Eastern Homeowners Will Lower Rates on the Eve of a Different Summer

It is estimated that, only in Punta del Este, rates will drop at least 10% 

As is public knowledge, the outbreak of the COVID 19 pandemic generated changes and great consequences in the world economy, and the tourism, an area that represents almost 8% of Uruguay's gross domestic product, was no exception.

Only in the first months of 2020, about 1 million tourists entered, of which more than half were Argentine. With this data we can almost assure that the 2021 season will have a lower demand in terms of rentals and use of services on the Uruguayan coast. 

As a solution to this fact, the government and tour operators decided to bet on domestic tourism, generating a series of measures from which we Uruguayans benefit. One of the main measures, already claimed years ago by the operators, was to eliminate personal income tax (personal income tax) on rents.

This supposes a decrease in the rate of more than 10% of the current one. From that percentage the rate will increase or decrease due to the laws of the market, as usually happens, if there is a lot of supply and little demand, the rates decrease.

The operators point out that in Punta del Este there are many more inquiries for houses than for apartments. An average rate per fortnight is estimated between US $ 1.700 and US $ 2.000 for 1-bedroom apartments with services. For those with 2 bedrooms, the price increases between US $ 2.000 and US $ 2.500.

Operators also estimate the fortnightly rate for a 4-bedroom house with a pool at between $ 5.000 and $ 6.000. It should be added that, as it happens, in February the rates drop an average of 20%.

About us HOUSES IN THE EAST released data taken from the reservations of 3.000 owners that indicate that seasonal prices increased 7% in dollars compared to the previous season. 

Generally, in Maldonado, Uruguayan visitors represent only 30% of the total number of tourists, this data does not make the next season very encouraging, which is slow for consultations compared to previous seasons.

Although the operators applaud the measures taken, they conclude that they are not enough to laud the problems that are occurring in the real estate sector, especially in the resort that is mostly chosen by the Argentine and international public. 

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