Authored by the expert who managed and guided the team behind the Algeria Property Pack
Yes, the analysis of Algiers' property market is included in our pack
If you are a foreigner thinking about buying a residential property in Algiers to rent it out, this guide breaks down exactly what you need to know about rental yields, tenant demand, short-term rental rules, and neighborhood performance in 2026.
We constantly update this blog post to reflect the latest data and regulatory changes in the Algiers rental market.
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 Algiers.
Insights
- Central Algiers rental yields of 6% to 8% are among the highest in North Africa, making it attractive compared to neighboring markets like Morocco and Tunisia.
- Furnished apartments in premium Algiers neighborhoods like Hydra and El Biar command a 10% to 30% rent premium over unfurnished units, particularly from expat tenants.
- Short-term rental occupancy in Alger-Centre averages around 51%, with top performers reaching 88%, but the median hovers closer to 53% citywide.
- Vacancy rates in prime Algiers districts like Hydra stay tight at 4% to 7%, while peripheral areas can see 8% to 12% vacancy in 2026.
- Only about 15% of short-term rentals in Algeria were officially registered as of 2024, which signals that enforcement remains relatively light but could tighten.
- Foreign buyers can purchase urban residential property in Algiers but require government approval through the Ministry of Finance or Foreign Affairs, adding 3 to 6 months to timelines.
- The Algerian dinar cannot be exchanged outside the country, so foreign landlords need a local bank account and tax registration to collect and declare rental income properly.
- Rent growth in Algiers is projected at 5% to 9% for 2026, with the strongest increases expected in Hydra, Ben Aknoun, and Alger-Centre due to tight inventory.
Can I legally rent out a property in Algiers as a foreigner right now?
Can a foreigner own-and-rent a residential property in Algiers in 2026?
As of early 2026, foreigners can legally own residential property in urban areas of Algiers and rent it out, but the process requires government approval from the Ministry of Finance or Foreign Affairs before completing any purchase.
The most common ownership structure for foreigners in Algiers is direct personal ownership of an apartment or built property, though some investors choose to establish a local company for more complex holdings or commercial purposes.
The single most common restriction foreign buyers face in Algiers is the prohibition on purchasing agricultural land and the lengthy administrative approval process that can add 3 to 6 months to a typical transaction timeline.
If you're not a local, you might want to read our guide to foreign property ownership in Algiers.
Do I need residency to rent out in Algiers right now?
You do not need to live in Algeria or hold residency to rent out your Algiers property, as many foreign landlords manage their rentals from abroad using local property managers or agencies to handle tenant relations.
Realistically, you should plan to register for tax purposes with the Algerian tax authority (DGI) and obtain a local tax identification number, since rental income is subject to a 7% withholding tax on residential properties.
While you do not strictly need a local bank account in Algiers, it is strongly recommended because most tenants and property managers prefer local payments, and Algerian dinars cannot legally be exchanged outside the country.
Managing a rental property in Algiers entirely remotely is feasible if you have a reliable local representative or property management company, though you should expect to visit at least once initially to set up banking and meet your team in person.
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What rental strategy makes the most money in Algiers in 2026?
Is long-term renting more profitable than short-term in Algiers in 2026?
As of early 2026, short-term rentals in Algiers can generate higher gross revenue than long-term rentals if you maintain strong occupancy, but long-term renting wins on simplicity and predictability for most foreign landlords.
A well-managed short-term rental in Alger-Centre can generate around 950 USD (roughly 128,000 DZD or 880 EUR) per month, compared to 45,000 to 70,000 DZD (330 to 515 USD or 310 to 480 EUR) for a comparable long-term rental in the same area.
Properties in prime central locations like Alger-Centre, Hydra, and coastal areas like Staoueli tend to favor short-term renting financially because they attract business travelers, diaspora visitors, and embassy-related guests willing to pay premium nightly rates.
What's the average gross rental yield in Algiers in 2026?
As of early 2026, the average gross rental yield for residential properties in Algiers is around 5.5% to 6%, which is attractive compared to many other North African and Mediterranean markets.
The realistic low-to-high gross rental yield range in Algiers spans from about 4% in premium high-price neighborhoods like Hydra and El Biar to 7% or 8% in more affordable mid-market districts like Bab Ezzouar and Kouba.
Studios and 1-bedroom apartments in Algiers typically achieve the highest gross rental yields because their lower purchase prices relative to achievable rents create a more favorable income-to-cost ratio.
By the way, we have much more granular data about rental yields in our property pack about Algiers.
What's the realistic net rental yield after costs in Algiers in 2026?
As of early 2026, the average net rental yield after all costs for residential properties in Algiers is around 3% to 4%, depending on your management setup and property condition.
