Archive for the ‘Brazil’ Category

In 2007, for the first time in 25 years mortgages became available to residents buying property in Brazil. Before then, Brazil’s poor and lower middle class had little access to credit and the astronomical interest rates made repayments almost impossible.

Along with the shortage of homes across the country, access to mortgage finance has fuelled consumer demand and has created the construction boom.  Massive growth in this sector means that domestic mortgages are predicted to increase by up to 600% by 2014. Banco do Brazil recently announced that it will double their loan book in 2011 from 3 billion Reais to 6 billion Reais!

The prospect of buying a small home is now a reality for millions of Brazilians, but mortgages are only available to Brazilian residents on ‘key ready’ property.  

As an investor, this means there is an opportunity to invest in well located off plan property in Brazil that has a well defined target market and exit strategy, by selling to middle class local residents on completion, who can get access to finance. Read more

The investments into infrastructure which are planned for the world cup 2014 have been announced in more detail in the “Tribuna do Norte” newspaper.

Back in September the Secretary of Infrastructure of the State of Rio Grande do Norte and the Secretary of Urban Mobility of Natal had requested funds from the federal government for the construction of new and improved roads and bus routes connecting the new airport of Sao Gonçalo de Amarante, the airport of Augusto Severo, the hotels of Ponta Negra and the Via Costeira to the area where the new stadium is to be built in preparation for the 2014 FIFA world cup. Yesterday this was unofficially confirmed to be approved.
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