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The rental offer in CABA increased by 200% after Milei's deregulatory decree: the most sought-after neighborhoods - Infobae
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www.infobae.com
July 24, 2024
An analysis by the Statistical Observatory of the Buenos Aires Real Estate Association detailed that 95% of the offer is apartments. The dynamics of buying and selling
By Jose Luis Cieri
The rental offer continues to expand in CABA, there are more options for tenants to access a contract (Illustrative Image Infobae)
The rental housing offer in the city of Buenos Aires registered a notable increase of 195.23% since the Government's DNU came into effect on December 29. According to the Statistical Observatory of the Real Estate Market of the Buenos Aires Real Estate Association (CI), 95.36% of this offer corresponds to apartments.
This significant increase shows a new dynamic in the Buenos Aires real estate market, affecting both owners and tenants.
The distribution of the offer by neighborhoods revealed that Palermo, Belgrano, Recoleta, Barrio Norte, Caballito and Puerto Madero are positioned as the most sought after, concentrating 60.21% of the total average offer published on the CI's Cababrop portal.
“Palermo stands out as the neighborhood with the highest supply, experiencing a growth of 7.10% in the last month when comparing June with May. In general, the rental supply in CABA grew by 1.63% in the last month, reflecting an upward trend in the availability of rental housing,” Miguel Chej Muse , coordinator of the Observatory, told Infobae.
The supply of properties for rent continues to rise, representing 13.94% of the market, according to the average of publications on different portals as of July 8, confirming the work.
Chej Muse added: “This growth indicates a rapid recovery process in the supply of properties for rent after the DNU, confirming that thousands of owners, without the Rental Law, returned to offering their properties on the market for rent.”
PHs are also in demand to avoid the high cost of expenses, which have risen by almost 88% so far this year.
The most commonly used conditions in housing rental contracts show a preference for agreements in pesos and for a period of 24 months. Both tenants and owners are mostly agreeing on two-year contracts, with quarterly adjustments based on the Consumer Price Index (CPI) or the Index for Lease Contracts (ICL).
Offer by neighborhood (Source: Statistical Observatory of the Real Estate Market of the Buenos Aires Real Estate Association)
Chej Muse explained that the main change was the frequency of adjustments, going from annual to quarterly. “This modification seeks to better adapt to inflation and offer greater stability to both parties,” he said.
Chej Muse commented that some contracts are already showing declines in nominal terms and are moving towards stability. “The expectation for the near future is that this trend will continue, as long as inflation does not decrease from current figures and the purchasing power of wages does not recover in real terms,” he said.
Source: Statistical Observatory of the Real Estate Market of the Buenos Aires Real Estate Association
Currently, the number of counteroffers from tenants is increasing, and more of them are being accepted by landlords. Marta Liotto , former president of the Buenos Aires Real Estate Association, said that “this dynamic reflects greater flexibility in the market and an adjustment to current economic conditions.”
Although the costs are not affordable, since accessing a new contract requires more than $1,500,000 for a three-room apartment with a monthly rent of $500,000, the sector maintains that people make the effort to pay for their home.
“We have noticed that tenants are now able to find a property, something that did not happen until the end of the year, when it was almost impossible and to find an apartment you had to start searching four months before the end of the contract, because the chances were slim. This has changed since the DNU and the prices, after the sharp increase in January and February, have now decreased,” added Liotto.
Factors such as access to transportation, dining areas, green spaces, plazas, shopping centers, security, medical centers, schools and universities are the main drivers of demand in these neighborhoods.
Proximity to Rivadavia Park: Caballito leads the preferences for acquiring properties
Liotto stressed that “the combination of services and quality of life offered by these neighborhoods makes them highly attractive for those looking to invest in properties.”
The number of apartment listings for sale has dropped dramatically in recent months , with 65,402 units available on different real estate portals. In the last 90 days, the supply of apartments for sale decreased by 5.05%, and since October 2022, the cumulative drop is 41.84%, which is equivalent to 47,049 fewer units.
