When buying a property to rent, it is necessary to analyze how long it will take to repay that amount. investment.
The relationship rent/price decreased in August, as had been observed in recent months, and was located at 4.29% annually. This way, Today, it takes 23.3 years of rent to repay the initial investment.25.9% more than what was needed a year ago, according to data from Zonaprop.
In CABA, the best options for finding rent are Lugano, with a return of 6.5%, La Boca 5.7% and Parque Avellaneda 5.3%. On the other hand, Palermo is the neighborhood with the lowest profitability, 3.5%. It is followed by Puerto Madero (3.5%) and Belgrano (3.6%).
What is the profitability of rentals in Greater Buenos Aires?
In GBA west-south the rent/price ratio is 4.06% annually. It takes 24.6 years of renting to repay the purchase investment20% less than a year ago.
Ezeiza leads the ranking of neighborhoods with the best profitability, with an average gross return of 5.7%. It is followed by Ciudadela and Caseros, with a gross return of 5.4% and 5.1% respectively, while those with the lowest profitability advantage are Adrogué (3.1%), Florencio Varela (3.3%) and Lomás de Zamora (3.3%).
Regarding the northern area of Greater Buenos Aires, the rent/price ratio remains stable at 3.85% annually. Currently It takes 26 years of rent to repay the initial investment7% less than a year ago.
Belén de Escobar, San Miguel and La Lonja are the neighbourhoods with the highest profitability, with gross returns of 6.9%, 5.2% and 5.1%, respectively. On the other hand, La Lucila and Vicente López are the neighbourhoods with the lowest returns, with 3.2% each.
How much does it cost to rent a two-room apartment?
The average price of a two-room apartment in the City of Buenos Aires increased by 4.5% in August, slightly above the monthly inflation (3.8%), and stands at 485,881 pesos per month. In 2024, it accumulates an increase of 45%, below the annual inflation rate (94%). Small apartments are those with the highest price increase in the year.
Meanwhile, the volume of supply is 3.2 times higher than that recorded in February 2023, the lowest in the series.
A 40 m2 studio apartment is rented for 407,026 pesos per month, a two-room apartment of 50 m22 for 485,881 pesos per month and a three-room apartment of 70 m2 for 656,551 pesos per month.
The rental price of new contracts is located at 4.5% monthly, while in the last twelve months, it has accumulated an increase of 144.3%advances below inflation (235.2%) and the ICL adjustment (244.5%).
Puerto Madero Palermo remains at the top of the list of the most expensive neighborhoods to rent, with an average price of 1,019,112 pesos per month. Palermo and Núñez complete the podium, with an average value of 534,806 pesos per month and 537,217 pesos per month, respectively.
Luganoon the other hand, is the most affordable neighborhood to rent, with an average price of 320,165 pesos per month. It is followed by Floresta (409,994 pesos per month) and Mataderos (413,039 pesos per month).
Source: Ambito
