House and apartment prices in Mendoza, Argentina are all over the board these days as a result of a confusing evolution of economic events both domestically and internationally over the last few years. It is essential that the prospective buyer spend as much time reviewing the market as possible, in order to gain an advantage.Construction pricing has been on the rise for several years now, accompanied by the resurgence of some residential area of Mendoza, and the flucations of the USA dollar. These days, a buyer must wonder if the price he is paying is par for the market, or inflated.
There are indications in the market place the asking prices are more about what the buyer is willing to pay, then any natural price that may be reflected through comparable sales in the same neighborhood.
Complicating this more is the irregular historic registered sale amounts one may find in the property and tax registers in Mendoza. For example, in the past it has been speculated that sometimes the parties involved in a real estate transaction under declared the actual sale amount in these registers, possibly resulting in a lower than market official price ending up on these records, hence potentially making it more confusing for a buyer, in some cases, to see thoeretical actual prices paid in the past. Argentina’s tax authority “AFIP” has had an effort in place for the last few years now to combat this suspected practice, by regulating the prices advertised in real estate company advertisements in print and on web sites.
It is noteworthy that several areas of the greater Mendoza area have increased in value over the last few years due to their locally regarded statuses.
Areas of top demand in the city are La Quinta Sección and Barrio Bombal. In the district of Guaymallén, the area of Dorrego is preferable. In the district of Godoy Cruz just south of Mendoza City, areas of high demand are Barrio Bombal Sur, Barrio Parque and the areas surrounding Hospital Español.
According to Santiago Debé, head of the “Colegio de Corredores Público e Inmobiliarios de Mendoza (Real Estate Brokers College of Mendoza), Godoy Cruz has revalued over the last few years due to marked growth in the southern and western areas of the district, even in spite of lack full access to city water in the western part.
One example of wide-range pricing in La Quinta Sección in Mendoza City: a two bedroom unit in an apartment complex with a parking space could range from 320,000 pesos to 500,000 pesos, with many prices in-between.
The Mendoza Sun, with some material (and picture) retrieved from:
http://www.mdzol.com/mdz/nota/222175
