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Market recovery drives up square meter value: what to consider before buying a home - Infobae
Source:
www.infobae.com
February 02, 2025
Prices rose by up to 8% in much of the city. Differences between a used property and a brand new one
By Jose Luis Cieri
Prices per square meter in CABA vary between USD 1,600 and USD 4,000, depending on the area and the condition of the properties (Illustrative Image Infobae)
The real estate market showed signs of recovery after several years of falling prices and transaction volumes ( last December, 7,667 deeds were registered , the best performance in 7 years).
The sector experienced a rebound in activity after the fall in prices that extended until the end of 2023. In most neighborhoods, different portals and analyses, such as Cabaprop, Zonaprop and the Mercado Libre Inmuebles report together with the University of San Andrés, indicated that the purchase and sale values of apartments in general increased up to 8% year-on-year on average.
As reported by Century 21 Levi, the average value per square meter in the last quarter of 2024 was USD 1,700 in closing prices. However, depending on the area, “prices can vary significantly : for used homes, they range between USD 2,000 and USD 2,200 per square meter,” Brian Levi told Infobae .
In the new apartments, prices reflect a change associated with the increase and consolidation of the cost of construction, which ranges between USD 1,400 and USD 1,500 per square meter.
Levi added: “Today it is difficult to find values below USD 2,500 in the well, while in the most sought-after areas they can reach USD 4,000 as well as in the well.”
José Rozados , from Reporte Inmobiliario, stated that “the average closing price for used apartments with 1 to 3 bedrooms was USD 1,975 per m2, with prices focused between USD 1,600 and USD 2,600 depending on the neighborhood, except for Puerto Madero.”
The cost per m² varies depending on the location. In Puerto Madero, the youngest neighborhood in CABA, the values are the highest, with an average of USD 5,819 for used units and USD 6,697 for brand new ones. In contrast, the lowest prices are found in Villa Lugano and Villa Riachuelo, where used units do not break the USD 1,000 mark and brand new units barely exceed USD 1,550 per square meter.
An analysis by Reporte Inmobiliario together with Re/Max Argentina and the University of the Center for Macroeconomic Studies of Argentina (Ucema) revealed that 2024 closed with an accumulated annual increase of between 12% and 13%; compared to the previous year.
By unit type, the closing price was USD 2,248 per m2 for studio apartments, USD 2,086 for one-bedroom apartments and USD 1,916 for two-bedroom apartments.
According to Sebastián Cantero , CEO of TBSA Toro Brokers, areas such as Palermo, Belgrano, Villa Urquiza and Caballito stand out for their connectivity and quality of life, while emerging centres such as Villa Crespo and Colegiales represent options with enormous growth potential.
Areas such as Palermo, Belgrano, Villa Urquiza and Caballito stand out for their connectivity and quality of life, while emerging centers such as Villa Crespo and Colegiales represent options with enormous growth potential.
“Currently, the entire city in general is an opportunity due to its price,” said Rozados, who stressed that the situation remains attractive for investors.
Villa Urquiza, for example, has grown significantly thanks to the addition of new buildings, while Caballito remains a frequent choice due to its central location and accessibility by public transport.
“Residential neighborhoods like Villa Devoto maintain their charm thanks to their tranquility and low population density,” Cantero added.
Despite the general appreciation of the square meter, the supply of units remains high. According to Cantero, “it is estimated that there are around 137,000 properties for sale in the City of Buenos Aires.” This figure includes apartments (around 71,000), houses, PHs, offices and studios, among other buildings.
Factors such as rising construction costs, exchange rate stability and greater availability of mortgage loans impacted these figures, he explained.
As regards property appreciation, housing types also experience changes in their value .
José Rozados explained that “three bedroom apartments showed the greatest appreciation during the year, and achieved an increase of close to 10%, mainly due to the limited quality supply available compared to the rest of the options.”
