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Buenos Aires Landlords Face 4.6% Yields Despite Rising Apartment Prices
Gross yields averaging 4.6 percent citywide limit returns for owners even as transaction volumes rise and prices post modest USD gains.
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Buenos Aires apartment owners are contending with gross rental yields averaging 4.6 percent citywide, a figure that has kept returns modest despite residential prices rising approximately 5-6 percent in USD terms over the 12 months to late 2025.
Recovery Remains Below Earlier Peaks
The citywide average price per square meter for apartments stood at approximately USD 2,450-2,600 in early 2026. Premium locations such as Recoleta reached USD 7,200 per square meter and Puerto Madero around USD 6,100 per square meter. These levels remain 12 percent below historical peaks and 20-25 percent below the 2019 peak in real terms, according to market data compiled through mid-2026.
Transaction Activity Picks Up
Monthly transaction volume increased by 8.8 percent quarter-over-quarter in Q1 2026, reaching 2,840 units citywide. Median days on market fell 26 percent to 38 days, pointing to firmer buyer interest. Mortgage-backed sales had already roughly tripled in 2024 to 5,000 units, supported by renewed credit availability at that time.
Implications for Landlords and Tenants
Landlords continue to receive limited income relative to property values, with the 4.6 percent average yield reflecting the balance between recovering prices and steady rental demand. Tenants in neighborhoods such as Recoleta and Puerto Madero face asking prices that have climbed from the 2023 trough, yet the overall market still sits below prior real-term highs. Mortgage credit availability weakened significantly in mid-2026, with private banks nearly out of the market and issuance sliding to its worst level in two years.
Looking Ahead for Market Participants
Owners evaluating rental strategies may focus on established premium pockets where demand has held, while prospective buyers monitor the pace of transaction growth and days-on-market trends reported for Q1 2026. Market participants are advised to review current listings and financing options through established local channels as conditions evolve.
This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.