MercoPress. South Atlantic News Agency
Buenos Aires Aires real estate market faces the challenge of slowdown and ‘pesification’
The Argentine real estate market has witnessed stunning growth over the last decade but growth of the sector appears to have come to an abrupt and dramatic end in the seven months of this year. Read full article
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Disclaimer & comment rulesOf course having a real eastate boom isn't all positive if it makes housing, like in the UK, artificially expensive, so there may be positives in a bit of a slowdown. Especially with Cristina building all those new affordable homes...
Aug 28th, 2012 - 11:54 am - Link - Report abuse 0Sure like her dam she's building and railroads.
Aug 28th, 2012 - 11:55 am - Link - Report abuse 0@1 Blind_Scottie_Kirchnerist
Aug 28th, 2012 - 12:35 pm - Link - Report abuse 0So 75,000 construction worker with no work and 100 companies closing their doors is a 'bit of a slowdown' worth having?
And I thought at least you would support the workers and not the crooks like your queen, TMBOA, whose totally inept 'policies' have brought about the present economic disaster.
And I would not rely on her 'building' houses for the poor. Where is the Bullet Train and all the other things that have been announced two or three times and never built?
All this sounds like the cnut Brown and his grandiose 'announcements' that never were.
BK check out villa 31 on this link. It's the most repulsive thing see when coming from the airport to Buenos AIres. A good wind and these building will collapse. This is how your beloved ass lips takes care of the poor in argentina. Electric wires illegals tied into the poles.....it's a mess. But you've never seen it because you've never been there.
Aug 28th, 2012 - 12:49 pm - Link - Report abuse 0http://www.buenosairesphotographer.com/2009/08/villa-31-5-stories-and-growing.html
Why would anyone invest in an asset when it is plain to see it will be worth less shortly? Answer...they don't. You can't short a condo!
Aug 28th, 2012 - 02:56 pm - Link - Report abuse 0Kidding aside, RE is a huge driver of an economy. This is only going to get worse, there is no way to turn it around until CFK is gone.
What may happen, like it did in 2001-2002 when I was buying BA property, is people will start to get desperate, can't afford the monthly maintenance, taxes, electricity etc and they are forced to sell. I made a lot of $ buying distressed property in BA.
The reason I wouldn't do it this time is because I think this next downturn could last a generation.
They are in much worse shape than in 2001, all the hard assets are gone, politically they can't get rid of all of the subsidies and they are already running a HUGE deficit! Next we will see a HUGE devaluation, then print print print. Unfortunately that will only make everything worse.
Panic will set in as the peso tumbles then...watch out below!
@1 Ah, yes. “New, affordable homes.” And where is CFK going to get the money to build these wonderful constructs? Two sources have been mentioned. Treasury funds and pension funds. But wouldn't the treasury need to be saving its pennies to help pay off the remaining US$80 billion of debt? The pension funds then. So do people have to choose between a home and a pension? Never mind, they CAN borrow up to 40% of their income. Unlike the UK, where one can borrow between 200 and 300% of income. And did I not see that the interest on the loans will be around 17%. So what are these “affordable homes”? Dog kennels? Bird cages?
Aug 28th, 2012 - 03:44 pm - Link - Report abuse 0all those new affordable homes....it went from 400,000 to 4,000 IN THE WHOLE COUNTRY...and still she can't figure out how to pay for them! Anses is depleted and I just read an article today saying BCRA only reports currency gains and not losses ( just like the Chinese). If my calculations are correct they have about U$9-11B in hard currency reserves, the rest are all gone.
Aug 28th, 2012 - 05:01 pm - Link - Report abuse 0Bahahahaha
Pesification or pestification?
Aug 28th, 2012 - 05:24 pm - Link - Report abuse 0Comment removed by the editor.
Aug 28th, 2012 - 08:04 pm - Link - Report abuse 0And yet 62% of Americans own there homes. Arizonia is like villa 31 sussie
Aug 28th, 2012 - 09:11 pm - Link - Report abuse 0Argentina is screwed. It is too bad because it used to be a great place to take a woman traveling to. Now you go there and you risk getting robbed or worse.
Aug 28th, 2012 - 09:35 pm - Link - Report abuse 0@10 Captain Poppy
Aug 29th, 2012 - 01:02 am - Link - Report abuse 0yes but type of homes built in 1950 without insultation with rotten roofs...Well, Arizona is not my residence...I am moving back to Las Vegas and enjoy the casinos life! ....good food and easy money!
lol
I still enjoy my trips to BA and fail as safe (cautiously) as I do in any large city. There I always find it revolting when I drive past villa 31.
Aug 29th, 2012 - 02:45 pm - Link - Report abuse 0@12... 'easy money'... on your back.......
Aug 30th, 2012 - 06:35 am - Link - Report abuse 0Commenting for this story is now closed.
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