High Micheal,having just read your article I am not quite sure if I agree.Firstly the brasilian banks are at present falling over themselves to offer Brasilians money to buyers(if a little slow) but having spoken to various corretors with regards to payment plans I find it extrodinary that they will negotiate absolutely anything you throw at them because if they do not then they are left with half empty blocks.If you know all the buildings that are going up you will be able to recognize the ones who are having difficulties(normally the ones that are still incomplete after 4 yrs)Go to the justice dept the highest number of cases are non payments of cars and non payment of property,so there you go.
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Originally Posted by michaelbush
In Natal I can only quote the domestic market and land prices. Houses in the urban districts of Natal have shot up in price in the last year or two, as has the cost of lands to developers. One example is a house that cost just 45000R$ last year was sold recently for R$80,000. A house in Nova Parnamirim that two years ago was R$75000 is now being sold for R$120,000 having had a small reform costing R$10,000. Land that just six months ago was 13R$ m2, is now R$18. New apartment blocks for Brasilian people do not show signs of dropping in price, at least not yet. The Brasilian economy is very strong and does not depend too much on imports, and since the credit market is not in the same league as the US or Europe, and the banks do not lend in the same reckless fashion with loan to values over 100%, the credit crunch will not have the same effect here. This is one of the reasons the currency is strong and long term I believe it will remain so.
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