Rentals. The most controversial points of the law that the Senate could approve

[gracielle]

Does anyone know if this be applicable on current contracts or only new contracts?

Next it will be sent to the National Legislature for treatment. When eventually it receives final approval it will apply to new contracts as soon as it is published in the Official Bulletin.

 

[gracielle]

Next it will be sent to the National Legislature for treatment. When eventually it receives final approval it will apply to new contracts as soon as it is published in the Official Bulletin.

Correction, my answer should have read: When signed into law by the President, it will apply to new contracts as soon as it is published in the Official Bulletin.

 

[sts7049]

i'm in the process of signing a renewal now. my company needs to hurry up and finish to avoid this.

 

[antipodean]

Correction, my answer should have read: When signed into law by the President, it will apply to new contracts as soon as it is published in the Official Bulletin.

Thanks.

I don't think most of these new rules are too dissimilar from most countries or too unreasonable as they actually help to avoid a housing crises or the truly bizarre phenomenon of working people who end up homeless due to being squeezed out of rental markets. Most investment properties are sold on as investment properties so the tenant and contract just go with it. I also like that the tenant is required to give a longer notice period than currently which is logical considering the time to list and procure a new tenant to reasonably avoid being out of pocket.

The thing I still find strange is needing both a deposit and a guarantee - for me it should be one in the same to cover the owner for any type of damages.

The fact that Bank Guarantees or insurance must now be accepted should now make it easier for foreigners who are apartment hunting. Many I know who do not have an Argentine guarantor end up in over priced short term rentals or Airbnb hopping.

 

[gracielle]

This is where the objection may arise from some owners:
6) Registration of contracts. According to the text, the location contracts must be reported to the Federal Administration of Public Revenue of the Nation (AFIP) within the terms established by the agency. According to Muñoz, this brings transparency to the relationship between landlords and tenants, but according to Abatti it can cause inconvenience and delays in eviction processes.

 

[antipodean]

Many owners will have an objection to:
6) Registration of contracts. According to the text, the location contracts must be reported to the Federal Administration of Public Revenue of the Nation (AFIP) within the terms established by the agency. According to Muñoz, this brings transparency to the relationship between landlords and tenants,
This is where the objection may arise from some owners:
....but according to Abatti it can cause inconvenience and delays in eviction processes.

I bet! They will just declare 50%. "Official" data on average rent prices will fall overnight, painting a great success story and victory for the tenants of this proud nation.

 

[gracielle]

I bet! They will just declare 50%. "Official" data on average rent prices will fall overnight, painting a great success story and victory for the tenants of this proud nation.

You got it!

 

[gracielle]

https://www.infobae.com/economia/20...quilinos-y-propietarios-sobre-la-nueva-norma/
17 June 2020
Last week, the Rental Law was passed in the Senate, which would regulate new contracts between tenants and owners.
The new standard incorporates several changes. Among the most important, it appears that the duration of the contracts extends to three years, the values of the rents increase once a year with a compound index of 50% of inflation measured by the INDEC and 50% for the evolution of wages and the options of guarantees that can be presented are expanded.

However, some doubts still remain about how the new scheme will be implemented. Here are some frequently asked questions and answers between tenants and landlords.

From the real estate sector they warn that the prices of rents in recent years have been rising below inflation. According to the indexes of the Zonaprop property platform, in 2018, Buenos Aires rents grew 35%, while inflation was 47.6%. In 2019, rents rose 33% against inflation of 54.5%.

The increase in rents will be applied once a year, when until now it was done every six or four months, according to each contract. “The increase on an annual basis has several problems. Because it can increase a lot from year to year when income hardly accompanies that jump. It is not spliced with income ”, warned economist Federico González Rouco, who specializes in housing issues.

The tenant will not be in charge of paying property taxes, such as the ABL or the ARBA real estate tax, nor the payment of extraordinary common expenses, something that was already taking place in the facts. However, the differentiation between ordinary and extraordinary expenses can be a point of conflict.

