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Rentals in CABA: The price slowdown is taking hold - Ambito
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Alquileres en CABA: se afianza la desaceleración de precios
“Los valores subieron muy por debajo de la inflación en los últimos meses", reconocen en el sector. En el último mes, los precios de los tres ambientes no subieron.
www.ambito.com
July 1st, 2024
"Prices have risen well below inflation in recent months," the sector admits. In the last month, prices for three-room apartments have not risen.
Properties. Today there is more supply of properties for rent but prices do not stop
The number of properties for rent in the City of Buenos Aires continues to rise, while prices are experiencing a sort of slowdown. “Prices have risen well below inflation in recent months and it has become easier to rent,” said Iván Ginevra, president of the Argentine Real Estate Chamber.
According to the latest report from the Centro de Estudios Scalabrini Ortiz (CESO), renting a studio apartment in CABA today costs an average of $330,000 per month, a figure that had a variation of 3.1% compared to May. Meanwhile, the interannual variation was 200%. Last month, the same apartment was rented for $320,000. Thus, the increase in June was lower than that of May, given that that month rents had a variation of 6.7% compared to April.
To live in a two-room apartment , on the other hand, you currently have to pay $400,000. This has increased by 5.3% monthly and 207.7% year-on-year.
The report also analyzes the prices of three-room apartments, which are currently asking $550,000 , a value that remained unchanged compared to the previous month, but increased 205.6% in the year-on-year comparison.
“Even though prices don't go down in an inflation-driven situation, what is happening is that the value of an apartment this year is lower than the value it would have had last year. This is due to the large supply of apartments available and because before, when the owners updated their prices each year, they protected themselves by increasing the initial amount,” explained Francisco Altgelt, from the real estate agency of the same name.
The minimum living wage, which was $234,315 in June, now covers 71.0% of rent. Meanwhile , expenses represent an average of 16.5% of the rental offer price.
Rent in dollars or pesos?
The report highlights that 32% of the rental offer is in dollars. It is noteworthy that while the current trend is to sign contracts in pesos, last month 30% of the offer was in dollars, so the choice of this currency has grown slightly.Most of the contracts that are being closed now are for two years, in pesos, and are updated by the CPI every three months or the ICL (Lease Contract Index) every four months.
Prices by neighborhood
The increases continue, although at a slower pace than in previous months. The neighborhoods with the highest prices are those in the northern corridor, which include Palermo, Belgrano, Recoleta, Coghlan, Colegiales and Núñez , with prices ranging from $465,000 to $500,000. Puerto Madero breaks this rule with demands of more than one million pesos per month.The most affordable neighborhoods are Lugano, Mataderos, Liniers, Floresta and Vélez Sarsfield , with prices ranging from $300,000 to $370,000.
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