Rents Rising in Buenos Aires: Núñez Overtakes Palermo

In the capital of Argentina, Buenos Aires, rent prices in the real estate market continue to rise day by day, but the pace of this increase lags behind inflation. Renting a house, especially in the most demanded neighborhoods of the city, has become an increasingly greater struggle for household incomes. In this context, the Núñez neighborhood stands out as one of the most striking examples that summarizes the situation. The monthly rent for a standard two-room apartment has reached almost 1 million pesos in Núñez. Moreover, this figure surpasses even Palermo, traditionally known as one of the city's most popular and expensive areas.

In the first six-month period of 2026, average rent prices in Buenos Aires increased by 15,7 percent. However, since the country's official inflation rate was 17,1 percent during the same period, rents are actually considered to have decreased by approximately 1,4 percent in real terms. Looking at the data for June, the single-month price increase remained at only 1,4 percent. When evaluating the last twelve-month period, it is seen that the total rent increase was 31,3 percent, which is the lowest annual increase rate recorded since November 2019. The rent increases during this period progressed almost in parallel with the 31,5 percent adjustment of the Lease Contracts Index (ICL).

Across Buenos Aires, the average monthly rent for a two-room apartment is calculated at approximately 860 thousand pesos. While the prices for one-room studio apartments hover around 755 thousand pesos, the monthly cost of three-room apartments reaches an average of 1 million 157 thousand pesos. When evaluated on a neighborhood basis, Puerto Madero ranks at the top of the list as the most expensive area by far with approximately 1,2 million pesos. It is followed by Núñez with approximately 980 thousand pesos, Palermo with 956 thousand pesos, and Belgrano with 946 thousand pesos. Chacarita, Colegiales, Villa Urquiza, Saavedra, Coghlan, and Recoleta also stand out in the top ranks of the list of expensive neighborhoods.

At the other end of the market, much more affordable areas come to the forefront, creating alternative living spaces for tenants. Lugano stands out as the neighborhood offering the cheapest rent in the city with 658 thousand pesos, followed by Nueva Pompeya, Versalles, and Parque Avellaneda. Mataderos, Floresta, La Boca, Villa Riachuelo, Constitución, and Liniers are among the other neighborhoods included in the list of cheap areas. These significant price differences between neighborhoods also reveal the magnitude of socioeconomic and geographical inequalities across the city.

The most fundamental factor behind the slowdown in the rate of rent increase, and the decrease in real terms, is the significant increase in the housing supply in the markets. Due to the former rental law implemented during and after the pandemic period, many homeowners preferred to sell their properties or turn to short-term rental options instead of long-term contracts. This situation led to a severe housing shortage, which peaked in February 2023, and consequently caused prices to rise excessively. However, following the repeal of the former rental law in January 2024, there was a tremendous jump of 62 percent in the supply of traditional rental apartments compared to the previous month. As of June 2026, the volume of rental housing listings in the market showed a growth of exactly 3,4 times compared to the lowest level in 2023.