Which Buenos Aires neighborhoods offer the highest rental returns?

Rental profitability has returned to the center of Buenos Aires’ property market debate. In July 2026, the average gross annual yield for a traditional apartment rental in the city stood at 5.76%, based on a 50-square-meter, two-room unit, according to a Zonaprop report.

At that rate, an investor would need 17.3 years of rental income to recover the initial purchase price. That period is 6.5% shorter than a year earlier, although the average yield declined slightly.

The market combines signs of stabilization with continued sensitivity to broader economic conditions, particularly access to mortgage credit. Analysts say a wider mortgage market could allow more tenants to become homeowners, easing rental demand and limiting further increases in rents.

The supply of rental properties expanded sharply after Argentina repealed its rental law in December 2023. Asking-price increases then began to slow. Rents remain high compared with incomes, however, which limits the room for further increases and supports a market that appears more stable than expansive.

The strongest returns are found in neighborhoods where purchase prices remain relatively low. Two-room apartments in Lugano, Nueva Pompeya and La Boca offer gross annual yields above 7%. These districts have historically attracted fewer final buyers, but their lower prices per square meter and sustained rents improve their investment figures.

At the other end of the market, Puerto Madero, Palermo, Núñez and Belgrano produce yields ranging from 3.5% to 4.7%. High purchase prices compress returns despite solid demand and a low risk of vacancies.

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After the repeal of the rental law, supply grew strongly and increases in asking prices began to slow.