended family arrangements.
Domestic migration patterns in Algeria will continue to concentrate demand in Algiers, Oran, Constantine, and Annaba, while international migration has minimal direct impact on property values since Algeria does not attract large foreign buyer populations.
The property types and areas that will benefit most from these demographic trends in Algeria are mid-sized apartments in major city centers and modern family homes in well-connected suburbs, where young families seeking their first property will concentrate their searches.
We made this infographic to show you how property prices in Algeria compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What is the 10 year property price outlook in Algeria?
What is the 10-year property price prediction for Algeria as of 2026?
As of early 2026, the estimated cumulative property price growth over the next ten years in Algeria is approximately 60% to 110% nationally, with well-connected areas in Algiers potentially reaching 70% to 130%.
The range of 10-year forecasts for Algeria spans from a conservative scenario of around 50% cumulative growth (if oil revenues decline significantly and the economy stagnates) to an optimistic scenario exceeding 120% (if economic diversification succeeds and urban infrastructure expands as planned).
The projected average annual appreciation rate over the next ten years in Algeria is roughly 5% to 8%, though this average will mask significant variation between boom years and pause years.
The biggest uncertainty factor in making 10-year property price predictions for Algeria is the success or failure of economic diversification away from hydrocarbon dependence, which will determine whether growth is sustainable or vulnerable to external shocks.
What long-term economic factors will shape property prices in Algeria?
The top three long-term economic factors that will shape property prices in Algeria over the next decade are hydrocarbon revenue management and economic diversification efforts, the quality of urban planning and transport investment, and the depth of housing finance access for ordinary households.
The single long-term economic factor with the most positive potential impact on Algeria's property values is successful expansion of non-oil economic sectors, which would create more stable jobs, raise incomes, and support sustained housing demand independent of commodity cycles.
The single long-term economic factor posing the greatest structural risk to Algeria's property values is continued heavy dependence on oil and gas revenues, which leaves the housing market vulnerable to sudden demand drops whenever global energy prices fall.
You'll also find a much more detailed analysis in our pack about real estate in Algeria.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Algeria, we always rely on the strongest methodology we can … and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Algeria Office National des Statistiques (ONS) | Algeria's official statistics agency and the baseline for macro numbers like inflation. | We use ONS as the official reality check for inflation and household price dynamics. We also use it to separate real versus nominal price changes. |
| ONS CPI Bulletin (October 2025) | A primary-source ONS publication with clear methodology and time series. | We use it to quantify the latest inflation pulse and what money is worth today. We then separate property price moves into inflation-driven versus market-driven changes. |
| IMF Algeria 2025 Article IV Report | A top-tier international institution with a standard, reviewed country assessment. | We use it for macro assumptions that shape housing demand like growth and fiscal stance. We also use it to frame downside risks tied to hydrocarbons and public spending. |
| World Bank Algeria Economic Update | Widely cited analysis built on transparent macro methodology. | We use it to triangulate GDP and inflation direction alongside the IMF. We also connect household consumption and public investment to housing demand. |
| World Bank Data - Exchange Rates | A standardized indicator sourced from IMF and official reporting. | We use it for consistent currency conversions when giving DZD and USD price context. We also avoid cherry-picking exchange rates from unofficial sources. |
| World Bank Data - Urban Population | An official series sourced from UN Population Division that's stable and comparable. | We use it to weight demand toward major metros where most transactions happen. We also explain why price pressure concentrates in Algiers, Oran, Constantine, and Annaba. |
| UN World Population Prospects 2024 | The UN's official population estimates used by governments and researchers globally. | We use it to ground long-run housing demand since households grow because people grow. We also use it to shape the 5 to 10 year outlook beyond short-term cycles. |
| Directorate General of Taxes (DGI) - Property Price Reference | An official government pricing reference used for taxation and transaction benchmarking. | We use it as an official bracket to sanity-check market prices by wilaya and property category. We also keep our estimates within plausible national ranges. |
| DGI Terms of Reference Note (2025-2026) | The DGI's official announcement describing scope across regions and property types. | We use it to confirm what the reference covers for built versus non-built and individual versus collective. We then align our property-type breakdown to those common categories. |
| Bank of Algeria - Policy Rate Decision | The central bank's own communication, which is as direct as it gets for rates. | We use it to anchor the interest-rate direction going into 2026. We then translate rate direction into mortgage affordability pressure on prices. |
| TSA - Bank of Algeria Rate Caps | A major national outlet summarizing central bank notes with timing and context. | We use it to timestamp the early 2026 credit environment for households. We treat it as secondary confirmation alongside the central bank's own releases. |
| Ouedkniss | Algeria's largest mainstream listings marketplace with high-volume current asking prices. | We use it to observe current asking-price bands by city and neighborhood. We then apply a conservative asking-to-closing discount to estimate transaction prices. |
| CAHF Algeria Country Profile | A recognized pan-African housing-finance research publisher with consistent country profiles. | We use it to explain structural constraints like finance access and affordability. We also explain why Algeria's market behaves differently from fully liberalized markets. |
| Reuters - Algeria 2026 Budget | A globally trusted wire service that is strict about sourcing and corrections. | We use it to frame 2026 public spending and income support as a demand tailwind. We then connect fiscal stance to construction activity and household purchasing power. |
| Ecofin Agency - Algiers Metro Extension | A specialized Africa infrastructure outlet that cites official projects and timelines. | We use it to identify where accessibility improves, which is a key driver of neighborhood price growth. We then map that to likely winners within Algiers over five years. |
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If you want to go deeper, you can read the following: