Government formed tripartite table with owners and tenants and discussed proposals

Government formed tripartite table with owners and tenants and discussed proposals

The meeting, which took place in person and virtually, had a wide participation from the different sectors. There, the secretary stated thatand “we are going to generate a work table that creates the best conditions for tenants and owners, within the framework of the consensus that arises”.

He also expressed that the country is “facing a problem, since there is a lack of housing supply and there is uncertainty for the tenants about the rental price”, for which, he stated that one of the focuses will be on elucidating “why today the market is in a situation where it is difficult to rent”.

On the real estate side, the Argentine Real Estate Chamber (CIA)accompanied by schools and real estate cameras from different parts of the country, in addition to the Real Estate Federation of the Argentine Republic (FIRA). From the sector they raised as a proposal the implementation of tax benefits for those owners who place the properties for rent.

With respect to rent law, expressed their difference on different points, on those who proposed its modification. On the one hand, they referred to the term for updating rents (currently it is annual and according to an index that combines inflation and salaries). On the other hand, they called for alternative rates for the increases, as well as promoting independent arbitration tribunals for the rapid resolution of conflicts.

Also participated the Argentine Tenants Federationas well as the Women’s Collective (for being the most affected in terms of access to housing) and representatives of the social organization CELS-Rentalswho addressed the problem from the side of those who cannot access their own home and must rent.

Gervasio Muñoz, who in addition to being the head of the aforementioned federation heads the Inquilinos Agrupados collective, stated at the end of the meeting that “It was not just a meeting to chat, but there are ideas and proposals.” That, he said, “is a lot” if one takes into account that the State “had disregarded the issue of rents.”

Beyond the positive aspects of the meeting, Muñoz expressed his disagreement with the proposal to modify the legislation, promoted by the sector he represents. “The important thing is control and compliance with the current law,” he added. From the sector they propose taxes on idle housing, something that is being analyzed by the Secretariat.

During the meeting, representatives of the AFIP, the Business Chamber of Urban Developers (Cedu), the Bar Association of the City of Buenos Aires and the person in charge of the rental area in the Ministry of Territorial Development and Habitat of the Nation, Facundo Di Filippo.

After the table is set, Feletti asked those present to send the aforementioned proposals formally as soon as possible, since once received they will be processed and then sent to the rest of the parties. “We are going to circulate them among all of them, we are going to communicate them to the Ministry of Territorial Development and Habitat, and then we are going to reconvene a meeting,” he said.

Among the points of agreement of the parties is the need to encourage the development of new housing, since the expansion of the supply of units intended for rental will contribute to reducing the value of prices. “Once consensus is reached between the parties on the set of proposals to be implemented, the Secretariat will make them viable, working with the relevant authorities, always with the objective of increasing the number of dwellings and facilitating access to tenants and tenantsFeletti said.

According to figures provided by the Secretary of Domestic Trade, the number of homes for sale in the City of Buenos Aires is well above the historical average. Nowadays, there are more than 120,000 properties for sale, when the historical volume was 50,000. This reduced supply and pushed rents up.

The task of the table will be to resolve what they consider “a market failure”, since it prevents tenants from accessing rents and affects the profitability of owners. All this with the focus also on the value of rentals not harshly affecting wages as it currently does.

Finally, he stressed the importance of “achieving a greater insertion of the tenants, a higher level of housing and stability on the rental value, because currently housing represents a high percentage of income.” “The rent is a part of the housing policy and it has to be accessible,” she concluded.

Source: Ambito

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