Radical change in rental law

[sergio]

The folliowing article discusses a bill before Congress that would radically change laws regarding rentals. http://tiempo.infonews.com/2012/04/...-el-alquiler-de-viviendas-en-todo-el-pais.php

Some highlights:

1) The state would play a major role in rentals. A special department within the Minisstry of Planning would be set up to control rentals.
2) The state, per #1 above, would determine maximum values and the amount of rent increases allowed.
3) All rentals will be a minimum of three years. This would presumably outlaw temporary rentals.
4) All rentals must be denominated in Argentine pesos.
5) The government per #1 will monitor the condition of flats to assure acceptable standards.
6) One month commission only will be allowed to estate agents, not the two which are often required nowadays.
7) All rental properties will be registeded with the rekevant agency as stated in #1.

 

[Matt84]

3) All rentals will be a minimum of three years. This would presumably outlaw temporary rentals.

Now I see why so many "apart-hotels" are being built and offered at "14% /yr returns!

Or this could go Cuba style and "free" accomodation for tourists will be swapped for shampoo, valium, and ipads.

Maybe it IS time to pay a visit to Cuba. I hear there's booming free market up there.

 

[djalexander76]

A minimum of three years sounds outrageous even if this wasn't an economy that had benefited greatly from temporary rentals. If this is true (my Spanish is too poor to understand the details in the article) there may finally be a protest I can participate in!

 

[Matt84]

protest? if passed, owners will simply rent their places under the table, everyone will live in fear and distrust, and that will be the end of it.

 

[surfing]

If I could get a three year lease denominated in pesos it would be the best tuning that ever happened to me in Argentina!

 

[AngelinBA]

As I have a 'local' rental contract for 2 years in pesos, this is good news! Not so for temporary rentals, it seems.
My only concern would be that if the controlling body is part of the 'estado', then all rental contract processes will be slow moving and complicated.

 

[HeyBA]

The rental framework here might really be "cleaned up" if:

- The guarantia system was scrapped, and renters made security deposits instead.

- Landlords could make one year leases in pesos and renew the contracts at the end of the year.

Maybe they shouldn't do anything. I read in the article that 61% of homes in Ciudad de Buenos Aires are owned by the residents, which seems remarkably high to me for a capital, pedestrianized city. Home ownership should be the target policy, so maybe things are working fine. But maybe that 61% figure shouldn't be trusted either.

 

[Ashley]

I think that sounds great! I'm not sure about the 3 years (it seems to tie you in a bit too long for my liking) but it's about time that prices/standards/practices were controlled a bit more.
I've been living next to a building site for almost two years now (in my local rental). We have major damp/dust problems and the owner has done squat! She then had the audacity to raise our rent by over 50% a couple of months ago (and wants to review it in six months). We're stuck between a rock and a hard place because everything else available is just as expensive (and crap) and moving would imply major costs (the two months payable to agents who do NOTHING but show you around the house once included).
I think that provisions will need to be made for the tourist industry though as 3 year contracts just won't work! I do think it's despicable that the prices of short-term rentals are in dollars and owners are being inflexible on that point or charging black-market peso rates though. It doesn't seem fair that some sectors of the local market continue to operate in dollars while the rest of the population has to work for pesos

 

[Bajo_cero2]

4) All rentals must be denominated in Argentine pesos.
.

It is like that nowadays .