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Properties: a developer “found the way” and finances apartments in pesos for 30 years - La Nacion Propiedades
Source:
www.lanacion.com.ar
July 05, 2024
A developer joins the wave of mortgage loans with a different proposal: he sells apartments in a pit, but with the possibility of paying them in installments of up to 30 years
By Maria Josefina Lanzi
Apartments: a developer proposes to acquire properties in the pit financed up to 30 years Gentleness
The real estate market is on fire due to the offer of mortgage loans that has shaken the sector in recent months and developers do not want to be left out of this bet. In this context, a developer is encouraged to finance the purchase of an apartment in a pit , paying it in installments over 30 years. How?
The issue is that, since a mortgage loan requires the property as collateral - which can be mortgaged and is ready to be registered - the lines offered by banks with financing for more than 20 years are generally intended for the purchase of used apartments .
Brand new units, unless they are ready to be registered, cannot be purchased with a mortgage loan, as can properties in the works. It should be noted that new apartments, from the time they are finished being built until they are registered, go through a process that takes between six months and a year in CABA, and a year and a half to two in the province.
In this context, the developer's proposal arises, which will allow the purchase of apartments in a well with credit: by putting down a down payment of 20 to 25%, the units can be acquired in installments of up to 30 years.
The units of these projects are updated monthly by the CAC index.Gentleness
Properties can be paid for in pesos, dollars, and even crypto . Unlike mortgage loans granted by banks, which are adjusted month by month by UVA, the apartments in these projects are updated monthly by the CAC index (established by the Chamber of Construction, which considers the increase in the cost of labor and materials) plus an annual nominal rate ranging from 7% , depending on the project, delivery time, and other characteristics. An interesting fact is that the initial savings that must be counted on, which is between 20% and 25% of the property depending on the unit and the project, can be paid in three parts, over a period of two years.
In this way, if we look at a specific example of the next 30 years and the units that the developer is selling, for example, in the project that is being built on Nahuel Huapi street at 5200 , a 35 m² studio apartment could be purchased with a down payment of US$29,000, paying initial installments of $700,000 (which are then updated by CAC). A 57 m² two-room apartment could also be purchased with a down payment of US$45,000 and monthly installments of $950,000.
While many banks require that applicants for credit have a 25% income-to-credit ratio, in this case this condition is not required; the developer only has the obligation to verify that the money comes from a clear income.
Apartments can be paid in pesos, dollars or crypto Gentleness
“No guarantee is required for the acquisition of the units in the pit, only the payment of the advance,” says Juan Manuel Tapiola, CEO of Spazios, the developer that will carry out the initiative.
The maximum repayment period is up to 30 years, although it can be less: “The buyer has the option of using our simulator to calculate possibilities and reduce the financing period. They can also pay the installments in advance if they wish, without any type of penalty and with discounts of up to 50%,” explains Tapiola.
One important fact is that there is the possibility of switching to a mortgage loan offered by a bank, if the interested party prefers. In this way, the loan is cancelled with the developer and the bank begins to repay it. “A mortgage is taken out on the apartment , we write the deed, you pay us off and you become indebted to the bank to which you request the loan,” explains Tapiola.
“The construction of the projects begins when they are secured (when all the money is obtained). That is why we carry out a ticket ad referendum , that is to say that the buyer signs a ticket, pays the advance and if three months later the developer is not able to secure the work, the money is reimbursed with interest,” Tapiola answers and adds: “We do not lay the first brick without being sure that we will be able to lay the last one.”
This can be done because it has several sources of financing: “we finish many works and those that we finish have financing, so the money that continues to come in from completed works is allocated to those that are in progress ,” explains the CEO of Spazios, the developer with 150,000 m² under construction that builds projects in the western area of Greater Buenos Aires and in CABA in the neighborhoods of Núñez, Belgrano, Villa Devoto and Caballito, among others.
The developer points out that they have several strategic partners who provide materials and labor. These are large allies who exchange their services or materials for units (they keep apartments that they can later sell for a higher value). “It's not that the work costs us less, but financially it is in a position so that people can enter into these plans and this can be achieved,” explains Tapiola.
