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

[earlyretirement]

Just keep in mind for what I wrote above that the buyer definitely has to have those assets/funds declared if you want to write it on the title deed.

For example, the buyer above was a Porteño but he had his funds offshore. Fortunately he was the odd/rare type that did declare all his assets offshore out of Argentina so he agreed to doing it this way.

But I have a friend that also closed a few weeks ago. Although she got paid abroad in the UK, they just put in the title deed the buyer (also a Porteño) paid the funds in cash.

But as I mentioned in another post..the real problem going on or that will become a big problem is AFIP's starting to question where the funds were coming from and seeing how much the buyers have paid in the past decade in income tax and also how much they declared they made. That's the biggest problem for the real estate market heading into the future since so many locals don't declare all of their income/assets.

 

[GS_Dirtboy]

But as I mentioned in another post..the real problem going on or that will become a big problem is AFIP's starting to question where the funds were coming from and seeing how much the buyers have paid in the past decade in income tax and also how much they declared they made. That's the biggest problem for the real estate market heading into the future since so many locals don't declare all of their income/assets.

Ok, to be clear ... a foreign buyer will need to provide tax info to AFIP or is this only for Argentines?

 

[el_expatriado]

A foreign buyer of real estate needs to get a CDI number and once per year needs to pay "bienes personales".

When he sells the apartment he will also need to prove what it was used for.

 

[earlyretirement]

Ok, to be clear ... a foreign buyer will need to provide tax info to AFIP or is this only for Argentines?

No, foreign non-residents don't need to show any tax information from their home country to AFIP. However, when I bought a few of my properties and I was bringing in the funds in white, one of the money transfer firms asked to see copies of my USA tax returns along with some other things. Just so they were in compliance with anti-terrorist and anti-money laundering laws in Argentina.

But to my knowledge, AFIP never saw this.

 

[el_expatriado]

No, foreign non-residents don't need to show any tax information from their home country to AFIP. However, when I bought a few of my properties and I was bringing in the funds in white, one of the money transfer firms asked to see copies of my USA tax returns along with some other things. Just so they were in compliance with anti-terrorist and anti-money laundering laws in Argentina.

But to my knowledge, AFIP never saw this.

I believe the escribanos are required now to ask you about the origin of the funds when you buy the property. I remember filling this out when I bought my last property. You have to say where you got the money from. I was not required to provide proof, however. That may have changed. It seems like the rules for the property market change every 6 months or so. It is hard to keep up with all the new rules.

 

[earlyretirement]

I believe the escribanos are required now to ask you about the origin of the funds when you buy the property. I remember filling this out when I bought my last property. You have to say where you got the money from. I was not required to provide proof, however. That may have changed. It seems like the rules for the property market change every 6 months or so. It is hard to keep up with all the new rules.

Yes, that's right el expatriado. They do ask about the origin of funds. Some white money exchange firms are more strict than others when it comes to what all you have to show. I have several friends that also purchased, and they too had to show tax returns from their home country in order to open an account as well as C.V. and some other details.

Honestly, the right hand doesn't know what the left hand is doing and the laws are always changing. No one really knows what the laws really are anymore. Even the Colegio de Escribanos! It's not no one wants to give any definitive answers. And forget about AFIP as there are many different offices and when you ask 3 different offices answers, you can get 3 different answers.

My own Escribano told me that it wasn't possible to get paid abroad anymore (as of a few months ago). But when I actually went to inquire with the various entities, no one really knew so I guess it all boils down to the Escribano conducting the transaction (selected by the buyer).

As mentioned, as of a few weeks ago...it was still possible to get paid abroad. On the Escritura it even has the bank account # of where the funds were going. But I suspect Argentina will quickly close that loop hole as well.

But many locals have accounts overseas in Uruguay, USA, and Europe. So in many transactions, you're still seeing on the Escritura it says the buyer paid in cash yet the funds were wired abroad.

 

[el_expatriado]

As mentioned, as of a few weeks ago...it was still possible to get paid abroad. On the Escritura it even has the bank account # of where the funds were going. But I suspect Argentina will quickly close that loop hole as well.

But many locals have accounts overseas in Uruguay, USA, and Europe. So in many transactions, you're still seeing on the Escritura it says the buyer paid in cash yet the funds were wired abroad.

Would you be so kind as to send me a PM of the escribano who was able to do that transaction? I'd very much like to know. I'm sure dirtboy would like to know also.

 

[earlyretirement]

Would you be so kind as to send me a PM of the escribano who was able to do that transaction? I'd very much like to know. I'm sure dirtboy would like to know also.

Let me email him first to see if he wants it known that he is doing this.... I don't have permission to release his name so I'll ask him first...if he doesn't object, I'll send you a PM.

But he might not want the attention. In the deal I'm talking about his client was a high profile CEO in Buenos Aires.

 

[solerboy]

Any non residents selling property may find this useful

http://buenosairesstay.com/buenos-a.../non-residents-selling-property-in-argentina/

 

[el_expatriado]

Any non residents selling property may find this useful

http://buenosairesstay.com/buenos-a.../non-residents-selling-property-in-argentina/

Selling property as a non-resident is a nightmare. Anyone who is thinking of owning property in Argentina should try and get a DNI so they can avoid this process when they go to sell. Ideally they should have the DNI when they buy.

When my father (a non-resident) sold his property here we were able to avoid all the taxes by justifying to the AFIP that I was living in the apartment. But otherwise he would have had to pay a crazy amount of taxes... like 30% or so of the selling price of the apartment.