The realistic low-to-high net rental yield range that most landlords in Algiers actually experience spans from about 2% in premium neighborhoods with high purchase prices to around 5% in value-oriented districts with strong tenant demand.
The three main cost categories that reduce gross yield to net yield in Algiers are property management fees (8% to 12% of rent), maintenance reserves that can be significant in older Algiers building stock, and the 7% residential rental income tax withheld by the tax authority.
You might want to check our latest analysis about gross and net rental yields in Algiers.
What monthly rent can I get in Algiers in 2026?
As of early 2026, typical monthly rents in Algiers are around 35,000 to 55,000 DZD (260 to 405 USD or 240 to 380 EUR) for a studio, 45,000 to 75,000 DZD (330 to 555 USD or 310 to 515 EUR) for a 1-bedroom, and 70,000 to 120,000 DZD (515 to 885 USD or 480 to 825 EUR) for a 2-bedroom apartment.
A realistic entry-level monthly rent for a decent studio in Algiers starts around 35,000 DZD (260 USD or 240 EUR) in neighborhoods like Kouba or Hussein Dey, while better-located studios in central areas can reach 55,000 DZD (405 USD or 380 EUR) or more.
A typical mid-range 1-bedroom apartment in Algiers rents for 50,000 to 65,000 DZD (370 to 480 USD or 345 to 445 EUR) in well-connected neighborhoods like Bab Ezzouar or Alger-Centre.
A mid-to-high range 2-bedroom apartment in Algiers commands 80,000 to 110,000 DZD (590 to 810 USD or 550 to 755 EUR) in central districts, with premium areas like Hydra and El Biar pushing above 120,000 DZD (885 USD or 825 EUR).
If you want to know more about this topic, you can read our guide about rents and rental incomes in Algiers.
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.
What are the real numbers I should budget for renting out in Algiers in 2026?
What's the total "all-in" monthly cost to hold a rental in Algiers in 2026?
As of early 2026, the estimated total "all-in" monthly cost to hold and maintain a typical rental property in Algiers is around 15,000 to 30,000 DZD (110 to 220 USD or 105 to 205 EUR) before vacancy allowance, depending on building age and management setup.
A realistic low-to-high monthly cost range for most standard rental properties in Algiers spans from about 12,000 DZD (90 USD or 85 EUR) for a well-maintained newer apartment to 35,000 DZD (260 USD or 240 EUR) for an older property requiring more maintenance attention.
The single largest contributor to total monthly holding costs in Algiers is typically property management fees at 8% to 12% of collected rent, especially for foreign landlords who need reliable local representation to handle tenant issues and maintenance coordination.
You want to go into more details? Check our list of property taxes and fees you have to pay when buying a property in Algiers.
What's the typical vacancy rate in Algiers in 2026?
As of early 2026, the typical vacancy rate for rental properties in Algiers is around 6% to 9%, which translates to roughly 0.7 to 1.1 months of vacancy per year for a well-presented property in a decent location.
Landlords in Algiers should realistically budget for about 1 month of vacancy per year because tenant turnover, seasonal timing, and the paperwork-heavy rental process often create gaps between tenancies even in strong locations.
The main factor causing vacancy rates to differ across Algiers neighborhoods is the concentration of tenant demand, where prime districts like Hydra and El Biar with embassy and expat presence maintain tight 4% to 7% vacancy while peripheral areas with weaker transport links can see 10% to 12%.
Tenant turnover and vacancy in Algiers typically peak in summer months (June to August) when many tenants relocate for work changes or family moves, and again around year-end when lease renewals cluster.
We have a whole part covering the best rental strategies in our pack about buying a property in Algiers.
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Where do rentals perform best in Algiers in 2026?
Which neighborhoods have the highest long-term demand in Algiers in 2026?
As of early 2026, the top three neighborhoods with the highest overall long-term rental demand in Algiers are Kouba, Hussein Dey, and Bab Ezzouar because they combine strong everyday tenant pools, good transport connections, and accessible price points.
Families in Algiers gravitate toward Ben Aknoun, Dely Ibrahim, Cheraga, and Draria because these neighborhoods offer more spacious housing stock, calmer residential streets, and proximity to good schools.
Students in Algiers concentrate their rental demand around Bab Ezzouar (near USTHB university area), El Harrach, and parts of Bordj El Kiffan where commute times to major campuses are manageable.
Expats and international professionals in Algiers strongly prefer Hydra, El Biar, Ben Aknoun, and Telemly because these areas cluster near embassies, international organizations, and offer housing stock that meets their quality expectations.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Algiers.
Which neighborhoods have the best yield in Algiers in 2026?
As of early 2026, the top three neighborhoods with the best rental yield in Algiers are Bab Ezzouar, Kouba, and Hussein Dey because they combine moderate purchase prices with consistently strong tenant demand from working professionals and families.
