The latest data for December confirmed that a month with so much activity had not been recorded for 7 years. What’s more, it was on the podium for the highest purchases and sales in a range of 17 years, with more than 7,500 operations. Behind us are years of exchange rate jumps, pandemic, restrictions, inflation, little stimulus. Since 2020 we have been climbing step by step and, finally, we managed to have more than 54 thousand writings in the year we closed.
Improve 2018 indexes
Now we are attentive to another challenge: improving the levels of 2018, which although it had two “faces”, with a first part of a lot of activity and then depressed, experienced a first quarter with almost 8 thousand mortgages. One fact to understand this challenge: in the following years, in the total 12 months we had records of only 3 thousand mortgages in the best of years. And in that period of just 4 months there were 8 thousand. Draw the relevant conclusions.
That 2018 ended downbeat with 55 thousand purchases and sales. That is why the expectation is that the year ahead will be able to overcome that barrier and become familiar with periods in which credit created a market and incorporated people and families into the real estate chain.
Exchange peace and lower inflation
What do we need? A series of factors, but without a doubt that a smooth exchange rate scheme will make the bills easier for those who embark on the dream of owning their own home. Because a jump of 100 pesos in the dollar price for a transaction of 100 thousand in that currency generates an extra 10 million pesos, with its consequent transaction costs.
Another crucial element is the control of inflation. The last 3 months of 2024 will yield data of a thousand monthly mortgages, which will be paid in UVA installments through the banking system. A controlled pricing scheme makes installments “payable” as planned. This circle has to be virtuous so that families continue to be encouraged, regardless of whether the cycle to pay off that loan is long (20 or 30 years), knowing that Argentina is not characterized by predictability.
User rights in credit operations
Article 1 of Law 25,093 states: “in the act of signing the deeds transferring ownership, the financial entities included in Law 21,526 must respect the designation of the professionals that the parties have agreed on in the purchase and sale ticket. , observing the provisions of the laws on consumer protection and defense of competition.
What does this mean? That when one buys a property through a bank loan, the notary in charge of the mortgage is appointed by the financial institution. But it is important to note that for the deed of sale, the buyer can choose the professional, either because he knows him before, has references, advised him in previous instances, etc.
It is not a minor fact for times in which we must have the maximum information available and uphold our rights as users and consumers. The role of the notary is key in providing prior advice for an operation so that the credit is secure.
Less taxes
First important fact: the Stamp Tax exemption for real estate sales went from 56 to 205 million pesos in the City of Buenos Aires. It is a qualitative leap, which, translated into dollars, amounts to an operation of just under 200 thousand in US currency.
Second fact to keep in mind: this exemption is for the acquisition of a single, family home for permanent occupation. That is, this benefit does not apply to a second property.
From another perspective, it is still a tax that both the buyer and the seller suffer. And I hope, among all the actors who move the chain, we will find more incentives than discouragements.
This measure, which favors operations in CABA, is added to another 2024 repeal of a national tax such as the ITI (Real Estate Transactions Tax). Law No. 27743, on Palliative and Relevant Fiscal Measuresrepealed this tax that was applied to transfers of ownership for consideration of real estate located in the country.
In short, they are eliminations that facilitate transaction costs. Combined with a growing era of credit, we can speak of a synergy that favors the sector.
More agility
In this new stage of credits we have to learn from the lessons of other years. Under that premise, the key is to streamline portfolio times and work more in parallel, the banks with the professionals who intervene in the transactions, which will generate faster title studies. From the College we designed from the beginning a device focused on this need and we worked closely with the Real Estate Registry of the Federal Capital to accelerate those procedures that make up the previous reports.
That there are no tedious procedures, that the banks are decisive, that the applicant feels that the institutions make their life easier will be a symptom that by working together we can do better things.
President of the College of Notaries of the City of Buenos Aires
Source: Ambito
