expat ownership

[rossi]

Hello people

is it possible for expats to own property/assets, run businesses here? any advice on purchasing property for purposes of renovation/investment?

Many thanks

 

[Chaz]

Hia

With a tax number it is possible to buy property here. Unless you get a permanent DNI (which is not easy) it is not easy to sell and you will pay high taxes.

From my own experience I would say it it not a good idea to buy property here, unless you are looking to live here permanently. People may say otherwise , but they are often agents looking to sell.

If you buy here you have to get everything right including the timing, the property itself, state of the building, location, costs which can include "expenses", paperwork , moving the money and there are more. You also need patience and luck. Otherwise it will not be worth it and the odds are stacked against you. Six years ago it was cheap and it was starting from a low base, even if you bought badly it would be worth more now. Today prices are double and could even go down.

If you want to renovate you need to be able to handle workman in a different language and culture.

If you have cash that you can cope with loosing, and you have time and are interested in Argentina it maybe an idea. If you have to borrow the money don't do it.

I have no idea about a business.

This is free advise learnt the hard way!

 

[steveinbsas]

With a tax number it is possible to buy property here. Unless you get a permanent DNI (which is not easy) it is not easy to sell and you will pay high taxes.!

Even a tourist with a passport can get a tax number (CDI). Temporary residency makes one eligible for a DNI. The annual wealth tax is somewhat lower for those with a DNI (zero if property is valued less than $305,000 pesos). Foreigners without a DNI pay a higher rate (from zero), but it's still only about 1.25% (certainly less than property taxes in the US). It is clearly better to have a DNI (based on temporary or permanent residency) when you sell.

From my own experience I would say it it not a good idea to buy property here, unless you are looking to live here permanently. People may say otherwise , but they are often agents looking to sell.!

If you plan to move here to live in the future I think the present is still a good time to buy. 25% inflation in Argentina is not likely to lead to a decline in prices, even in dollars. I never bought property because of anything an agent said. I researched on my own and found the properties I wanted to buy. I discovered having a "good" agent is even more important when you want to sell than when you want to buy! Perry is the best I've found at both.

If you buy here you have to get everything right including the timing, the property itself, state of the building, location, costs which can include "expenses", paperwork , moving the money and there are more. You also need patience and luck. Otherwise it will not be worth it and the odds are stacked against you. Six years ago it was cheap and it was starting from a low base, even if you bought badly it would be worth more now. Today prices are double and could even go down.!

For prices to double in five years they ony need to increase at 15% per year. Inflation is undoubtedly higher. Prices may not keep pace with inflation but I don't think they are likely to decline. The prices of six years ago certianly look cheap when viewed with hindsight. Monthly building "espenses" can increase dramatically unless you buy a PH or a house. I know this from experience.

If you want to renovate you need to be able to handle workman in a different language and culture.!

This is so very true. One expat imported her "own" architect (I believe he was Mexican) but still paid double what she "should" have to remodel and apartment that has been for sale now for about three years. The key is finding ONE good "contractor" and networking from there. I found a good electrician (who charged me the "local" rates where I now live) and asked him about other workers. Everyonehas treated me fairly (and I do speak the lingo).

If you have cash that you can cope with loosing, and you have time and are interested in Argentina it maybe an idea. If you have to borrow the money don't do it.!

I't's highly unlikely you will lose everything or even a significant percentage of it, but I suggest you keep Chaz's advice in mind at every step of the process.

I have no idea about a business.!

Read Davidglenn77's thread about his business: Buenos Aires - not for the faint hearted

This is free advise learnt the hard way!

This is also free advice learned from experience: one apartment (2006), one PH (2009), and one house (2010)...with no regrets.

 

[jb5]

I'd probably wait to see how things shake out after October's election. The run up in prices, according to many knowledgable sources, is a result of Argentine's putting what money they have into real estate ahead of the next crash. Real estate prices dropped significantly after the last one. If you believe there will be a crash every dozen years or so, it won't be long.

 

[fred mertz]

Just never forget; you're not in Kansas, any more. I bought my apartment exactly 8 years ago (Happy anniversay, Fred. Thanks, I guess) I didn't have a DNI than and don't have one now. I have no plans to sell. About opening a business? I'd probably opt for Tripoli.