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Mortgage loans: how much would you pay in installments depending on the neighborhood where you buy the property - La Nacion Propiedades
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www.lanacion.com.ar
September 13, 2024
How much is the down payment, income required and amount the bank will lend for a studio apartment in Buenos Aires?
Daniel Karp
Alittle more than four months after the return of mortgage loans to Argentina , the real estate market began to show signs of recovery . After five years of almost non-existence of such loans, credit returned thanks to 21 banks , which generated a positive impact that surprised the sector .
The effects of the credits began to be reflected in the numbers of home purchase and sale deeds , with 225 mortgage deeds in July (the last data recorded), which implies a growth of 41.5% compared to the same month last year and 95.6% compared to the previous month of 2024. “A notable fact is that during July, a seasonally adjusted real growth in mortgage credit was recorded for the first time in six years,” the Central Bank stated verbatim in its latest monthly monetary report.
While the rebound in July was notable, August exceeded all expectations , becoming the month with the highest number of loans granted in 2024. According to data provided by specialist Federico González Rouco, who recently published his book entitled The Dream of Owning a Home , $67 billion in loans were given to individuals , that is, around 500 loans - taking as an average the square meter of a two-room apartment in the city of Buenos Aires: US$1,825/m² according to the latest data collected by Reporte Inmobiliario - three times as much as in July ($21 billion).
According to data provided by banks to which LA NACION was able to access, banks have already approved more than 15,000 mortgage loans, which are in the process of being registered.
“One of the reasons for this auspicious moment for the sector is that the initial mortgage payment in most locations in the country is very similar, or even in some cases lower, than the rent to be paid for the use of the home,” said José Rozados, founder of Reporte Inmobiliario , adding that “the comparable expense of rent for the purchase of the property appears to be a tangible and possible option for a significant number of inhabitants.”
Near Vicente Lopez Square, Recoleta. The real estate market is at a standstill and is unable to take off. The number of properties for sale is increasing every month and, in the midst of the second wave of coronavirus, with falling wages and lack of access to mortgage loans, very few transactions are being completed.Hernan Zenteno - The Nation/Hernan Zenteno
Almagro Square, one of the few green places in this neighborhood Archive
The choice between buying and renting depends not only on the initial value of the installments, but also on other factors such as: job stability, the initial amount needed (from 20% to 35%, depending on the bank) and the long-term projection (20 or 30 years) of what you want to acquire as a home.
www.buysllba.com
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Créditos hipotecarios: cuánto pagarías de cuota según el barrio donde compres la propiedad
Cuánto hay que pagar de cuota inicial, ingreso necesario y monto que presta el banco para una unidad de un dormitorio en la ciudad de Buenos Aires
www.lanacion.com.ar
September 13, 2024
How much is the down payment, income required and amount the bank will lend for a studio apartment in Buenos Aires?
Daniel Karp
Alittle more than four months after the return of mortgage loans to Argentina , the real estate market began to show signs of recovery . After five years of almost non-existence of such loans, credit returned thanks to 21 banks , which generated a positive impact that surprised the sector .
The effects of the credits began to be reflected in the numbers of home purchase and sale deeds , with 225 mortgage deeds in July (the last data recorded), which implies a growth of 41.5% compared to the same month last year and 95.6% compared to the previous month of 2024. “A notable fact is that during July, a seasonally adjusted real growth in mortgage credit was recorded for the first time in six years,” the Central Bank stated verbatim in its latest monthly monetary report.
While the rebound in July was notable, August exceeded all expectations , becoming the month with the highest number of loans granted in 2024. According to data provided by specialist Federico González Rouco, who recently published his book entitled The Dream of Owning a Home , $67 billion in loans were given to individuals , that is, around 500 loans - taking as an average the square meter of a two-room apartment in the city of Buenos Aires: US$1,825/m² according to the latest data collected by Reporte Inmobiliario - three times as much as in July ($21 billion).
According to data provided by banks to which LA NACION was able to access, banks have already approved more than 15,000 mortgage loans, which are in the process of being registered.
