A Wealthy City
Buenos Aires is one of the wealthiest cities in the world ranked the 13th richest, according to PricewaterhouseCoopers. It is South America’s 2nd largest city and the world’s 10th most populated city.
Renowned as the “Paris of South America”, Buenos Aires and its surrounding area is home to 46% of Argentina’s total population and the majority of the country’s wealth.
Booming Real Estate Market
The property market in Buenos Aires is extremely buoyant. The number of real estate transactions in the province of Buenos Aires increased by 13% in March 2012 from March 2011. Property prices in Buenos Aires grew by an average rate of 10.2% between January 2010 and January 2011. (source: Invest BA – bastay.com) Rental yields for property in Buenos Aires are also high ranging between approximately 6.5% and just under 9%. (source: Global Property Guide) Strong growth in the property market is only expected to continue.
Property for a Secure Future
Argentineans like to buy property as they see it as a safe investment option that has continued to increase in value even in economic crisis, and is therefore their preferred investment option over keeping money in a savings bank account.
International Investors
Whilst Argentinean residents are the primary purchasers of property in and around Buenos Aires, increasingly, international buyers are looking to Argentina’s real estate for investment. Approximately 30% of property bought in Buenos Aires are by overseas purchasers from primarily the US, France and Spain. (source: EDU Global Knowledge – educglobal.com)
Gated Communities
Gated communities have grown significantly over the last 15 years particularly within a 1.5 hour radius of Buenos Aires. Their popularity has grown with Argentinean families, providing them with a sense of status, community and security. During 2010, sales of property in premium gated communities in Buenos Aires increased by 5%-10% whilst prices rose by an impressive 10%-30%, according to La Nacion, Argentina’s largest newspaper.