On the other hand, according to Brian Levi, three-room units led the percentage growth with 19.67%, while studio apartments registered a year-on-year increase of 9.61%
One and two-bedroom units among the demand preferences (Illustrative Image Infobae)
“The largest number of units sold were two-room apartments, followed by three-room apartments,” added Levi, highlighting that these properties are the public’s favorites, especially due to the preference for functional apartments by end users such as investors who, once they acquire them, rent them out.
Rozados stressed that “the increase in value will depend, to a large extent, on the location of the property, and the neighborhoods with the highest historical demand will probably lead the growth.”
In addition, economic recovery, combined with incentive policies such as anti-money laundering and the elimination of certain taxes, are factors driving market recovery .
Investing in the real estate market requires analyzing various factors beyond the price. Rozados from Reporte Inmobiliario stressed that “everything depends on the purchase objective and the available capital. Without a doubt, the location is the main factor, along with the quality and state of maintenance of the building.”
Levi said it is also important to evaluate the services and amenities available, the connectivity, and the potential for property appreciation.
One segment that has gained interest among investors is small apartments. According to Levi, “1 and 2-room units are especially in demand, both by young professionals and students, making them ideal options for rental-oriented investments.”
Mortgage loan transactions are expected to triple by 2025, Infobae reported .
Chacarita is one of the neighborhoods that may experience a major expansion starting in 2025
Agustín Walger , director of Lepore Properties, said that the market reacted gradually. “At first, many buyers expected better banking conditions and greater supply. Over time, the improvement in rates, terms and requirements allowed more transactions to be completed.”
The same thing happened with money laundering, which raised expectations in the sector and allowed many sales to be closed in the last quarter of 2024.
“The outlook for 2025 is bullish,” said Walger, concluding that demand for new units is strong and that the growth of some neighborhoods, such as Núñez and Chacarita, driven by new developments and infrastructure improvements, will mark opportunities for those looking to invest in the real estate market.
www.buysellba.com
Source:
El repunte del mercado eleva el valor del metro cuadrado: qué considerar antes de comprar una vivienda
Los precios repuntaron hasta 8% en gran parte de la ciudad tras la recuperación del mercado inmobiliario. Diferencias entre una propiedad usada y una a estrenar.
www.infobae.com
February 02, 2025
Prices rose by up to 8% in much of the city. Differences between a used property and a brand new one
By Jose Luis Cieri
Prices per square meter in CABA vary between USD 1,600 and USD 4,000, depending on the area and the condition of the properties (Illustrative Image Infobae)
The real estate market showed signs of recovery after several years of falling prices and transaction volumes ( last December, 7,667 deeds were registered , the best performance in 7 years).
The sector experienced a rebound in activity after the fall in prices that extended until the end of 2023. In most neighborhoods, different portals and analyses, such as Cabaprop, Zonaprop and the Mercado Libre Inmuebles report together with the University of San Andrés, indicated that the purchase and sale values of apartments in general increased up to 8% year-on-year on average.
As reported by Century 21 Levi, the average value per square meter in the last quarter of 2024 was USD 1,700 in closing prices. However, depending on the area, “prices can vary significantly : for used homes, they range between USD 2,000 and USD 2,200 per square meter,” Brian Levi told Infobae .
In the new apartments, prices reflect a change associated with the increase and consolidation of the cost of construction, which ranges between USD 1,400 and USD 1,500 per square meter.
Levi added: “Today it is difficult to find values below USD 2,500 in the well, while in the most sought-after areas they can reach USD 4,000 as well as in the well.”
Fluctuations depending on the type of property
José Rozados , from Reporte Inmobiliario, stated that “the average closing price for used apartments with 1 to 3 bedrooms was USD 1,975 per m2, with prices focused between USD 1,600 and USD 2,600 depending on the neighborhood, except for Puerto Madero.”
The cost per m² varies depending on the location. In Puerto Madero, the youngest neighborhood in CABA, the values are the highest, with an average of USD 5,819 for used units and USD 6,697 for brand new ones. In contrast, the lowest prices are found in Villa Lugano and Villa Riachuelo, where used units do not break the USD 1,000 mark and brand new units barely exceed USD 1,550 per square meter.
