According to the latest report from Radar Inmobiliario, the publication values in February showed a drop of 12.5%. Meanwhile, at the aggregate level, the accumulated drop from the maximums observed in February 2019 was 34%.
“We see the apartment with what is being sold since what is offered is still well above the real value. The drop was experienced in both new and used units, but the product that adjusted its value the most was the apartments, as they are the ones that present the most offers,” said the real estate expert.
Due to the overstock and lack of sales, the supply of properties is at its historical maximum and today, for example, 3-room apartments are available for $20,000 less than last year. To have a reference, while in November and December of last year they were worth US$143 thousand, in January and February they fell to US$120 thousand.
In Champanier’s view, “the used apartments had to adjust their prices because people need the dollar bill to buy them and since there is so much supply, whoever is closer to the east floor sells them, while in the developments from the well, a similar unit can be accessed for the same price and in installments ”.
Another factor that influenced the drop in prices was the pandemic. “Buyers are now looking for apartments with a balcony, terrace or amenities. So, those who do not have these comforts or are internal run with disadvantages to raise their appraisal”, explained Champanier.
In addition, the president of RE/MAX Premium assured that in recent times the owners have been more open to listening to the suggestions of the brokers to establish values that are more in line with the market. “What is not in price is not for sale”, he insisted. And he added that currently the gap between the publication and closing prices is 7%, as long as one starts from a logical value, otherwise the gap is much greater.
“Usually homeowners want more than the market is going to pay for. But you cannot impose a price out of necessity, you have to be guided by what the market guarantees”, specified Champanier, whose firm usually sells the properties published at market value in less than a month.
Finally, Champanier projected that “The economic situation will improve with a possible change of government.” For the broker, “the economic uncertainty that we are experiencing, fueled by inflation, makes people paralyze and avoid making decisions.” For this reason, according to his vision, it is also necessary that “there be a change of mood and expectations so that people are encouraged to invest more.”
Source: Ambito
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