If you keep a close ear to the international scene, you’ve probably heard Argentina mentioned with more frequency than in the past. Why the uptick of expat interest in this South American nation?
Every year, more and more people realize the benefits of going abroad. Whether to diversify their investment portfolio in an overseas market or to discover a slice of paradise at a discount, there’s no debate that setting your sights on a new country opens up a world of possibilities.
Trends are common in the international-living landscape, with new countries seeming to take the trophy of “must-visit destination” every year. Oftentimes, these locations are in Europe – think Portugal, Iceland, and cities like Prague or Budapest. One main reason these places became so trendy is that their tourism cost hadn’t caught up to their quality of life. People were able to find beautiful locations, enticing culture, and delicious food for much cheaper than in surrounding areas. While the masses are quickly catching on to the “hidden gems” of Europe, forward-thinking travellers are already searching for the next tourism hotspot.
In 2019, look no further than Argentina.
At the southern tip of South America, Argentina is positioned in a way to provide the best of many worlds. From a cost-of-living standpoint, you can expect the same kind of quality-of-life increase for less money consistent with the rest of Central and South America. However, Argentina offers some things that many of its neighbours can’t…
To start, the biodiversity and geography of the country is absolutely breathtaking. From snow-capped mountains to vast grasslands, to subtropical jungles, to massive icefield glaciers, Argentina can satiate even the most adventurous of outdoor enthusiasts. Very few countries on earth have this degree of natural diversity within one border.
Looking for some culture and great food? Head to the cities. Whether it’s the capital city of Buenos Aires, the food and wine mecca of Mendoza, or the university town of Cordoba, you’ll find great bars, nightclubs, museums, restaurants, and historical attractions around every turn. There are also plenty of expats here, so finding a like-minded community won’t be difficult.
Now is the Time to Buy
Visiting as a tourist is one thing, but buying property abroad requires a higher level of commitment. If you’ve been debating whether or not to invest in international property, there are a few things about Argentina you should know.
Data Doesn’t Lie
2017 saw property prices increase a whopping 12% in Buenos Aires. At one point, the price per square meter in the city center reached an average of $2,200 USD. The real estate market in the “Paris of South America” seemed to have priced many people out. However, early 2018 saw a drastic regression in the property market. Prices dropped amid economic uncertainty and currency fluctuations. As we stand now, in early 2019, Argentina is once again a buyer’s market.
Property deals and real estate prices are at some of the best points they’ve been in years. Given up on those fantasies of retiring on a vineyard? In Mendoza, those pipe dreams are once again alive and well. As Americans are feeling more and more optimistic about the strength of their dollar, few places provide such a positive opportunity-to-price ratio as you’ll find in Argentina.
Projections for the Future
With Argentina real estate positioned at very favourable prices for foreign investment, it’s important to try and predict what the immediate future will look like for those interested in buying property in the country.
The tourism sector seems to be a good place to start. The number of inbound tourist arrivals in the country was 5.56 million in 2016 and 5.92 million in 2017, approaching the all-time record of 5.93 set in 2014.
This tourism surge contributed about $52 billion USD to the Argentine economy – accounting for 9.7% of total GDP and 9.6% of total employment. The numbers are projected to reach nearly 12.5 million inbound visitors annually by 2027.
For property owners in the country, what this means is that Argentina is experiencing both an injection of foreign investment and a subsequent boom in tourism. This means infrastructure will develop around all tourism hubs (namely expat havens like Buenos Aires and Mendoza), more foreigners will be drawn to the country both as residents and visitors, and property values will again rise.
If you’re looking for a way to retire on a vineyard or achieve that European feel for a fraction of the price, look no further than Argentina. If you’re interested in a real estate investment with major upside in a tourist-friendly market, then Argentina may be your golden goose. The best way to know for sure is to visit. Immerse yourself in the culture, the food, and the landscape – you’ll know if it feels right. Just remember, no good deal lasts forever, and the more people catch on about how great Argentina is, the quicker the window of opportunity closes.
Want more information about buying property abroad in Argentina? Make sure to download our free Argentina Handbook by clicking HERE