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The 9 questions you should ask yourself before deciding whether to take out a loan or continue renting - La Nacion Propiedades
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Las 9 preguntas que hay que hacerse antes de tomar la decisión de sacar un crédito o seguir alquilando
Más allá de analizar las distintas alternativas de tasas y tipos de financiación que ofrecen los bancos, hay otros factores que debemos tener en cuenta
www.lanacion.com.ar
April 03, 2026
Beyond analyzing the different interest rates and financing options offered by banks, there are other factors we must consider.
By Soledad Balayan
Mortgage loans are a debt that is assumed to be paid off in 20 yearsFreepik
Your rental contract is about to expire, and you're considering whether to continue renting or take out a mortgage to buy an apartment . Firstly, if you're facing this dilemma, it means you have the savings to cover a portion of the purchase price, since the financing isn't 100% ; therefore, not many people are even considering this option.
Beyond analyzing the different rates and financing options offered by banks, there are other factors we must consider.
Everything you should ask yourself before embarking on buying a property with credit
1. How long do you plan to live in that apartment you're thinking of buying?
Do you envision yourself living there for at least six years? This decision will have a significant long-term impact, as mortgages are typically for at least 20 years , and the initial payments, due to the French amortization system, have a much higher interest component. Therefore, you won't accumulate much equity in the first few years. Consequently, if you need to sell the property after a few years, the financial cost could be very high , because you'll still owe a large portion of the loan principal and may not recoup all the purchase costs or the mortgage payments already made.2. How stable is your job? Would you shop alone or with someone?
How employable are you? Are you two people or just looking to buy? If you're in a relationship and planning to buy together, how long do you (actually) see yourself together? (Sorry for the awkward question, but it needs to be asked.) Are you both equally committed to buying with a mortgage? The iron law of marriage states that for a marriage to last, one partner can't be happier than the other, so taking out a mortgage with your partner requires precisely that: that both of you are equally convinced.3. What is the debt-to-income or rent-to-income ratio that gives you the most peace of mind?
Beyond the bank's requirements, have you analyzed your monthly expenses? Do you have room to adjust spending if necessary? Buying on credit is a way to save; therefore, embarking on this project already implies significant savings in your most important asset, which is your home.Therefore, a good tip is to compare the monthly cost of renting something similar versus the loan payment (excluding expenses, since you pay those anyway, unless there are extraordinary expenses).
If you want to move into your own apartment, these are the questions you should ask yourself before buying with credit.Shutterstock
4. How much do you value the freedom to choose where and how to live?
Do you have school-aged children and prioritize living near the school? Do you have a pet and find it difficult to rent for that reason? Or how much do you value the "mobility" and freedom to change where you live? These are all questions you should ask yourself before taking out a mortgage or continuing to rent and move according to your needs and future decisions.5. Is an apartment where you really want to put your savings?
What is the opportunity cost of that saved money that you're going to use to pay the unfinanced portion? Could you invest it and get a return? How much would it be approximately? Do you invest in the financial system, or is that not a realistic option? Is that a real and simple alternative for you?After purchasing the property, do you have any savings left? An emergency fund for unexpected expenses that might arise, such as property repairs or extraordinary costs, for example?
6. Does your income usually keep pace with inflation?
UVA loans are adjusted for inflation. In addition to the interest rate, the projected inflation rate must be taken into account . This government has a very clear commitment to keeping inflation low, which is very positive. Rents are also adjusted for inflation, but their price also depends on the available supply, and currently, there are quite a few options to choose from. In the City of Buenos Aires, the supply of rental properties is at a record high.
Properties today are at low values compared to historical pricesHernan Zenteno - LA NACION
7. Is it a good time to buy in the market?
Property prices are currently low compared to historical levels , making this a good opportunity. There are a good number of properties available for sale and rent in both market segments.8. Is it a good time to take out a loan?
The annual financial cost of taking out a loan right now is very high. According to calculations by Salinas Andrés, who regularly tracks interest rates at all Argentine banks, the cost is currently 140% higher than in Chile.Comparing the rate with other countries in the region is a good way to see if the time is right to take out a loan.
9. What is the worst thing that can happen in each of the options?
In addition to evaluating the interest rate at which you are about to finance, the value of the installment and the expenses of the purchase with a mortgage, the probability that inflation will skyrocket again (the financial analysis of the decision), it is good to carry out a simple mental exercise that helps you clear up other types of doubts, that allows you to imagine possible and real scenarios (good and bad) that will lead to a better decision.The key lies in trying to reduce the uncertainty of the process by estimating the probability of things going wrong and the associated costs. It's advisable that in your pros and cons analysis, you estimate realistic probabilities of certain events and assign values to the outcomes, whether positive or negative. The larger the net positive result, the easier it will be to make the decision.
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