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Property prices continue to rise: how much does a square meter cost and what type of apartments are most sought after in CABA - Infobae
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www.infobae.com
December 19, 2024
The Buenos Aires real estate market reflects a sustained recovery, with increases in the most sought-after properties and a narrowing gap between listing and final values
By Jose Luis Cieri
During the first months of 2024, this difference ranged between 3.16% and 6.89% in CABA (Illustrative Image Infobae)
A private report revealed that the average values per square meter for the purchase and sale of properties continue to rise. In November 2024, it increased compared to the previous month, standing at USD 2,028 per m2 (in October it had been USD 1,998).
Compared to the same month last year, the overall square meter of used apartment sales, of studio to 2 bedroom units in the city of Buenos Aires, appreciated by 15.3 percent.
When broken down by number of rooms, a closing price of USD 2,248 per m2 was recorded for studio apartments, while the closing value for 1 and 2 bedroom units was USD 2,086 and USD 1,916 per m2, respectively.
These increases reflect a sustained recovery after a period of uncertainty and appear to leave behind the worst of a real estate crisis that lasted for more than five years.
This was confirmed by a recent analysis carried out by the Re/Max Argentina network, the University of the Center for Macroeconomic Studies of Argentina (Ucema), together with Reporte Inmobiliario, which have developed a key tool for understanding the evolution of the real estate market in CABA: the so-called Real M2 Index .
A studio apartment started the year with an average value of USD 1,801, while in November it reached USD 2,028 per m2.
The asking price for a used studio apartment, according to Real Estate Report, recently reached an average of USD 67,500. At the high end, in terms of prices and amenities, a four-room apartment was listed at USD 150,000, while the valuations for two- and three-room apartments were USD 79,000 and USD 109,725, respectively.
The study also highlights a constant gap between published prices and actual sales prices. During the first months of 2024, this difference ranged between 3.16% and 6.89%, illustrating a disconnect between market expectations and final transaction figures.
Sebastián Sosa , president of Re/Max Argentina and Uruguay, told Infobae that “the main factors that drove this recovery include the slowdown in inflation, the stabilization of the dollar and the gradual return of mortgage loans. These elements created an environment of greater confidence for buyers and investors, and favored market activity.”
Furthermore, the expectations generated by the reactivation of mortgage loans , similar to what happened between 2016 and 2018, began to mobilize demand and, consequently, prices.
"This phenomenon allowed several people in need of purchasing to take advantage of the opportunity, increasing the pressure on values," Sosa added.
Hernán Perrone , a broker at Re/Max Parque, explained that “larger apartments, with four and five rooms, have also begun to gain prominence due to the expectation of more affordable mortgage loans, although their lower demand is due to higher costs.”
As for the areas, Palermo, Belgrano, Recoleta and Caballito registered the highest price increases, consolidating themselves as the most desired for their connectivity, infrastructure and quality of life.
On the other hand, neighborhoods such as Barracas, Boedo, Parque Patricios and Mataderos showed less dynamism, and maintained a more stable behavior in their closing values of operations.
Studio apartments are among the apartments that appreciated the most this year (Illustrative Image Infobae)
Sosa anticipated that “one-, two- and three-room apartments will maintain their importance, but larger properties could see an increase in demand, as long as financing conditions allow it.”
He also stressed that the return of mortgage lending could genuinely boost demand, particularly among the middle class.
With an ongoing recovery and encouraging prospects, the CABA real estate market is positioned as an attractive option for both investors and those looking to acquire a property for final use. “The next economic and financial decisions will be decisive in consolidating this trend in 2025,” Perrone concluded.
www.buysellba.com
Source:
Los precios de las propiedades siguen subiendo: cuánto cuesta el metro cuadrado y qué tipo de departamentos son los más buscados en CABA
El mercado inmobiliario porteño refleja una recuperación sostenida, con aumentos en las propiedades más demandadas y una brecha cada vez menor entre los valores de publicación y los finales
www.infobae.com
December 19, 2024
The Buenos Aires real estate market reflects a sustained recovery, with increases in the most sought-after properties and a narrowing gap between listing and final values
By Jose Luis Cieri
During the first months of 2024, this difference ranged between 3.16% and 6.89% in CABA (Illustrative Image Infobae)
A private report revealed that the average values per square meter for the purchase and sale of properties continue to rise. In November 2024, it increased compared to the previous month, standing at USD 2,028 per m2 (in October it had been USD 1,998).
