Homeownership has diminished over the past decade as a result of decreasing purchasing power, constrained savings ability, and obstacles to obtaining mortgage financing. Consequently, the proportion of homeowners decreased from 71% in 2016 to 68% in 2026. This indicates that there are 597,000 additional renter households compared to a decade ago, as circumstances for tenants grow more difficult. The figures originate from an analysis conducted by Fundación Mediterránea, utilising data released by Argentina’s official statistics agency, INDEC. “Renting, which traditionally served as a stepping stone to homeownership, is becoming an increasingly prolonged stage and is no longer limited to younger or lower-income households,” the report warned. They explained that the rise in renting “was not uniform across income groups.” Notably, the proportion of renters within the lowest income deciles has remained virtually stable, whereas the most significant increases have been observed among middle- and upper-income households. “The expansion of renting among these groups shows that having a relatively high income no longer guarantees a transition to homeownership,” the report said. The economists clarified, however, that the stability of renting among the lowest income deciles “does not mean the housing problem is less severe for these households.” They added: “For these households, housing deprivation can take other forms, such as overcrowding, substandard housing or multiple families sharing the same roof.”
This trend can be attributed to the widening disparity between wages and housing prices. “While properties are generally priced in U.S. dollars, most salaries are paid in pesos. The loss of purchasing power and successive currency devaluations have made it harder to accumulate savings, even among higher-income households,” Caullo and Galíndez argued. According to the latest INDEC figures, released on Friday, formally registered wages have exhibited minimal movement thus far in 2026, increasing by a mere 0.2% from January to September. Consequently, employees have struggled to rebound from the significant downturn that ensued after Javier Milei assumed office. Since November 2023, formally registered wages have decreased by 7%. The Fundación Mediterránea economists stressed that formal employment and income stability “are not enough to guarantee access to homeownership either.” The data showed that “one in three formally employed private-sector workers who head a household rents their home.” Including those who still live with their parents, “fewer than half live in a home they own.” The postponement of home purchases was particularly evident among households led by individuals aged 30 to 49.
Their proportion of total renter households increased from 49% in 2016 to 57% in 2026, representing roughly 77% of the growth observed over the last ten years. The shift is also evident when assessing the proportion of renters across various age demographics. Among households led by individuals aged 40 to 49, the rate escalated from 17.5% to 23.9%, whereas for those aged 30 to 39, it advanced from 31.8% to 35.7%. In contrast, individuals under 30 represented a diminished proportion of the total renter population, decreasing from 25% to 19%. This indicates that a significant number within this demographic do not possess the financial resources necessary to secure independent housing. “The evidence suggests that renting is extending well beyond the first years of adulthood. This is no longer just about young people delaying their move out of their parents’ homes, but also about people reaching their 40s without having been able to buy a home,” the experts noted. These challenges are exacerbated by a mortgage market characterised by “limited reach” and elevated levels of informal employment, two elements that further constrain access to financing. As a result, in many cases, “being able to afford monthly mortgage payments does not necessarily mean meeting the requirements to obtain a loan.” This is because, even when financing is available, “buyers need to have prior savings to cover the down payment, which generally represents between 25% and 30% of the property’s value.”
For numerous households, the primary challenge lies in accumulating that sum prior to initiating a loan application. The savings required exhibit significant variation across Argentina’s provinces, as indicated by the study conducted by Fundación Mediterránea. In Mendoza and Neuquén, the duration is approximately five years, whereas in Córdoba and Santa Fe, it extends beyond six years. In the Buenos Aires Metropolitan Area, the average spans from 6.5 to 6.9 years. At the opposite end of the spectrum is Misiones, where the duration extends to 9.6 years. “In this context, the ability to buy a home increasingly depends on family wealth, an inheritance or financial assistance from parents. Assets accumulated by previous generations are therefore becoming increasingly important compared with income earned through work,” the economists warned. They added that reversing this trend requires “rebuilding the mortgage financing system.” This means ensuring that 20- or 30-year loans are backed by long-term savings sources, something that is “difficult to sustain with bank deposits that are predominantly short-term.”
