After the repeal of the rental law, the former president of the Unique College of Real Estate Brokers of the City of Buenos Aires (CUCICBA), Marta Liottohad stated to Ambit that “each contract would be unique and unrepeatable” and this is precisely one of the big problems for tenants.
Since the requirements are not determined, nor what the owner can request at the time of closing a rental contract, a climate of total uncertainty for the person who has to renew, as well as for those who go on the market for the first time.
Rentals: what requirements are currently requested?
The requirements vary according to each of the contracts, and depend on the arrangement between the parties. According to Gervasio Muñozleader of Grouped TenantsTo enter a property, the following are required: “Salaries that triple the rent; surety insurance from a financial company; not having children, nor being monotributistas; and even a deposit in dollars.”
For its part, Soledad Balayantitle of Maure Real Estatepointed out that “It is very difficult to talk about general rental requirements and conditions because, given the freedom proposed by the DNU, each property and owner has its specific rules.”
In Maure Real Estate, meanwhile, all housing properties that are not furnished enter into contracts for 24 months. The settings are carried out for different periods with different indices and the deposit amount also varies between a month and one and a half, all according to what each landlord requests. Refering to warrantyBalayan stated that “didn’t change much”since they usually request bonds or surety insurance from CABA, in the Province of Buenos Aires.
A tenant from the western zone assured this medium that they asked her two months deposit for the renewal of a rental contract.
How much money does it take to enter into a rental?
In this way, taking into account the requirements detailed by Gervasio Muñoz To rent a two-room apartment in CABA for $230,000, a person needs to have income of at least $690,000 and must pay a deposit $215 (taking as reference the price of the MEP February 21), plus $230,000 of the month’s advance and the cost of a surety insurance that stands at $403,200for a rental home of that cost with expenses of $30,000. The total would be $633,200, plus US$215.
According to the requirements detailed by Balayan and Taking into account that the deposit would be one and a half months of the rental value, the amount for the deposit would be almost one million pesos, $978,200. Meanwhile, with two months of deposit it is located in $1,093,200.
Rentals: how are contract updates in the face of high inflation
As for the indexationsthere are cases in which the owners ask update for him price of the most expensive gasoline or to the meatsince there is “freedom” of negotiation and the new regulatory framework allows it.
Furthermore, in the case of properties that are in dollars, until not many months ago there were few property notices that clarified that, Since the rent amount was requested in dollars, they did not have increases. However, this no longer happens, regardless of the currency, they are now asked increases.
On the other hand, in the Buenos aires city this forbidden that the real estate charge a commission month. However, many do it and even publish it in online ads. Also many real estate agencies charge stamping even though in the Buenos Aires Province HE prohibited them from doing so.
Another issue to take into account is that before commissionaccording to Rental LawIt was from one month. Now There is no limit when it comes to demanding it.
Record increase in supply in CABA, but with prices still above inflation
The The supply of apartments for rent in CABA during January increased by 62% compared to December 2023, according to Zonaprop. But despite this, prices continue to accompany inflation. In January, rental prices suffered a record monthly increase of 21%, just above the Consumer Price Index, which stood at 20.7%.
“The rental offer in the city of Buenos Aires took a big leap since the validity of the DNU, In many portals the number of advertisements offered doubled. It remains stable with property rotation, that is, with contracts that are being carried out and new properties that are entering the market,” said Balayan.
Although in contrast, the leader of Grouped Tenants He pointed out that saying that the tenant “It has bargaining power, it’s like saying that you go into a butcher shop and negotiate the price of meat. Just as ridiculous”.
Meanwhile, Liotto recalled that It comes from zero supply and from there it is growing. There is still a way to go, but it can be seen that “the tenant is beginning to be empowered” because they have greater bargaining power. “He has the ability to choose what type of contract he is willing to enter into,” he said.
“Prices in pesos accompany the inflation and receipt of the request. “We cannot speak of a fall in nominal terms, but in some cases we do see falls in real terms when visits to the property are not achieved and it is necessary to adjust the price downwards from the beginning of its publication,” Balayan added.
Source: Ambito
