The Real Deal by Maximiliano Pablo Götz | CUCICBA • CMCPSI • REALTOR®
Chapter 1: An Introduction & About Me
This has been a labor of love. As such, it is my sincere wish that you not only take what you need, information-wise, but also enjoy reading it. I love the written word and I love the spoken word all the more; I do enjoy putting pen to paper, and take cues from some of the greatest authors out there; but mostly from my personal hero, Aaron Sorkin (responsible for some of the most memorable screenplays ever committed to both the small and big screen). But I digress… my hope is that you enjoy reading this, as if it were not just a guide for everything real estate-related, but as a story with equal parts useful information, humor & heart. So then, I’m Argentine born and bred, and attended grades K through 12 at an American school in the Northern suburbs of Buenos Aires (Lincoln School). This was my very first step at growing up in a multi-cultural arena, and it became the single best tool I was given for my future, both personal and professional. I began my real estate career at the age of 19, way back in the 20th century, in 1996. Further bullet points about me: huge movie fan, so fair warning: you may see film references peppered here and there. If you name it, I probably saw it and/or can let you know who directed, wrote and starred in it. This is germane to this here book since, one such real estate deal was struck years and years ago, over dinner, later coffee, and finally beer with a client from California; and all the while comparing and contrasting episodes of Seinfeld. We are both fans and to this day can find a daily situation which borrows from that famous ‘show about nothing’.
Why write this? There is so much information out there; some good, some not so good, some incomplete, some faulty. I wanted to be the go-to person who would, in writing, explain real estate to the non- local crowd, and with a level of English that could a) guarantee nothing would be lost in translation and b) present itself as a fun read. So: Why you should read it. Over the years we’ve had countless grateful clients from all over the world, as diverse as: ambassadors, an Emmy-Award winning director, a US federal judge, a direct descendant of Brigham Young, and of course any number of your neighbor, salt-of-the-earth people (buying anything from U$ 80.000 condos to multi- hundred thousand Dollar plots of land for development. In other words, people from all walks of life. By the way: we are the only licensed real estate firm in Argentina featured on HGTV’s House Hunters International (my mom said I looked handsome).
Chapter 2: Why Argentina?
I am so (pleasantly) surprised by the sheer amount of foreigners who contact me, all with the same comment at one point or another: they love Argentina. They love Buenos Aires. They love the culture. They want to stay here, live here, marry here, grow old here. So when I’m asked for a meeting to delve further into buying property, the two most-asked questions, in this order, are (and I’ve ran the numbers on this): 1.) Is it easy for a foreigner to buy property in Argentina? 2.) Can the government seize my property? The answer to the former is a resounding ‘yes’, and just as resounding, a ‘no’ for the latter. By the way, the third most-asked question is ‘can I buy property with Argentine Pesos?’ Undoubtably enticed by the weak Peso set against the US Dollar or Euro or British Pound, the prospect of an investment such as real estate becomes just about as sweet as sweet can be. However, and sorry to burst your bubble, but you’ll be hard-pressed to find a seller willing to part with this property, if offering to pay in AR$ Pesos. Real estate is valued in US Dollars and has so been since the 1970s. This allows me to segue to: a few words on the argentine peso, the us dollar and recent argentine history. The two things that we Argentines have banked on since the beginning of time have been 1) real estate and 2) the US Dollar. Think of the United States and the Gold Standard, up until it was abandoned in the early 1970s. That’s what the US Dollar is to us.
And above, you can find a pie chart we’ve developed over the years, upon repetition of (the same) reasons why people flock to Argentina and invest in the real estate market.
