Brazil's 34 bn housing plan have a significant impact in the economy
Saturday, March 28, 2009
Brazilian government announced a massive 34 billion reais ($15.1 billion) program to build a million homes for low-income families as President Luiz Inacio Lula da Silva seeks to spark growth in the country's economy.
According to Dow Jones news agency, the federal government would provide BRL16 billion in subsidies for the plan and that the remainder would come from other sources, including the FGTS federal severance guarantee fund and the the Banco Nacional de Desenvolvimento Economico e Social (BNDES) national development bank. Budget Minister Paulo Bernardo confirmed that the housing plan would cost the government 6.5 billion reais this year, spending that will be diverted from other unidentified areas.
The long-awaited plan, called My House, My Life, is seen dropping the country's housing deficit by up to 14%. The plan also intends to create 700,000 jobs all over the country as construction companies increase hiring.
Finance Minister Guido Mantega said that the program is aimed at helping finance home construction for low-income families earning between three and 10 times the minimum wage per month. Brazil's minimum wage is currently set at BRL465 a month. Brazil's president Luiz Inacio Lula da Silva said during a televised event announcing the program," the government would quickly disburse related funds”.
The Finance Minister commented: "There is no doubt this is a bold program and of great impact on the Brazilian economy. For sure it will be one of the main anti-crisis programs this government will launch".
Equity investors are optimistic that Brazil's housing plan, which aims to build one million homes by 2011, could help jump-start the economy. Brazilian property has been boosted by the housing plan; industry experts believe that there has been a recent turnaround in the property sector due to the government implementing new initiatives, with January and February sales rising quite substantially, although many of them emphasize that the emerging markets are the property sector and tourist sector, with plenty of interest from foreign investors.
Social BookmarkingAccording to Dow Jones news agency, the federal government would provide BRL16 billion in subsidies for the plan and that the remainder would come from other sources, including the FGTS federal severance guarantee fund and the the Banco Nacional de Desenvolvimento Economico e Social (BNDES) national development bank. Budget Minister Paulo Bernardo confirmed that the housing plan would cost the government 6.5 billion reais this year, spending that will be diverted from other unidentified areas.
The long-awaited plan, called My House, My Life, is seen dropping the country's housing deficit by up to 14%. The plan also intends to create 700,000 jobs all over the country as construction companies increase hiring.
Finance Minister Guido Mantega said that the program is aimed at helping finance home construction for low-income families earning between three and 10 times the minimum wage per month. Brazil's minimum wage is currently set at BRL465 a month. Brazil's president Luiz Inacio Lula da Silva said during a televised event announcing the program," the government would quickly disburse related funds”.
The Finance Minister commented: "There is no doubt this is a bold program and of great impact on the Brazilian economy. For sure it will be one of the main anti-crisis programs this government will launch".
Equity investors are optimistic that Brazil's housing plan, which aims to build one million homes by 2011, could help jump-start the economy. Brazilian property has been boosted by the housing plan; industry experts believe that there has been a recent turnaround in the property sector due to the government implementing new initiatives, with January and February sales rising quite substantially, although many of them emphasize that the emerging markets are the property sector and tourist sector, with plenty of interest from foreign investors.
Labels: Economy, Latest-News
World Bank approves $1.3bn environmental loan to Brazil
Tuesday, March 17, 2009
Brazilian property investors with an eco-friendly conscience could be interested to learn that the World Bank has approved a $1.3 billion (£910 million) loan to Brazil to support the country's environmental management and climate change efforts.
Brazil will collect the First Programmatic Development Policy Loan for Sustainable Environmental Management to fund its forest, water management and renewable energy schemes, as well as integrating its climate change agenda. The program is to help decrease the flawed farming and logging practices as well as illegal deforestation by giving local communities privileged treatment regarding forest concessions. The program will also try to perk up Brazil's water and sanitation services, which is the main reason of hospitalization in the country with diseases such as dysentery. The $800 million will be disbursed in the first phase and a second tranche of $500 million is expected to be paid out in the fourth quarter of 2009 upon fulfillment of the projects goals.