This decrease in supply led to the stabilization of the market. Sales periods are more reasonable and prices have begun to recover slightly, said Chej Muse. “The lower supply has benefited both sellers and buyers, allowing for faster transactions and fairer prices. In addition, there have been more enquiries since mortgage loans were launched and little by little the first transactions are beginning to take place,” he concluded.
www.buysellba.com
Source:
La oferta de alquileres en CABA aumentó 200% luego del DNU desregulador de Milei: los barrios más buscados
Un análisis del Observatorio Estadístico del Colegio Inmobiliario porteño detalló que el 95% de la oferta son departamentos. La dinámica de la compra-venta
www.infobae.com
July 24, 2024
An analysis by the Statistical Observatory of the Buenos Aires Real Estate Association detailed that 95% of the offer is apartments. The dynamics of buying and selling
By Jose Luis Cieri
The rental offer continues to expand in CABA, there are more options for tenants to access a contract (Illustrative Image Infobae)
The rental housing offer in the city of Buenos Aires registered a notable increase of 195.23% since the Government's DNU came into effect on December 29. According to the Statistical Observatory of the Real Estate Market of the Buenos Aires Real Estate Association (CI), 95.36% of this offer corresponds to apartments.
This significant increase shows a new dynamic in the Buenos Aires real estate market, affecting both owners and tenants.
The distribution of the offer by neighborhoods revealed that Palermo, Belgrano, Recoleta, Barrio Norte, Caballito and Puerto Madero are positioned as the most sought after, concentrating 60.21% of the total average offer published on the CI's Cababrop portal.
“Palermo stands out as the neighborhood with the highest supply, experiencing a growth of 7.10% in the last month when comparing June with May. In general, the rental supply in CABA grew by 1.63% in the last month, reflecting an upward trend in the availability of rental housing,” Miguel Chej Muse , coordinator of the Observatory, told Infobae.
The supply of properties for rent continues to rise, representing 13.94% of the market, according to the average of publications on different portals as of July 8, confirming the work.
Chej Muse added: “This growth indicates a rapid recovery process in the supply of properties for rent after the DNU, confirming that thousands of owners, without the Rental Law, returned to offering their properties on the market for rent.”
PHs are also in demand to avoid the high cost of expenses, which have risen by almost 88% so far this year.
The most commonly used conditions in housing rental contracts show a preference for agreements in pesos and for a period of 24 months. Both tenants and owners are mostly agreeing on two-year contracts, with quarterly adjustments based on the Consumer Price Index (CPI) or the Index for Lease Contracts (ICL).
Offer by neighborhood (Source: Statistical Observatory of the Real Estate Market of the Buenos Aires Real Estate Association)
Chej Muse explained that the main change was the frequency of adjustments, going from annual to quarterly. “This modification seeks to better adapt to inflation and offer greater stability to both parties,” he said.
Evolution of values
In recent months, there has been a real decline in the value of housing rents. From January to June 2024, the average reduction was 39.8 percent.Chej Muse commented that some contracts are already showing declines in nominal terms and are moving towards stability. “The expectation for the near future is that this trend will continue, as long as inflation does not decrease from current figures and the purchasing power of wages does not recover in real terms,” he said.
Source: Statistical Observatory of the Real Estate Market of the Buenos Aires Real Estate Association
Currently, the number of counteroffers from tenants is increasing, and more of them are being accepted by landlords. Marta Liotto , former president of the Buenos Aires Real Estate Association, said that “this dynamic reflects greater flexibility in the market and an adjustment to current economic conditions.”
Although the costs are not affordable, since accessing a new contract requires more than $1,500,000 for a three-room apartment with a monthly rent of $500,000, the sector maintains that people make the effort to pay for their home.
“We have noticed that tenants are now able to find a property, something that did not happen until the end of the year, when it was almost impossible and to find an apartment you had to start searching four months before the end of the contract, because the chances were slim. This has changed since the DNU and the prices, after the sharp increase in January and February, have now decreased,” added Liotto.
Demand to buy
The neighborhoods of Caballito, Palermo, Belgrano, Villa Urquiza, Recoleta and Almagro lead the list of most sought-after areas for property purchases in CABA.Factors such as access to transportation, dining areas, green spaces, plazas, shopping centers, security, medical centers, schools and universities are the main drivers of demand in these neighborhoods.
Proximity to Rivadavia Park: Caballito leads the preferences for acquiring properties
Liotto stressed that “the combination of services and quality of life offered by these neighborhoods makes them highly attractive for those looking to invest in properties.”
The number of apartment listings for sale has dropped dramatically in recent months , with 65,402 units available on different real estate portals. In the last 90 days, the supply of apartments for sale decreased by 5.05%, and since October 2022, the cumulative drop is 41.84%, which is equivalent to 47,049 fewer units.
This decrease in supply led to the stabilization of the market. Sales periods are more reasonable and prices have begun to recover slightly, said Chej Muse. “The lower supply has benefited both sellers and buyers, allowing for faster transactions and fairer prices. In addition, there have been more enquiries since mortgage loans were launched and little by little the first transactions are beginning to take place,” he concluded.
www.buysellba.com
