Originally Posted by
USAFAN
Hello Gaucho100K:
Very interesting ... first let me say, I have never done a wire transfer to Argentina. I just looked at my account, if I could transfer funds .. and yes, I can .. and I can even select ARS!?!
Actually, I wasn't aware, that it was so painful to wire funds to Argentina. I have sold boxes (computers that is) to Deutsch Sued-Amerikanische Bank, headquartered in Hamburg, now part of Allianz/Dresdner Bank AG .. and I had the impression that they could handle such businesses.
OT: What do you think about this
http://www.vinesofmendoza.com/privat...d_estates.html
not calculating any possible problems with ARS? Is this real? Or just a "smart business idea" to catch other peoples money.
Well yes.... there are many issues to consider when wiring funds to Argentina, unless you go through some of the other standard methods like Western Union, that while painless, are very expensive and you cannot wire significant amounts of cash. Having said this, nowadays with all the additional regulations and controls of flows of capital, there is more paperwork involved in wiring funds to all countries... of course this is depending on how the wires and done and what amounts one is talking about.
Not to beat a deat horse... but remember that even if you can select ARS with your online bank (which is plain nonsense), no German bank deals in Pesos unless its their local branch established in Argentina and duly regulated by the BCRA (Argentine Central Bank). For any transcation that you will do with your bank in Germany, even if you can input an ARS amount it is a game of units of measure.
On your Mendoza question-- yes, the project is indeed for real and I know a few of the principals involved in the exact project you mention. It is not a scam, and for projects of its type, its one of the two best in its concept/category.
It is a lifestyle type purchase/investment... anybody that thinks he will make money from selling wines made under such a scale is simply dreaming.... however, as I state before these types of real estate plays are about having a second (or third) home in a region that you enjoy and having a different concept around it. To give a further example... some people like to have a second home in a place that you can ride horses... or play polo. Those folks will sometimes buy into a Country Club that has an Equestrian Club..... for folks that are serious wine aficionados, a second home with a Club that allows you to make your own wine is a natural choice.
Also, the ARS issues have very little to do in the analysis of investing in real-estate in Argentina. This is because, contrary to what many foreigners think, all real estate transactions are quoted and transacted in US Dollars, or even in Euros... just
never in Pesos. This is a very long standing tradition in Argentina (more than 40 years old)... as real estate is together with hard currencies and precious metals have traditionally been the reserve "values" for Argentines looking to place their savings. Someone looking to invest in something like this is not looking for a quick short term flip.... and taking a more paused back stance perspective, prices of land in Mendoza as one of the world capitals in wine are still grossly undervalued (no matter in what currency you measure it).