Makhtar Diop, the World Bank's county director for Brazil has said that the loan "will prop up Brazil's environmental management and will integrate the sustainability concerns in the development agenda of key sectors such as forest management, water and renewable energy."
Guido Mantega, minister of finance commented: "The Brazilian government has been working strongly towards the development and implementation of public policies that address sustainable development so that economic growth occurs without loss to our rich biodiversity."
In related news, University of Sao Paulo (USP), the nation's most renowned university has launched its first environmentally sustainable building. The Centre of Studies on Climate and Sustainable Environments in the university is a zero-energy consumption building, according to Brazzil Magazine reports.
Social BookmarkingBrazil will collect the First Programmatic Development Policy Loan for Sustainable Environmental Management to fund its forest, water management and renewable energy schemes, as well as integrating its climate change agenda. The program is to help decrease the flawed farming and logging practices as well as illegal deforestation by giving local communities privileged treatment regarding forest concessions. The program will also try to perk up Brazil's water and sanitation services, which is the main reason of hospitalization in the country with diseases such as dysentery. The $800 million will be disbursed in the first phase and a second tranche of $500 million is expected to be paid out in the fourth quarter of 2009 upon fulfillment of the projects goals.
Makhtar Diop, the World Bank's county director for Brazil has said that the loan "will prop up Brazil's environmental management and will integrate the sustainability concerns in the development agenda of key sectors such as forest management, water and renewable energy."
Guido Mantega, minister of finance commented: "The Brazilian government has been working strongly towards the development and implementation of public policies that address sustainable development so that economic growth occurs without loss to our rich biodiversity."
In related news, University of Sao Paulo (USP), the nation's most renowned university has launched its first environmentally sustainable building. The Centre of Studies on Climate and Sustainable Environments in the university is a zero-energy consumption building, according to Brazzil Magazine reports.
Labels: Environment-friendly, Latest-News
Fortaleza has incredible upside potential
Wednesday, March 11, 2009
Recent reports have suggested that the north-eastern city of Fortaleza property market is strong and continuing to grow, with experts describing the region as "an affordable paradise" and predicting the housing sector will do "really well" this year.
Fortaleza is a major fishing port and fast growing tourist destination in the northeast of Brazil. The beaches of Praia de Iracema and the Praia do Futuro are the focal point of nightlife and entertainment and the former is preferred by bohemians and night partiers, whereas the later is preferred by swimmers and surfers.
Ronan McMahon, executive director of Pathfinder International has said that the area is becoming increasingly popular for expats from Europe and says the domestic mortgage market is "opening up", reports TodaysFinancialNews.com.He cites Fortaleza as his first choice for making money and there is the potential for 12 per cent rental yields as well as immediate gains on off-plan property purchases.
He commented: "Condo prices are up by more than 20 per cent since last April and continue to rise. The short-term rental market is running at close to 100 per cent occupancy for the next three months"
In related news, Tom Falcao, general manager of the Embassy of Brazil's Tourist Board has stated that holidaymakers are looking to buy second homes in the country, particularly in the north-east and the south. Mr. Falcao believes there is good potential for investment in Brazil, with some purchasers choosing to rent out their property to other people.
Social BookmarkingFortaleza is a major fishing port and fast growing tourist destination in the northeast of Brazil. The beaches of Praia de Iracema and the Praia do Futuro are the focal point of nightlife and entertainment and the former is preferred by bohemians and night partiers, whereas the later is preferred by swimmers and surfers.
Ronan McMahon, executive director of Pathfinder International has said that the area is becoming increasingly popular for expats from Europe and says the domestic mortgage market is "opening up", reports TodaysFinancialNews.com.He cites Fortaleza as his first choice for making money and there is the potential for 12 per cent rental yields as well as immediate gains on off-plan property purchases.
