Closing Costs When Buying Property in Argentina
Real estate agent commissions typically range from 3% to 4%—depending on location—plus IVA at 21%. So a 3% commission becomes 3.63%. The amount is payable by both parties, so the agent comes out with 6% to 8% of the purchase price. Since there is a multiple-listing system, and most real estate agents share listings, there may be either one or two agents involved. The total income to both real estate agents is 6% to 8% of the purchase price. Since the real estate commission payable by the buyer does not vary whether there are one or two agents involved, it is better to work with one agent who searches the whole market, and learns what the buyer wants, thus making the purchase process more efficient.
Notary fees amount to around 2% of the purchase price, and are payable by the buyer.
Real estate transactions are subject to a stamp fee of 2.2% on the sale value. Levied by the individual provinces, this has been abolished in downtown Buenos Aires for primary homes, but is payable in the suburbs.