What are the price trends and forecasts in Medan right now? (2026)

Authored by the expert who managed and guided the team behind the Indonesia Property Pack

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BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Medan. If you’d like to learn more about us, you can check our presentation page.

What are the current property price trends in Medan as of 2026?

What is the average house price in Medan as of 2026?

As of 2026, the average house price in Medan is around Rp 1.4 billion, which is about USD 78,000 or EUR 67,000 using rounded June 2026 exchange rates.

This means the average property price per square meter in Medan in 2026 is about Rp 14 million, or around USD 780 and EUR 670 per square meter.

In practical terms, roughly 80% of residential property purchases in Medan in 2026 fall between Rp 650 million and Rp 3 billion, or about USD 36,000 to USD 167,000 and EUR 31,000 to EUR 144,000.

How much have property prices increased in Medan over the past 12 months?

Medan property prices increased by about 2% over the past 12 months as of 2026, which means prices rose in rupiah terms but barely beat inflation.

The realistic 12-month increase is about 4% to 6% for newer cluster homes in good family districts, 2% to 4% for well-located landed houses, 1% to 3% for apartments, and close to 0% for weaker older stock.

The biggest reason for this slow price increase in Medan is that local demand is supported by the city economy, but higher borrowing costs and weak national house-price growth are limiting how much buyers can pay.

Which neighborhoods have the fastest rising property prices in Medan as of 2026?

As of 2026, the three fastest-rising property areas in Medan are Medan Johor, Medan Selayang, and Setiabudi or nearby Medan Sunggal.

Medan Johor and Medan Selayang are likely growing by about 4% to 6% per year, while Setiabudi and Medan Sunggal are closer to 3% to 5% per year.

The main reason these Medan neighborhoods are rising faster is that families want newer homes near schools, hospitals, universities, and daily road access without paying the very high prices of Medan Polonia.

By the way, you will find much more detailed price ranges across neighborhoods in our property pack covering the real estate market in Medan.

Which property types are increasing faster in value in Medan as of 2026?

As of 2026, the property types rising fastest in Medan are townhouses and cluster homes first, landed houses second, apartments third, while villas and condos are too niche for mainstream Medan analysis.

The top-performing property type in Medan in 2026 is the newer townhouse or cluster home, with estimated annual appreciation of about 4% to 6% in the best family locations.

This property type is outperforming because many Medan buyers still want land, parking, security, and a family-friendly layout, but they also want a newer home that is easier to finance with a KPR mortgage.

Finally, if you’re interested in a specific property type, you will find our latest analyses here:

• How much should you pay for a house in Medan?
• How much should you pay for an apartment in Medan?

What is driving property prices up or down in Medan as of 2026?

As of 2026, the three main forces driving Medan property prices are local economic growth, family demand for landed homes, and higher interest rates that make mortgages harder to afford.

The strongest upward pressure on Medan property prices is the city’s role as the main business, logistics, health, and education hub of northern Sumatra.

If you want to understand these factors at a deeper level, you can read our latest property market analysis about Medan here.

What is the property price forecast for Medan in 2026?

How much are property prices expected to increase in Medan in 2026?

As of 2026, Medan property prices are expected to increase by about 3% for the full year, with better locations doing more and weak locations doing less.

A realistic forecast range for Medan property price growth in 2026 is 2% to 4% for the whole city, and 4% to 6% for the best micro-locations in Medan Johor, Medan Selayang, and Setiabudi.

The main assumption behind this Medan property forecast is that the local economy keeps growing, but mortgage rates stay high enough to stop a broad housing boom.

We go deeper and try to understand how solid are these forecasts in our pack covering the property market in Medan.

Which neighborhoods will see the highest price growth in Medan in 2026?

As of 2026, the Medan neighborhoods expected to see the highest property price growth are Medan Johor, Medan Selayang, Setiabudi, Medan Sunggal, and selected Medan Baru pockets.

These stronger Medan areas could rise by about 4% to 6% in 2026, compared with about 2% to 4% for the wider Medan housing market.

The main catalyst is practical family demand, because buyers want safe streets, newer housing, schools, hospitals, supermarkets, and workable access to the city center.

Medan Helvetia is the emerging area that could surprise on the upside, especially where buyers can still find more affordable family houses with better road access.

By the way, we’ve written a blog article detailing what are the current best areas to invest in property in Medan.

