NuWire: Why Foreign Investors Should Consider Real Estate in Argentina

Modern high-rise in the Buenos Aires neighborhood of Palermo Soho.

With the dollar’s continued slide and a lingering mistrust of financial institutions, where should foreign investors put their money in Argentina? Real estate says Yemisrach Kifle of NuWire Investor.

Unlike some parts of Central America where the boom and bust cycle closely mirrored the rise and fall arc of the U.S., Argentina’s property market posted more modest annual gains and avoided the wave of mass speculation and highly-leveraged deals.

One of the most popular real estate investment tiers in Buenos Aires is the $100,000-$150,000 range, says Kifle, and many such projects were featured at last week’s Salon del Mercado Inmobiliario.

Scott Mathis, Chairman at Algodon Luxury Properties offers this explanation: “The real estate market in Argentina has fared much better than the US or Europe over the last year, as almost all real estate transactions in Argentina are non-leveraged. Sales have stalled somewhat as buyers are waiting to see what happens around the globe but real estate prices have not been hit nearly as hard in Argentina.”

In summary, Kifle offers this conclusion:”The prospects of the Argentinean real estate sector seems to be bright. Given the current financial crisis and the sliding dollar, investors may also see real estate as a safer place to park their money.”

For more information about Buenos Aires investment opportunities, download the new issue of InvestBA Privada.