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What to expect within the Argentine land sector for this year.

Wendy Johnson, May 10, 2019

Ruben Rojkes, skilled Argentinian construction Engineer.

Argentina has a housing deficit of about 3 million homes. This deficit increases at a rate of approximately 36,000 homes per year. In addition, of 12.2 million total households, sixteen % correspond to rental housing, that is such as concerning a pair of million families.

After the normalization of the foreign exchange market in 2015, there was a push in construction and the mortgage sector in Argentina, but soon when, in 2018, the symptoms of the residential construction sector contracted once more considerably, as well as investment in infrastructure due to the impact of the exchange rate and the need for fiscal adjustment.

Abundant has been said regarding the crisis in the important estate sector in Argentina lately, nowadays we tend to speak with engineer Ruben Rojkés, founding father of Avanco, a true estate developer with twenty five years of expertise in the Argentine market; who can share with us his vision for Tucumán.

The residential sector, that had boomed in recent times, has suffered from Argentina’s money crisis during the last years, furthermore from the high inflation currently existing within the country. Inflation in specific is increasingly becoming the main concern for developers facing new real estate projects. As a results of an increase in the worth of land and in the cost of construction, investment within the residential sector has considerably decreased over the past months.

In this regard, Rojkés tells us that whereas families grow, young folks become independent and demand moves, they all face the same problem: “the lack of financing for the middle category sectors, which is a chronic problem of the country”.

According to the newest information provided by the Association of Notaries Public of the City of Buenos Aires, the full amount of property purchase and sale deeds registered in the tenth month of 2018 a decrease of 40.7% from the amount of 1 year before , when adding 3,669 records, while the whole amount of transactions created grew 18.five% to $ 17,728 million.

Regarding expectations, Ruben Rojkés, like many alternative entrepreneurs in the important estate sector, agrees that the elections will have a great impact on the economy and so have a right away impact on the real estate market.

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