Chapter 3: Federal, Local, and Association-based Laws
Let’s talk a little bit about what laws govern the practice of real estate - professionally - by brokers, referred to in Argentina as ‘martilleros’ or ‘corredores públicos’. Civil and Commercial Code (Código Civil y Commercial de la Nación) in articles 1345 to 1350, defines the brokerage contract, establishing that the broker has the right to receive compensation and reimbursement for expenses if the transaction is completed, while mediating the negotiations between the parties. Law 25,028. This is the legal framework law for auctioneers and public brokers. It determines the mandatory requirements to practice, such as holding a university degree and being registered/licensed. The conduct of brokers registered with CUCICBA (Realtors’ Association of the City of Buenos Aires) is governed by Law No. 2340 and its respective Code of Professional Ethics. These documents establish mandatory rules on transparency, commercial loyalty, and the correct practice of real estate activity in the City of Buenos Aires.
Chapter 4: A Short History
Fan of it though I am, I’ll not bore you with too much history, so let me break it down succinctly: Argentina has seen levels of inflation throughout its post-military governments of the late 19th and early 20th centuries which have gone from high, to very high, to downright galloping. In other words, inflation is as indigenous to us as tango and dulce de leche. The world over has all but extinguished inflation, with some notable exceptions, all of which are underdeveloped or geopolitically troubled nations. In the 1970s, a finance minister by the name of Martínez de Hoz, up and determined that it would be a good idea for property to be valued in US Dollars. Simple as that; and this idea took deep root among all people who were desperate to keep their properties valued safely and in healthy economic fashion, come what may. Historically, property has been the silver bullet, not just when it comes to investing, but just as importantly, because there is a cultural mandate which began with our grandparents and great-grandparents - most of them immigrants from Italy, Spain, and of Jewish descent from several other European nations. What was foremost on their minds was the concept of a roof over their heads which would be theirs, and theirs alone, come hell or high water. A staple of this are the ‘chorizo houses’, which as the name indicates and in comparison to chorizos, or sausages, are longer than they are wide.
Italian immigrants would arrive to Argentina - one family member at a time. The father would scope the economy, the country, the chances of making a decent living; and once the due diligence was done, they’d call for their wives. Then children. Then parents. Then in-laws. Hence the house was built in stages and expanded over time, as the family came from the old country into the new. I’d be remiss if I did not point out the following. There are two things one wants to watch out for - not just when dealing with real estate professionals but really in any walk of life: those who are out to get you by being dishonest, and those who are honest but don’t know what the hell they’re talking about. Frankly, I’m still on the fence as to which one is worse. The former is an evil- doer, to be sure, and one needs to stay as far away from him as possible. The latter is basically a monkey with a knife, and could potentially cause huge amounts of damage, if listened to.
Chapter 5: Documentation You’ll Need
People arrive in Buenos Aires bracing for paperwork. They've done their research - or worse, they've read the internet - and they've prepared themselves for a bureaucratic experience commensurate with the country's reputation. They expect forms in triplicate, notarized translations, apostilles, letters from their embassy, and at least one afternoon in a waiting room that smells like old coffee. So when I tell them what they actually need, there's always a beat of silence. Then: "That's it?" That's it. As a foreign buyer, you need two things to purchase real estate in Argentina: a valid passport and a CUIT. The passport is self-explanatory - it's who you are, issued by your government, accepted universally. No apostilles. No embassy letters. No notarized translations of documents your grandmother signed in 1987. The CUIT - Clave Única de Identificación Tributaria, Argentina's tax identification number - was until recently known as CDI for foreign buyers specifically, but has since been consolidated under a single system that applies equally to Argentine nationals and foreigners alike. Same number, same window, same process. The unification is, in its quiet bureaucratic way, a small act of elegance: you are not a separate category. You are simply a buyer, with a number and a passport and the entirely reasonable intention of owning property in one of the world's great cities. In a country whose administrative reputation often precedes it, this particular corner of the process is - genuinely and without caveat - simple. I say that as someone who has been through it many, many times. Write it down.