“It depends on how they are settled, how each administrator takes it. It should be clarified very well and exhaustively that each can be included in the regulations, "said José Rozados, director of Real Estate Report. Another risk is that these costs end up being transferred to the final rental price.

According to the sanctioned rule, the landlords must accept as guarantee any of the following options: real property title, bank guarantee, surety bond, or joint guarantee or personal guarantee of the tenant (salary receipt or income certificate that can join in case of being more than one tenant).

In this case, the problem may be that it is not clear how the owner is obliged to accept them. You can directly refuse to sign the contract - even for another reason - if the type of guarantee does not convince you. “The extension of guarantees is a huge advance. However, it is discretionary, the owner is not obliged to accept, "said González Rouco.

Although the law was sanctioned, it was not yet regulated. Therefore, the previous law remains in force. The changes may only be applied the day after the regulation is published in the Official Bulletin and for new contracts. In other words, the new law will apply to tenants who start a new contract.

The contracts that expire in these months are covered by Decree 320/20, which extended until September 30 of this year the validity of the location contracts for the properties (which expired since March 20).

"For those who want to renovate, there is an extension until September 30, unless the tenant wants to finish it before that date, notify 15 days before and start a new contract in another property with the new rental law, once it is regulated ”, Detailed Fernando Muñoz, head of the Defensoría del Inquilino de la Ciudad de Buenos Aires.

The new law establishes that in the real estate locations the intermediation can only be in charge of a registered professional. Who should pay the commission will depend on each jurisdiction, as has been done so far. In the case of the city of Buenos Aires, one can only charge a commission to the owner of the property.

 

[Rich One]

The Guarantee issue IMHO is unresolved.

If I was/were a landlord wouldn't accept a guarantee other than a real property title certified by an Escribano. Many Guarantees Truchas being advertised in the media. Salary receipts under the current economy shrinkage is not worth the paper written on. Bank guarantee's have many flaws and depend on the Small print of each bank..? It's not waterproof.

In any case the new Law may pass in Congress but we know that " Hecha la Ley hecha la Trampa" (Done the law done the snare) there will be a hundred loopholes, also will the new Law be strictly enforced? because going to Court over a rental issue may be a long exercise in futility.?


According to the sanctioned rule, the landlords must accept as guarantee any of the following options: real property title, bank guarantee, surety bond, or joint guarantee or personal guarantee of the tenant (salary receipt or income certificate that can join in case of being more than one tenant).

In this case, the problem may be that it is not clear how the owner is obliged to accept them. You can directly refuse to sign the contract - even for another reason - if the type of guarantee does not convince you. “The extension of guarantees is a huge advance. However, it is discretionary, the owner is not obliged to accept, "said González Rouco.

 

[gracielle]

El Gobierno promulgó la Ley de Alquileres: las claves de la nueva norma

A través del Decreto 580/2020 publicado este martes en el Boletín Oficial, el Poder Ejecutivo promulgó la Ley Nº 27.551 que modifica el Código Civil y Comercial de la Nación y establece nuevas reglas para los contratos de locación

www.infobae.com

30 June 2020
The Government enacted the Rental Law: the keys to the new regulation
Through Decree 580/2020 published this Tuesday in the Official Gazette, the Executive Branch promulgated Law No. 27,551, which modifies the Nation's Civil and Commercial Code and establishes new rules for location contracts.
June 30, 2020
The Government enacted the Rental Law: the keys to the new regulation
Through Decree 580/2020 published this Tuesday in the Official Bulletin, the Executive Branch promulgated Law No. 27,551, which modifies the Nation's Civil and Commercial Code and establishes new rules for location contracts.....

El Gobierno promulgó la Ley de Alquileres: las claves de la nueva norma

A través del Decreto 580/2020 publicado este martes en el Boletín Oficial, el Poder Ejecutivo promulgó la Ley Nº 27.551 que modifica el Código Civil y Comercial de la Nación y establece nuevas reglas para los contratos de locación

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