What property types will appreciate the most in Medan in 2026?

As of 2026, townhouses and cluster homes are expected to appreciate the most in Medan, ahead of standard landed houses, apartments, and niche condo-style units.

The projected appreciation for Medan townhouses and cluster homes in 2026 is about 4% to 6% in strong locations, especially in Medan Johor and Medan Selayang.

The main demand trend is simple: Medan families still prefer landed-style living, but many want a newer, more secure, and easier-to-maintain home.

Apartments are expected to underperform in Medan because the tenant pool is thinner than in Jakarta, and many local buyers still prefer land over vertical living.

How will interest rates affect property prices in Medan in 2026?

As of 2026, higher interest rates are likely to reduce Medan property price growth by about 1 to 2 percentage points because many middle-class buyers depend on KPR mortgages.

Bank Indonesia raised the BI-Rate to 5.50% in June 2026, so Medan mortgage rates are likely to stay uncomfortable for buyers unless banks absorb part of the pressure.

In Medan, a 1% rise in mortgage rates can make the same home feel roughly 8% to 12% less affordable for a financed buyer, which usually slows price growth before it causes visible price falls.

What are the biggest risks for property prices in Medan in 2026?

As of 2026, the three biggest risks for Medan property prices are higher mortgage rates, flood or drainage risk in weaker areas, and buyers overpaying for prestige addresses with limited rental yield.

The risk most likely to happen in Medan is continued affordability pressure, because home prices in better districts are already high compared with many local household incomes.

We actually cover all these risks and their likelihoods in our pack about the real estate market in Medan.

Is it a good time to buy a rental property in Medan in 2026?

As of 2026, it can be a good time to buy a rental property in Medan, but only if the property is fairly priced and close to real tenant demand such as campuses, hospitals, offices, or main roads.

The strongest argument for buying now is that Medan still has steady local demand, and well-bought small houses or apartments can often produce gross yields around 4% to 6%.

The strongest argument for waiting is that high interest rates and ambitious asking prices can make weak deals look attractive at first but disappointing after taxes, repairs, vacancies, and negotiation.

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 Medan.

You’ll also find a dedicated document about this specific question in our pack about real estate in Medan.

Where will property prices be in 5 years in Medan?

What is the 5-year property price forecast for Medan as of 2026?

As of 2026, Medan property prices are expected to be about 18% to 30% higher over the next 5 years, with a central forecast close to 24% by 2031.

The conservative 5-year scenario for Medan is about 15% total growth, while the optimistic scenario is about 35% if infrastructure delivery and household incomes are stronger than expected.

This points to an average annual appreciation rate of roughly 3% to 5% for Medan residential property between 2026 and 2031.

The key assumption is that Medan remains the main business, logistics, health, and education center of northern Sumatra, while national mortgage conditions do not become much worse.

Which areas in Medan will have the best price growth over the next 5 years?

The three Medan areas expected to have the best 5-year price growth are Medan Johor, Medan Selayang, and the Setiabudi or Medan Sunggal corridor.

These top-performing Medan areas could see cumulative price growth of about 25% to 35% over 5 years if buyer demand stays focused on family housing and access.

This is similar to the 2026 short-term forecast, but the 5-year view gives more weight to infrastructure, new housing clusters, and the spread of middle-class demand beyond the old central districts.

The currently undervalued area with the best 5-year outperformance potential is Medan Helvetia, especially in safer and better-connected pockets that still trade below prime south Medan prices.

What property type will give the best return in Medan over 5 years as of 2026?

As of 2026, the property type expected to give the best total return over 5 years in Medan is a well-located townhouse or cluster home.

A good townhouse or cluster home in Medan could deliver about 45% to 65% total return over 5 years when estimated price appreciation and gross rental income are combined.

The structural trend behind this is that Medan households still prefer land-based housing, but they increasingly want newer, secure, and more organized residential environments.

The best balance of return and lower risk over 5 years is likely a compact landed house or cluster home in Medan Johor, Medan Selayang, Medan Sunggal, or selected Helvetia pockets.

How will new infrastructure projects affect property prices in Medan over 5 years?

The three infrastructure factors most likely to affect Medan property prices over 5 years are BRT Mebidang, Medan to Kualanamu to Tebing Tinggi toll connectivity, and long-term land-use changes under the Medan spatial plan.