An analysis by Reporte Inmobiliario together with Re/Max Argentina and the University of the Center for Macroeconomic Studies of Argentina (Ucema) revealed that 2024 closed with an accumulated annual increase of between 12% and 13%; compared to the previous year.
By unit type, the closing price was USD 2,248 per m2 for studio apartments, USD 2,086 for one-bedroom apartments and USD 1,916 for two-bedroom apartments.
Neighborhoods and investment opportunities
The most sought-after neighborhoods for property purchases are not limited to the traditionally more expensive areas.According to Sebastián Cantero , CEO of TBSA Toro Brokers, areas such as Palermo, Belgrano, Villa Urquiza and Caballito stand out for their connectivity and quality of life, while emerging centres such as Villa Crespo and Colegiales represent options with enormous growth potential.
Areas such as Palermo, Belgrano, Villa Urquiza and Caballito stand out for their connectivity and quality of life, while emerging centers such as Villa Crespo and Colegiales represent options with enormous growth potential.
“Currently, the entire city in general is an opportunity due to its price,” said Rozados, who stressed that the situation remains attractive for investors.
Villa Urquiza, for example, has grown significantly thanks to the addition of new buildings, while Caballito remains a frequent choice due to its central location and accessibility by public transport.
“Residential neighborhoods like Villa Devoto maintain their charm thanks to their tranquility and low population density,” Cantero added.
The offer in CABA
Despite the general appreciation of the square meter, the supply of units remains high. According to Cantero, “it is estimated that there are around 137,000 properties for sale in the City of Buenos Aires.” This figure includes apartments (around 71,000), houses, PHs, offices and studios, among other buildings.
Factors such as rising construction costs, exchange rate stability and greater availability of mortgage loans impacted these figures, he explained.
Variations in the appreciation of real estate
As regards property appreciation, housing types also experience changes in their value .
José Rozados explained that “three bedroom apartments showed the greatest appreciation during the year, and achieved an increase of close to 10%, mainly due to the limited quality supply available compared to the rest of the options.”
On the other hand, according to Brian Levi, three-room units led the percentage growth with 19.67%, while studio apartments registered a year-on-year increase of 9.61%
One and two-bedroom units among the demand preferences (Illustrative Image Infobae)
“The largest number of units sold were two-room apartments, followed by three-room apartments,” added Levi, highlighting that these properties are the public’s favorites, especially due to the preference for functional apartments by end users such as investors who, once they acquire them, rent them out.
What to expect in the coming months
Rozados stressed that “the increase in value will depend, to a large extent, on the location of the property, and the neighborhoods with the highest historical demand will probably lead the growth.”
In addition, economic recovery, combined with incentive policies such as anti-money laundering and the elimination of certain taxes, are factors driving market recovery .
Investing in the real estate market requires analyzing various factors beyond the price. Rozados from Reporte Inmobiliario stressed that “everything depends on the purchase objective and the available capital. Without a doubt, the location is the main factor, along with the quality and state of maintenance of the building.”
Levi said it is also important to evaluate the services and amenities available, the connectivity, and the potential for property appreciation.
One segment that has gained interest among investors is small apartments. According to Levi, “1 and 2-room units are especially in demand, both by young professionals and students, making them ideal options for rental-oriented investments.”
Mortgage loans in the spotlight
Mortgage loan transactions are expected to triple by 2025, Infobae reported .
Chacarita is one of the neighborhoods that may experience a major expansion starting in 2025
Agustín Walger , director of Lepore Properties, said that the market reacted gradually. “At first, many buyers expected better banking conditions and greater supply. Over time, the improvement in rates, terms and requirements allowed more transactions to be completed.”
The same thing happened with money laundering, which raised expectations in the sector and allowed many sales to be closed in the last quarter of 2024.
“The outlook for 2025 is bullish,” said Walger, concluding that demand for new units is strong and that the growth of some neighborhoods, such as Núñez and Chacarita, driven by new developments and infrastructure improvements, will mark opportunities for those looking to invest in the real estate market.
www.buysellba.com
