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Yes, the analysis of Buenos Aires' property market is included in our pack
President Javier Milei's economic reforms have fundamentally reshaped Buenos Aires' real estate landscape since taking office in December 2023.
The combination of deregulation, currency liberalization, and the elimination of rent controls has created a dynamic but complex market environment that offers both significant opportunities and notable risks for property investors and residents alike.
If you want to go deeper, you can check our pack of documents related to the real estate market in Argentina, based on reliable facts and data, not opinions or rumors.
Milei's reforms have triggered a dramatic revival in Buenos Aires real estate, with transaction volumes surging 47% and foreign investment doubling in premium neighborhoods.
While nominal prices have increased significantly, inflation-adjusted values remain depressed, creating unique opportunities for dollar-based investors.
| Market Aspect | Change Since Milei's Reforms | Impact on Investors |
|---|---|---|
| Property Prices (Nominal) | +38.9% year-over-year (US$355,000 median) | Strong gains for early investors |
| Transaction Volume | +47.3% surge in activity | Increased liquidity and opportunities |
| Rental Supply | +170-212% increase in listings | Better rental investment options |
| Foreign Investment | Now 15-20% of luxury transactions | Growing international competition |
| Mortgage Availability | Tripled in 2024 | Enhanced financing options |
| Dollar Transactions | Now legally permitted | Currency stability for investors |
| Real Values (Inflation-Adjusted) | -70% decline | Potential value opportunities |
What specific changes in property prices have been observed in Buenos Aires since Milei took office?
Property prices in Buenos Aires have experienced a sharp nominal increase of 38.9% year-over-year, with the median sale price reaching US$355,000 by April 2025.
Premium neighborhoods are leading this surge, with Puerto Madero properties now exceeding US$5,900 per square meter and Palermo surpassing US$3,100 per square meter. These figures represent some of the strongest price growth seen in Buenos Aires in over a decade.
However, when adjusted for Argentina's high inflation rate, real property values have actually declined by approximately 70% since the reforms began. This creates a complex market dynamic where nominal prices appear strong but inflation-adjusted values suggest potential bargains for buyers with stable currency access.
Popular neighborhoods like Palermo have seen specific increases of about 9% year-over-year in peso terms, while the broader market benefits from renewed confidence and increased transaction activity.
The price increases are primarily concentrated in areas attractive to foreign investors and affluent local buyers, while peripheral neighborhoods show more modest growth patterns.
How have rental prices in different neighborhoods of Buenos Aires shifted under Milei's reforms?
The elimination of rent controls has fundamentally transformed Buenos Aires' rental market, creating dramatic shifts in both supply and pricing across neighborhoods.
| Neighborhood | Average Monthly Rent (Pesos) | Market Position |
|---|---|---|
| Puerto Madero | 1,000,000+ | Premium luxury market leader |
| Palermo | 750,000-900,000 | High-end expat favorite |
| Belgrano | 600,000-750,000 | Upper-middle residential |
| San Telmo | 500,000-650,000 | Historic tourist area |
| Villa Crespo | 450,000-600,000 | Emerging gentrification zone |
| Lugano | 357,000 | Most affordable option |
| Barracas | 400,000-500,000 | Working-class transitional |
The most significant change has been a 170-212% increase in rental listings as landlords who previously kept properties vacant due to rent controls have returned to the market. While asking rents in pesos have increased by over 50% for new contracts, real rent prices have actually dropped 27-40% when adjusted for inflation.
Are foreign investors buying more property in Buenos Aires since the reforms began?
Foreign investment in Buenos Aires real estate has doubled since Milei's reforms took effect, with international buyers now representing 15-20% of luxury real estate transactions in premium neighborhoods like Palermo and Puerto Madero.
The introduction of the RIGI (Large Investment Incentive Regime) program has streamlined property purchase procedures for foreign investors, reducing bureaucratic barriers that previously deterred international capital. Currency liberalization allowing dollar-based transactions has made Buenos Aires particularly attractive to foreign buyers.
Compared to other Latin American capitals, Buenos Aires properties remain 25-30% cheaper per square meter than Santiago or Montevideo, making returns on mid-range and premium properties especially attractive to international investors with stable currency access.
The combination of favorable pricing, legal reforms, and currency stability measures has positioned Buenos Aires as an emerging hotspot for foreign real estate investment in South America.
