Non-Resident foreigners buying real estate activity picking up strong in Buenos Aires right now

[BuySellBA]

For the first time in many years, our firm is seeing the level of buying of real estate by non-resident foreigners pick up again. It hasn't been this busy since the mid 2000's when foreigners started entering the market and snapping up properties.

It is interesting to see properties we purchased up at pozo many years ago being purchased by new clients. Here is an example of a 1 bedroom apartment we originally purchased for our American client that was purchased at Pozo. He rented it out for many years and then flipped it for a significant profit. Our American client purchased that many years ago and now a new American client has purchased the same apartment last week.

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[Digital Nomad]

Yeah I noticed this trend as I ran into a few expats that were looking for things to buy here. I think I saw that listing on Zonaprop last month. Was it listed on Zonaprop? I was going to see it but the realtor told me that I couldn't do Airbnb rentals in that building so I did not see it but it looked incredible. It was right in center of Soho right?

If they can't do Airbnbs in it did your client buy it to live in? I am looking for something modern like that in a good area but not too many options now. Did your company list that property for sale?

 

[Betsy Ross]

It is not just foreigners buying. Many locals are finally buying. It was dead during COVID and then with the uncertainty with the Presidency a lot of my friends were on the sidelines but some friends are also buying now.

 

[MikeYoung]

It is not just foreigners buying. Many locals are finally buying. It was dead during COVID and then with the uncertainty with the Presidency a lot of my friends were on the sidelines but some friends are also buying now.

True. My novia is finally looking to buy a studio apartment with the help of her parents. A lot of the existing stuff is dumpy and would need work. Many of the decent properties are being built soon but say they won't be done until 2026. The no mortgage thingy is brutal!

 

[BuySellBA]

Yeah I noticed this trend as I ran into a few expats that were looking for things to buy here. I think I saw that listing on Zonaprop last month. Was it listed on Zonaprop? I was going to see it but the realtor told me that I couldn't do Airbnb rentals in that building so I did not see it but it looked incredible. It was right in center of Soho right?

If they can't do Airbnbs in it did your client buy it to live in? I am looking for something modern like that in a good area but not too many options now. Did your company list that property for sale?

We do believe that it was listed on Zonaprop but we didn't actually see the listing. We did not know our former client was selling it. We got retained by an American couple to take them through the buying process and we were pleasantly surprised to see it was this property that we had already purchased at pozo.

The CEO of our firm formally owned 4 units in that same building. He sold them because the building changed the HOA rules and banned short-term Airbnb rentals less than 6 months long. This is probably the same unit you inquired about as you are correct that NO Airbnb short-term rentals are allowed in this building. That is the reason the owner wants to sell the unit.

Our client is getting ready to retire and will use it half of the year and then they will do a longer term 6 month contract when they are not here. This building is very popular with ex-pats and corporate travelers and digital nomads.

No, our firm is not a realtor. We don't list properties for sale. We are real estate consultants so non-resident foreigners hire us to safety take them through the closing process. We take a Power of Attorney document so the buyer or the seller do not have to fly to Buenos Aires for the boleto and the escritura (closing). This saves them valuable time and expenses flying to Buenos Aires two times.

We were retained by both the buyer and the seller of this property to handle the closing for them. We structured the deal as such so that the buyer can wire funds to the seller's USA bank account savings them needless money in fees wiring cash to Argentina.

 

[GraceH]

Can I ask how much this property sold for? Feel free to send me a DM if you can’t post publicly.

 

[Digital Nomad]

Can I ask how much this property sold for? Feel free to send me a DM if you can’t post publicly.

I don’t know what it closed for. I can’t see the Zonaprop listing anymore but the asking price was $155,000 USD. I would have gladly bought it but I need to be able to rent it on Airbnb when I am not here.

You can’t get anything nearly as good as this in most decent cities in the US for this price. Does anyone know what these units went for at the peak of the market?

 

[earlyretirement]

Can I ask how much this property sold for? Feel free to send me a DM if you can’t post publicly.

This property sold for just under the asking price.

I don’t know what it closed for. I can’t see the Zonaprop listing anymore but the asking price was $155,000 USD. I would have gladly bought it but I need to be able to rent it on Airbnb when I am not here.

You can’t get anything nearly as good as this in most decent cities in the US for this price. Does anyone know what these units went for at the peak of the market?