Chapter 6: The Process - Start to Finish (Part I)
You’re going to be learning in this chapter about all steps taken insofar as the process of purchasing property is concerned. The very first step is, and I can’t stress this enough: do not do it alone. Don’t think that because ‘oh, but in the United States’ or ‘ja, but in Germany I’ve bought and sold countless flats’ you’ll know sufficient to go at it alone. You won’t. At best, there’ll be cultural and idiomatic barriers which could be the difference between you losing money or not. To wit: a few years ago a young lady from the United States reach out to us to help her purchase a lovely old-style unit in Palermo Soho… but not before having visited a few brokerage firms on her own, one of which wanted her - after a first visit - to go to their offices to make an offer and put money down. This threw her for a complete loop and scared away from the whole process. It may not have helped that the particular agent involved was pushy and / or did not have language skills to explain that putting money down when making an offer is normal, but perhaps not quite so quickly after a ‘first date’. As processes go, this one is no different than what you’d expect from other cities around the world: you want to buy a home, you go out and search for a broker who can help you and/or use the MLS (multiple listing sites) to guide you in your search, leave a down-payment along with signing a letter of intent (LOI), sign a deed, and get the keys. There are, of course, significant differences; some of which might seem so outlandish and alien, you’d think you’re spinning in a Ray Bradbury yarn. We’re going to walk through the process in short chapters. Let’s begin at the beginning.
Chapter 7: The Process - Transaction Length & Where to Begin (Part II)
All things being equal, and after you’ve chose the place you want to buy real estate deal can take as little as under one month - start to finish. Due diligence conducted by people you trust is everything. Due diligence conducted by people you trust is everything. No, that wasn’t an error in editing; it’s important enough to write twice. Due diligence when it comes to finding someone you can work with seamlessly. Like with any relationship in life, you want to have someone by your side who is a) knowledgeable, b) honest, c) hard-working and d) responsive. What you do is map out a timetable. You’re going to want to know how long it’ll take between the time you pick the right home, through to the offer and down to the signing of the deed; and based on this, map out a schedule so as to organize yourself. Do you want / need to be here for the signing? Do you need the house on a specific date? Will it be impossible for you to deal with the situation past a certain date? And so on. You make a laundry list of what you like, dislike, and what would be a deal-breaker if the property didn’t have it. Put pencil to paper and ‘visualize’ what you are looking for. This info is vital for your broker; it’s his guide to finding what you’re looking for. No detail is too small. You’ll search out the sites - you, your broker, or both of you together - to see what is actually out there, meeting your criteria of size + amenities + price + location and all those items which converge in a Venn Diagram of house hunting.
Chapter 8: Eagle Has Landed: I’ve Found The Right Place For Me (Part III) Found a place you like? Let’s go and tell the other party as much. We meet with them, and, shall we say, on a house with a listing price of U$ 200.000, we’ll make an offer of U$ 175.000, for several reasons (ie: work that needs to be done on top of the purchase). In order for the other party to know you mean business with the offer, they will ask for a monetary sum. It can be anywhere between U$ 1000 and U$ 3000, maybe more, depending on the broker and depending on the amount of money the deal represents - earnest money amount will not be the same for a deal of U$ 80.000 vs. one circling the U$ 1MM neighborhood. It’s important to note that this is not governed by any laws, but rather by tradition. Wait on their reply to your offer. On that note, bear in mind that one of five things can happen: This is hugely important, and let me explain why: there’s a lot of Latin thrown around in real estate, in part because it’s so very related to law and everything pertaining to law. Offers - or letters of intent - have to be drafted in a very precise way so as for us to make sure our clients are protected. One vital detail is a set of two words - ad referendum - from a once heavily spoken Latin which indicates to all who are involved in this deal, the following: everything hinges on all paperwork, on all due-diligence, coming back squeaky clean, by virtue primarily of what are called informes de dominio e inhibición. These are documents sent to the Registro de la Propiedad Inmueble, or city registrar’s office, if you will. These documents tell us that a) that John Smith is in effect the seller of the home you’re about to buy, so we’re good to proceed, and b) that John Smith has no liens or embargoes on his person, nor does he owe his third ex-wife alimony to the tune of several millions… so here again, we’re good to go. If the paperwork comes back clean as a whistle, we can move forward to the next step.
