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Argentina real estate prepares for market revival

August 2015

Argentina is still struggling with a lack of hard currency and mortgages but with a change of government later this year; investors are positioning themselves for a real estate market revival they say is already taking root.

Real estate sales declined significantly in recent years due to stagflation and capital controls introduced by President Cristina Fernandez in 2011.

The presidential election in October is expected to bring in a more business-friendly government that will unravel some of Fernandez’s policies. That outlook, low property prices in the wake of the crisis and a slightly more stable economy this year have already driven a timid pickup in sales, surveys suggest.

Property sales, which have contracted 50% since controls were introduced, have inched up in recent months. Experts say Argentina’s real estate market is emerging from the longest crisis in its history.

Experts say the market seems to have bottomed out and is on the up. Sales in Buenos Aires have inched higher for three months and are up 2.1% so far in 2015, according to Buenos Aires Notary College.

Source: Reuters