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Mortgages Power 20-Year July High in Buenos Aires Sales as Cost Pressures Recast Argentina’s Housing Market

Dollar‑measured building costs eased in July despite a 31% annual rise in the INDEC index.

Overview

  • Buenos Aires Province logged 13,334 property sales in July, up 41% year on year, with 2,169 mortgage deeds that rose 374% versus 2024 for the best July in two decades.
  • INDEC’s construction‑cost index for Greater Buenos Aires rose 1.6% in July and 31% year on year, while Córdoba’s index increased 1.3% monthly and 28.7% annually.
  • Empiria reports construction costs in dollars fell 4% in July with a further 5% drop projected for August, even as activity indicators stayed mixed and regional permit trends diverged.
  • CEDU says building costs climbed about 107% in 18 months, sale prices failed to match that jump, and developers’ margins narrowed, with most banks still financing only finished homes.
  • The market shows sharp segmentation, with a record 33.5% price gap between units en pozo and used properties in CABA, investors eyeing rental yields near 6%, and some buyers facing 90–120 day mortgage processing times.