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Is it better to rent or buy in 2026? The calculation you need to make - La Nacion Propiedades
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¿Conviene alquilar o comprar en 2026? La cuenta que tenés que hacer
En un mercado inmobiliario que cambia constantemente, saber cuál es la operación que más conviene en el contexto actual, es clave
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April 17, 2026
In a constantly changing real estate market, knowing which transaction is most advantageous in the current context is key.
Buying a home is one of the most important financial decisions in your life.GBJSTOCK - Shutterstock
In 2026, the decision between renting or buying in Argentina is at a turning point, marked by the stabilization of sales prices of used units (0.4% in the first quarter, according to Zonaprop), a rise in rents that reached 9.6% in the same period and a small attempt at downward readjustment in the rates of UVA mortgage loans by some banks.
For millions of Argentinians, buying a home is not only one of the most important financial decisions of their lives , but the dream of homeownership still hinges on a single word that tends to appear and disappear at different times in the country: the mortgage . When this isn't available, the only possible solutions are to buy with cash—for those who have the money—or to continue renting.
The fine print of mortgage loans
Although UVA mortgage loans returned to the market in 2024 after a nearly five-year hiatus, bank loan interest rates rose sharply from mid-2025 —above 10%—directly impacting the finances of potential borrowers. However, since the beginning of this year, some banks have begun lowering their interest rates below 10%, a development that offers a glimmer of hope in the mortgage market.
The dream of owning a home continues to depend on a single word, which tends to appear and disappear in different periods of the country: the mortgage loan. Daniel Basualdo
Federico González Rouco, an economist at the consulting firm Empiria, warns that credit in Argentina "appears and disappears ." He cites as an example those who in 2018 decided to wait for UVA loan rates to drop further and ended up losing the opportunity for six years, until they reappeared. This is where the financial debate surrounding credit truly begins: whether it's worthwhile or not .
It's crucial to understand that the lower the interest rate, the "cheaper" the loan . Lower interest rates mean more people qualify, but as rates rise, the initial screening process becomes more stringent . This is because, to qualify for a mortgage, the down payment shouldn't exceed 25% of the applicant's or family's income, although some banks allow up to 30%. Therefore, as interest rates increase , the down payment also increases , requiring a higher verifiable income. This is the factor that can disqualify someone from obtaining a mortgage.
UVA-indexed mortgage loans were introduced in April 2016, during Mauricio Macri's presidency. The main feature of these loans is that the monthly payment is adjusted for inflation , which initially allows for a low balance to be paid off. However, in an economy with a history of inflation, the risk of increases over time is high .
“Those who took out a UVA loan during that initial period, due to high inflation, saw their initial monthly payments rise from 25% of their income to as much as 40%,” explained José Rozados, director of Reporte Inmobiliario. However, he added, “ That percentage is very similar to what a person has to allocate from their salary to pay rent .” Therefore, many people face a crucial decision: is it better to buy a home with a loan or continue renting?
A loan payment vs. renting an apartment in Buenos Aires
The choice between buying and renting depends not only on the initial monthly payment but also on other factors such as job stability, the necessary down payment (25% to 35%, depending on the bank), and the long-term projection (15 to 30 years) for the desired property. What weighs most heavily in the decision, and what are the trade-offs?A concrete example, taking into account the payment of a UVA mortgage loan and a rent in the city of Buenos Aires, would be the following:
- A loan of $100,000,000, for the purchase of an apartment worth approximately US$100,000, with an interest rate of 9.5% (close to the current average rate of 9.9%) to be repaid over 20 years, would have an initial monthly payment of $933,054 , adjusted monthly according to the UVA (Unit of Purchasing Power) index. It's worth noting that prior savings of around US$30,000 would be needed to cover the total amount to be repaid.
- The average rent for a 40 m² studio apartment in Buenos Aires is around $704,700 per month , approximately 24.5% less than the loan payment. For a one-bedroom apartment, the average rent is $814,660 , 12.69% less than the example loan payment. However, in this case, the rent will also be adjusted for inflation, but every three or four months depending on the signed contract.
It's important to clarify that when calculating using the Banco Nación rate as a reference, which currently holds the largest share of the mortgage market, the equation changes. In this case, the interest rate is 6%, so the initial monthly payment for a $100,000,000 loan to be repaid over 20 years would be $716,431 (similar to the average rent for a studio apartment and lower than that of a one-bedroom apartment).
So, what's the best option?
The short answer is: if you have the savings and the idea is to stay in the property long-term, the purchase becomes attractive, as you may qualify for a UVA mortgage loan, which allows you to finance your own home instead of paying rent that, like the loan, increases with inflation.According to González Rouco, " if you want to buy and the possibility exists, you should take out the loan when it is available."
Is it better to buy or rent in 2026?. Daniel Basualdo
Is it a good time to buy in 2026?
It is advisable if:- Savings are available for the down payment: banks usually require 20-30% of the property value.
- The search is for a single property: UVA rates for a first home are lower than for a second property.
- Prices are stable: in the first quarter of 2026, the average price per square meter rose slightly (0.4%), indicating that there is no immediate bubble and the market is stabilizing.
- Rent is expensive: if rent costs almost the same as a mortgage payment, it's better to pay for a property.
Is it a good time to rent in 2026?
It is advisable if:- There are no savings for the down payment or closing costs.
- If you need flexibility due to a change of city or job in less than 5 years .
- Rental profitability is low in the area: in some neighborhoods the supply is high and the rent is more "cheaper" than the bank payment.
Therefore, the answer to the question depends on several factors:
- Ability to pay and job stability : If you have a stable income that allows you to meet the increasing installments of a UVA mortgage, it can be a good option to secure your own home in the long term. However, in situations of job insecurity, renting offers greater flexibility, mainly because contracts are short-term.
- Risk tolerance : UVA loans carry an inflationary risk that not everyone is willing to take. Those who prefer certainty may opt for renting, despite the price increases.
- Long-term goals : Buying a home means a long-term commitment. Renting, on the other hand, can be more convenient for those who don't want to live in the same place for too long or who don't want to take on debt for several years.
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