It's something we develop in our Argentina property pack.
What has happened to the volume of real estate transactions compared to last year?
Real estate transaction volumes in Buenos Aires have surged dramatically, increasing by 40-47% year-over-year since Milei's reforms were implemented.
This surge represents one of the most significant increases in market activity Buenos Aires has experienced in recent years, driven by a combination of renewed investor confidence, improved mortgage availability, and the return of both local and foreign buyers to the market.
The increase is particularly pronounced in premium neighborhoods where foreign investment is concentrated, but even middle-market segments are showing robust transaction growth as local buyers with capital shift from cash savings to real estate investments.
Market liquidity has improved substantially, with properties that previously sat on the market for months now selling within weeks in desirable neighborhoods.
The transaction volume increase has been supported by the tripling of mortgage-backed home purchases in 2024, providing additional financing options for qualified buyers.
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How are local buyers responding to the reforms—are they buying, selling, or holding off?
Local buyers with available capital are generally returning to the Buenos Aires real estate market, shifting money from cash savings and dollar holdings into property investments.
Affluent Argentine buyers are taking advantage of the improved market conditions and increased property availability, particularly in established neighborhoods where they feel confident about long-term value retention.
However, middle-income residents face a more complex situation, with many still holding off due to income stagnation and rising ancillary costs like building maintenance fees (expensas) and utilities.
Local buyers are particularly active in the resale market, where they can negotiate better prices and avoid the premium associated with new developments targeted at foreign investors.
The availability of peso-denominated mortgages has enabled some local buyers to re-enter the market, though high interest rates continue to limit accessibility for many Argentine families.
What are banks and lenders doing with mortgage availability and interest rates in Buenos Aires?
Mortgage availability in Buenos Aires has improved dramatically, with the number of new mortgage-backed home purchases tripling in 2024 compared to the previous year.
Banks have resumed lending after years of limited mortgage activity, though most offerings remain restricted to Argentine residents with documented income and established banking relationships. Non-resident lending is still extremely limited and typically requires substantial down payments.
Interest rates remain elevated due to Argentina's macroeconomic instability, with peso-denominated mortgages carrying rates between 40-60% annually, making them primarily suitable for buyers who expect continued peso devaluation.
Dollar-denominated lending is emerging for high-net-worth individuals but remains scarce and typically requires significant collateral beyond the property being purchased.
The improvement in credit availability represents a significant shift from the previous administration, when mortgage lending had virtually disappeared from the Argentine banking sector.
Have Milei's reforms changed the demand for commercial versus residential real estate?
Residential real estate continues to dominate investor interest in Buenos Aires, particularly premium residential developments and established properties in desirable neighborhoods.
Commercial real estate is still recovering from years of economic stagnation, with most growth concentrated in retail spaces in high-traffic tourist areas and office buildings in Puerto Madero and other premium business districts.
The RIGI program is expected to channel more foreign capital into larger infrastructure and commercial projects over the longer term, but immediate impact has been limited compared to residential market activity.
Retail commercial properties in neighborhoods with strong foot traffic, such as Palermo Soho and San Telmo, are beginning to see increased investor interest as tourism recovers.
Industrial and warehouse properties remain a smaller segment of the market, though logistics facilities serving e-commerce and export sectors are starting to attract specialized investors.
Which neighborhoods are seeing the strongest growth and which ones are struggling?
The strongest growth is concentrated in Buenos Aires' premium neighborhoods, led by Puerto Madero, Palermo, and Belgrano.
1. **High-Growth Neighborhoods:** - Puerto Madero: Leading luxury market with prices above US$5,900/m² - Palermo (all sub-districts): Strong foreign demand, prices over US$3,100/m² - Belgrano: Established residential area with consistent growth - Palermo Soho: Emerging as top Airbnb investment location - Villa Crespo: Rapid gentrification attracting young professionals2. **Stable Moderate Growth:** - Recoleta: Traditional luxury area maintaining steady demand - San Telmo: Tourist appeal driving rental investment - Barrio Norte: Professional class residential stability3. **Struggling Areas:** - Peripheral neighborhoods with limited infrastructure - Lower-income areas seeing slower price appreciation - Industrial zones without residential conversion potentialThe disparity between neighborhood performance reflects broader economic trends, with areas attractive to foreign investors and affluent locals significantly outperforming working-class districts.
