The Private Investor: Find experienced real estate and legal professionals and create a plan. First, you need to find the professionals. As a former recruiter, I know how difficult it is to find talent. It’s a widely accepted fact that the best way to find talent is via referrals.

Personally, I have used LinkedIn to find professionals around the globe, as well as keep in touch with old contacts. So, ask your friends, family and acquaintances: “Do you know anyone with real estate and/or legal expertise in Buenos Aires?”

Investing in Buenos Aires real estate can be a complex and demanding task. You need to build a team that can support you in this endeavor. A notary public, a real estate agent and a lawyer are the three most important professionals to connect with. These professionals hold the keys to your investment’s success.

Questions you need to ask yourself:

• What do I want to accomplish with this purchase?
• What mechanisms do I have in place to accomplish this goal?
• What are the steps to a successful purchase?
• What are the consulting/closing costs?
• What is the next step after I purchase this property?
• What are the costs of property management, interior design or any other value-added services?

The Global Investor: Find a local partner to balance the risk.

Global investors that seek to purchase or develop properties in Buenos Aires will often choose to partner with local firms. Due diligence is very important in choosing a partner. You need to research their financial picture, reputation, and investment goals.

Large international firms start joint ventures frequently, especially in markets with high barriers to entry (i.e. special restrictions on foreigners: higher taxes, stricter environmental regulations, etc.).

An intelligent local partner can help you navigate through local politics, government regulations and business customs. Market and social intelligence are particularly valuable; as this will help you minimize risk, increase ROI and find other opportunities for investment.

Five Keys to a Successful Purchase

Title Does the seller hold clear legal title and do they have the right to transfer title to you? It is vitally essential to conduct a title search to establish whether there are any liens (mortgages) or encumbrances.

Deed Additionally, buyers may want to hire a surveyor to confirm that the property is accurately portrayed in the deed.

Delinquent Taxes Buyers should check with the tax authorities (AFIP) to see whether property taxes (or other taxes) are owed on the real estate in question.

Delinquent Building Fees Is the seller current with their building dues (condo/H.O.A. fees)?

Environmental Review It is important to conduct a thorough environmental due diligence assessment; however, as the new owner, you are not legally responsible for past environmental violations.

“Environmental compliance is controlled at the federal and at the provincial level. The provinces have begun to work actively on these matters in the recent years.

Buyers usually obtain reliable information on environmental matters through due diligence on existing administrative or judicial cases and from any claims initiated before administrative authorities. Further, prospective buyers usually inspect the property on site.

Please note that possession of governmental permits allowing the handling of assets which can cause environmental damage does not release the owner or custodian of such asset from potential tort liability.

According to the Argentine Civil Code, an injured party may recover damages from the owner or custodian of an asset that produces environmental damage. In addition, a transferor of an asset which has a hidden defect and later causes environmental damage may be liable after the transfer.” Source - Section 11.2