10 Updates
When It Comes To Real Estate Bubbles, China's Got Nothing On Brazil

When It Comes To Real Estate Bubbles, China's Got Nothing On Brazil

Jan 19 2014, 3:06am CST | by

World investors may be worried about China’s real estate bubble. But only one country surpasses that market’s housing boom, and that’s Brazil. Whether it’s because of the new mortgage market and low...

Filed under: news

 
 
 

27 weeks ago

When It Comes To Real Estate Bubbles, China's Got Nothing On Brazil

Jan 19 2014, 3:06am CST | by

World investors may be worried about China’s real estate bubble. But only one country surpasses that market’s housing boom, and that’s Brazil.

Whether it’s because of the new mortgage market and low interest loans available to Brazilians earning more money, or just a plain old over-stretched housing bubble, the roof has blown off Brazil’s housing market. Anyone who has bought a home in Brazil is smiling wide with its increased valuation. Anyone trying to buy a home has surely been priced out of a market or two over the last five years.

The sober Bank for International Settlements — the Central Bank of the world’s Central Banks — said this week that over the last five years no market on earth was hotter than Brazilian housing.

In fact, Brazil home prices rose a whopping 121.6% from 2008 to 2013, more than housing prices in Hong Kong.

Hong Kong housing prices rose 101.4% in that same period.

Brazilians have been paying more for housing than most other emerging markets, including big and richer global city-states like Singapore (62.5%).

Brazilians that bought homes during or slightly after the crisis have seen their housing values soar since.

The Bank (BIS) examined housing markets in 50 countries,  using local real estate indices measuring average prices per square foot and average new home price.  For Brazil, BIS used Central Bank indices that weigh housing prices in 11 major cities, including Rio and São Paulo, far and away the costliest cities in the country.

The biggest boom occurred right after the financial crash in the U.S. in 2008 and lasted well into 2011. Housing prices were rising on average of 20% in those cities.

In 2012, Brazil’s housing market began to cool. And now, while prices are still going through the roof, they are not going through it as fast, or making as much noise. Still, a 9% increase in 2013 is nothing to suggest a bubble is popping.

In the last 12 months, prices rose around 7%, according to the study. In the last six months, they’re up 4.6% as Brazil’s economy remains sluggish.

Liam Bailey, a senior researcher at Knight Frank, told Estado de Sao Paulo newspaper on Friday that Brazil’s overheated real estate market actually made it a bit less attractive. He likes Dubai and big cities throughout Turkey for foreign real estate buyers.

“Brazil is still a market for local investors,” Bailey said.

The Hottest Real Estate Markets On Earth

Source: Forbes Business

 
Update
10

7 weeks ago

RM47mil KWSG contributions still unclaimed

Jun 9 2014 7:54am CDT | Source: Business Times Malaysia

KUALA LUMPUR: About RM47 million of contributions in the Teachers Provident Fund (KWSG) still remain unclaimed, the Dewan Rakyat was told today ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
9

7 weeks ago

Gold shop lost almost RM1mil

Jun 9 2014 3:50am CDT | Source: Business Times Malaysia

KANGAR: A gold shop owner lost almost RM1 million after after the safe on in his shop was broken into by robbers. ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
8

7 weeks ago

Motion to debate MAS losses in Dewan Rakyat rejected

Jun 9 2014 3:39am CDT | Source: Business Times Malaysia

KUALA LUMPUR: AN emergency motion to debate the losses incurred by Malaysia Airlines last year, amounting to RM1.2 billion was rejected b ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
7

7 weeks ago

MH370 Tragedy: Hisham: RM27.6 mil spent on 1st phase of SAR

Jun 9 2014 2:11am CDT | Source: Business Times Malaysia

KUALA LUMPUR: Malaysia spent some RM27.6 million in its first phase of the search operations for missing Malaysia Airline flight MH370, said Acting Transport Minister, Datuk Seri Hisham ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
6

7 weeks ago

9.1m litres of diesel seized in a month

Jun 8 2014 1:11am CDT | Source: Business Times Malaysia

PUTRAJAYA: The Domestic Trade, Cooperatives, and Consumerism ministry has seized some 9.1 million litres of diesel and property worth RM58 million since mounting ‘Operasi Diesel Selatan’ in the ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
5

7 weeks ago

Girl, 9, awarded RM2.78m compensation for medical negligence

Jun 6 2014 4:56am CDT | Source: Business Times Malaysia

KUALA LUMPUR: A nine-year-old girl who suffered brain damage during her birth at a government hospital was awarded over RM2.78 million in comp ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
4

7 weeks ago

Malaysia's total trade in April up 12pc

Jun 5 2014 11:52pm CDT | Source: Business Times Malaysia

KUALA LUMPUR: Malaysia's total trade in April 2014 rose by 12 per cent from a year ago to RM123.86 billion due to growing trading activities, International Trade and Industry Minister Datuk Seri Mustapa Mohamed said ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
3

