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Real Estate News Proximity of elections generates opportunities for investors - Los Andes

BuySellBA

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Proximity of elections generates opportunities for investors - Los Andes

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October 08, 2023

The current state of the market shows prices regressed to figures from previous decades, presenting opportunities for those interested in investing in real estate.

Los Andes Editorial

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With the presidential elections around the corner, Argentina is experiencing uncertainty in its real estate market, leaving investors debating whether this is an opportune time to buy or sell.

“Without a doubt, this electoral climate has revealed attractive investment options, such as commercial real estate and temporary rentals to tourists, providing higher-than-expected rates of return because Argentina is cheap for tourists in foreign currency. Projects under construction by recognized companies also offer significant profits, depending on their progress and strategic location with top brand construction companies,” indicates Víctor Arlandi (Mat 7481), President of Maxre Central.

With the presidential elections around the corner, Argentina is experiencing uncertainty in its real estate market, leaving investors debating whether this is an opportune time to buy or sell.

“Without a doubt, this electoral climate has revealed attractive investment options, such as commercial real estate and temporary rentals to tourists, providing higher-than-expected rates of return because Argentina is cheap for tourists in foreign currency. Projects under construction by recognized companies also offer significant profits, depending on their progress and strategic location with top brand construction companies,” indicates Víctor Arlandi (Mat 7481), President of Maxre Central.

It should be noted that the electoral results could directly affect the policies and regulations of the sector, affecting interest rates and the inability to acquire mortgage loans that has affected the market for years.

“Today we are selling above the last two good years (2017, 2018) where there was a summer of sales since the mortgage loan was present. Yes, it is clear that whoever wins the elections, the panorama will bring certainties and the purchase held back by uncertainty will appear and raise certain prices of specific high-end market niches, not all properties will recover values due to the high supply of unsold properties. and those that will return to the sale withdrawn from the current sale increasing the supply. The idea is to sell first and not always follow declines, losing permanently without putting 'sexy' prices before those interested," says Arlandi.

Argentina, compared to other countries in the region, faces additional challenges such as economic instability, inflation, and foreign investment restrictions, factors that have strongly conditioned the real estate industry.

In the coming months, a combination of actors who take advantage of the current context and those who are cautious due to the political noise generated by the elections is expected. For those who are part of the sector, the key is to adopt flexible strategies and remain attentive to political and economic trends that may generate future changes. Additionally, the need for expert advice from licensed professionals and careful assessment of risks and opportunities during this election period is emphasized.


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