BuySellBA
Administrator
Rental costs already average $1 million: All you have to pay when signing a new contract - Infobae
Source:
www.infobae.com
October 26, 2023
Renting a property in CABA and the province of Buenos Aires involves taking into account deposits, payment of stamps and commissions. These expenses increased by 125% since October 2022.
By José Luis Cieri
Getting a house first and facing the costs of renting later involve enormous efforts. Access to housing is not easy in Argentina (Illustrative image Infobae)
The initial costs for those who sign a rental contract in CABA and the province of Buenos Aires are around $1,000,000, reflecting an increase of 125% compared to September 2022.
The situation is becoming increasingly complicated, both for tenants and for families who do not have their own home. This problem is aggravated by the constant increase in prices, persistent inflation and the lack of offers available on the market. This is due in part to the refusal of owners to offer their properties for traditional rental, a trend that has occurred since the enactment of the Rental Law in 2020 and, more recently, after the reform that introduced the House coefficient adjustment method. Own for new agreements.
Additionally, for those who manage to secure a rental contract, the costs associated with this equation are added.
Daniel Bryn , Real Estate expert and creator of Monitor Inmobiliario, informed Infobae that “the problem lies not only in these values, which in themselves are high for a salaried person – the average salary of an administrator is around $318,000 – but that they are not “There is a rental offer.”
The way in which guarantees can be presented also influences these costs. If there are two guarantors with financial solvency, without the need to resort to surety insurance or private guarantee, no additional expenses are incurred. However, if you opt for surety insurance (which is equivalent to 5% of the contract value), this implies an additional outlay of $406,000. This is a one-time amount and some companies offer financing options.
Source: Real Estate Monitor and Invertire.com
The tenant in CABA does not pay a real estate commission and in the province of Buenos Aires they pay 2%, which adds up to about 162,581.76 pesos.
While the owner pays the following:
Expenses for fees in CABA of 4.15% of the total contract of $225,000 per month: you must pay $337,357.1.
Fee expenses in the Province: they are 2% of the total contract value, about $162,581.76.
“Whether it is a family or business move, the first priority is to select a company that offers a high level of security and reliability. It is essential that they have their own personnel and fleet of trucks, as well as current insurance for both their personnel and the contents to be moved. In addition, it is important that they provide adequate materials for the care of belongings and guarantee the constant protection of furniture,” Jorgelina García , managing partner of the moving company Verga Hermanos, advised Infobae.
The objects being moved must be packed well so that the operation is successful in every sense (Photo: Pexels)
The differential with Greater Buenos Aires, naturally, is subject to the distance in kilometers, but it is important to note that these prices do not usually vary significantly within a range of 30 km, as an example.
“This led us to think about the Alquilar+fácil program. A credit that adjusts by Salary Variation Coefficient. Today we lend through these IVC credits until 1962 UVAS, which today are equivalent to approximately $735,000. An increase to this amount will be released shortly. We will take it to 3,000 UVAS (approximately $1,120,000) to accompany inflation and the increase in rental prices,” Carlos Pedrini , president of the IVC, told Infobae.
In addition, consultations through the Advice + Easy program are frequent. These credits, together with those granted within the framework of the Refurbishment + Easy and Garantía + Facil programs, have benefited approximately 6,000 families who need support to access the formal rental market.
Pedrini noted that in some cases, “families are unable to find available housing for rent, reflecting a decrease in the supply of rental housing.”
Obtaining traditional rental housing has become increasingly challenging, posing a dilemma for renters. They often opt for extensions to remain in their current homes until they find an alternative.
There are several steps and recommendations to follow in order to sign a rental contract for a home (Photo: Getty)
Mariano García Malbrán , president of the Chamber of Real Estate Services Companies, recommended tenants consider renewing their contract, “even if this implies a significant increase in the rental value. This is because, when looking for a new home on the market, it is increasingly difficult to find availability. If you must leave your rented accommodation, it is advisable that you begin your search at least six months in advance before the expiration date of the contract.”
If someone is planning to move, it is essential to consider proximity to essential services, such as public transportation, as well as assess the safety of the area.
Bryn expanded: “It is important to inspect the general condition of the property. This involves checking for possible humidity problems, evaluating the condition of the furniture if the home is furnished, and ensuring that the included appliances, such as the gas stove, water heaters, and air conditioners, are in proper working order. In addition, it is advisable to confirm that the published expenses coincide with the real ones and review the delivery conditions of the property detailed in the contract."
Source:
Los costos de alquilar ya promedian $1 millón: todo lo que hay que pagar a la hora de firmar un nuevo contrato
El alquiler de una propiedad en CABA y la provincia de Buenos Aires implica tener en cuenta depósitos, pago de sellos y comisiones. Estos gastos aumentaron un 125% desde octubre de 2022
www.infobae.com
October 26, 2023
Renting a property in CABA and the province of Buenos Aires involves taking into account deposits, payment of stamps and commissions. These expenses increased by 125% since October 2022.
By José Luis Cieri
Getting a house first and facing the costs of renting later involve enormous efforts. Access to housing is not easy in Argentina (Illustrative image Infobae)
The initial costs for those who sign a rental contract in CABA and the province of Buenos Aires are around $1,000,000, reflecting an increase of 125% compared to September 2022.
