At a recent seminar in London, which focused on the investment opportunities in Argentina, the Argentine Embassy and the British-Argentine Chamber of Commerce projected that the property value in Argentina will continue to grow at between 15 and 20 per cent per annum. Additionally, they contended that the country offers one of the most profitable buy-to-let opportunities worldwide, with rental yields at between five and ten per cent per year. Minister Estanislao Zawels, from the Argentine Embassy, made a case in that current opportunities for property returns were due in large part to ongoing aggressive growth of the national real estate market and Argentina's strong economic growth, which has seen GDP rise by more than 8.5 per cent year on year since 2003.

Practical Advice:
Germán Peterson of the Time Out Guidebook shared a guide through the process of buying property in Buenos Aries in its Summer/Autumn 2007 edition.  One point to keep in mind is that real estate deals in Argentina are nearly always done in cash.  With that said, getting the cash into the country is not easy. To avoid speculation on the peso, Argentina introduced a law in 2005 stating that all transfers by non-resident foreigners are subject to a 30% withheld retention for one year unless the purpose of the transfer is a direct investment in real estate, production, and so on – proving that can be a cause of stress. Another point to note is to make a good choice when selecting your notary public (escribano).  He or she is the person who prepares the deed, checks all the papers and documents and makes sure that all bills and duties are paid.  He or she is the one who finds out if there are any legal encumbrances, liens or defects in the title, and if there are, how they can be solved. Also, you should be disciplined in paying your taxes. Non-resident foreigners have to request prior approval from the AFIP (the local version of the IRS), before selling their property. For this process, they will not only check if you have paid the municipality duties, property and wealth taxes, but they will also look into your utility bills, to find out if you have rented out your apartment while not resident in Argentina.

Other important issues are regarding a CDI Number. In order to buy real estate in Argentina, you are required to have this. The CDI number is effectively your tax ID. This can be obtained at the local police station with your passport and local address needed to apply. There they will verify your local address and give you the forms that you area required to file. The cost for these services is less than $10 USD. Following this you will need to visit the AFIP Office, the tax authority in Argentina known as Dirección General de Rentas. After getting a CDI Number, you will be eligible to buy a property in Argentina and register it in your own name.

In reference to fees keep in mind the following: All apartments in Argentina carry a monthly maintenance fee or "condo fee" referred to normally as expensas. The monthly fee covers any building repairs, services, and upkeep. Also in Argentina, a notary, or escribano, is responsible for supervising the legalization or real estate transactions and title transfers. It is the notary's responsibility to uncover any problems with the title. Argentina has a sophisticated and complete title registry that allows for the easy tracing of property ownership. The notary will inform you if there are any problems with your property's title, or escritvra. Notary fees are anywhere between 1% and 4%, depending on what notary selected. Besides, real estate commissions are usually 3% for buyers and 3% for sellers. In regards to Homeowners’ insurance, costs run about 50% more than what you may pay for similar insurance coverage in the United States or other countries of the world. Almost all the major banks in Argentina provide Homeowners' insurance.

Tax Highlights:
Stamp Tax
The stamp tax rate differs from province to province throughout Argentina. In Buenos Aires it is 1.25% for both the buyer and seller when transferring the title of a property. This tax is waved for your first property purchase. If a foreigner plans to buy more than one property the tax applies.

Property Taxes
An annual "asset tax" or "personal goods' tax", impuesto del activo in Spanish, is another tax that you are subjected to as a property owner in Argentina. It will usually amount to 1% of the value of your property, and is applicable equally to foreigners and local citizens. It is important to note that the government does not send a bill to property owners. Rather, property owners need to file a tax return with Argentinean Authorities, the AFIP Office, (Dirección General de Rentas) and submit it along with payment.

Value Added Tax (VAT)
VAT, which is a national tax, provides certain rules under which the sale of real
property is not liable to VAT. However, construction work carried out on properties owned by a taxpayer is subject to VAT at the time the property is sold. The parties liable to pay the tax in this case are the building companies. For this purpose, building companies are defined as companies which, either directly or through other parties, carry out work on properties they own in order to make a profit through the work itself, or through the subsequent sale of the entire property or a part thereof.

Credits & Mortgages:
For foreigners interested in buying property in Argentina, financing is generally a remote possibility. In the majority of cases financing is not available to foreigners. The interest rates on mortgage financing are lofty- in the past they have not been less than 15% per annum; they have a relatively short period, 10 years; and often require a down payment as high as 50% of the purchase price. The reason being as a foreigner you won't be able to show an income or a credit history in Argentina. . Foreign nationals have must spend at least one year working legally in Argentina in order to get a mortgage. If you don't have the needed funds, you would be best to look for financing in your home country.