Well, hang on… strictly speaking, if the paperwork returns with information that tells us John Smith owes countless banks countless amounts of Dollars and Euros, you can still choose to move forward if you wish, but it would be ill-advised and we would do whatever we could to convince you not to proceed.
Chapter 9: Methods Of Payment (Part IV)
Here is how the money moves - and I want to walk you through it carefully, because this is the part of the Argentine real estate transaction that generates the most questions, the most anxiety, and occasionally the most unnecessary drama. The cleanest version of this story goes like this: buyer has a foreign bank account, seller has a foreign bank account, funds wire directly from one to the other in US dollars, and the Argentine banking system watches from the sidelines without collecting a toll. This is the preferred structure, and when it's available - which, increasingly, it is (but not always) - it is faster, meaningfully cheaper, and completely legal. Not arguably legal. Not legal-with-an-asterisk. Legal. Two parties, two foreign accounts, one wire transfer, one agreed-upon price in the currency both parties wanted to transact in. Argentine law has no objection. Neither do we. When that structure isn't available - when the seller's funds need to land on Argentine soil, or when the seller simply doesn't hold an account abroad - we work with a bank that was designed precisely for this situation. It operates almost exclusively with foreign clients and international transactions. It knows the documentation. It knows the process. It knows that you are not a local buyer who wandered in from the street, and it treats you accordingly - professionally, efficiently, and within the full framework of Argentine law. There is always a path. The path is always legal. The job of any real estate professional worth his weight in gold is to make sure you're on it.
Chapter 10: Escrow In Argentina (or, Lack Thereof) (Part V)
The concept of escrow and the entering into escrow is largely known, and understood as that which presents a third-party (buyer, seller and now escrow company) which holds both money and paperwork in their power, and releases both to the other party once both parties are in agreement and satisfied with the outcome. It’s a redundancy put in place to protect both buyer and seller, since essentially they don’t know each other well enough for there to be enough trust between them. To cite the example of the United States: escrow is widely used once an offer is accepted and a deal is entered into. Let’s assume it’s a 30-day escrow. Those 30 days allow for the buyer to walk away from the deal if, in doing further due-diligence, it is uncovered that, for instance, the property has humidity issues, or structural problems, or it’s discovered that a 30-foot building is to be constructed next door. In essence, anything which could be detrimental to the buyers as investors. It’s a safety net put in place by the system to protect the buyer. The seller, during those 30 days, is pulling out his fingernails and having plenty of sleepless nights. This institution does not exist in Argentina. Let me repeat: escrow does not exist in Argentina. For this reason, we advise that you visit the home in question as many times as needed and with as many professionals as required (architect, engineer, tarot card reader, lawyer) to make SURE before you drop even one red dime on the deal. Once the LOI is drafted, signed and accepted; you’re off to the races. Now, that said, an LOI can be as detailed - or not - as both parties agree to. So, in it, if the parties were to agree that a makeshift escrow-type involvement could be put into place, that might be something to consider. The latin adage pacta sunt servanda comes to mind (agreements must be kept), and is a crucial part of our Napoleonic law-based legal system. However: for something to be considered legally-binding, it needs to be a) legally possible (you can’t draft a contract wherein you agree to kill another man) and b) physically possible (similarly, you can’t draft a contract in which you promise to sell elephants that can fly).
So this is by way of saying that, you may sign a contract and agree to the terms of it, but if put before a court, the judge will err on the side of what the law stipulates. And again, the law makes no mention of escrow-based deals / companies.