Absolutely correct. Look at real estate prices in world capital cities and they are much much higher than this with crazy high HOA fees. Property prices are reasonable here for how amazing of a city Buenos Aires is. I can tell you that I personally owned 4 properties in this building that I bought at pozo when they were constructing the building. I sold all 4 of my units in 2018-2019. The lowest price I got was $225,000 and the most expensive was $235,000. They were all the same floor plan and 1 bedroom units so needless to say prices came down quite a bit over the years. They were all purchased by locals to live in.

I would have kept them as I loved those properties but the building banned short-term rentals and the yield is too low for me doing long term rentals only vs. luxury short-term rentals.

 

[Vince]

Are you sure that no Airbnbs are allowed in that building? I know that building. My friend rented an Airbnb in that building in October. It was definitely only for a month stay.

 

[Larry]

Are you sure that no Airbnbs are allowed in that building? I know that building. My friend rented an Airbnb in that building in October. It was definitely only for a month stay.

Even in buildings that forbid short-term rentals you can always find a way around it if you pay the security guard a bribe.

 

[BuySellBA]

Are you sure that no Airbnbs are allowed in that building? I know that building. My friend rented an Airbnb in that building in October. It was definitely only for a month stay.

There are several Airbnbs in that building. What the building is trying to avoid is the short-term 1-7 night rentals. We have a few former clients that own in this building and although the building HOA rules state 6 months or longer, they have managed to do rentals of one month or longer.

Even in buildings that forbid short-term rentals you can always find a way around it if you pay the security guard a bribe.

This is true. The doorman or security staff in any building is a very good person to have on your side. We recommend when you purchase a new apartment, to make good friends with the portero (door person) and the security staff. Whenever we purchase a property for a client, we recommend buying a nice bottle of wine and introducing yourself as the owner. We also give a nice gift at Christmas. It is always good to have this person on your side.

Even in building where short-term rentals might be banned, we have found some ways around this might be to do a longer term contract and presenting that and then stating that the guest had to end their trip early. We are not advocating this but we have seen this done many times.

 

[Betsy Ross]

There are several Airbnbs in that building. What the building is trying to avoid is the short-term 1-7 night rentals. We have a few former clients that own in this building and although the building HOA rules state 6 months or longer, they have managed to do rentals of one month or longer.


This is true. The doorman or security staff in any building is a very good person to have on your side. We recommend when you purchase a new apartment, to make good friends with the portero (door person) and the security staff. Whenever we purchase a property for a client, we recommend buying a nice bottle of wine and introducing yourself as the owner. We also give a nice gift at Christmas. It is always good to have this person on your side.

Even in building where short-term rentals might be banned, we have found some ways around this might be to do a longer term contract and presenting that and then stating that the guest had to end their trip early. We are not advocating this but we have seen this done many times.

Excellent advice. Our portera is almost like family. She is so wonderful. I also get her a gift on her birthday and always something nice at Christmas. Great advice to do this immediately after purchasing a property.

 

[GlasgowJohn]

Strictly against the rules but I will often tell the portero that my cousin is coming over for a month. A bottle of wine for the guy on the door and a heads up to the tenant and there are no problems...

Usually....

 

[Wally]

Strictly against the rules but I will often tell the portero that my cousin is coming over for a month. A bottle of wine for the guy on the door and a heads up to the tenant and there are no problems...

Usually....

Yep. In my building they don't allow Airbnb either. A smaller building with stuffy Porteños. When I go to visit the US for a few months sometimes I rent it out. I will say it is a family member and I will make sure to tell the person renting the same script. Then a bottle of wine and come cash for my doorman and I don't have any issues. The key is to make sure the tenant does not have parties or make noise, etc. The tenant staying usually also gives tips to the doorman or security guard at night which greatly helps. It is to the point where the doorman looks forward to me going to the USA to visit my family so they can make some more cash.

 

[earlyretirement]

Strictly against the rules but I will often tell the portero that my cousin is coming over for a month. A bottle of wine for the guy on the door and a heads up to the tenant and there are no problems...

Usually....

Exactly correct. All excellent advice on this thread. As mentioned on the previous post, the first thing you should do when you buy a new apartment in Buenos Aires if it has a doorman is to get their name, Whatsapp, hours they work. I find out how long they have worked in the building. I get them a very nice (i.e. expensive) bottle of wine and usually some alfajores. I will usually also get a bottle of wine for any neighbors on the floor as well and introduce myself as the new owner. This breaks the ice and I also send them my Whatsapp or the Whatsapp of my property manager. This way if there are any issues, they will let you know vs. making a big deal with HOA.

