The real estate market in the city of Buenos Aires recorded a sharp decline in November after several months of growth. According to data from the Chamber of Notaries, deeds of purchase and sale fell by more than 25% compared to October and represented a decrease of 8.8% year-on-year, a decrease that was surprising given its magnitude.
“The decrease compared to the previous month is just over 25% in the number of fonts“, he explained Mariana Massone in dialogue with Channel E. As already argued, the main factor was the climate of uncertainty created by the electoral process. “We understand that this is largely due to the overall electoral process in the country.“, he explained.
The Secretary of the Chamber of Notaries reminded that real estate transactions do not occur immediately. “Buying and selling is a process that is developed and does not necessarily occur a few days in advance.“, he claimed, emphasizing that the impact is greater when it comes to mortgage loans.
Mortgage loans and market slowdown
Another crucial element was limiting access to finance. “The reduced number of people having access to mortgage credit means that the rotation of the real estate market is slowing somewhat.“, he emphasized Massone. Many operations rely on pre-sales, which, if not completed, affect the entire chain.
He also explained that buyer behavior usually changes as the year ends. “The end of the year usually has a different rhythm: you think more about planning for the next year than about closing the deal“, he indicated.
As for the value, the report revealed that the average price of the deeds was about $115,000, equivalent to nearly 169 million pesos. “This suggests that the urban area is predominantly made up of small apartments.“, he clarified Massoneusually two or three bedroom apartments, depending on the area.
Expectations for 2025 and tax relief
Despite the specific decline, the medium-term outlook is positive. “We are closing out a year with a large number of deeds and it will likely be the second best year in the mortgage business on record“, he emphasized.
Looking ahead to 2025, macroeconomic stability and credit policy will be key. “The real estate market depends heavily on how banks’ credit policies and financing of business operations develop.“He explained, recalling that the operations in the
The city continues to be measured in dollars.
Massone He also appreciated the measures taken by the Buenos Aires government. “It is with great satisfaction that we welcome the reduction in the stamp duty rate and the extension of the exemption for single-family homes“, he explained, emphasizing that the costs associated with the purchase have a direct impact on the purchase decision.
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