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Purchase Process in Argentina

Below is the standard purchase process in Argentina and issues that may affect that purchase:

• This market is open to all; there are no restrictions on foreign ownership of property in Argentina. Foreigners have the same rights in this respect as nationals, except for Argentine land near a foreign border. In this scenario, some additional paperwork is required, which may take a little longer.
• Foreigners are required to have a CDI (Tax Number). Your legal representative in Argentina can obtain one for you or you can apply in person at an Argentinean Police Station where, after certain checks have been made, you will be issued with a Tax Certificate.
• After finding a property and negotiating an agreeable price, the buyer typically pays a boleto or down payment of around 30%.
• The escritura is the closing date and when you sign the final papers. This is performed with the aid of a notary public, who is very important in this process.

Costs of a standard property purchase in Argentina include the following:

• Stamp Duty is typically 2.5% of the sale price, but can be as much as 4% in Buenos Aires.
• Buyers and sellers both pay agents' fees of 3%, with 1% each to the notary, and a sales tax of 3%.
• There is a net wealth tax that is levied at a rate of 0.5% on the total value of all the taxable assets.
• Rental value corresponding to real estate properties belonging to local taxpayers exceeding $ 1,500 a month is assessable with 21% VAT. Rent related to real property occupied by the tenant exclusively for dwelling purposes is exempt from VAT.

The Obelisk Advantage:

As Obelisk approaches its projects purely from an investment perspective, its priority is to deliver each real estate product with an emphasis on simplicity and transparency throughout the purchase process. Therefore, Obelisk has already identified the purchase procedure for its clients as a simple, four step process:

1. The client chooses and reserves the unit that best suits their investment requirements, and Obelisk takes the client through a compliance procedure.
2. An independent lawyer, sourced and appointed for the client by Obelisk, will have already carried out full due diligence on the real estate product. They will issue all purchase contracts and paperwork to the client.
3. On receipt of this contract, the client will sign and make the first payment. The lawyer will notify the client of all further payments when required.
4. The appointed lawyer will also represent the client in all aspects legally required within the country of purchase, ensuring that clients of Obelisk enjoy the benefits of simple and hassle-free real estate investment.