Real Estate Sales Apartment Purchase cost?

[Manhatt05]

Hello All
We live in Orlando Florida and are recently retired. We are planning on retiring to Buenos Aires soon. We have been looking at apartments to purchase in Recoleta. But noticing additional costs of closing for the buyer seem outrages! Example
The buyer pays the real estate 3-4% fee and additional 21% VAT (to my understanding is taxes), and others. To bring total buyer closing cost to 6.63-8.34% and the 21% VAT.
this seems so high, how can anyone afford to do this? Am I correct on this and can anyone assist me with input?
Thank you so much in advance

 

[steveinbsas]

Hello All
We live in Orlando Florida and are recently retired. We are planning on retiring to Buenos Aires soon. We have been looking at apartments to purchase in Recoleta. But noticing additional costs of closing for the buyer seem outrages! Example
The buyer pays the real estate 3-4% fee and additional 21% VAT (to my understanding is taxes), and others. To bring total buyer closing cost to 6.63-8.34% and the 21% VAT.
this seems so high, how can anyone afford to do this? Am I correct on this and can anyone assist me with input?
Thank you so much in advance

Based on my own experience, most real estate agents don't charge the VAT, but they don't provide official "facturas" for the commissions, either, indicating that they have no intention whatsoever of reporting the income-

On the other hand, the escribanos for my three property purchases in Argentina have provided facturas that included the 21% VAT.

 

[earlyretirement]

Yes, steveinbsas is exactly correct. Most realtors you can ask them to waive the IVA and tell them you don't need an official receipt. If they aren't declaring the transaction most of them prefer that so they don't have to pay income tax on it.

 

[brandon]

Getting the USD into the country adds a bit to the cost, maybe lots to the stress

 

[JonJLA]

Getting the USD into the country adds a bit to the cost, maybe lots to the stress

Nah it’s not difficult at all. Just adds about 2.5% to the price but you can easily have a broker buy bonds and then give you the US dollars. It’s quick and easy.

 

[earlyretirement]

Nah it’s not difficult at all. Just adds about 2.5% to the price but you can easily have a broker buy bonds and then give you the US dollars. It’s quick and easy.

This is exactly correct. Things have changed since years ago. Now the way you can legally bring in US dollars is to go through a broker. I do it all the time. They will charge you a fixed cost. Usually around 2.5% and then will bring in your US dollars so you can pay the owner of the real estate you're buying. Very safe as long as you're using a reputable broker.

 

[Manhatt05]

Thank you sooo much!!!
I thought my dream of purchasing and living in BA was over