The estimated gross rental yield range for these top-yielding Algiers neighborhoods is around 6% to 8%, compared to 4% to 5% in prestige areas like Hydra and El Biar where high purchase prices compress returns.
The main characteristic that allows these neighborhoods to achieve higher yields than others in Algiers is their "always rentable" profile, where strong transport links, local employment, and affordable rent levels create deep tenant pools that minimize vacancy and support steady income.
We cover a lot of neighborhoods and provide a lot of updated data in our pack about real estate in Algiers.
Where do tenants pay the highest rents in Algiers in 2026?
As of early 2026, the top three neighborhoods where tenants pay the highest rents in Algiers are Hydra, El Biar, and Ben Aknoun, where 2-bedroom apartments can easily exceed 100,000 DZD (740 USD or 690 EUR) per month.
The typical monthly rent range for a standard apartment in these premium Algiers neighborhoods is 80,000 to 150,000 DZD (590 to 1,105 USD or 550 to 1,030 EUR), with luxury properties pushing well above these levels.
What makes these neighborhoods command the highest rents in Algiers is their combination of embassy proximity, secure residential compounds, established greenery and infrastructure, and a concentration of recently renovated or modern housing stock that meets international standards.
The tenant profiles that typically rent in these highest-rent Algiers neighborhoods include senior professionals, diplomats, expats working for international organizations, and executives with multinational companies who have housing allowances and prioritize security and comfort.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Algeria. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
What do tenants actually want in Algiers in 2026?
What features increase rent the most in Algiers in 2026?
As of early 2026, the top three property features that increase monthly rent the most in Algiers are reliable water pressure with a backup solution, secure building access with parking, and a modern kitchen and bathroom refresh, because these address the most common tenant pain points in the local market.
The single most valuable feature, reliable water supply with backup tanks or pumps, can add an estimated 10% to 15% rent premium in Algiers because tenants pay for "less hassle" in a city where water pressure can be inconsistent in older buildings.
One commonly overrated feature that landlords invest in but tenants do not pay much extra for in Algiers is overly luxurious finishes that exceed what the neighborhood market will support, such as expensive imported tiles or high-end fixtures in mid-market areas.
One affordable upgrade that provides a strong return on investment for landlords in Algiers is ensuring the property is internet-ready with a stable line and router setup, because remote work has made connectivity a deal-breaker for many professional tenants.
Do furnished rentals rent faster in Algiers in 2026?
As of early 2026, furnished apartments in Algiers typically rent 1 to 2 weeks faster than unfurnished units in the expat and short-term segments because furnishing reduces tenant setup friction, especially for temporary professional stays and diaspora return visits.
Furnished apartments in prime Algiers districts like Hydra, El Biar, and Ben Aknoun command a 10% to 30% rent premium over unfurnished units, with the highest premiums going to tastefully furnished properties targeting corporate tenants and expats.
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How regulated is long-term renting in Algiers right now?
Can I freely set rent prices in Algiers right now?
Landlords in Algiers have significant freedom to set initial rent prices by market agreement, as Algeria does not impose a nationwide rent control or rent cap system like some European capitals.
Rent increases during a tenancy in Algiers are not strictly capped by regulation, but are typically handled through periodic renegotiation or explicit review clauses in the lease contract, with many landlords adjusting rents in line with inflation (which has been running at 5% to 9% in recent years).
What's the standard lease length in Algiers right now?
The most common lease length for residential rentals in Algiers is 12 months, often renewable by mutual agreement, though longer terms of 2 to 3 years are common for stable family tenants.
The typical security deposit landlords in Algiers request is 1 to 2 months of rent, which is around 45,000 to 150,000 DZD (330 to 1,105 USD or 310 to 1,030 EUR) depending on the property and neighborhood.
Security deposit return rules in Algiers follow the terms agreed in the written lease contract, with landlords typically returning the deposit within 1 to 2 months after tenancy ends, minus any documented deductions for damages or unpaid rent.
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.
How does short-term renting really work in Algiers in 2026?
Is Airbnb legal in Algiers right now?
Airbnb-style short-term rentals in Algiers are not explicitly banned nationwide, but they can fall under Algeria's tourism accommodation rules (Loi n° 03-01) and government circulars defining paid temporary hosting like "logement chez l'habitant," so treat them as regulated rather than unregulated.
There is no single standardized "Airbnb license" system in Algiers like in many EU cities, but operators should expect to engage with local tourism and municipal administration for compliance, especially if hosting frequently or professionally.
Algeria does not have a clearly established nationwide annual night limit or cap on short-term rentals, so landlords should assume local enforcement discretion matters and stay conservative on occupancy expectations.
