Thinking Of Coming Back--Question About Prices And Andes

[Nicole_Ramirez]

In Bariloche a lot of the prices of groceries have doubled since we got here in 2010. I don't know how people afford to eat here. I don't know about real estate prices today, butwe bought 7000 square meeters of land for $70,000 US. El Bolson is quiet...not too much to do.

 

[citygirl]

I don't pay rent, don't go out often and spend more that 1500 a month. I have a car and that alone between gas, insurance, tolls, license plates, etc is probably at least 600 a month. My health insurance, another $200. Food, we spend at least 400 a month. Maid, 400. Dinners out, say 200 a month (one dinner a week). My pet food - which I just bought today - about $200 USD a month. I'm not even counting one-off expenses - presents, travel, etc.

And all of those are calculated at the blue rate conversion (maso 7 pesos to 1 USD). Again, that's my life style, which is probably far different that what you would have.

 

[French jurist]

edited/erased

 

[Mark IV]

Good: Xoom.com's rate on the dollar was 6.6/pesos per dollar last Friday(1/12/2013) Higher on Florida in BA

Bad: Like previously mentioned, prices have gone up quite a bit. Where I live cheapest, good, beer 10pesos. Supreme Nafta 7.5/ltr

the Ugly: Google "riots argentina". A few weeks ago there were riots in Argentina. They started, believe it or not, Bariloche.

 

[lamarque]

Good: Xoom.com's rate on the dollar was 6.6/pesos per dollar last Friday(1/12/2013) Higher on Florida in BA

Bad: Like previously mentioned, prices have gone up quite a bit. Where I live cheapest, good, beer 10pesos. Supreme Nafta 7.5/ltr

the Ugly: Google "riots argentina". A few weeks ago there were riots in Argentina. They started, believe it or not, Bariloche.

That was politically organized

 

[syngirl]

Polostar -- I see you're out of the country right now? Because your post about taxis now makes more sense... $4 to cross town? That was a long time ago. In the last year the flat rate on the cabs has been hiked at least 4 times. Now just when you open the door the flag is about 9 pesos. And they have a new policy of charging more for past midnight, or is it 10pm, I can't even remember -- I basically don't take cabs so not too aware of the prices anymore. I think when you come back this time you might be in for a shock -- when was the last time you visited, you said you lived here for a year 2010-2011 -- was that the last time?

 

[JamesKTusa]

I lived in Buenos Aires in 2010-2011 for a year. At the time the exchange rate was less than it is now, and I managed to live quite comfortably on around $1500/month, which included a good apt., eating out, going out, etc.; I'm wondering if the cost of living has gone down in terms of dollars since then....

Hi Polostar88,

You didn't say when you left in 2011, but personally speaking I find my dollars buy less now than in 2010-2011. I'm not an economist (just a lowly physicist) but find it helpful to look at two competing/related trends: 1) true inflation (in pesos); 2) dollar appreciation vs. peso (official or blue). See chart below (click on the link!).

1. The 'true' inflation (in pesos) has been reported ~25-30% per year, depending on what's included in the 'consumer basket'. But the elephant in the room is housing costs. Whether you rent or own, housing costs have become very hard to track due to utility subsidy removals, city tax increases, and especially market non-liquidity (real estate sales rates have plunged because of tightened dollar controls y 'R.E. pesification' over the last year). Many sellers sitting tight, while saavy buyers look for the occasional bargain from a desperate seller.​

2. Dollar depreciation versus the peso. If you look at (and believe), the charts for example those of La Nación (below), you can see that the official peso has been 'allowed to' depreciate faster over the last quarter, at the rate of ~20%/year. So that helps cushion the peso inflation for lucky folk with dollar income. However the blue peso rate has gone crazy, rising ~50% over the last 12 months, mostly within the last 7 months. So theoretically, with 30% peso inflation versus 50% peso-dollar depreciation, the (blue) dollar today should be worth 20% more than a year ago. But that's just math. Personally, I ain't seen it.​

Comments/corrections welcome. There are many smart folk reading this forum.

- Saludos, Jim

http://public.tablea...hared/5P5ZQK66Q
http://public.tablea...hared/5P5ZQK66Q

 

[Fredd]

veteran has the rigth picture in lote in el bolson, ( this is my job) in Patagonia and BA la lucila.-
rentals of small cabañas will be from 250 pesos a day and up as temporary or 2000 pesos a month permanent rent.
hope this info was helpfull