Chapter 11: Wording Matters (Form & Function, Equally Important) (Part VI) Words matter. They always have, but nowhere more so than in a real estate transaction conducted in a language that isn't yours. Argentine real estate has its own vocabulary - seña, refuerzo, boleto, escritura, escribano, inhibición - and while each of these words has an approximate English equivalent, approximate is precisely the problem. A seña is not just a deposit. A refuerzo is not just a top-up. An escribano is not just a notary. Each of these terms carries with it a specific legal weight, a specific set of consequences, and a specific point in the transaction at which things can go sideways if you haven't been told what you're actually agreeing to. I've seen it happen. The client signs, smiles, shakes hands, and walks out of the room believing one thing - and the document they just signed says something else entirely. Not because anyone was dishonest. Because the word seña was translated as "deposit" and nobody stopped to explain that in Argentina, a seña is binding, forfeitable, and doubles as a penalty clause if the seller walks. That's not a deposit. That's a commitment. The difference between those two words is the difference between a deal and a lawsuit. This is why precision in language is not a formality in Argentine real estate - it is the transaction. When your primary language is not Spanish, and the document in front of you is written in a legal register of Spanish that would give pause even to a native speaker, the margin for misunderstanding is not narrow. It is wide, it is consequential, and it is entirely preventable - but only if someone takes the time to not just translate the words, but
explain what they mean, why they matter, and what happens if the other party decides to hold you to every last syllable. That someone, in a properly conducted Argentine real estate transaction, is your broker. And if your broker isn't doing that - if they're handing you a document and saying "sign here" without walking you through what you're actually signing - then you don't have a broker. You have a translator with a commission. Argentine real estate is conducted in Spanish, governed by Argentine civil law, and negotiated across a cultural gap that is wider than it looks from the outside - the architecture matters enormously. Precision in language is not a nicety in this business. It is the entire ballgame. If you are buying property in a country where the contracts are in Spanish, the law is Argentine, and the broker across the table from you is more interested in closing than in explaining - slow down. Ask questions. Ask again. Ask until the answer you receive matches the document in front of you, word for word, clause for clause, consequence for consequence. Because the beautiful thing about language - and I say this as someone who has spent his entire career living between two of them - is that it doesn't lie. People lie. Assumptions lie. "It's basically the same thing" lies. The words themselves, when read carefully by someone who knows what they mean, tell you exactly what's happening. You just have to be willing to read them.
Chapter 12: What is a Boleto? (spoiler alert: we don’t like it) (Part VII) They said ‘yes’ to the sale, congrats! This means you’re now able to move to the following step, which will require signing of a contract called boleto de compraventa, nothing more than a promise to purchase, really, and in which buyer usually pays about 30% of the total purchase price. This step, by the way, can be eschewed, and we advise skipping over it. How or why, you ask? There is an option of skipping the boleto and going straight to the signing of the deed. Both the broker and the seller like to do a boleto first for the simple reason that a) since you pay 30% of the purchase price then and there, the owner gets some money immediately, and b) that’s the moment during which the broker collects his commission (in some instances, never to be seen or heard from again). We favor skipping this step and - perhaps even if it means extending the process a few extra days - for a very simple yet crucial reason - a situation so rare I hesitate to even bring it up, but if it were to happen, I’d hate for it to happen under my watch. So, let’s say you’ve paid 30% of the purchase price to the buyer, and you’re waiting for the day of the deed signing to come through. In the meantime, the seller has used this money, or some of it, or most of it. Suddenly, the seller dies. RIP, uh oh… now what? Who is responsible for making sure the deal goes through? Who is the heir to that money / that deal? Will he or she honor it? Is there even an heir? These are but a few questions that would arise from such an unfortunate event. And in the middle of it all, little old you, just wanting to get your house keys to start redecorating. A client of mine likes to say ‘I don’t try to solve problems, I try to avoid them altogether.’ Jumping over the boleto, having everybody wait a few extra days to collect their money, and meeting directly for the final signing of the deed… this is the way in which we propose avoiding potential headaches of gargantuan proportions.
