Access to the own house It is one of the challenges that the last governments could not address. The complex situation around the rentals It highlighted the scarcity of public policies aimed at the middle and lower strata of the population, which are increasingly broader within the framework of the economic crisis that our country has been experiencing for years.
The report containing the Household Living Conditions Indicators in Argentina shows a decrease in the percentage of Argentines who own their homes in relation to previous years and, consequently, an increase in tenants. According to data obtained from 2022 CensusIn Mendoza, 19.5% of the population (395,458 people) rent their home while 62% (1,259,355 people) live in their own home. The trend in the province is similar to that observed nationally, where 60.2% live in their own homes and 22% live in rented properties.
The numbers in Mendoza
The changes proposed after the repeal of the controversy Rental Law approved in 2020 impacted the availability of rental homes but the values are still high taking into account the purchasing power of the universe of tenants who end up being hostages to a situation that becomes more complex as the years go by.
According to the survey carried out, the average value of the existing offer may vary according to the type of development, age, amenities or location of the property. In general, the rental price for a 1-room apartment is around $200,000 while a 2-room apartment costs $270,000.
When asked about the prices of the apartments that were offered for rent last April, representatives of the real estate sector highlighted: “Since the rental law was repealed, we have observed a stabilization of income values. This, if crossed with inflation, indicates that rental prices are going down.
During the month of May there were an average of 950 apartments for rent in Mendoza, of which 175 are 3 bedrooms. “Since the DNU to date, the supply has increased more than 400%,” highlighted from the real estate portal InmoUp.
The Rental Law caused the collapse of the supply of rental properties and the rise in prices; real estate agencies practically did not publish properties for rent due to high demand from tenants. “Since the repeal of the law, at the country level the average listing time for a property is 7 days in the interior and 15 days in CABA, where there are already more than 20,000 units on offer. All this has generated a very positive impact for families looking to rent,” added Marcos Herrera.
Regarding the general dollarization of the rental market that took place during some months of 2023, specialists indicated that the trend was observed in properties that corresponded to the ABC1 segment (equipped with furniture of high replacement value) but today the situation has changed. “Today all owners want to rent in pesos. In the presence of a stable dollar, those people who entered into contracts in pesos benefited versus those who did so in dollars,” highlighted Marcos Herrera of InmoUp.
“A house that was rented for $550,000 in January, in April adjusted its value to $880,000 (US$885). If that contract was signed in dollars, today the owners receive US$550. Many are no longer being offered for sale to be rented. The majority were not in the temporary rental market. The apartments, although they were not the majority, a considerable percentage were being offered in that segment,” Herrera said and added: “In December they were published on the portals. “There are around 400 houses and apartments for rent throughout the province, today there are more than 1,500.”
