Do I need a Real Estate Agent or just an Escribano?

[GS_Dirtboy]

If I'm selling property here do I need to have an inmobilaria in the mix or can I just get my own escribano and do the deal between two parties?

Relatedly, if those two parties happen to have accounts outside of Argentina can they do the money swap between their respective accounts and never have to cross the Central Bank line? Is there a difference if they are Permanent Residents, etc?

Many thanks in advance!

 

[solerboy]

You dont need an agent, but if your property is selling for more than 600,000 pesos you will need a COTI.

You can do this yourself online if you have a Clave Fiscal.

It takes about 10 minutes once you have all the relevant information.

 

[Tourist2008]

Agreed, you don´t need an agent.

The buyer chooses the Escribano and pays the Escribano fee.

Unless you have an extremely accommodating (and appropriately remunerated) Escribano then the money will have to come into the country. Even if you find an Escribano who will accomodate, then the buyer will have a problem when they later come to sell: unless they can find another similar (no money enters Argentina) buyer then they will be unable to get their money out without showing how it came in.

Treading the fine line between economic necessity and the law would lead most locals to suggest that a part enters in blanco and that the balance never touches Argentina. The blanco part would need to be coherent with the COTI. Even in this scenario the buyer will/may encounter a (gains tax) problem when he later sells unless his buyer is also willing to do an equivalent part under the table or offshore.

Todo complicado!

 

[el_expatriado]

You don't want an agent. If you already have a deal in place, then you just need an escribano.

I also recommend you find an escribano and pay a little extra for them to say the funds were paid in Argentina and then do the transaction outside of Argentina. This will save everyone a bunch of headaches.

If you already have the buyer and seller lined up, you can also do the COTI for whatever amount they agree upon because the property won't be advertised in the newspaper (that's what the COTI is for).

 

[GS_Dirtboy]

Ok, so...

If:
1. Both the buyer and seller are outside of Argentina and a deal is in place
2. The deal is for more than $600,000AR (see #1 need below)

Then they need:
1. A COTI for the deal
2. An escribano to say that the funds transferred hands here in Argentina

And if:
1. None, or a portion, of the funds never crosses the Central Bank line

Then:
1. The buyer will need to do the same deal when they sell or have problems with AFIP with any capital gains taxes.

Am I correct?

Is there any advantage to being a Permanent Resident in Argentina?

 

[jez]

If I'm selling property here do I need to have an inmobilaria in the mix or can I just get my own escribano and do the deal between two parties?

No inmobilaria needed, just make sure you trust the Escribano whoever you use

Relatedly, if those two parties happen to have accounts outside of Argentina can they do the money swap between their respective accounts and never have to cross the Central Bank line?

I sold my property just over a year ago (I'm a permanent resident) and had the money transferred from the buyers USA account to my UK account, it wasn't a problem because it was documented in the Escritura that the transaction was done that way... I have since brought the money back into Argentina via the legal channels and purchased another property here without any problems..

"En el momento de celebrar la escritura de venta a mi favor, mediante tranferencia electronica de la cuenta de mi titularidad numero #### del banco #### surcusal ####, dirección en la EEUU a la cuenta indicada por el vendedor indentficada como IBAN #### SWIFT #### cuenta coriente
numero #### sort code #### de titularidad del vendedor del banco #### en la ciudad de ##### en Inglaterra .... " - just make sure the transfer is for the exact amount shown on the escritura and copies of bank documentation will be need to prove this

The biggest issue is does the seller send the money before or after you sign the escritura as the money transfer won't be instantaneous.... one party is going to have to trust the other party or have some extra written contract to make sure it goes smoothly and nobody get screwed...

 

[solerboy]

Ok, so...



Is there any advantage to being a Permanent Resident in Argentina?

If you have short term residency and dont have a DNI you will need a Certificate of Retentions.

This is issued by AFIP and you will need to give it to the Escribano before he can process the transfer.

If you do not have a CUIT you will need to appoint a tax representative to apply for this certificate. The purpose of the certificate is to prove that you have paid all asset and income taxes due for your period of ownership.

If you do not have a CUIT you cannot represent yourself with AFIP and need to appoint someone who is willing to accept responsibility for your tax affairs, this is an onerous and frustrating process, beleive me ive done it.

 

[Iznogud]

Agree with the rest, no realtor needed if you have already found the other party.

Methinks that all this dollar nonsense might not fully apply for funds not located in Argentina and being transfered to other accounts abroad.
As long as values are declared and corresponding sales taxes, etc are covered.

Specially when it comes to transactions between foreigners.

 

[el_expatriado]

No inmobilaria needed, just make sure you trust the Escribano whoever you use

I sold my property just over a year ago (I'm a permanent resident) and had the money transferred from the buyers USA account to my UK account, it wasn't a problem because it was documented in the Escritura that the transaction was done that way... I have since brought the money back into Argentina via the legal channels and purchased another property here without any problems..

"En el momento de celebrar la escritura de venta a mi favor, mediante tranferencia electronica de la cuenta de mi titularidad numero #### del banco #### surcusal ####, dirección en la EEUU a la cuenta indicada por el vendedor indentficada como IBAN #### SWIFT #### cuenta coriente
numero #### sort code #### de titularidad del vendedor del banco #### en la ciudad de ##### en Inglaterra .... " - just make sure the transfer is for the exact amount shown on the escritura and copies of bank documentation will be need to prove this

The language you indicate here is no longer permitted in escrituras. The money now has to be brought into Argentina. This change was made about 6 months ago I believe. Google it.

The biggest issue is does the seller send the money before or after you sign the escritura as the money transfer won't be instantaneous.... one party is going to have to trust the other party or have some extra written contract to make sure it goes smoothly and nobody get screwed...

And yes this is ALMOST the biggest issue. My suggestion is (assuming Dirtboy is the middleman here, trusted by both parties, and arranging the escritura for two foreigners) is to have the seller and buyer sign the escritura, but have the escribano keep all copies of the document. If the money transfer is not made, the escribano destroys the documents. If the transfer is made, the escribano goes forward with the escritura.

The biggest issue is going to be finding an escribano who is willing to do the operation. This will be hard. And they won't charge the typical 1%. You're probably looking at 3-5% for an escribano to agree to all this. It is still going to be cheaper than bringing the funds into Argentina though because they will get pesified at a horrible rate.

Also note: When the buyer decides to sell one day, it would be a good idea for him to be a permanent resident. AFIP may ask the buyer to prove the origin of the funds when he sells the apartment and if he has nothing to show it may be a problem.

 

[earlyretirement]

The language you indicate here is no longer permitted in escrituras. The money now has to be brought into Argentina. This change was made about 6 months ago I believe. Google it.



.

Not exactly true. While some Escribanos won't want to do it as there is a lot of confusion about it.....it's still being done. The last transaction I did a few weeks ago...the Escribano for the buyer told me they weren't sure if it was allowed. So I consulted the Colegio de Escribanos and they said they weren't sure and to consult the Central Bank. No one really knows what is going on so it was allowed by the buyer's Escribano then you can still do it.

Although the Argentina government IS trying to definitely close this loophole. But I did this method as recent as a few weeks ago. All went smoothly.