Rental prices in CABA are accelerating. I recently saw that a two-room apartment averages around $790k , whereas a year ago they were significantly lower. The year-over-year increase reached 34.8%, so the market is moving quite a bit.

What's interesting is that the gap between neighborhoods is becoming more pronounced. Puerto Madero has already surpassed one million with an average of $1.32M for two rooms, but if you look for rentals in Lugano, you can find something much more affordable. Lugano is around $643k, which represents almost a 105% difference. Palermo and Núñez are also mid-range options with $891k y and $878k respectively.

Regarding neighborhood price increases, Lugano was one of the areas with the highest year-over-year growth at (51.3%), followed by Villa Pueyrredón and Mataderos. But here’s the interesting part: if you’re looking for profitability, Lugano offers a 9.6% gross annual return, well above Puerto Madero, which barely yields 3.5%. In Puerto Madero, it takes almost 19 years to recover the investment, while in other neighborhoods, that time is shorter.

The supply of apartments fell 6.1% in February, although it remains 2.7 times higher than three years ago. The rental market in Lugano and similar areas is attracting more investors seeking better returns, not just entry prices.