He commented: "Condo prices are up by more than 20 per cent since last April and continue to rise. The short-term rental market is running at close to 100 per cent occupancy for the next three months"
In related news, Tom Falcao, general manager of the Embassy of Brazil's Tourist Board has stated that holidaymakers are looking to buy second homes in the country, particularly in the north-east and the south. Mr. Falcao believes there is good potential for investment in Brazil, with some purchasers choosing to rent out their property to other people.
Labels: Fortaleza, Market-Trends
Brazilian boutique condominium resort offers Try before you buy scheme
Monday, March 9, 2009
Pipa's Morada dos Ventos boutique condominium resort is complete and also available on the market via uv10.com for as little as 199,800 BRL (approx 59,907 GBP) for a one bedroom penthouse and the owners are running a try-before-you-buy scheme, it is reported.
Morada dos Ventos comprise 16 stylish and spacious apartments in Pipa, Natal's 'global village'. The resort is surrounded by luxuriant tropical gardens with community swimming pools and poolside bar. The apartments are delivered fully equipped to international standards - down to the teaspoons and bath towels, hotel-style services are on-tap.
The pousada occupies a calm and safe residential zone within ten minutes walk of Pipa's famous beaches, bars and nightlife. The leisure activities in the resort include horse riding, kayaking, hang gliding, beach buggy trips and the management also facilitates the hire of cars or motorbikes. Rental returns in Pipa are well above the national average and buyers can expect a 100% return on the investment in around 12 years; that's without factoring in the present 20% per annum capital appreciation.
Samantha Gore, Head of Sales and Marketing for Brazil experts uv10.com has stated that in order to offer maximum reassurance to investors, the persons who masterminded Morada dos Ventos have come out with this scheme. Prospective owners can sample a suite from a crazy 110 BRL (32.99 GBP) per couple per night on bed and breakfast basis and then, they can make a purchase if they like it and have these accommodation costs refunded. A condominium pousada (guesthouse) is quite a familiar arrangement in Brazil and the country has precise laws to administer their set-up and administration and also to protect investors. The Brazilian condominium structure allows for fully documented freehold ownership by individuals who then contract the management of the resort.
Prices at Morada dos Ventos are
A one bedroom penthouse of 93m² constructed area is 199,800 BRL (approx 59,907 GBP)
A two bedroom garden apartment of 102m² is 255,960 BRL (approx 76,788 GBP)
Prices are expected to increase in March this year to the tune of 5%. All properties have an interest-free 12 month payment plan.
Morada dos Ventos comprise 16 stylish and spacious apartments in Pipa, Natal's 'global village'. The resort is surrounded by luxuriant tropical gardens with community swimming pools and poolside bar. The apartments are delivered fully equipped to international standards - down to the teaspoons and bath towels, hotel-style services are on-tap.
The pousada occupies a calm and safe residential zone within ten minutes walk of Pipa's famous beaches, bars and nightlife. The leisure activities in the resort include horse riding, kayaking, hang gliding, beach buggy trips and the management also facilitates the hire of cars or motorbikes. Rental returns in Pipa are well above the national average and buyers can expect a 100% return on the investment in around 12 years; that's without factoring in the present 20% per annum capital appreciation.
Samantha Gore, Head of Sales and Marketing for Brazil experts uv10.com has stated that in order to offer maximum reassurance to investors, the persons who masterminded Morada dos Ventos have come out with this scheme. Prospective owners can sample a suite from a crazy 110 BRL (32.99 GBP) per couple per night on bed and breakfast basis and then, they can make a purchase if they like it and have these accommodation costs refunded. A condominium pousada (guesthouse) is quite a familiar arrangement in Brazil and the country has precise laws to administer their set-up and administration and also to protect investors. The Brazilian condominium structure allows for fully documented freehold ownership by individuals who then contract the management of the resort.
Prices at Morada dos Ventos are
A one bedroom penthouse of 93m² constructed area is 199,800 BRL (approx 59,907 GBP)
A two bedroom garden apartment of 102m² is 255,960 BRL (approx 76,788 GBP)
Prices are expected to increase in March this year to the tune of 5%. All properties have an interest-free 12 month payment plan.
Labels: Apartments, Natal, New-developments