Chapter 14: The Notary Public & Signing Of Deed (or ‘Titling’) (Part VIII) Parties will agree upon a date and place of deed signing (or ‘titling’). They will further decide and put into writing a mutually-beneficial time and day and place for signing of the deed. Traditionally, the buyer chooses the notary who will draft the deed, while the seller chooses the place where it’s to be signed. Insofar as payment for this service, that falls under the purview of the notary public (or ‘escribano’) Let's talk about the escribano. Because if you're buying property in Argentina and you think the person sitting at the head of the table at your closing is roughly equivalent to the notary public who stamped your last document at a UPS Store - I need you to stop, set down whatever you're holding, and pay very close attention to what I'm about to tell you. In the United States, a notary public is a witness. A very official witness, with a stamp and a logbook and a solemn responsibility to verify that you are who you say you are before you sign something important. It is a meaningful function. It is also, in the grand architecture of a real estate transaction, a supporting role. The notary public confirms your signature. The attorneys, the title company, the lender, the escrow officer - they do the rest. In Argentina, the escribano is not a supporting role. The escribano is the transaction. The escribano - formally, the escribano público or notario - is a licensed professional who holds a university law degree, passed a specific national examination, and is officially appointed by the state. They are officers of the Argentine legal system in a way that has no precise equivalent in the United States. When you buy property in Argentina, the escribano doesn't just witness the signing. They draft the deed. They conduct the title search. They verify the legal status of the property. They confirm the absence of liens, encumbrances, inhibitions, and unpaid taxes. They collect the relevant taxes on behalf of the state.
They register the transfer with the Property Registry. And at the closing table - which in Argentina is called la escritura, a word that means, simply, the writing - they read the entire document aloud, in full, before anyone picks up a pen. Every clause. Every number. Every name. Out loud. In a room where everyone present is legally required to be present. This is not bureaucracy for the sake of bureaucracy. This is a system designed around a single premise: that the transfer of real property is a matter of public interest, not merely a private transaction between two parties. The escribano doesn't work for the buyer, and doesn't work for the seller. The escribano works for the integrity of the transaction itself - and for the Argentine state, which has a direct interest in ensuring that property changes hands cleanly, legally, and permanently. There is one more thing which bears repeating. In Argentina, the buyer typically has the right to appoint the escribano. This matters. Because the escribano you choose is not interchangeable. They have relationships, they have reputations, and they have the capacity to make a complex transaction run smoothly or turn it into a months-long ordeal. Choose carefully. Ask your broker. And if your broker doesn't have a recommendation - find a new broker. So, finally: payment, signing, key hand-off. You’re home, and now own property in Argentina.
Chapter 15: Do I Need to Be Here? I Have ‘Lion King’ Tickets (Part IX)
Here's something people don't expect to hear: you don't have to be here. Once you've walked the streets of Palermo, stood in the apartment, looked out the window, and said "yes, this is the one" - you can go home, if you so choose! Go back to Dallas, or London, or wherever it is you came from, and let your broker / proxy handle the rest. Bank account opening. CUIT tax ID registration. Document preparation. Due diligence. The offer, the supplemental payment, and signing of the escritura - all of it, handled, remotely. The instrument that makes this possible is called a Power of Attorney, and in Argentina it is a fully recognized, legally sound mechanism by which you authorize a trusted representative to act on your behalf in all matters pertaining to the transaction. In plain English: you sign one document, and we sign everything else. You get the keys. We did the paperwork. Everyone wins - and nobody had to book a second flight to Buenos Aires to sign something at a notary's office on a Tuesday afternoon in July. The Power of Attorney can be as ample or restrictive as you wish; it can have a life cycle of days, weeks, months, years; it can also be task-specific - or special - meaning it terminates by operation of law upon fulfillment of its designated purpose.
Chapter 16: What’s My All-In, Please? (Part X)
What can you expect to pay, out-of-pocket, over the purchase of property in Argentina? Let’s take a real-life and practical example of a unit in Palermo Hollywood, Buenos Aires. This is a 2 BD apartment, with an asking price of U$ 250.000; Commission to the listing agent’s office: 4% over U$ 250.000 (assuming buyer purchases at asking price): U$ 10.000; Escribano fees / taxes will fall at right around 2%, as such: U$ 5.000. Take into consideration that the taxes are taken in AR$ Pesos, so when you, in turn, convert those into US dollars, your bottom line will likely be lower.