The situation is becoming increasingly complicated, both for tenants and for families who do not have their own home. This problem is aggravated by the constant increase in prices, persistent inflation and the lack of offers available on the market. This is due in part to the refusal of owners to offer their properties for traditional rental, a trend that has occurred since the enactment of the Rental Law in 2020 and, more recently, after the reform that introduced the House coefficient adjustment method. Own for new agreements.
Additionally, for those who manage to secure a rental contract, the costs associated with this equation are added.
Daniel Bryn , Real Estate expert and creator of Monitor Inmobiliario, informed Infobae that “the problem lies not only in these values, which in themselves are high for a salaried person – the average salary of an administrator is around $318,000 – but that they are not “There is a rental offer.”
To illustrate this point, just look at the situation in Villa Urquiza, a neighborhood with almost 100,000 inhabitants and about 55,000 residential properties. Currently, there are fewer than 140 properties available for rent there and many of those listings are not in national currency.
What is needed
According to the current law, which establishes a three-year contract (maintained after a recent reform in Congress), with semiannual adjustments based on the Casa Propia coefficient in CABA, tenants or families face considerable initial costs. For a 2-room apartment that today costs about $225,000 per month, a deposit for that amount and another corresponding to the first month's rent will be required.The way in which guarantees can be presented also influences these costs. If there are two guarantors with financial solvency, without the need to resort to surety insurance or private guarantee, no additional expenses are incurred. However, if you opt for surety insurance (which is equivalent to 5% of the contract value), this implies an additional outlay of $406,000. This is a one-time amount and some companies offer financing options.
Source: Real Estate Monitor and Invertire.com
The tenant in CABA does not pay a real estate commission and in the province of Buenos Aires they pay 2%, which adds up to about 162,581.76 pesos.
While the owner pays the following:
Expenses for fees in CABA of 4.15% of the total contract of $225,000 per month: you must pay $337,357.1.
Fee expenses in the Province: they are 2% of the total contract value, about $162,581.76.
Moving expenses
Currently, the cost of moving a 1-bedroom apartment is around $300,000, and for a 2-bedroom apartment, approximately $400,000. These values cover a complete service that includes truck, personnel, packaging of furniture with blankets, insurance, boxes to store the contents, closets for hangers, disassembly and assembly of furniture, among other aspects.“Whether it is a family or business move, the first priority is to select a company that offers a high level of security and reliability. It is essential that they have their own personnel and fleet of trucks, as well as current insurance for both their personnel and the contents to be moved. In addition, it is important that they provide adequate materials for the care of belongings and guarantee the constant protection of furniture,” Jorgelina García , managing partner of the moving company Verga Hermanos, advised Infobae.
The objects being moved must be packed well so that the operation is successful in every sense (Photo: Pexels)
The differential with Greater Buenos Aires, naturally, is subject to the distance in kilometers, but it is important to note that these prices do not usually vary significantly within a range of 30 km, as an example.
Buenos Aires relief
According to the City Housing Institute (IVC) of Buenos Aires, the initial expenses to rent a home in the formal market, which include security insurance, deposit, first month's rent and moving costs, are equivalent to 3 months' rent.“This led us to think about the Alquilar+fácil program. A credit that adjusts by Salary Variation Coefficient. Today we lend through these IVC credits until 1962 UVAS, which today are equivalent to approximately $735,000. An increase to this amount will be released shortly. We will take it to 3,000 UVAS (approximately $1,120,000) to accompany inflation and the increase in rental prices,” Carlos Pedrini , president of the IVC, told Infobae.
In addition, consultations through the Advice + Easy program are frequent. These credits, together with those granted within the framework of the Refurbishment + Easy and Garantía + Facil programs, have benefited approximately 6,000 families who need support to access the formal rental market.
Pedrini noted that in some cases, “families are unable to find available housing for rent, reflecting a decrease in the supply of rental housing.”
Other tips
Clarity in the wording of the rental contract is essential. This must precisely detail aspects such as the amount, the term, the responsibilities of both parties and the notification methods for various situations, including the validity of email as a means of communication.Obtaining traditional rental housing has become increasingly challenging, posing a dilemma for renters. They often opt for extensions to remain in their current homes until they find an alternative.
There are several steps and recommendations to follow in order to sign a rental contract for a home (Photo: Getty)
Mariano García Malbrán , president of the Chamber of Real Estate Services Companies, recommended tenants consider renewing their contract, “even if this implies a significant increase in the rental value. This is because, when looking for a new home on the market, it is increasingly difficult to find availability. If you must leave your rented accommodation, it is advisable that you begin your search at least six months in advance before the expiration date of the contract.”
If someone is planning to move, it is essential to consider proximity to essential services, such as public transportation, as well as assess the safety of the area.
Bryn expanded: “It is important to inspect the general condition of the property. This involves checking for possible humidity problems, evaluating the condition of the furniture if the home is furnished, and ensuring that the included appliances, such as the gas stove, water heaters, and air conditioners, are in proper working order. In addition, it is advisable to confirm that the published expenses coincide with the real ones and review the delivery conditions of the property detailed in the contract."
