The Buenos Aires real estate market is showing signs of a strong trend that seems to be dominating the market: groupf of young investors buying up small units to use as income earners from rent. There has always been a strong buy-to-rent market in Buenos Aires as investors see it as a safe place to store capital as well as earn a monthly salary. However, in the recent years the trend has shifted its focus to studio and one-bedroom apartments with groups splitting the cost of a property.
Buying a studio or one-bedroom apartments in Buenos Aires costs between $47,000 and $95,000 US dollars, which is, for many, an unreachable figure. Now groups of young investors, usually friends or family, are putting their savings together to purchase a property as a group. The property will then be rented out to a tenant who will typically be a young professional, student or expat and the earnings will be split amongst the group.
Property is still the most trusted and reliable way to shelter savings and the current stormy economic climate is encouraging this attitude. Fewer and fewer Argentines feel comfortable leaving their savings in the hands of the banks and buying a property seems like a more attractive option. However, it is only by dividing the cost of a property that Argentineans can afford to save and earn in this way. As fewer people are able to attain the purchasing power to buy a property independently these groups of young investors, typically from the middle class, is occupying two thirds of the property market that is looking for smaller properties.
Property development companies have also noticed this trend and are producing more real estate to satisfy demand. More studio and one-bedroom apartments in Buenos Aires are being constructed plus, there are new credit schemes that favour groups of young investors. Some developers are asking for an initial payment of just $ 15,000 USD with the rest of the value paid in 30 instalments of $900 USD. These figures are much more accessible.
Buyers who invest in this way are doing so for the first time and are generally aged between 25 and 35. Developers are targeting this market carefully to ensure that the idea of investing for the first time is easy, friendly and trustworthy. These types of properties not only offer a potential, fixed monthly income but also a commercially viable property that will be easy to sell on should resale be required in the future. Nevertheless, apartments in Buenos Aires that cost under $100,000 USD are not found in the traditionally lucrative neighbourhoods. Instead, young investors working together to buy a property are buying in areas like Villa Crespo, Caballito, Almagro and Villa Urquiza.
The opening up of the Buenos Aires real estate means that more and more Argentines can access property and get a shot at investing whilst they are still in their twenties. We hope it’s a trend that continues: breathing life and capital into the Buenos Aires real estate market.
Buying a studio or one-bedroom apartments in Buenos Aires costs between $47,000 and $95,000 US dollars, which is, for many, an unreachable figure. Now groups of young investors, usually friends or family, are putting their savings together to purchase a property as a group. The property will then be rented out to a tenant who will typically be a young professional, student or expat and the earnings will be split amongst the group.
Property is still the most trusted and reliable way to shelter savings and the current stormy economic climate is encouraging this attitude. Fewer and fewer Argentines feel comfortable leaving their savings in the hands of the banks and buying a property seems like a more attractive option. However, it is only by dividing the cost of a property that Argentineans can afford to save and earn in this way. As fewer people are able to attain the purchasing power to buy a property independently these groups of young investors, typically from the middle class, is occupying two thirds of the property market that is looking for smaller properties.
Property development companies have also noticed this trend and are producing more real estate to satisfy demand. More studio and one-bedroom apartments in Buenos Aires are being constructed plus, there are new credit schemes that favour groups of young investors. Some developers are asking for an initial payment of just $ 15,000 USD with the rest of the value paid in 30 instalments of $900 USD. These figures are much more accessible.
Buyers who invest in this way are doing so for the first time and are generally aged between 25 and 35. Developers are targeting this market carefully to ensure that the idea of investing for the first time is easy, friendly and trustworthy. These types of properties not only offer a potential, fixed monthly income but also a commercially viable property that will be easy to sell on should resale be required in the future. Nevertheless, apartments in Buenos Aires that cost under $100,000 USD are not found in the traditionally lucrative neighbourhoods. Instead, young investors working together to buy a property are buying in areas like Villa Crespo, Caballito, Almagro and Villa Urquiza.
The opening up of the Buenos Aires real estate means that more and more Argentines can access property and get a shot at investing whilst they are still in their twenties. We hope it’s a trend that continues: breathing life and capital into the Buenos Aires real estate market.
Go back to Argentina Real Estate News:
Argentina Real Estate Investing: Property and rent the best option
Real Estate in Buenos Aires for Sale
BUENOS AIRES HABITAT a pioneer of the extended stay hotel-style apartment concept in Buenos Aires. Offers luxurious furnished apartments in Buenos Aires for temporary rent as an alternative to high-class hotels. Whether your visit is for a few days or a few months, for vacation or business trip, we will make your Buenos Aires experience memorable. All of our Buenos Aires apartments offer high-speed internet access, cable TV and housekeeping service.