Chapter 17: What’s My All-In, Please? (continuation: Stamp Tax)
Argentina enacted a new law modifying the stamp tax - impuesto de sellos - as it applies to real estate transactions. The stamp tax is exactly what it sounds like: a tax on legal documents, contracts, the paperwork that makes a property transfer official and binding. In Argentine real estate, it runs at 3.5% of the deeded transaction value, typically split down the middle - 1.75% from the buyer, 1.75% from the seller. Not nothing. But here's what changed: the floor moved. The minimum transaction value above which the tax applies was sitting at AR$ 56,270,730. As of this law, that floor is AR$ 205,332,000. That's not a modest adjustment. That's a nearly fourfold increase in the threshold - meaning a significant swath of transactions that were previously taxed are now exempt. The paperwork still gets signed. The deed still gets recorded. The stamp tax simply doesn't apply. Why does this matter? Because it matters most at the lower end of the market - the first- time buyers, the smaller apartments, the transactions that were already operating on thin margins. By raising the floor, the government reduced the tax burden precisely where the market is most sensitive to it. This isn't a revolution. It's a calibration. But it follows last year's elimination of the transfer tax - the ITI - on properties purchased before 2018, which was itself a meaningful step toward making Argentine real estate more transactable. Two moves in the right direction don't make a policy, but they do make a pattern. And in a market watching for signals, a pattern is worth noting. Real estate and local microeconomics go hand in hand. They always have. And right now, the hand is moving.
Chapter 18: Farm Livin’ is the Life for Me
The buying of real estate in Argentina, as you can see, can present itself as complex, but under no circumstance impossible to navigate. There is one notable exception to the ‘freedom’ of buying anything you’d like, in Argentina, and it’s something to bear in mind. While most expats or foreign investors are in the market for a condo, house, or even a turnkey business; there are occasions in which a client will want to buy land outside of the city. Some prime locations include Mendoza, Bariloche, Villa La Angostura and Córdoba; and we’ve run into clients wanting to purchase outside of urban settings, and helped them in the process. There is a law you should know about, enacted a number of years ago, which limits the amount of land a foreign citizen can buy in Argentina, if that land falls within a very specific Venn Diagram: if the land (and I do mean land, and not a house or structure of any kind… they speak of ‘land’) is within a certain distance of a provincial or national border, and/or a body of water of a certain size, as a foreigner you will not be allowed to purchase the land. As well, there is a percentage-based limit to how much land can be sold within Argentina to foreigners. Updated for 2026, this was 10% over the total, but that was compounded by 10% of each province, so it is more than one would think, but still puts a limit on to what one can buy. This law was put into place because famous people (Benetton, the late Robert Duvall, Francis Ford Coppola) purchased acre upon acre upon acre of land, over a period of time - and heavy lobbying was done in an effort to protect national territories, lest foreign Academy Award-winners and fashionistas buy it all up. For more information on this, we’ll soon release a separate ebook which discusses the process and nuance of rural real estate for foreigners.
Chapter 19: Pitfalls, Blindspots & What You’re Not Told
I’ve thought about this long and hard, and want to be as explicit as I can, since I have a responsibility to my clients, and by extension to all who read this book and draw advice from it. There’re always risks, but your trusty broker will help you navigate around them. 1.) Iffy paperwork. This is a risk but not so much a risk really, and let me elaborate. Earlier, we talked about how we request paperwork to the other broker, and it’s sent out to be checked upon. We do not move forward, and your money is refunded, if any of that paperwork comes back faulty or if the name on the deed does not match the seller. 2.) Hidden issues with property. In Spanish referred to as vicios ocultos or vicios redhibitorios. One of the more important things they teach you at law school. The other broker and/or owner may not disclose certain aspects of the property which you are legally and ethically required to know (such as, is the house haunted?). This is grounds for a big damages case against both owner and broker. 3.) Other blindspots. You saw the place once and loved it and want to make an offer. Hang on. In addition to a second visit with an architect friend, it’s a good idea to see it two or even there or more times to check lighting during different hours of the day, noise levels, etc. Are there more things to watch out for? Oh yes, but many times it’s case by case, and warrants meetings and conversations. But main, predominantly, and near as I can tell from my 30 years of experience and expertise, this is what you mainly want to watch out for.
