Land in Argentina Tipped as having Potential for Investors
Argentina is one of the latest property markets to be noticed by investors as having incredible investment potential. According to “Land in Argentina Tipped as having Potential for Investors,” the potential for profit is caused by three factors. The group Property Frontiers says that land has been undervalued, appreciation is around 19 percent, and there are strong exit strategies, all good for profit. A place of striking natural beauty and rich culture, Argentina is becoming one of the frontrunners for overseas investment.
The future of the Argentine economy seems stable, as the economy has grown by 8 to 9 percent per year in recent years and, according to the Economist Intelligence Unit, should continue at this rate of growth for the next five. This makes it a stable place for investors to put their money. In 2007, four billion dollars was invested in Argentina from the outside and the prediction for 2008 is 5.5 billion dollars.
There are many benefits to investing in Argentina, one of which is that the government is committed to the construction industry. Additionally, Argentines usually vacation inside of Argentina, so they help keep tourism levels high. Demand for property is high from locals in the country, though they don’t usually get bank financing, and foreign investment is not yet happening in mass, meaning that the potential for the property market to grow is high. There are opportunities to buy land near hotel resorts where development is permitted. The most expensive areas to buy such land are Mendoza—wine country—and the outskirts of Buenos Aires. The cheapest land is in outlying areas where, as of yet, there are no good roads or railways. Those lands have agricultural potential, but as of the moment they lack the infrastructure to be effectively exploited.
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