Argentina is expensive. Really don't know how middle class here get by

[Phatbuddha]

$1.5MM barely buys you a starter home in Santa Monica or Venice.

Yes... Going of the scale ... maybe good idea to start selling in L.A

 

[rickulivi]

When I was 24, and married, I lived with my wife, with my parents, in their home. So did my bachelor brother. That’s one way we got by. And when we were finally able to buy our own place, it was only 300 ft2. Tiny but ours. It’s amazing how you can enjoy life with little. Now that I have a lot, I also enjoy life. Whether you have more or less, I think attitude is key. We Americans tend to overvalue stuff, I think. In California, I live in a big house with a thousand drawers, a huge attic and a huge 3 car garage. I forgot: three refrigerators also. Every single space available is full of stuff. Often it is difficult to open drawers because they are so full of stuff, they get jammed. In Buenos Aires, I live in an apartment one third the size of my home in CA. It has fewer drawers and few closets. They are all full, of course. But, having less stuff in BA does not affect the quality of my life there. I grew up with three shirts in my closet. Now, I have so many that many are in un opened packages. Conclusión: Argentines live with less but can still be happy. In America, we live with tooooo much stuff, but we can also be happy. You can get by with so little and still be happy.

 

[camberiu]

Ecomically developed as they certainly are, they may also be socially and emotionally underdeveloped.

it would be interesting to compare the rates of domestic violence, rape and femicides between Argentina and those allegedly rich but less socially and emotionally developed nations.

 

[Stantucker]

it would be interesting to compare the rates of domestic violence, rape and femicides between Argentina and those allegedly rich but less socially and emotionally developed nations.

I feel like on this website there are so many binary discussions when it comes to the US and Argentina, one is good and the other is bad, one is economically developed but the other is not but more socially and emotionally developed. We tear down one to build up the other and it works both ways.

 

[Ries]

I feel like on this website there are so many binary discussions when it comes to the US and Argentina, one is good and the other is bad, one is economically developed but the other is not but more socially and emotionally developed. We tear down one to build up the other and it works both ways.

I actually live in both, every year. And I like em both. Just for different reasons. I dont think one is "better". I think one has cheaper Iphones, the other has cheaper public transportation.
I have really good friends in both places.
I routinely run into honest, friendly people in both places.

In any country, you need to adapt to how things work there- as Ken Kesey once said- "Dont push the River- It Flows".
In any country, you can be robbed, or treated with kindness.
In any country, you can find things you like and things you dont.

 

[Rich One]

I feel like on this website there are so many binary discussions when it comes to the US and Argentina, one is good and the other is bad, one is economically developed but the other is not but more socially and emotionally developed. We tear down one to build up the other and it works both ways.

It's a Boca v7s River... a lack of respect to posters from other countries, -Canada, UK, etc. As the USA was the supreme standard to measure all other countries..?

 

[Fiscal]

Well, virtually nobody in Argentina has a mortgage.
But, certainly, a lot of people, in fact, "most", pay rent.
Be they Argentine or Expat, they pay rent.

Certainly, I know a lot of argentines who live in family owned apartments rent free- but they are far from "most".
I know a fair amount of younger people from the art and music scenes- and they almost all pay rent.
With guarantias, they pay much less rent than an expat would, and many have what you would consider below market deals on rent, due to family connections, long time rentals, or living in unfashionable neighborhoods- but they pay rent.
Outside of Palermo or Recoleta, rents and sales prices are much less.

What amazes me is how much they spend on beer.
Artesenal beer is not cheap here- 150 pesos a pinta is not uncommon these days. And there are new beer joints popping up every week, and they are all full.

Another good point. Beer seems expensive here!

 

[Fiscal]

Because a lot of things are upside down in Arg, having the equivalent to a masters degree, and very high levels of education would not guarantee that you will be making very good money in dollar terms here. This is the reason why some professionals and scientists leave the country. The ones that remain get creative and usually have more than one job at a time. Populism and some unions caused an imbalance between professionals and workers who sometimes earn a lot more in money terms.

So when you wonder how do they do it, bare in mind that a lot of people have more than 2 jobs, or a regular job and a side project, etc.

Argentina is cheap for expats due to recent devaluation of about 100%. It is certainly not cheap for locals, earning pesos and having goods and services tied to dollar rates.

A maid or nanny are affordable, until you get sued. You need to be very aware of labor rights and how this work in Argentina. This is one of the big reasons why a lot of foreign companies are reluctant about investing here.

Some people buy nicer clothes or brand name clothes at malls, etc and they are expensive, but a much larger number buy no name clothes in smaller stores, fairs, etc. I actually got myself 4 t shirts @ 250 pesos each ( nice quality, don't shrink, etc )

Middle-middle class does not have the same mindset and expectations than their middle class peers have in the US: they rent or own their home because they inherited it mostly, they go on vacation a lot of the times sharing the cost of renting a vacation house with another family or two their friends with, or with relatives, so they split the costs. They like to go out to restaurants, but are equally happy if they can cook a nice asado at home and chill with friends. They might do the fancy restaurant thing for an anniversary, etc, but in hard times such as these, they will just go for a coffee when they go out.

We have been through so many crisis that people are used to adapting to getting less for their money.

Many single middle class people in their lat 20s or even 30s still live with their families, so they can spend some more on clothes and entertainment.

They overall quality of a lot of the goods and services that are locally produced in general is not good, but mediocre. There are many exceptions. If you talk deeply with some small industry owners, you will understand why: they do not invest, they try to profit as much as they can selling crappy stuff because they know the country is unstable, one day you get flooded with imports, the next imports are banned and you can only buy local stuff. So if the later they make money, when it turns around they all go broke ( current case scenario )

A lot of the upper middle class here are land owners, that are involved in one way or another in exports. So they buy expensive cars and properties. You also have actors, politicians, judges, sport players, narcos, and friends of those in charge of the administration, that get the chance to work for the federal administration or get juicy contracts to provide services in one way or another.

Hope I was able to shed some light.

Yes thank you!

 

[Aztangogirl]

Another good point. Beer seems expensive here!

But wine is really cheap !!!!

 

[Voiceofreason]

Haven’t read everything, but i think what you are getting at is that people don’t save here. Imagine you lived pay check to pay check in the US with only your 401k to fall back on. You would be poor instantly at retirement. That’s what happens here. Also, people have subsidized living as a local. They have discounts for everything using credit cards. They also can live with their parents until their 30s or get money from them. It’s a dependant lifestyle. Either on the State or the family.