The most common consequence for operating a non-compliant short-term rental in Algiers is administrative penalties or closure orders from local authorities, though enforcement has historically been light with only about 15% of STRs officially registered as of 2024.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Algiers.
What's the average short-term occupancy in Algiers in 2026?
As of early 2026, the estimated average annual occupancy rate for short-term rentals in Algiers is around 48% to 53%, with significant variation based on neighborhood, listing quality, and seasonality.
The realistic low-to-high occupancy rate range for short-term rentals in Algiers spans from about 33% for average listings in peripheral areas to 70% or higher for well-managed properties in prime locations like Alger-Centre, Hydra, or Staoueli.
Short-term rental occupancy in Algiers typically peaks during summer months (July and August) when diaspora visits and domestic tourism surge, as well as during religious holidays and major business conference periods.
The lowest occupancy months for short-term rentals in Algiers are typically March, November, and early winter when business travel slows and tourism demand drops before the holiday season.
Finally, please note that you can find much more granular data about this topic in our property pack about Algiers.
What's the average nightly rate in Algiers in 2026?
As of early 2026, the estimated average nightly rate (ADR) for short-term rentals in Algiers is around 6,500 to 9,000 DZD (48 to 66 USD or 45 to 62 EUR), depending on neighborhood and property quality.
The realistic low-to-high nightly rate range for short-term rentals in Algiers spans from about 4,500 DZD (33 USD or 31 EUR) for basic listings in peripheral areas to 14,000 DZD (103 USD or 96 EUR) or more for premium renovated units in Hydra, El Biar, or Alger-Centre.
The typical nightly rate difference between peak season (July/August) and off-season (March/November) in Algiers is around 2,000 to 4,000 DZD (15 to 30 USD or 14 to 27 EUR) per night, with savvy hosts using dynamic pricing to capture summer demand.
Is short-term rental supply saturated in Algiers in 2026?
As of early 2026, short-term rental supply in Algiers is not fully saturated like some major tourist cities, but competition is real and increasingly professional, with a smaller set of well-managed listings capturing most bookings while mediocre properties struggle.
The current trend in active short-term rental listings in Algiers is stable to slowly growing, with new entrants adding supply while some underperformers exit, keeping the market competitive without dramatic oversupply.
The most oversaturated neighborhoods for short-term rentals in Algiers are Alger-Centre and parts of Birkhadem, where higher listing density creates pricing pressure and requires stronger differentiation to maintain occupancy.
Neighborhoods in Algiers that still have room for new short-term rental supply include Draria, Ain Benian, and parts of Cheraga, where growing demand from business travelers and families has not yet been fully met by quality listings.
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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 Algiers, 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 |
|---|---|---|
| Ministry of Justice (Civil Code) | Official government legal portal for Algerian law. | We used it for core landlord-tenant contract basics and lease framework. We also used it to explain what is generally free to contract versus what must be done formally. |
| DGI Tax Authority (Property Reference) | National tax authority's official benchmark for property valuations. | We used it to triangulate realistic rent and price ranges in Algiers. We also used it to sanity-check private-sector or crowdsourced pricing data. |
| PwC Worldwide Tax Summaries | Major global tax firm with locally-grounded summaries. | We used it to estimate personal tax on residential rental income in Algiers. We also used it to explain why your tax setup matters even for remote landlords. |
| U.S. State Department (2025 Investment Climate) | Government report summarizing investment conditions and frictions. | We used it to contextualize administrative reality and bureaucracy for foreign buyers. We also used it as an external cross-check on practical hurdles. |
| Bank of Algeria (CPI and Inflation) | Central bank providing official inflation data sources. | We used it to frame rent growth expectations in an inflationary environment. We also used it to keep rent increase discussions tied to real macro conditions. |
| AirDNA (STR Analytics) | Widely used short-term rental data provider with clear methodology. | We used it to anchor realistic STR occupancy and nightly-rate estimates. We also used it to structure the STR section around measurable KPIs. |
| Numbeo (Crowdsourced Data) | Transparent about being crowdsourced and shows sample recency. | We used it only as a sense check for rent levels and price-to-rent direction. We used it to bound estimates and avoid outliers. |
| Journal Officiel (Tourism Law) | Official Gazette, the source of truth for Algerian laws. | We used it to anchor what Algeria considers tourism accommodation. We also used it to frame compliance risk for short-term rental operators. |
| World Bank (Inflation Data) | Standardized international dataset for comparing macro conditions. | We used it to cross-check inflation context for rent resets and costs. We also used it to triangulate what's normal for nominal rent growth assumptions. |
| UN Tourism (World Tourism Barometer) | UN specialized agency tracking global travel trends. | We used it to explain why short-term demand is sensitive to tourism cycles. We also used it as the macro backdrop for occupancy risk in Algiers. |
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.
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