Asunción: what to see and whether to move there

Is it worth moving to Asunción in 2026

Asunción is the capital of Paraguay, a calm green city on the Paraguay River with about half a million people, and over two million including suburbs. People move here for low taxes, inexpensive living and a clear path to residence: temporary residence requires neither income nor investment at entry, and an investor can obtain permanent residence immediately. Russian citizens need no visa, and the Russian-speaking community in the country is growing.

The downsides are worth knowing: summer heat reaches 35-40 degrees, public services and paperwork require patience, public transport is weak, and there are few international flights. Since 6 July 2026 income must be documented to move to permanent residence, so work, a business or tax registration should be set up from the first month.

Cost of living in Asunción

Prices come from two independent price databases for 2026, converted at the Central Bank of Paraguay rate of 5 October 2026, about 5,865 guaraníes per dollar. New furnished apartments in Villa Morra, Las Carmelitas and Mburucuyá cost more than the averages. Electricity bills rise noticeably in summer because of air conditioning.

Where to live in Asunción: neighbourhoods

• Villa Morra - upscale area with malls, restaurants and new residential towers.
• Las Carmelitas - quiet streets next to Villa Morra with embassies, cafés and new buildings.
• Mburucuyá and Herrera - green residential areas with houses and apartments, convenient for families.
• Recoleta - central area with even development, shops and clinics.
• Historic centre - the waterfront, López Palace and government buildings, atmospheric but empty in the evening.
• Lambaré and Luque - suburbs where the same money rents a house with a garden.

The city is spread out and buses are old, so most newcomers drive or use ride-hailing taxis.

Entry and residence

Russian citizens enter Paraguay visa-free: under a 2013 agreement they may stay 90 days in every 180. Under the 2022 migration law, temporary residence is granted for up to two years without proof of income, with a fee of about $500. The permanent residence application is filed in the last three months of temporary status, and since 6 July 2026 income is documented under one of 12 categories. A temporary resident loses status after more than a year of unagreed absence. More on the page Paraguay residence permit.

An investor can obtain permanent residence immediately: since April 2026 under the new programme, investing from $70,000 in a business with five jobs, from $150,000 in tourism or from $200,000 in securities or income property gives permanent status without a temporary stage. More on the page Paraguay permanent residency. Citizenship can be requested no earlier than three years of living in the country with permanent residence, and the realistic time from first step to passport is 4.5-6 years. More on the page Paraguay citizenship.

Taxes in Paraguay

Paraguay taxes income earned in the country, while foreign income is generally not taxed. Personal income tax is 8% to 10%, corporate tax 10%, VAT 10%, and 5% on some goods. You become a Paraguayan tax resident by staying in the country more than 120 days a year. The combination of low rates and tax only on local income makes Paraguay convenient for entrepreneurs and remote specialists, but resident status must be properly arranged and proven. More on the page Taxes in Paraguay.

Renting and buying property

Foreigners can buy apartments, houses and land in Paraguay on the same terms as citizens, with restrictions on rural land near the borders. A notary executes the deal and the title is registered in the public registry. Before buying, check the title, tax and utility debts and the developer's permits, and for new builds the completion dates and building service charges. Investing from $200,000 in income property can serve as a basis for permanent residence.

Leases usually run for a year with a deposit of one or two months' rent, and a guarantor or rental insurance is often required. Prices are quoted in guaraníes or dollars, and the currency is best fixed in the contract.

Climate and daily life

The climate is subtropical: from December to February daytime temperatures reach 35-40 degrees with high humidity, from May to September days are warm and nights cool, there is no snow, but homes rarely have heating. The official languages are Spanish and Guaraní, and daily life is hard without Spanish. Private clinics are of good quality, public healthcare is weaker, so foreigners buy private insurance. There are international schools. Direct flights link Asunción with São Paulo, Buenos Aires, Panama and Madrid.

Pitfalls

• Since 6 July 2026 permanent residence requires income under one of 12 categories.
• A temporary resident loses status after more than a year of absence.
• Citizenship no earlier than three years after permanent residence.
• Summer heat up to 40 degrees and expensive power for air conditioning.
• Weak public transport and few direct flights.
• Documents and public services only in Spanish.

Murblz specialists handle residence and permanent status for investors, tax registration, bank accounts and property checks in Asunción. A consultant in the chat will calculate the cost of support.