Argentina: Investment Potential

Argentina: Investment Potential

Property investment in Argentina is one of the most exciting new global investment opportunities. This is primarily thanks to strong economic growth in the country, which makes Argentina a great investment. According to the IMF, Argentina's GDP per capita has grown by a staggering 40.6% since 2002 with annual growth of around 9% in 2006 and 2007.

Record Argentine Property Prices 

Argentine property prices have risen in line with the economy and the real estate trade group, Camara Inmobiliaria Argentina, reports rises of 50 per cent since 2002. Prices in the wealthier districts of Buenos Aires rose by as much 25 per cent in 2006 with the additional bonus of residential rents rising at an even faster rate. This is good news for investors, especially if their investment strategy includes buy-to-let units.  Property transaction costs are low and foreign investors in Argentina are free to buy property without restriction.

Good Rental Yields in Buenos Aires

The boom in Argentine property prices has meant that the market is out of reach for many local Argentineans, which in turn, has created a high demand for rental properties, making Buenos Aires in particular the perfect location for the buy-to-let investor. With rental yields currently between 8% and 10% in the centre of Buenos Aires and 6% and 8% in the suburbs, there are plenty of potential tenants for both long- and short-term lets from local residents as well as from the tourist and business sectors.

Buy-to-let in Argentina - Easy and Profitable

The Argentine letting process is straightforward and profitable for the overseas property investor, thanks to a well-organised online booking agency network which takes charge of the booking process. In addition, investment properties are often offered for sale fully furnished, allowing investors in Argentina to offer rentals to tourists at prices which are often lower than the better hotels.

Argentina's booming economy and rising property prices means that there is a wealth of opportunity for real estate investors who can expect impressive rental income and steady capital growth on their investments.