In different newspapers, and according to some real estate specialists, there are a variety of opinions on rent going up or down. According to some of them, inflation will soothe, so the rent prices will be stabilized; according to others, this won’t happen.
inflation affects all areas of the economy, and they also appear in the utility bills every month. Rents are no exception to the rule. Even though there has been a limit imposed on the percentage of the rent prices' raise, it is inevitable that they do in fact go up. Thus, even though there is a roof on that increase, within time, rent prices will be adapting according to the economic situation.
On the other hand, generally the prices that tenants pay have previously been negotiated with the owner of the real estate and the agency that manages the property. Therefore, each price can be handled individually for each particular case.
According to the newspaper, “El Argentino”, “since 2007 until 2011, rent prices have had a raise of 110%”.
Nonetheless, not everything is black. According to iProfesional.com “rises are inevitable (during 2012), although there will be more moderate than the other years”.
According to some data given on many newspapers and other media, the increase on real estate rent prices will vary between 15% and 20%, depending on the neighborhood. The areas where prices have increased the most are Belgrano, Recoleta and Barrio Norte, which are also the areas where there is higher demand.
To conclude, even though there is a roof over the rent prices, i.e. a limit on the allowed percentage, these will continue to go up a bit. The most important issue is that the stay coherent according to the inflation rate, and that each tenant negotiates with its property owner that rents.
