Where's the money at? Real estate market in Argentina

  • After eating plenty of leftovers from NYE, we went for a car drive in Zona Norte, watching the beautiful and nice homes in the luscious green between Avenida Centenario-Maipú-Santa Fe and the river, from Olivos - calle Gutierrez up to San Fernando - calle Del Arca. Small, medium and large homes, in different styles and built between the '50s and the 90's, street after street, endlessly... I had paper and pen with me and noted down 30+ names of real estate firms advertising they were selling properties. Today I sat down and tried to find some prices/specs of properties in that areas. To my big surprises, there is almost nothing for less than 300,000 USD. 8|

    And what you get for that money it's either very old or as almost no outdoor space, which is the whole point of living in Zona Norte.

    (It should also be taken into account, that there are about 10% costs associated with a sales, between the real estate agent commission, the notary commission, taxes etc.).

    Who are those people who could afford a half million dollars home in a country with the lowest salary of the region in USD dollars, no financing, and crappy economy, and an average of 3-4 kids per family?

    What job do they do:?::!:

    I know there are rich families who inherited fortunes and live on that even to this day, 3 or 4 generations later, but we are talking about kilometers and kilometers of very expensive properties. And the cars parked outside were ordinary cars by European standard (Peugeot, Citroen, Opel, Renault...)

    These properties are more expensive than in the States (I am thinking about Florida, which has a similar weather, so also big on outdoor space and pool) and definitely than in Italy, where at least for the same price you can get an individual home with a large garden surrounding the house on the 4 sides, but in a town.

  • Bricks and mortar have always been a wise investment and our house is probably worth double what we paid for it in 2011.

    That 10% moving cost is quite accurate, however if you knock out the agents and advertise with say, SoloDueños, there's quite a saving, especially since both the buyer and the seller pay agent fees.

    Location, location, location., as they say in the trade.

  • Never quite got my head around the way the housing market works here. The missus says in most cases it's the land you're paying for rather than the house. Although I imagine a lot depends on what the house is like.