Part of this developer's formula is that the money that continues to come in from completed apartments is allocated to those that are in progress. Gentleness
Finally, he points out that they have scale, which allows them to work with lower costs . In this regard, they explain that the developer has 180 people working, with an architectural studio and its own warehouse. They outsource very little and do almost everything in-house , which lowers costs. Today the developer has projects that add up to an investment for the next three years of more than US$150 million.
The apartments offered by the developer are located in the Western Corridor (Ramos Mejía, Ituzaingó and the Tres de Febrero district) and in the federal capital in Núñez, Villa Urquiza, Caballito, Belgrano and Devoto Spaces
There is also the possibility of paying a “bonus fee”, in which it is agreed to pay less money in the installments during the year, but pay a larger amount of money in the months in which the bonus is paid.
In the case of situations where the debtor has had an emergency and has the card at full capacity, he can ask to pay a lower fee for 12 months, until he gets comfortable. Once that year is up, the monthly payment will be a little higher, to compensate for what was not paid.
Finally, there is another option in which the unemployment clause can be activated: in that case, as long as notice is given, no instalment would be paid for six months. If it were to happen that there is no possibility of continuing to pay, the developer returns 65% of what the buyer invested . In any case, “we rarely activate this option, because we look for other alternatives first,” says Tapiola and exemplifies with the case of a person who is going to live abroad: “If you move to Spain and do not want to continue paying, with the money you have been paying up to that point, updated by CAC, you can accumulate a value that is enough to access a garage and you have an asset left, or stop paying for a three-room apartment and move to a two-room apartment, paying a lower instalment,” concludes the developer.
www.buysellba.com
Source:
Propiedades: un desarrollador “le encontró la vuelta” y financia departamentos en pesos a 30 años
Un desarrollador se suma a la ola de créditos hipotecarios con una propuesta distinta: vende departamentos en pozo, pero con la posibilidad de pagarlos en cuotas de hasta 30 años
www.lanacion.com.ar
July 05, 2024
A developer joins the wave of mortgage loans with a different proposal: he sells apartments in a pit, but with the possibility of paying them in installments of up to 30 years
By Maria Josefina Lanzi
Apartments: a developer proposes to acquire properties in the pit financed up to 30 years Gentleness
The real estate market is on fire due to the offer of mortgage loans that has shaken the sector in recent months and developers do not want to be left out of this bet. In this context, a developer is encouraged to finance the purchase of an apartment in a pit , paying it in installments over 30 years. How?
The issue is that, since a mortgage loan requires the property as collateral - which can be mortgaged and is ready to be registered - the lines offered by banks with financing for more than 20 years are generally intended for the purchase of used apartments .
Brand new units, unless they are ready to be registered, cannot be purchased with a mortgage loan, as can properties in the works. It should be noted that new apartments, from the time they are finished being built until they are registered, go through a process that takes between six months and a year in CABA, and a year and a half to two in the province.
In this context, the developer's proposal arises, which will allow the purchase of apartments in a well with credit: by putting down a down payment of 20 to 25%, the units can be acquired in installments of up to 30 years.
The units of these projects are updated monthly by the CAC index.Gentleness
Properties can be paid for in pesos, dollars, and even crypto . Unlike mortgage loans granted by banks, which are adjusted month by month by UVA, the apartments in these projects are updated monthly by the CAC index (established by the Chamber of Construction, which considers the increase in the cost of labor and materials) plus an annual nominal rate ranging from 7% , depending on the project, delivery time, and other characteristics. An interesting fact is that the initial savings that must be counted on, which is between 20% and 25% of the property depending on the unit and the project, can be paid in three parts, over a period of two years.
In this way, if we look at a specific example of the next 30 years and the units that the developer is selling, for example, in the project that is being built on Nahuel Huapi street at 5200 , a 35 m² studio apartment could be purchased with a down payment of US$29,000, paying initial installments of $700,000 (which are then updated by CAC). A 57 m² two-room apartment could also be purchased with a down payment of US$45,000 and monthly installments of $950,000.
While many banks require that applicants for credit have a 25% income-to-credit ratio, in this case this condition is not required; the developer only has the obligation to verify that the money comes from a clear income.
