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In 5 neighborhoods, home sales prices rose by more than 7.9% annually: The factors behind this trend - Infobae
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En 5 barrios subieron los precios de venta de viviendas por encima del 7,9% anual: los factores detrás de esta tendencia
El análisis reveló una recuperación en los valores de los departamentos en distintas áreas de CABA y GBA tras años de descensos continuos. Qué sucede con el mercado de casas
www.infobae.com
May 9, 2024
The analysis revealed a recovery in the values of apartments in different areas of CABA and GBA after years of continuous declines. What is happening with the housing market
By José Luis Cieri
Avenida de los Incas and Tronador, in Villa Ortúzar, one of the neighborhoods where purchase and sale prices increased the most year-on-year
A private survey confirmed the beginning of a change of direction in the sale prices of apartments in the Buenos Aires Metropolitan Area (AMBA), which show an increase after five years of marked falls, during which they were reduced by almost 50% purchase and sale quotes. Five neighborhoods stand out for leading this rebound, registering year-on-year increases that exceed 7.9% in the last twelve months, thus challenging the previous negative outlook.
Within this trend there is a surprise that is Villa Ortúzar, in this layout the values of the apartments rose 18.4% year-on-year and average USD 2,314 per square meter for sale. This was confirmed by the work carried out by Mercado Libre and the University of San Andrés (UDESA).
Román Paikin , from San Román Properties, explained to Infobae the reasons for the attractiveness of this neighborhood, located in the northern corridor of CABA: “Its charm is due to its ability to attract young people who are not only looking for a place to live, but also a suitable space for teleworking, enjoying the varied gastronomic offer and taking advantage of its proximity to walk, also highlighting its proximity to General Paz Avenue. It is close to the DoHo corridor (which makes up Donado and Holmberg Avenues, which they share with Villa Urquiza).
Villa Ortúzar stands out for its excellent connectivity, thanks to relevant avenues such as Álvarez Thomas, Chorroarín, De los Incas, Elcano and Triunvirato, which facilitates the mobility of its inhabitants.
Holmberg and Charlone, another corner of Villa Ortúzar
Then follow the most expensive in the city of Buenos Aires, Puerto Madero, with an appreciation of 15.2% year-on-year (the value of the m2 is USD 5,400), Colegiales with 14.8% (USD 2,681), Palermo, with 9 .7% (USD 3,071) and Villa Crespo with 7.9% (USD 2,283 per m2).
Martín Pinus , of Martín Pinus Real Estate, pointed out an increase in the price of properties during April, highlighting that this increase is less pronounced in older apartments and houses and more significant in properties purchased in a well, due to the increase in construction costs .
Source: Mercado Libre and the University of San Andrés (UDESA)
“The valuation of the square meter varies geographically, being different in neighborhoods such as Puerto Madero and Palermo, considered consolidated areas and preferred by buyers with high purchasing power, who show less sensitivity to economic and financial instability. Palermo, in particular, continues to be a highly desired area for its dynamism, gastronomic, cultural, and fashion offer, maintaining its prices even in crisis. Villa Ortúzar, Colegiales or Villa Crespo, on the other hand, are driven by their proximity to developed neighborhoods such as Palermo or Belgrano, indirectly benefiting from the attractiveness of these areas,” Pinus noted.
Scenery
During the first four months of the year, the real estate market experienced signs of recovery, evidenced by the increase in inquiries, deeds and prices. Although we cannot yet speak of a boom, it seems that the recessionary phase is behind us, and a greater reactivation is anticipated if the economy continues to grow, inflation and the exchange rate stabilize, and the supply of mortgage loans improves .Pinus noted: “Currently, there is a notable preference for already built apartments over the purchase of properties in the pipeline, due to the increase in construction costs that tripled the values compared to the last quarter of 2020. This reflects a change in the buyers’ priorities given the economic circumstances.”
Homes in Puerto Madero continue to be the most expensive in the AMBA
Currently, the real estate market is showing signs of recovery, with a gradual increase in property prices. The owners, with few exceptions, remain firm on the prices of their properties, trying to close the sale as close as possible to the advertised price.
At home it doesn't take off
According to the report, distinguishing between Greater Buenos Aires (GBA) North, South and West and considering the interannual changes, there are falls in the price in dollars per m2 of houses of -23.0% in GBA North, of -14.3 % in GBA South, and -11.1% in GBA West.
Source: Mercado Libre and the University of San Andrés (UDESA)
While at the inter-monthly level the fall slowed down and on the contrary when comparing between March and last April the values rose slightly by 0.6% and in Vicente López with a price of USD 1,363 per m2 it is the municipality with the highest average values in the GBA.
Demand and outlook
In the current context, marked by the dynamics of the real estate market after the pandemic, a trend is observed that signals the return of demand in CABA, after a period where the search for homes predominated in the province.Neighborhoods such as Caballito, Belgrano and, to a certain extent, Núñez, along with the rest of the Northern corridor, are emerging as the most sought after within CABA. These neighborhoods, characterized by their family tradition and a growing revaluation driven by new real estate developments, stand out not only for their renewed image but also for maintaining competitive prices for both new and used units.
Source: Mercado Libre and the University of San Andrés (UDESA)
Caballito, in particular, is registering a boom in the construction of premium projects with larger units, especially in its northern sector, offering options similar to those found in other districts of the Northern corridor and revitalizing the neighborhood with superior quality housing alternatives. close to areas of interest such as the gastronomic center of Pedro Goyena. This phenomenon anticipates a possible expansion into neighboring neighborhoods, consolidating this trend of growth and revaluation.
“The purchase and sale of apartments is once again gaining prominence, and in some segments, given the rise in construction prices, there is a preference for used properties over well opportunities, or those in development. And mortgage loans will be vital to boost the real estate sector in general,” concluded Pinus.
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