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Properties: prices continue to decline, with drops of up to 12% in one year

2021-09-01T10:42:20.683Z


Different measurements show decreases in the value per square meter, due to scarce sales and an increase in the supply of units. Former LATAM pilots denied Tolosa Paz: It hides that the company only left Argentina. this tuesday, august 31


Natalia Muscatelli

08/31/2021 15:00

  • Clarín.com

  • Economy

Updated 09/01/2021 7:30 AM

In the midst of a market that does not finish taking off, the sale prices of real estate

continue to fall

. Different private surveys show a drop in the values

that have not yet found a flat,

 since there are no buyers willing to validate the prices demanded by the owners. Added to this situation is the number of

properties that have been added for sale

in recent years.

According to the latest survey released by the University of San Andres and Mercado Libre, which considers the stock of active publications in the Metropolitan area of ​​Buenos Aires (AMBA),

in August, there was a drop in the median sale price in dollars per square meter of 0.7% in houses and 0.9% in apartments,

compared to July 2021.

If the interannual variations are analyzed (that is, with respect to August 2020), the fall is

1.9% and 7.1%, respectively.

The data shows that house

prices resist more

because they are somewhat more in demand in the context of a pandemic, when the population decided to

prioritize the larger spaces

after the forced quarantine.

When making a distinction between the City and Greater Buenos Aires (GBA) North, South and West, according to the same survey, there are falls in the price per m2 of

houses

of 2.2% in CABA, of 4.3% in GBA North, 2.4% in GBA South, and a 5.4% increase in GBA West.

On the other hand, the falls in the

sale

price of

apartments,

with respect to August 2020, in CABA and GBA Norte, Sur and Oeste were 7.8%, 5.1%, 7.1% and 6.1%, respectively.

According to this analysis, the departments

in AMBA have been registering month-on-month drops since April 2020.

Specifically, between March 2020 and August 2021, a 10.2% drop is observed.

If the data is explored by neighborhood, in CABA,

the largest year-on-year drop in the sale price of houses occurred in Caballito

, with a variation of 7.8% per square meter.

On the other hand, for departments, the greatest drop was observed

in Barracas, with a drop of 12.1%

.

On the other hand, within GBA (excluding neighborhoods of CABA), the municipality that registered the greatest drop in the sale price of houses was La Matanza (9.1%);

and, in the case of departments, the greatest drop occurred in Malvinas Argentinas (13.3%).

Another report, this time from the statistical agency of the government of the City of Buenos Aires, also showed the behavior of property prices in the Buenos Aires area.

According to these data, in the second quarter of this year,

the average drop in property prices was

l

7.9%, deepening the decline that began in 2019

and consolidated since the beginning of 2020.


In this measurement, the price of the apartments in a brand new environment was US $ 2,849 per m2, a value that was reduced by

8.7%

compared to the same period of the previous year;

while the used units reached a price of US $ 2,589, with a fall of

10.5%,

the most important of the quarter.

The two-room apartments yielded a value per m2 of US $ 2,915 for brand new and US $ 2,482 for used ones, both with price decreases

(8.3% in the first case and 7.9%

in the second).

In turn, the average price per m2 of brand new 3-room units fell 5.7% and 6.4% for used ones.


Recently, a study by the property portal Zonaprop showed another side of the dynamics of property sales prices.

He noted that, so far this year

, new ads posted turned out to be 3.9% cheaper than the rest of the site's ads,

pushing the ten

dence of low prices in the market.

These offers have an average price of US $ 2,340 m2, while the average reflects an average value on the portal of US $ 2,436.

According to ZonaProp, the publications that entered the platform in the last month (in July) "are the ones that lead the trend of what will happen in the future in the real estate market," he estimated.

During 2017 and 2018, these notices were the ones that pushed and validated the price increase.

Since 2018, they have been positioned below the general average value with an increasing spread and drove the decline of the values ​​in the market.

There is a significant figure in the trend that real estate is showing downward.

In addition, the retraction in sales as a result of the economic crisis, adds that

the volume of properties on offer increased considerably

.

In the city of Buenos Aires, at least, this has been happening in the last four years.

“During 2014 and 2017 the offer remained stable, but as of 2018 it grew at an accelerated rate and began to accumulate.

Specifically, between 2017 and 2018, the stock of properties increased by 56% ”, according to ZonaProp.

Its analysts explain that due to the pandemic, in April 2020, there was a temporary retraction in the offer of real estate listings for sale.

However, in the second quarter of 2020 the stock grew continuously again.

Currently, the offer increases at an annual rate of 25% and is

1.45 times higher than in 2017

.

In the last year, the implementation of the

new Rental Law had a

special impact

,

whereby many owners opted to take their properties out of rent and turn them over to sale.

NE

Look also

Real estate prices go down: has the apartment been reached yet?

Real estate market: the sale of properties does not rebound and prices continue to fall

Source: clarin

All business articles on 2021-09-01

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