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Real estate market: The sector is adapting to the new reality and operations are growing - Fortuna
Source:
fortuna.perfil.com
March 07, 2024
After 5 years of lethargy, the real estate market has “woken up”: Desarrolladora Branson
With the change of government and the devaluation of the official dollar, optimism among buyers and sellers began to grow. 2024 started with 1,882 registrations, exceeding the operations of January 2023 by 1.8%.
By: Hugo Koifman
The figures released by the College of Notaries of the City of Buenos Aires are eloquent and show that, after 5 years of lethargy, the real estate market has “woken up” : January 2024 has already started with 1,882 registrations, exceeding by 1.8% the operations in the same month of 2023. And throughout last year there were 40,539 notarial acts compared to 33,753 in 2022 (a growth of 20% year-on-year), so the upward trend seems to continue this year.
Until last year it could be said that in the real estate market, whoever had the money in cash “set the rules of the game”, that is, they had the advantage that there was little supply and a lot of demand for real estate, added to the almost zero supply. of mortgage loans. But with the change of government and the subsequent devaluation of the official dollar, optimism between buyers and sellers began to grow and I believe that things have now changed: sellers begin to sell at prices they consider "fair", while buyers are willing to move forward with operations because now they do consider it to be a good investment.
Buying a home with cryptocurrencies: Reality or fantasy?
The thing is that the panorama has changed and what the market perceives is optimism , in which after many months the m² values are finally beginning to normalize in the main cities of the country, with the City of Buenos Aires as a thermometer of this. To give just one example: it is illogical that in some cities in neighboring countries the values are higher than in Buenos Aires, which is one of the best cities to live and invest in.
It is clear that the situation is complicated for the sector and for the country due to inflation and lack of product, but we are optimistic and I believe that in the coming months we will see an even more important reactivation than the one we are having . I also finally see a normalization, both for developers and for the purchase and sale of real estate, because with “reasonable” prices and with optimism and the feeling that values will continue to rise (or at least will not fall), sellers will sell and buyers will buy.
Rents rose more than inflation in 2023
At our developer, Branson, we currently have developments in highly sought-after areas such as Bajo Belgrano or Cañitas in the City of Buenos Aires that we are selling at a good pace. This tells us that the expectation of these buyers is that in the short term they perceive that they will be able to rent or resell these finished properties at much higher values than the actual values, or that they will have capital that has increased considerably in a few months.
The real estate market changed: what are the new developments facing rentals
And I also maintain that it is an excellent investment because real estate is one of the few assets that adjust with inflation , so its value is not only appreciated by the rise of the asset (that is, demand vs. supply) but also increases by the mere passage of time.
In short, and always taking into account that the developments are in sought-after and profitable areas, I see a good year for those who invest in well ventures and I predict that their investments will be very lucrative in a few months.
*CEO of the developer Branson
www.buysellba.com
Source:
Mercado inmobiliario: El sector se está adaptando a la nueva realidad y las operaciones crecen
Con el cambio de gobierno y la devaluación del dólar oficial, el optimismo entre compradores y vendedores empezó a crecer. El 2024 arrancó con 1882 registros, superando en 1.8% las operaciones de enero 2023.
fortuna.perfil.com
March 07, 2024
After 5 years of lethargy, the real estate market has “woken up”: Desarrolladora Branson
With the change of government and the devaluation of the official dollar, optimism among buyers and sellers began to grow. 2024 started with 1,882 registrations, exceeding the operations of January 2023 by 1.8%.
By: Hugo Koifman
The figures released by the College of Notaries of the City of Buenos Aires are eloquent and show that, after 5 years of lethargy, the real estate market has “woken up” : January 2024 has already started with 1,882 registrations, exceeding by 1.8% the operations in the same month of 2023. And throughout last year there were 40,539 notarial acts compared to 33,753 in 2022 (a growth of 20% year-on-year), so the upward trend seems to continue this year.
Until last year it could be said that in the real estate market, whoever had the money in cash “set the rules of the game”, that is, they had the advantage that there was little supply and a lot of demand for real estate, added to the almost zero supply. of mortgage loans. But with the change of government and the subsequent devaluation of the official dollar, optimism between buyers and sellers began to grow and I believe that things have now changed: sellers begin to sell at prices they consider "fair", while buyers are willing to move forward with operations because now they do consider it to be a good investment.
Buying a home with cryptocurrencies: Reality or fantasy?
The thing is that the panorama has changed and what the market perceives is optimism , in which after many months the m² values are finally beginning to normalize in the main cities of the country, with the City of Buenos Aires as a thermometer of this. To give just one example: it is illogical that in some cities in neighboring countries the values are higher than in Buenos Aires, which is one of the best cities to live and invest in.
It is clear that the situation is complicated for the sector and for the country due to inflation and lack of product, but we are optimistic and I believe that in the coming months we will see an even more important reactivation than the one we are having . I also finally see a normalization, both for developers and for the purchase and sale of real estate, because with “reasonable” prices and with optimism and the feeling that values will continue to rise (or at least will not fall), sellers will sell and buyers will buy.
Rents rose more than inflation in 2023
Buying new construction properties is still an excellent business
The real estate market is one of the main destinations for investors, and those who know about the subject have their investments diversified in different areas. The sector has a special characteristic that makes it unique: it is “illiquid”. This characteristic means that it does not generate daily information regarding its value, such as financial assets, which is very valuable, since it allows more orderly decision-making with less stress. It's one of the reasons why estate advisors recommend bricks, especially for estate planning and transfers.At our developer, Branson, we currently have developments in highly sought-after areas such as Bajo Belgrano or Cañitas in the City of Buenos Aires that we are selling at a good pace. This tells us that the expectation of these buyers is that in the short term they perceive that they will be able to rent or resell these finished properties at much higher values than the actual values, or that they will have capital that has increased considerably in a few months.
The real estate market changed: what are the new developments facing rentals
And I also maintain that it is an excellent investment because real estate is one of the few assets that adjust with inflation , so its value is not only appreciated by the rise of the asset (that is, demand vs. supply) but also increases by the mere passage of time.
In short, and always taking into account that the developments are in sought-after and profitable areas, I see a good year for those who invest in well ventures and I predict that their investments will be very lucrative in a few months.
*CEO of the developer Branson
www.buysellba.com