Compared to the same month last year, the overall square meter of used apartment sales, of studio to 2 bedroom units in the city of Buenos Aires, appreciated by 15.3 percent.
When broken down by number of rooms, a closing price of USD 2,248 per m2 was recorded for studio apartments, while the closing value for 1 and 2 bedroom units was USD 2,086 and USD 1,916 per m2, respectively.
These increases reflect a sustained recovery after a period of uncertainty and appear to leave behind the worst of a real estate crisis that lasted for more than five years.
This was confirmed by a recent analysis carried out by the Re/Max Argentina network, the University of the Center for Macroeconomic Studies of Argentina (Ucema), together with Reporte Inmobiliario, which have developed a key tool for understanding the evolution of the real estate market in CABA: the so-called Real M2 Index .
Price variation depending on the type of property
The report confirmed that square meter prices fluctuated depending on the year and the number of bedrooms.A studio apartment started the year with an average value of USD 1,801, while in November it reached USD 2,028 per m2.
The asking price for a used studio apartment, according to Real Estate Report, recently reached an average of USD 67,500. At the high end, in terms of prices and amenities, a four-room apartment was listed at USD 150,000, while the valuations for two- and three-room apartments were USD 79,000 and USD 109,725, respectively.
The study also highlights a constant gap between published prices and actual sales prices. During the first months of 2024, this difference ranged between 3.16% and 6.89%, illustrating a disconnect between market expectations and final transaction figures.
Sebastián Sosa , president of Re/Max Argentina and Uruguay, told Infobae that “the main factors that drove this recovery include the slowdown in inflation, the stabilization of the dollar and the gradual return of mortgage loans. These elements created an environment of greater confidence for buyers and investors, and favored market activity.”
Furthermore, the expectations generated by the reactivation of mortgage loans , similar to what happened between 2016 and 2018, began to mobilize demand and, consequently, prices.
"This phenomenon allowed several people in need of purchasing to take advantage of the opportunity, increasing the pressure on values," Sosa added.
Most in demand and dynamic areas
One-, two- and three-room apartments led the demand during 2024. These units, with more affordable entry prices, were especially attractive for both end buyers and investors. In addition, the improvement in rents in dollars reinforced the interest in this segment for those seeking to generate rental income.Hernán Perrone , a broker at Re/Max Parque, explained that “larger apartments, with four and five rooms, have also begun to gain prominence due to the expectation of more affordable mortgage loans, although their lower demand is due to higher costs.”
As for the areas, Palermo, Belgrano, Recoleta and Caballito registered the highest price increases, consolidating themselves as the most desired for their connectivity, infrastructure and quality of life.
On the other hand, neighborhoods such as Barracas, Boedo, Parque Patricios and Mataderos showed less dynamism, and maintained a more stable behavior in their closing values of operations.
Outlook for 2025
Projections for 2025 indicate a continuation of the upward trend in prices, although at a moderate rate. Premium areas will continue to lead the increases, while less sought-after neighbourhoods could experience greater activity if economic stability policies and access to mortgage loans are consolidated.
Studio apartments are among the apartments that appreciated the most this year (Illustrative Image Infobae)
Sosa anticipated that “one-, two- and three-room apartments will maintain their importance, but larger properties could see an increase in demand, as long as financing conditions allow it.”
He also stressed that the return of mortgage lending could genuinely boost demand, particularly among the middle class.
Relevance of the report
The report highlights that the narrowing of the gap between published and actual values indicates a more stable and predictable market, which facilitates trading and stimulates activity.With an ongoing recovery and encouraging prospects, the CABA real estate market is positioned as an attractive option for both investors and those looking to acquire a property for final use. “The next economic and financial decisions will be decisive in consolidating this trend in 2025,” Perrone concluded.
www.buysellba.com
