"There are few profitable investments left in Argentina...." - New York Times

[Bajo_cero2]

I would invest in US only if there was hope that the economy was going to get better in the medium/long term...but that is far from reality. US media has always been paid to follow political and corporate interests. They are making it look good for the elections...you will see.

Sure, but those Argentines who are buying there doesn´t live there or make the money there, they just enjoy Miami. Regards

 

[Noelle]

Sure, but those Argentines who are buying there doesn´t live there or make the money there, they just enjoy Miami. Regards

Absolutely, It is just that the trend was on investments more than tourism but I see your point now...thanks!

 

[Sleuth]

Absolutely, It is just that the trend was on investments more than tourism but I see your point now...thanks!

They're also guaranteed a 6% return on their investment in rental income for the next 3 years. That's a pretty decent offer for no work...

Owners are occupying less than 5 percent of the apartments, which are selling for $250,000 to $650,000 for studios, one-bedrooms and two-bedrooms, said Ana Tajes, Opera Tower’s sales director.

Opera Tower is popular with Argentines because the developer is offering to lease back the apartments from the buyers, pay their monthly maintenance charges and give them an annual net rent equal to 6 percent of the purchase price for three years.

 

[gsi16386]

Hey, whatever it takes to recover the value of my POS condo in West Palm, I'm all for it. Let the Argentinian demand floodgates open (and since most of my neighbors will be Argentine, it's a good thing I learned castellano

 

[Dipoots]

They're also guaranteed a 6% return on their investment in rental income for the next 3 years. That's a pretty decent offer for no work...

Yah, by charging you 130% of what they would sell to a local Miami fella...

That said, I do not know the facts in Miami but such guarantees are not really real.... If it is too good to be true, it's probably is....

 

[cbphoto]

Interesting that the "veterans" see Miami/USA as a good investment.. and most of the "Newcomers" are talking up about how bad USA is....

 

[earlyretirement]

Hey, whatever it takes to recover the value of my POS condo in West Palm, I'm all for it. Let the Argentinian demand floodgates open (and since most of my neighbors will be Argentine, it's a good thing I learned castellano

Well, I don't necessarily think Florida is the best place to buy real estate in the USA. Yeah, it's dirt cheap compared to the peak bubble years but I'd never want to own in Florida for the most part.

You have expensive hurricane insurance plus the possibility of a major hurricane doing severe damage to your property. Also, many buildings just have INSANE HOA fees. I looked at a few buildings were it was 1 bedroom and 1 bathroom and a small unit and the HOA fees were over $1,000 US a month!

Many buildings have people that aren't paying their HOA fees and the buildings are falling apart. Yeah, you can find some cheap stuff there but you have to be really careful.

I do think there are some good buys in the USA in desirable areas where rental yields are pretty good. But the key is separating buying as a total investment vs. buying to also use. I'm not sure how much these Argentineans are actually using their flats in Florida but I know several that own there and they go back and forth all the time.

I'd rather own in NYC vs. Miami or Florida any day of the week however as NYC should always do fairly well over the long run.

Absolutely I'd rather own real estate in the USA at these levels and prices vs. buying in Buenos Aires.

Noelle, your post would have been much better if it was many years ago during the bubble but real estate in many parts of the USA have already started rebounding. I'm not saying there isn't more pain ahead but over the long run in the next decade or so, you will see prices in desirable cities surpassing peak prices in the USA.

As far as Noelle you mentioning "a lot of nonsense of papers, taxes and regulations of buying in the USA". That couldn't be further from the truth. Buying real estate in the USA is a very simple process for the most part. As well paying for it (if you're paying all cash like these Porteños are) is very easy and simple and just a matter of sending funds to the Escrow company.

Compare that with buying real estate in Argentina. It's like night and day. Where did you buy Noelle where you had a lot of papers, taxes and regulations? Yes, there is documentation when buying but the process couldn't be easier in the USA.

I'm in no way, shape or form advocating for investing in the USA. I'm just giving facts.

 

[Noelle]

They're also guaranteed a 6% return on their investment in rental income for the next 3 years. That's a pretty decent offer for no work...

That is just a projection,...again, it is the New York Times. They want to sell a good market for the election but the numbers show ongoing unemployment increase and record people actually leaving the country. Ever wonder why there are so many empty apts for sale in first place?? If people cant work they cant rent...

 

[earlyretirement]

That is just a projection,...again, it is the New York Times. They want to sell a good market for the election but the numbers show ongoing unemployment increase and record people actually leaving the country. Ever wonder why there are so many empty apts for sale in first place?? If people cant work they cant rent...

Yes, I'd never trust anything just written in ANY newspaper. However, it is possible to get over 6% net cash flow in plenty of markets.

I do agree with you that the actual unemployment rate in the USA is MUCH higher than the USA claims, especially when you count in underemployment or people that just gave up on finding jobs.

But the economy is tough in many places around the world. Most places right now are experiencing some pain, especially Europe.

Again, I'd have no interest in Miami or most places in Florida. But there are plenty of markets where you can net over 6%.

No one is arguing that the USA has it's fair share of problems. I think the key point of the article was that many Argentines are buying real estate in the USA vs. the alternative of keeping their money in Argentina.

That is the point you need to take from the article. Certainly no one is saying there might not be better places around the world to invest in real estate.

But I agree with the article it's better for these locals to get their cash out of Argentina. I think that is plain wise considering everything going on.

Also, many locals simply can't invest their cash in real estate in Argentina anymore. Many of these locals never declared this cash/asset they have and in many cases AFIP is seeing how much they declared in the past.

So even if many of these people wanted to keep their money in Argentina in real estate they can't anymore.

 

[Noelle]

I know folks...I am sorry I sound negative I am just realistic though...I wouldnt invest in BA nor in USA now. US is deep in debt and heading and each day China buys up more of the US bond debt. US is just printing money to circulate through the economy to support the presidential momentum by at the end they are driving themselves off the cliff.
I almost bought in Arg back in 2006 but thank God the closing didnt go through...I would have gotten stuck with depreciating pesos.
Early retirement: I was going to buy in Boston, MA but only with mortgage application, property insurance, formal appraisal report and detailed finantials...the only good was its proximity to Harvard but buying in Argentina was easier afterall... I bought in Ecuador where the currency is also US$, using only signed sale agreement, proof of paid taxes and evidence of no existing mortgages. The closing went smooth in three days. Oh btw for more investment info CDs are up to 8% income interest! Given the instability in the rest of the world I feel safe and feel blessed to have made the best of my bucks in a country with a growing economy...just my personal experience...