If you're renting your property out on Airbnb, make sure you have very clear warnings that NO parties are allowed and that any events that disrupt the neighbors will cause them to get evicted with no refund of their rent. I've managed hundreds of properties and if you set the right expectations from the very beginning you almost will never have issues. Sure, there are exceptions to the rule but making friends with the doorman and neighbors avoids potential problems or they will let you know about it.

Even in buildings where they don't officially allow short-term rentals if you have a good relationship with the doorman/woman or security staff you're in pretty good hands. I own several apartments with 24/7 security staff and I will typically always try to get to know them. In some buildings, it may be difficult as some buildings employ a security guard agency vs. the same individuals. In these buildings, typically when I go to stay in them, I will always try to get some snacks when I am getting something. For example, if it's at night and I am ordering some empanadas or a pizza or something, often times I will get some extra for them. Or during the day if I am getting a chocolate bar for myself or something, I'll get one for the doorman or security guard as well.

Having the doorman and/or security staff on your good side is a really good thing in Buenos Aires. I have followed this practice since 2002 when I bought my first apartment in Buenos Aires and it has been golden. In some properties, it is the original Portero/a for 22 years.

 

[Katherina]

Exactly correct. All excellent advice on this thread. As mentioned on the previous post, the first thing you should do when you buy a new apartment in Buenos Aires if it has a doorman is to get their name, Whatsapp, hours they work. I find out how long they have worked in the building. I get them a very nice (i.e. expensive) bottle of wine and usually some alfajores. I will usually also get a bottle of wine for any neighbors on the floor as well and introduce myself as the new owner. This breaks the ice and I also send them my Whatsapp or the Whatsapp of my property manager. This way if there are any issues, they will let you know vs. making a big deal with HOA.

If you're renting your property out on Airbnb, make sure you have very clear warnings that NO parties are allowed and that any events that disrupt the neighbors will cause them to get evicted with no refund of their rent. I've managed hundreds of properties and if you set the right expectations from the very beginning you almost will never have issues. Sure, there are exceptions to the rule but making friends with the doorman and neighbors avoids potential problems or they will let you know about it.

Even in buildings where they don't officially allow short-term rentals if you have a good relationship with the doorman/woman or security staff you're in pretty good hands. I own several apartments with 24/7 security staff and I will typically always try to get to know them. In some buildings, it may be difficult as some buildings employ a security guard agency vs. the same individuals. In these buildings, typically when I go to stay in them, I will always try to get some snacks when I am getting something. For example, if it's at night and I am ordering some empanadas or a pizza or something, often times I will get some extra for them. Or during the day if I am getting a chocolate bar for myself or something, I'll get one for the doorman or security guard as well.

Having the doorman and/or security staff on your good side is a really good thing in Buenos Aires. I have followed this practice since 2002 when I bought my first apartment in Buenos Aires and it has been golden. In some properties, it is the original Portero/a for 22 years.

Even if you are not the owner it is a good idea to make friends with the doorman. In the rentals from Airbnb I have found the doormen are very nice. My friend let me use her Mercado Libre account to order things and the doorman will always get my packages and bring them up to me. Also, food delivery places aren't allowed to come up in several of the buildings I rented but the doorman is often at the front door and will bring my food up to me.

 

[Flamingo]

Yep. In my building they don't allow Airbnb either. A smaller building with stuffy Porteños. When I go to visit the US for a few months sometimes I rent it out. I will say it is a family member and I will make sure to tell the person renting the same script. Then a bottle of wine and come cash for my doorman and I don't have any issues. The key is to make sure the tenant does not have parties or make noise, etc. The tenant staying usually also gives tips to the doorman or security guard at night which greatly helps. It is to the point where the doorman looks forward to me going to the USA to visit my family so they can make some more cash.

My partner and I take issue with people that are renting out on Airbnb when they aren't allowed in our building. We hate to be Karens but most of the time the people renting are having parties, smoking pot or constantly bringing hookers up to the apartment. We have repeatedly complained to our neighbor and our HOA. Our neighbor tried to say they are friend and they are not renting it but we found the listing and sent it to the HOA so now it has finally stopped.

