Real Estate Sales How has the high end luxury property market been affected by Black Monday?

[MenClerk]

What % discount can one get over existing asking prices? Could there be another great long term buy opportunity similar to 2001 crash? I made so much money buying properties after the 2001 crash!

However, I am currently living in my villa in Saint Tropez these days and I don't have my finger on the BsAs pulse like before. That said my investing instincts are telling me there could be a great opportunity this year after the elections and was thinking about moving back for a while.

Thanks in advance for your thoughts,

 

[Frisel]

Jump in your Learjet and fly over here to see..!

 

[MiltonHouses]

When you get your finger back on the Bs As pulse, please share the beat with all of us so we may also buy up luxury properties at a discount!
(Crickets)

 

[PhelipCer]

What % discount can one get over existing asking prices? Could there be another great long term buy opportunity similar to 2001 crash? I made so much money buying properties after the 2001 crash!

However, I am currently living in my villa in Saint Tropez these days and I don't have my finger on the BsAs pulse like before. That said my investing instincts are telling me there could be a great opportunity this year after the elections and was thinking about moving back for a while.

Thanks in advance for your thoughts,

Please advise us all where you have brought in Buienos Aires in the past and approximate values . Im sure this will be interesting for our members .

 

[StiveCosae]

In spite of what others have recently posted, in one respects, the "crash of 2001" has already been repeated, at least in terms of the massive devaluation of the peso. Fortunately, this time it didn't happen overnight.

PS: As Perry has recently noted, the new capital gains tax (which apparently will not be adjusted for inflation) will probably wipe out any long term gains and quite possibly result in a long term capital loss.

 

[earlyretirement]

Yep. MANY things are different vs. 2001 when you could pick up properties VERY cheap. I've said it before and I'll say it again, that was a once in a lifetime chance to get real estate so cheap in Buenos Aires in great areas. I remember right after the crash looking at some big 3 bedroom properties in Recoleta for less than $150k! There were some desperation then. Even in 2002 and 2003 and 2004 and 2005 there were great deals.

But as others mentioned, now with the Capital gains tax it doesn't really make sense. Another thing different back in 2001 and after was there was almost NO tourism so those that bought for the new found tourism industry had VERY high occupancy rates. Now, the market is totally flooded in Buenos Aires in ALL neighborhoods with all kinds of rentals so you're ROI is much lower as well as occupancy rates.

Still, if some miracle property prices went as low as 2001, I'd definitely load up again. Paying 20% capital gains tax is still worth it if you are getting a bargain basement price. There is capital gains tax in most first world countries so this isn't anything new for experienced investors. Most countries where I've bought and sold real estate have a capital gains tax.

The reason why people are so shocked by it is because it was always 0% before in Buenos Aires.