Rent in Dollars

[Rich One]

Life may get complicated with a law suit from the landlord and /or an eviction process based on trumped charges.

garryl nailed it!

You were free NOT to sign the contract in dollars. Likely, you wouldn't have a place now.

Quite true Iz .

1. A landlord must Wait a while (with an empty place) to find a tenant willing to pay in dollars in the USA..!
2. Then confirm the contractual obligation by having it sealed by an Escribano..(It's not a secret under the table deal.!).
3. The mentioned landlord must have been twice as happy to receive the first payment in greenbacks.
4. Now when he receives payment in pesos at the Official rate must be distressed, since dollar payments contracts can't be enforced?
5. It's a win-lose situation

Life may get complicated and costly with a law suit from the landlord and /or an eviction process based on trumped charges.

The landlord may find legal causes to rescind the contract , you would face a moving cost , and new contract expenses

Maybe a more convenient Exchange rate between the Official and the Blue rate can be agreed on ..! to share profits..!
Life may get complicated with a law suit from the landlord and /or an eviction process based on trumped charges.

 

[jblaze5779]

It's in my lease though that I can pay in pesos... I can understand that they're bummed I'm not sending dollars to them but I don't see how I can be sued. I'm only exercising options written in the contract. Also, how would they sue me based on a contract that I'd possibly illegal?

Thanks for the help

 

[Ceviche]

Life is very easy if one pay in USD...no increase of rent..Its a win win.

However, there will be some stupid land lord who may come to u after 5 years of receiving same usd rent in last 5 years and say " you never increased the rent in last 5 years and I did u a big favor" not realizing that his rent was increasing daily.

 

[Weyland]

They aren't going to sue you. Why would they expose their own tax evasion?

I agree that paying in USD can be easier for everyone involved, but as you said you are now paying 30% extra if you pay in dollars. The negotiation would have different.

The contract said you could pay the equivalent. You did it. Why is it such a problem for the landlord, why does he need someone to tell him that a rent payment might arrive to an account he provided to you to receive payment? Sounds like he thought he could get away with you paying him in dollars throughout the whole contract. I understand there are lots of fees and taxes, but he can simply build them into the contract and pay the taxes.

 

[Weyland]

Paying in dollars makes sense. Your rent is constant, it can be the same for years, and you can find a nicer place with dollars.
With the inflation at 30% and great uncertainty, why landlords have to be exploited by tenants. (I am not a landlord in Argentina).
If the landlords are screwed, tenants will not last long. it has to be win win scenario. It is not easy for landlords in Argentina,
low return, expensive/difficult repairs, high taxes, weak market, high ,monthly expense. If you are a gringo, have dollars, why not help your landlord and yourself, with a reasonable rate in dollars. It's a good thing.

It's true, it's not easy for landlords in Argentina, but they can build safeguards into the contract instead of demanding payment in dollars to a foreign account which won't be taxed.

If their return is low then they should offload the asset and put their money somewhere else. No one is forcing them to be a landlord in Argentina. They can open a brokerage account in Miami with the proceeds of their sale and get a 5% dividend from a low beta stock like GM.

 

[jblaze5779]

They aren't going to sue you. Why would they expose own their tax evasion?

I agree that paying in USD can be easier for everyone involved, but as you said you are now paying 30% extra if you pay in dollars. The negotiation would have different.

The contract said you could pay the equivalent. You did it. Why is it such a problem for the landlord, why does he need someone to tell him that a rent payment might arrive to an account he provided to you to receive payment? Sounds like he thought he could get away with you paying him in dollars throughout the whole contract. I understand there are lots of fees and taxes, but he can simply build them into the contract and pay the taxes.

She said "we have things to pay for in Miami". My girlfriend (American) is too kind hearted for this place. She wanted the landlord to understand pesos were coming this month. She speaks Spanish but not on a level to understand all these contractual nuances. So we're relied on the handlers to explain the upcoming change in deposit.

I'm more concerned about how this impacts our relationship while I rent. We had a very good relationship with my previous landlord and counted on him a few times when the upstairs neighbor's bathroom would leak through our ceiling, or when our toilet would start flooding the bathroom.

I often suspect the locals think I just got here and they can pull things over on me without issue.

 

[Weyland]

I'm more concerned about how this impacts our relationship while I rent. We had a very good relationship with my previous landlord and counted on him a few times when the upstairs neighbor's bathroom would leak through our ceiling, or when our toilet would start flooding the bathroom.

I often suspect the locals think I just got here and they can pull things over on me without issue.

That is true. I think being firm, but polite is your best bet. You shouldn't be bullied into paying dollars when they specifically told you that you could pay in pesos at the current rate.

 

[Iznogud]

Local Landlord A likely invested a lot in getting a nice bungalow. It´d be nice to be able to keep it.
Where landlord A lives currency is Ice Cones. Ice cones are don´t last long.
Landlord A has a nice bungalow for rent only to people who use Toad Skins as currency. Toad Skins are easy to store and keep.
People who use Toad Skins as currency are often offered better living quarters and in better locations than those who eventually become PITA and use Ice Cones as currency. Those usually are in the market for huts, not bungalows.

You must understand A likes Toad Skins and under his conditions you can rent his bungalow. If you are in the market for bungalows but are willing to get the best deal you can possibly find using Ice Cones you should understand those are not Landlord´s A conditions and he doesn´t care to rent under those rules. He doesn´t want you to become a greater risk (no local roots) than any of those in the other market, being offered huts instead of bungalows.

So as long as you guys understand the rules of the market and where you stand in it, there should be no confusion or surprises. Foreigner= USD and some perks regarding the place. Locals pay in pesos but hardly get access to the same locations.

Iz

 

[Weyland]

If a landlord makes it clear up front that he is only willing to take USD that is fair. However, in jblaze's situation it sounded like the landlord said he could pay in pesos and then complained when he did so.

 

[jblaze5779]

It's in the lease. I'm not saying they agreed to it... But they signed the lease also so I'm guessing they agreed to it.