“One of the reasons for this auspicious moment for the sector is that the initial mortgage payment in most locations in the country is very similar, or even in some cases lower, than the rent to be paid for the use of the home,” said José Rozados, founder of Reporte Inmobiliario , adding that “the comparable expense of rent for the purchase of the property appears to be a tangible and possible option for a significant number of inhabitants.”
Near Vicente Lopez Square, Recoleta. The real estate market is at a standstill and is unable to take off. The number of properties for sale is increasing every month and, in the midst of the second wave of coronavirus, with falling wages and lack of access to mortgage loans, very few transactions are being completed.Hernan Zenteno - The Nation/Hernan Zenteno
What is the monthly payment and income required to purchase an apartment?
A survey by Reporte Inmobiliario offers a clear picture of how much a person must pay in installments and the income required to purchase a used 43 m² apartment in different neighborhoods of Buenos Aires. Below are the calculations made taking into account an average rate of 5.8% for 30 years and 75% of the value of the home financed by the bank :1) Palermo
- Price: US$2,427/m² (US$104,361)
- Amount to be borrowed from the bank: $100,969,268
- Initial payment: $592,440
- Required income: $2,369,760
- Advance payment (the remaining 25%): US$26,090
2) Recoleta
- Price: US$2371/m² (US$101,953)
- Amount to be borrowed from the bank: $98,639,528
- Initial payment: $578,770
- Required income: $2,315,080
- Advance payment (the remaining 25%): US$25,488
3) Belgrano
- Price: US$2247/m² (US$96,621)
- Amount to be borrowed from the bank: $93,480,818
- Initial payment: $548,502
- Required income: $2,194,008
- Advance payment (the remaining 25%): US$24,155
4) Villa Urquiza
- Price: US$2100/m² (US$90,300)
- Amount to be borrowed from the bank: $87,365,250
- Initial payment: $512,618
- Required income: $2,050,472
- Advance payment (the remaining 25%): US$22,575
5) Caballito
- Price: US$1890/m² (US$81,270)
- Amount to be borrowed from the bank: $78,628,725
- Initial payment: $461,356
- Required income: $1,845,424
- Advance (the remaining 25%): US$20,318
Almagro Square, one of the few green places in this neighborhood Archive
6) Almagro
- Price: US$1845/m² (US$79,335)
- Amount to be borrowed from the bank: $76,756,613
- Initial payment: $450,372
- Required income: $1,801,488
- Advance payment (the remaining 25%): US$19,834
7) Villa Crespo
- Price: US$1844/m² (US$79,292)
- Amount to be borrowed from the bank: $76,715,010
- Initial payment: $450,128
- Required income: $1,800,512
- Advance payment (the remaining 25%): US$19,823
8) Flores
- Price: US$1643/m² (US$70,649)
- Amount to be borrowed from the bank: $68,352,908
- Initial payment: $401,063
- Required income: $1,604,252
- Advance payment (the remaining 25%): US$17,662
9) Balvanera
- Price: US$1,344/m² (US$57,792)
- Amount to be borrowed from the bank: $55,913,760
- Initial payment: $328,076
- Required income: $1,312,304
- Advance payment (the remaining 25%): US$14,448
Pay the loan or continue with a rental?
These figures show that the cost of accessing housing through a mortgage loan varies significantly between neighborhoods , and that, in many cases, the mortgage payment can be similar to rent . In concrete numbers, an average rent for a used two-room unit in CABA, according to the values published by Reporte Inmobiliario, is the following :- Palermo: $525,455
- Recoleta: $548,180
- Belgrano: $620,000
- Villa Urquiza: $499,165
- Caballito: $445,715
- Almagro: $372,500
- Villa Crespo: $491,250
- Flores: $406,665
- Balvanera: $376,250
The choice between buying and renting depends not only on the initial value of the installments, but also on other factors such as: job stability, the initial amount needed (from 20% to 35%, depending on the bank) and the long-term projection (20 or 30 years) of what you want to acquire as a home.
www.buysllba.com