Chapter 20: Don’t Shut Off My Electricity!
Let me answer a question before you ask it, because you're going to ask it. Everyone asks it. Usually right around the time the deal is moving toward closing and the brain starts generating hypotheticals at speed: "When the deed transfers to my name - do the utilities get cut off?” No. They don't. Here's why: in Argentina, the City Registrar - the office that records the change of ownership - operates in complete isolation from the service companies. There is no shared database, no automatic notification, no digital handshake between the entity that records your new title and the entities that provide your electricity, gas, and water. When your name goes on the deed, Edesur doesn't find out. Metrogas doesn't find out. AySA doesn't find out. The closing happens, the keys change hands, and the lights stay on - blissfully, bureaucratically unaware that anything changed. You'll need to transfer the accounts to your name eventually, and we'll walk you through that process. But the services themselves? They'll be on when you arrive. Count on it.
Chapter 21: Closing Comments (‘closing’, snicker)
You made it. And I mean that in more ways than one. You made it through the currency dynamics and the legal fine print and the part about the escribano and the part where I told you that a seña is not just a deposit - it's a commitment, and there's a difference, and the difference matters. You made it through the pie charts and the cautionary tales and the section where I explained, with what I hope was sufficient clarity, that the person handing you a contract in a language you don't fully speak is not automatically the person looking out for your interests. Here's what I want you to take with you. Argentina is not an easy market. It was never going to be. But easy markets don't produce the kind of returns that make people look back in five years and say I can't believe I got in when I did. Easy markets don't produce the kind of story you'll tell at a dinner party - the one about the apartment in Palermo, the escribano who read the deed aloud word for word, the wire transfer that cleared on a Tuesday afternoon and the keys that were in your hand by Thursday. Easy markets are fine. But they're not this. What Argentina offers - right now, at this specific moment in its complicated and frequently cinematic history - is the thing that sophisticated investors spend entire careers looking for: a world-class asset in an undervalued market, during a window of reform that hasn't yet been fully priced in. That window will close. It always does. The question is whether you were in the room when it was open. I wrote this book because I believe you deserve to be in that room. Not because you're wealthy - though some of you are. Not because you're sophisticated - though most of you are. But because you were curious enough to pick this up, thorough enough to read it to the end, and serious enough to ask the questions that most people never think to ask until it's too late. That's the profile of someone who buys well. My door is open. The coffee is on. And unlike most things in Buenos Aires - there is absolutely no waiting period.
About the Author
Max was born in the city of BA and raised in the Northern suburbs of Buenos Aires, to Argentine parents and heavily influenced by his native New Yorker grandparents (Howard Beach) and his New York-raised mother, a seasoned professor of English, later director of English departments in some of the most prestigious institutions around the suburbs of BA. This, early on, imbued him with a love for all things related to the English language, and allowed him to have a foot in both the international and local culture, being able to marry them seamlessly when it came to international transactions. Max attended Universidad del Salvador (law school) but later turned his interest to real estate, attending Universidad de la Matanza. Real estate melds two things he loves: people and the piecing together of property-related deals, as they are all ‘tailor-made suits’. Each case different, every client with his or her own needs and wants. No two days at the office are the same, and this he loves, and it shows. © MGNI (M. Götz Negocios Inmobiliarios) This book was originally written between October of 2021 and March of 2022, and then new editions were made for 2024, 2025 and 2026. It contains specific information about laws on a local, state and federal level. As such, these laws may change over time. We’ve updated this book for the year 2026. Be sure to reach out to us for any updated information, as the case may be. Us, or anybody well-versed in these matters. But preferably us. Everything written and hereby detailed in this book is the express opinion of the author coupled with laws governing real estate on a local, state, and federal level. MGNI (M. Götz Negocios Inmobiliarios) Hipólito Yrigoyen 850, 2nd Floor, Suite 228 Buenos Aires, Argentina www.mgotz.com