Apartments can be paid in pesos, dollars or crypto Gentleness
“No guarantee is required for the acquisition of the units in the pit, only the payment of the advance,” says Juan Manuel Tapiola, CEO of Spazios, the developer that will carry out the initiative.
The maximum repayment period is up to 30 years, although it can be less: “The buyer has the option of using our simulator to calculate possibilities and reduce the financing period. They can also pay the installments in advance if they wish, without any type of penalty and with discounts of up to 50%,” explains Tapiola.
One important fact is that there is the possibility of switching to a mortgage loan offered by a bank, if the interested party prefers. In this way, the loan is cancelled with the developer and the bank begins to repay it. “A mortgage is taken out on the apartment , we write the deed, you pay us off and you become indebted to the bank to which you request the loan,” explains Tapiola.
What is the developer's formula for offering loans for up to 30 years?
There is a latent question that arises in the face of this plan of installments paid from now on for 30 years: how to finish the works that are being sold, that do not yet exist, in a country where inflation is constant? Tapiola's formula for selling financed in a down payment consists of several variables.“The construction of the projects begins when they are secured (when all the money is obtained). That is why we carry out a ticket ad referendum , that is to say that the buyer signs a ticket, pays the advance and if three months later the developer is not able to secure the work, the money is reimbursed with interest,” Tapiola answers and adds: “We do not lay the first brick without being sure that we will be able to lay the last one.”
This can be done because it has several sources of financing: “we finish many works and those that we finish have financing, so the money that continues to come in from completed works is allocated to those that are in progress ,” explains the CEO of Spazios, the developer with 150,000 m² under construction that builds projects in the western area of Greater Buenos Aires and in CABA in the neighborhoods of Núñez, Belgrano, Villa Devoto and Caballito, among others.
The developer points out that they have several strategic partners who provide materials and labor. These are large allies who exchange their services or materials for units (they keep apartments that they can later sell for a higher value). “It's not that the work costs us less, but financially it is in a position so that people can enter into these plans and this can be achieved,” explains Tapiola.
Part of this developer's formula is that the money that continues to come in from completed apartments is allocated to those that are in progress. Gentleness
Finally, he points out that they have scale, which allows them to work with lower costs . In this regard, they explain that the developer has 180 people working, with an architectural studio and its own warehouse. They outsource very little and do almost everything in-house , which lowers costs. Today the developer has projects that add up to an investment for the next three years of more than US$150 million.
What are the installment plans?
Depending on the situation of each borrower, there are different payment plans available. For those who are renting a property to live in and are paying off another one in a Spazios project, they have the possibility of requesting a “rental fee ”: the amount that they pay month by month is less than what they would pay if it were divided over 30 years, but once the property is already in existence, they can move into it and stop paying rent on the other property, so the price of the fee for the finished apartment increases, to compensate for the lower value one that they were paying before.
The apartments offered by the developer are located in the Western Corridor (Ramos Mejía, Ituzaingó and the Tres de Febrero district) and in the federal capital in Núñez, Villa Urquiza, Caballito, Belgrano and Devoto Spaces
There is also the possibility of paying a “bonus fee”, in which it is agreed to pay less money in the installments during the year, but pay a larger amount of money in the months in which the bonus is paid.
In the case of situations where the debtor has had an emergency and has the card at full capacity, he can ask to pay a lower fee for 12 months, until he gets comfortable. Once that year is up, the monthly payment will be a little higher, to compensate for what was not paid.
Finally, there is another option in which the unemployment clause can be activated: in that case, as long as notice is given, no instalment would be paid for six months. If it were to happen that there is no possibility of continuing to pay, the developer returns 65% of what the buyer invested . In any case, “we rarely activate this option, because we look for other alternatives first,” says Tapiola and exemplifies with the case of a person who is going to live abroad: “If you move to Spain and do not want to continue paying, with the money you have been paying up to that point, updated by CAC, you can accumulate a value that is enough to access a garage and you have an asset left, or stop paying for a three-room apartment and move to a two-room apartment, paying a lower instalment,” concludes the developer.
www.buysellba.com