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How are construction permits and new development projects being affected by the reforms?
Deregulation has significantly stimulated new development activity in Buenos Aires, with increased permit applications for both residential and commercial projects, particularly in higher-income neighborhoods.
The removal of various taxes and simplified regulatory procedures have incentivized developers to launch projects that were previously on hold due to bureaucratic constraints and economic uncertainty.
New construction is primarily concentrated in areas with strong foreign investment demand, including Palermo, Puerto Madero, and emerging gentrification zones like Villa Crespo.
Developers report shorter approval times for permits and reduced regulatory friction, though infrastructure limitations in some areas continue to constrain development potential.
The construction sector is benefiting from both increased domestic confidence and foreign capital inflows, with several major residential and mixed-use projects announced since the reforms began.
What impact are the reforms having on foreign currency rules and property purchases in dollars?
Milei's currency liberalization has fundamentally transformed property transactions in Buenos Aires by allowing prices and rents to be legally negotiated in US dollars for the first time in years.
The elimination of previous currency controls means foreign buyers can now complete transactions entirely in dollars without the complex parallel market exchanges that previously characterized international real estate purchases.
Property listings are increasingly quoted in US dollars, providing price stability and transparency that appeals to both foreign investors and locals with dollar savings.
The peso devaluation has made Buenos Aires real estate significantly more attractive to foreign buyers purchasing with stable currencies, effectively reducing property costs by the devaluation percentage.
It's something we develop in our Argentina property pack.
Are real estate agents and developers reporting higher confidence in the market than before?
Market sentiment among Buenos Aires real estate professionals has improved markedly since Milei's reforms, with agents and developers reporting significantly higher confidence and business activity compared to previous years.
Real estate agencies report substantial increases in both buyer inquiries and completed transactions, with many agents describing 2024-2025 as their busiest period in over a decade.
Developers express renewed optimism about launching new projects, backed by improved access to financing and clearer regulatory frameworks that reduce project risk.
The combination of increased foreign investment, improved mortgage availability, and currency stability has created a positive feedback loop that reinforces professional confidence in the market's direction.
Industry professionals consistently report that the market feels fundamentally different from the stagnant conditions that prevailed under previous administrations, with sustainable momentum rather than speculative bubbles.
How do today's returns on Buenos Aires real estate compare with other Latin American capitals?
Buenos Aires real estate offers compelling returns compared to other major Latin American cities, primarily due to its significantly lower entry costs and potential for appreciation.
| City | Average Price per m² (USD) | Rental Yield Estimate |
|---|---|---|
| Buenos Aires | $2,800-5,900 | 6-8% |
| Santiago, Chile | $3,600-7,800 | 4-6% |
| Montevideo, Uruguay | $3,200-6,500 | 5-7% |
| São Paulo, Brazil | $3,000-8,000 | 4-6% |
| Mexico City, Mexico | $2,200-5,500 | 5-7% |
| Lima, Peru | $1,800-4,200 | 6-9% |
| Bogotá, Colombia | $1,600-3,800 | 6-8% |
Buenos Aires properties remain 25-30% cheaper per square meter than comparable properties in Santiago or Montevideo, while offering similar or higher rental yields in premium neighborhoods. The combination of lower acquisition costs and potential for currency-driven appreciation makes Buenos Aires particularly attractive for international investors.
It's something we develop in our Argentina property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Milei's reforms have created a unique window of opportunity in Buenos Aires real estate, combining increased market activity with inflation-adjusted value opportunities.
While nominal prices are rising rapidly, the underlying economic dynamics suggest this market transformation is still in its early stages, potentially offering significant returns for informed investors.
Sources
- The LatinVestor - Argentina Price Forecasts
- Cato Institute - Milei Ended Rent Control
- Rio Times Online - Argentina's Real Estate Revival
- The Wandering Investor - Buenos Aires Real Estate Market
- Reddit YIMBY - Buenos Aires Rents Analysis
- Friedrich Naumann Foundation - Milei's Economic Policy
- BA Times - Buenos Aires Rent Increases
- WSC Legal - Argentine Real Estate 2025
- BA Times - Mortgages Triple Under Milei
- Buenos Aires Herald - Investment Citizenship Program