In Medan, a completed and useful transport improvement can add about 5% to 10% to nearby residential values over several years, but only when the access is genuinely practical for daily life.

The neighborhoods most likely to benefit are Medan Baru, Medan Petisah, Medan Polonia, Medan Johor, Medan Amplas, Medan Sunggal, and selected areas linked to Kualanamu and Deli Serdang access.

How will population growth and other factors impact property values in Medan in 5 years?

Medan’s population pressure should support property values over the next 5 years, but the effect is likely moderate because income growth and affordability matter more than population alone.

The demographic shift with the strongest influence on Medan housing demand is the rise of middle-income households that want compact, secure, and practical family homes.

Domestic migration from northern Sumatra into Medan should support rentals and entry-level purchases, while international demand should remain small and focused on business, education, and limited expatriate needs.

These trends should benefit compact landed houses and cluster homes in Medan Johor, Medan Selayang, Medan Sunggal, Medan Helvetia, and selected Medan Tuntungan pockets.

We made this infographic to show you how property prices in Indonesia 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 Medan?

What is the 10-year property price prediction for Medan as of 2026?

As of 2026, Medan property prices are expected to be about 40% to 70% higher over the next 10 years, with a central forecast close to 55% by 2036.

The conservative 10-year forecast for Medan is about 35% total growth, while the optimistic forecast is about 80% if transport, incomes, and metropolitan integration improve faster than expected.

This suggests an average annual appreciation rate of roughly 3.5% to 5.5% for residential property in Medan over the next decade.

The biggest uncertainty is whether Medan can turn its role as northern Sumatra’s main city into stronger household incomes, better infrastructure, and better flood management.

What long-term economic factors will shape property prices in Medan?

The three long-term economic factors that will shape Medan property prices are household income growth, logistics and trade expansion, and the success of transport and urban planning projects.

The most positive long-term factor for Medan property values is the city’s role as northern Sumatra’s business and logistics gateway, especially if Kualanamu and Deli Serdang links keep improving.

The greatest structural risk is affordability, because even a growing city can have weak real price growth if homes become too expensive for local families.

You’ll also find a much more detailed analysis in our pack about real estate in Medan.

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 Medan, 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 used	Why this source matters	How we used it
Bank Indonesia Residential Property Price Survey Q1 2026	It is Indonesia’s official central-bank housing price survey.	We used it as the national price anchor for residential property in Indonesia. We adjusted Medan estimates because Medan lacks a clean public transaction index.
Bank Indonesia June 2026 BI-Rate decision	It is the official source for Indonesian monetary policy.	We used it to judge mortgage-rate pressure in June 2026. We linked the BI-Rate to affordability for Medan KPR buyers.
Bank Indonesia May 2026 inflation update	It summarizes official inflation data from BPS.	We used it to compare nominal Medan price growth with inflation. We used it to explain why real price growth is weak.
BPS Kota Medan, Medan in Figures 2026	It is the latest official annual statistical book for Medan.	We used it for city context, population, and economic background. We cross-checked it against listing evidence before estimating demand.
BPS Kota Medan GDP by sector 2021 to 2025	It shows the official structure of Medan’s economy.	We used it to identify real local demand drivers. We focused on sectors that support jobs, income, and housing demand.
BPS Kota Medan district population table	It gives official population data by Medan district.	We used it to identify demographic pressure across Medan. We connected this to demand in Johor, Selayang, Sunggal, Helvetia, and Marelan.
Rumah123 Medan Polonia listings	It gives live asking-price evidence in a prime Medan district.	We used it to understand premium listing levels. We treated the prices as asking prices, not final transaction prices.
Rumah123 Medan Johor listings	It shows live supply in a major family housing district.	We used it to check middle-market and cluster-home prices. We discounted asking prices for negotiation and stale listings.
Medan RTRW 2022 to 2042, BPK JDIH	It is the official long-term spatial plan regulation for Medan.	We used it to understand development corridors and land-use pressure. We linked the plan to price-growth potential and zoning risk.
BRT Mebidang official project documents	It is an official Medan document for BRT corridor planning.	We used it to identify mobility corridors that could affect values. We treated timing cautiously because transport projects often slip.
PUPR Medan to Kualanamu to Tebing Tinggi toll road page	It is an official Indonesian infrastructure project page.	We used it to assess access toward Kualanamu and Deli Serdang. We linked toll connectivity to southern and eastern growth corridors.