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Apartment Rental Expenses in CABA buildings reached a record with an increase of 87.53% since January - Infobae

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Expenses in CABA buildings reached a record with an increase of 87.53% since January - Infobae




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Source:







July 12, 2024


This was confirmed by a private analysis that covered the first half of 2024. What is the average amount in the Buenos Aires consortia and in the province of Buenos Aires? What can be done to reduce common expenses?

By Jose Luis Cieri


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Items with the highest incidence of expenses: salaries, security, public services, maintenance, service payments and cleaning (Illustrative Image Infobae)

Every month, property owners and tenants living in the city of Buenos Aires receive bad news when they review the summary of the expenses of their buildings. A private survey confirmed that expenses rose by 87.53% in buildings between January and June of this year. A record that hits the pocketbook.

The average expense (not including debts) in CABA for the month of June is $175,727 and in May it was $160,604, so the increase is 9.41 percent.

The survey was carried out by ConsorcioAbierto, among more than 10,000 consortia that use management software. Albano Laiuppa , director of this company, told Infobae that “among the main factors of the increases are inflation, the increase in energy rates and the salary adjustment for workers in the horizontal property sector.”

This constant increase is affecting both owners and tenants, who, in many cases, decide not to renew their rental contracts due to the unexpected high costs.


Compared to the June 2023 expense of $47,256, the year-on-year increase is 271.86%, according to ConsorcioAbierto
Laiuppa observed that tenants usually agree with the owners on a rental value that they manage to pay with effort, but the expenses surprise them with figures that they did not expect. “The expense debts are always between the administrator and the owner, who must be attentive to the payment. In addition, the new legal framework after the DNU (which repealed the Rental Law) allows to agree on who pays the ordinary and extraordinary expenses, looking closely at who should be responsible for each expense.”
The impact is strong, experts report, and therefore, the higher value that will be reflected in expenses in July is due to the payment of the half-yearly bonus. However, there continue to be some increases and adjustments in the different concepts that make up the “consortium basket”, some of which are linked to price changes derived from dollarized products and construction materials that have increased in recent months.



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Administrator Alberto Héctor Loyarte (who together with public accountant Fernando Pedro De Gregorio , presented a project to reduce expenses in Congress), said that "the expense structure of each consortium is very specific and different, not only because of the building characteristics of each building or housing complex, but also because of the consumption modalities, the personnel necessary for its maintenance and the services required for the satisfaction of the co-owners who live there."

Land of Buenos Aires and the interior

In the province of Buenos Aires, expenses rose 83.73% in buildings between January and June of this year.

The average expense on buildings excluding debt for June is $69,503 and in May it was $64,975, so the increase is 6.96 percent. If the expense for June is compared with that for June 2023 of $18,672, the year-on-year increase is 272.23 percent.

Laiuppa pointed out that the year-on-year increase in expenses in CABA and the Province of Buenos Aires was very similar. In CABA, more is paid due to the greater number of employees and more expensive services, in addition to the age of many buildings that require special maintenance.

In Córdoba, expenses rose 98.95% between January and June. The average expense in June was $68,195, an increase of 273.30% year-on-year.

In Santa Fe, expenses increased by 83.82% in the first half of the year. The average expense in June was $61,479, an increase of 243.38% year-on-year.

How to lower expenses

There are buildings that, in order to save energy, are limiting the use of lighting in common areas and the boiler: they turn it on at a certain time.


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Cleaning products have also risen sharply in the last 12 months and have had an impact on the cost of expenses (Illustrative Image Infobae)

Laiuppa said that “other buildings are planning ahead and buying materials that they know they will need later, for which they have to have extra funds or decide on them in an assembly.”

In the current context, many consortia postpone maintenance and renovations such as painting and balcony repairs. These repairs are crucial for the safety of the building, not just aesthetic aspects.

Starting this month, in CABA it is mandatory that the expense statement contain a QR code that allows co-owners to see all the invoices and receipts paid by the administrator.

In the Province of Buenos Aires, the Public Registry of Consortium Administrators (RPAC) is working on regulating the sector.


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Postponing repairs and painting increases long-term costs and devalues the building and the apartments, affecting the owners.

In addition, the province of Neuquén established standards for the Administration of Consortia, which will allow for more homogeneous results in the operation of consortia in different provinces.

Loyarte commented that one of the biggest difficulties in consortia is the low participation of co-owners in decisions, with only 10% to 15% attending meetings.

Since last April, the average bill in CABA has been the most expensive in the country. “Compared to other provinces, CABA's bills have turned out to be the most expensive in the country. Additional problems include the increase in late payments in many consortia and the fact that AYSA bills the consortium directly, charging the late payments to those who do pay their fee,” said Loyarte.

While delinquency, according to specialists, ranges between 30% and 35% and is growing compared to the end of 2022.

Increases in gas and electricity prices for boilers and common services should be considered with subsidies, since these consumptions are necessary for the families that live in the buildings. Loyarte concluded: “At this stage of economic adjustment, it is crucial that the adjustments take into account family consumption.”




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