If you're renting your property out on Airbnb, make sure you have very clear warnings that NO parties are allowed and that any events that disrupt the neighbors will cause them to get evicted with no refund of their rent. I've managed hundreds of properties and if you set the right expectations from the very beginning you almost will never have issues. Sure, there are exceptions to the rule but making friends with the doorman and neighbors avoids potential problems or they will let you know about it.

I wish our neighbor did this. We honestly wouldn't mind if the tenants were polite and quiet. But often times it is younger tourists that are coming to party. The neighbor above us was also renting on Airbnb and they would bring people over all hours of the day and night and we could hear when they were walking around. We also found their Airbnb listing and turned them into the HOA to prevent them from renting. So far so good.

 

[GlasgowJohn]

Exactly correct. All excellent advice on this thread. As mentioned on the previous post, the first thing you should do when you buy a new apartment in Buenos Aires if it has a doorman is to get their name, Whatsapp, hours they work. I find out how long they have worked in the building. I get them a very nice (i.e. expensive) bottle of wine and usually some alfajores. I will usually also get a bottle of wine for any neighbors on the floor as well and introduce myself as the new owner. This breaks the ice and I also send them my Whatsapp or the Whatsapp of my property manager. This way if there are any issues, they will let you know vs. making a big deal with HOA.

If you're renting your property out on Airbnb, make sure you have very clear warnings that NO parties are allowed and that any events that disrupt the neighbors will cause them to get evicted with no refund of their rent. I've managed hundreds of properties and if you set the right expectations from the very beginning you almost will never have issues. Sure, there are exceptions to the rule but making friends with the doorman and neighbors avoids potential problems or they will let you know about it.

Even in buildings where they don't officially allow short-term rentals if you have a good relationship with the doorman/woman or security staff you're in pretty good hands. I own several apartments with 24/7 security staff and I will typically always try to get to know them. In some buildings, it may be difficult as some buildings employ a security guard agency vs. the same individuals. In these buildings, typically when I go to stay in them, I will always try to get some snacks when I am getting something. For example, if it's at night and I am ordering some empanadas or a pizza or something, often times I will get some extra for them. Or during the day if I am getting a chocolate bar for myself or something, I'll get one for the doorman or security guard as well.

Having the doorman and/or security staff on your good side is a really good thing in Buenos Aires. I have followed this practice since 2002 when I bought my first apartment in Buenos Aires and it has been golden. In some properties, it is the original Portero/a for 22 years.

Doesnt have to be an expensive bottle of wine- suss the guy out - 12 cans of beer might be a better gift!

 

[Betsy Ross]

Doesnt have to be an expensive bottle of wine- suss the guy out - 12 cans of beer might be a better gift!

True. Once you get to know your portero and become friends with them you can see what they like. Mine loves my homemade cookies and I bring her a batch every time I make them. Your portero is generally your eyes and ears and knows everything that is going on in your building. I talk to mine daily and she will keep me informed what is going on in my building.

 

[MikeYoung]

Even if you are not the owner it is a good idea to make friends with the doorman. In the rentals from Airbnb I have found the doormen are very nice. My friend let me use her Mercado Libre account to order things and the doorman will always get my packages and bring them up to me. Also, food delivery places aren't allowed to come up in several of the buildings I rented but the doorman is often at the front door and will bring my food up to me.

Even in buildings where they don't officially allow short-term rentals if you have a good relationship with the doorman/woman or security staff you're in pretty good hands. I own several apartments with 24/7 security staff and I will typically always try to get to know them. In some buildings, it may be difficult as some buildings employ a security guard agency vs. the same individuals. In these buildings, typically when I go to stay in them, I will always try to get some snacks when I am getting something. For example, if it's at night and I am ordering some empanadas or a pizza or something, often times I will get some extra for them. Or during the day if I am getting a chocolate bar for myself or something, I'll get one for the doorman or security guard as well.

Having the doorman and/or security staff on your good side is a really good thing in Buenos Aires. I have followed this practice since 2002 when I bought my first apartment in Buenos Aires and it has been golden. In some properties, it is the original Portero/a for 22 years.

^^^^^THIS^^^^^

I have found the various door people in the various Airbnbs I have rented to be extremely friendly. Giving cash sometimes feels weird but often times if I am at a corner store I will get them something or ask them if they want a soda or something. The times it has been very helpful for me is I use Rappi a bunch and the doorman will let me send him a WhatsApp with the code and will get it for me if I can't go down right away.