7 weeks ago

Works Ministry to spend RM20m for upgrading works at 50 accident black spots

Jun 4 2014 11:35pm CDT | Source: Business Times Malaysia

JOHOR BARU: The Works Ministry will implement upgrading works at 50 accident prone locations in the country that have been identified this year invo ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
2

7 weeks ago

Najib launches loan scheme for Ramadan traders

Jun 4 2014 10:24pm CDT | Source: Business Times Malaysia

PUTRAJAYA: Prime Minister Datuk Seri Najib Razak today launches RM45 million Ramadan Bazaa ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 
Update
1

7 weeks ago

Residents bring up objection against Kidex to Suhakam

Jun 4 2014 4:49am CDT | Source: Business Times Malaysia

PETALING JAYA: A group of 20 Petaling Jaya residents held a meeting with the Human Rights Commission of Malaysia (Suhakam) over their objection against the proposed RM2.2 billion Kinrara Damansara Skyway (Kidex) to ...
Source: Business Times Malaysia   Full article at: Business Times Malaysia
 

 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Facebook 'forcing' messenger app users
Washington, July 29 (IANS) Soon, you will be "forced" to download and use Facebook messenger app as you log on to the popular social networking site.
 
 
Effective oral contraceptives for obese women soon
New York, July 29 (IANS) Obese women who use oral contraceptives to prevent pregnancy can now heave a sigh of relief as researchers have identified ways to make birth control pills more effective.
 
 
Wireless cooling: Magnets to keep your fridge cool
New York, July 29 (IANS) Magnets may soon act as wireless cooling agents for your refrigerators, laptops and other devices if a theory propounded by researchers at Massachusetts Institute of Technology in the US finds application.
 
 
Human-induced water vapour next climate threat
New York, July 29 (IANS) The rising levels of water vapour in the upper troposphere - a key amplifier of global warming - owing to greenhouse gases will intensify climate change impacts over the next decades, scientists said.
 
 
 

Latest from the Network

Now, predict first impressions
New York, July 29 (IANS) Now, it is possible to accurately predict first impressions using physical features in everyday facial images such as those found on social media, says a study. "The findings show how...
Read more on Apple Balla
 
Facebook 'forcing' messenger app users
Washington, July 29 (IANS) Soon, you will be "forced" to download and use Facebook messenger app as you log on to the popular social networking site. According to a report in Techcrunch, users in Europe were required...
Read more on Apple Balla
 
Effective oral contraceptives for obese women soon
New York, July 29 (IANS) Obese women who use oral contraceptives to prevent pregnancy can now heave a sigh of relief as researchers have identified ways to make birth control pills more effective. Making birth control...
Read more on Apple Balla
 
Kazakh volleyballer becomes new Internet sensation
Almaty, July 29 (IANS) It took just a few days for Sabina Altynbekova, an under-19 female volleyball player from Kazakhstan, to hit stardom. After some performances during a youth tournament in Taipei last week, the...
Read more on Sport Balla
 
Indian para-swimmer Gayakwad misses out on bronze
Glasgow, July 29 (IANS) Indian para-swimmer Sharath Gayakwad missed out on the men's 200-metre individual medley SM8 bronze finishing fourth in the final of the event at the Tollcross Swimming Centre here in the...
Read more on Sport Balla
 
Lens returns to French Ligue 1
Paris, July 29 (IANS) Lens football club were promoted to the top flight, French Ligue 1, after successfully appealing a ban on financial grounds. Lens were banned from the Ligue 1 after failing to produce the...
Read more on Sport Balla
 
Sharadha fails to qualify for women's 100m finals
Glasgow, July 29 (IANS) Indian athlete Narayana Sharadha failed to qualify for the women's 100 metres final at the Commonwealth Games here. The 27-year-old Chennai-born finished sixth out of seven competitors in the...
Read more on Sport Balla
 
Cleanliness, punctuality Modi's mantra: Chinese daily
Beijing, July 29 (IANS) New vigour is sweeping through Indian government offices after Narendra Modi became the prime minister with ministers conducting surprise checks to see if bureaucrats are in their seats in time...
Read more on Politics Balla
 
MH17 investigators fail to reach crash site
Canberra, July 29 (IANS) Australian and Dutch investigators have failed for a third consecutive day to reach the MH17 crash site because of fierce fighting between Ukrainian troops and pro-Russian separatists,...
Read more on Politics Balla
 
Indian nurses now caught in Libyan conflict
New Delhi, July 29 (IANS) In a near replay of the incidents in Iraq, a large number of Indian nurses are caught amid spiralling violence in Libya, where rival militias seek to control the capital's international...
Read more on Politics Balla