BuySellBA
Administrator
Rentals and total uncertainty: Most landlords and tenants don't know what to do - Infobae
Source:
Alquileres e incertidumbre total: la mayoría de los dueños y los inquilinos no saben qué hacer
Mientras las dificultades por la escasez de oferta y los altos costos siguen signando el mercado, los puntos de vista sobre la situación son bastante diferentes entre quienes tienen y quienes no tienen vivienda propia
www.infobae.com
January 9, 2024
While the difficulties due to a lack of supply and high costs continue to mark the market, the points of view on the situation are very different between those who have and those who do not have their own home.
By José Luis Cieri
Renting a home in times of inflation added to the comings and goings of reforms in the legislation that governs contracts generates uncertainty and diverse opinions (Illustrative Image Infobae)
The repeal of the Rental Law through the Decree of Necessity and Urgency (DNU) promoted by President Javier Milei , continues to generate divided opinions between owners and tenants, in the midst of a real estate crisis characterized by the difficulty of accessing housing due to the shortage of available units and the high access costs.
Along with this situation in the city of Buenos Aires, it was confirmed that rents increased by 260% year-on-year .
Property owners argue that the option of agreements between parties, which operated until 2020, and the return to the mechanism of the Civil and Commercial Code, are useful ways to alleviate the pressure and are in the process of evaluation to determine the possibility of offering again their properties for residential rental.
Bárbara Durán, from the United Owners group of Argentina, stressed the importance of defending private property and legal security. Rapid judicial intervention to recover the property and put it back up for rent, along with the efficient execution of guarantees for collection, are essential elements, she said. According to the entity, direct agreements between the parties have not historically presented problems. “We recognize mutual dependence and are committed to taking care of good tenants without the need for intermediaries or representatives,” Durán added.
Divergent
Instead, the tenants expressed rejection. Meanwhile, yesterday it was learned that the judge of the federal administrative litigation jurisdiction, Enrique Lavié Pico , enabled the judicial fair to address the proposal for nullity of the DNU presented by the Civil Association of Tenants Grouped.Other groups, such as the Civil Foundation Observatory of the Right to the City and the Observatory of the Right to the City and the Federal Tenant and Non-Owner Community, presented similar appeals for protection against the DNU.
“The rent problem, linked to the context of the economic crisis, requires state intervention due to the projected inflation of 30% monthly. Although regulatory modifications are not sufficient to resolve the situation, State intervention is relevant to consider housing as a human right and guarantee access, preventing the market from becoming the main regulator of economic and social relations in this area. ”, emphasized Jonatan Baldiviezo , from the Right to the City Observatory.
What questions do tenants raise?
Frequently asked questions by tenants revolve around possible contractual violations by real estate agencies or owners. They are faced with requests for new contracts when they still have one or two years left, as well as proposals to increase rents that are still in force.Diego Fernández Camillo, from the National Tenant Movement, said that “consultations are generally based on contractual breaches by real estate companies - or the owner -. Either because they ask them that they have to make a new contract, when they still have one or two years left in the property, or because they ask them if they are willing to increase the rent payment because it was low. We advise you to maintain the best possible relationship with the real estate agency, and to try to negotiate as best as possible. Where together with the tenant we understand that the best possible thing is that they do not take more than 35% of their salary; something that does not happen today.”
Accessing a rental contract in pesos is complex. The difficulty in accessing rentals has persisted in Argentina for more than two years (Photo: Getty)
Another concern focuses on the modification of the Lease Contract Index (ICL) in October. The proposal is that the index is linked to salary and is updated semiannually. In addition, the reduction of tax burdens for small landowners is advocated, eventually being reflected in prices.
Although a greater supply is expected, tenants doubt its accessibility due to the high prices and conditions imposed in the contracts.
Desperate negotiation
“The negotiation becomes desperate, since housing is perceived as a basic element to build in society, while for the other party, it is usually simply additional income, especially when it is not small owners,” commented Fernández Camillo.In Córdoba, a two-room apartment already reaches $300,000 per month, something similar happens in Rosario and Mendoza capital.
Maximiliano Vittar Lucero , from the Córdoba Tenants Association and the National Movement, pointed out that the best action for those without their own home is to organize. According to him, “the DNU is unconstitutional by repealing the law and making undue changes to the Civil and Commercial Code. Our first objective must be to achieve a general rejection of the DNU by the families who rent, establishing more favorable conditions.”
Contracts should not be signed in dollars or adjustments accepted that are not aligned with the salary increase dynamics of workers seeking to rent.
“In addition, it is unfeasible to assume the high costs associated with the formalization of new contracts (in the city of Buenos Aires and the Province of Buenos Aires they exceed one million pesos ). The discussion of conditions becomes difficult, especially in relation to real estate commissions and stamp taxes, which fall on the tenants. It is necessary to address these issues in an agenda that places housing as the central protagonist,” concluded Vittar Lucero.
www.buysellba.com
