Figures just released for Ceará property during the first three months of the year point to a strong first quarter. Apartment and second home sales both increased, with strong interest in high-end properties. March registered particularly buoyant sales. As a result, the general sentiment among market analysts is that more of the same lies in the store for the rest of the year.
Ceará property sales figures
Between January and March this year, some 530 units were sold in Ceará with a total value of R$347 million. These sales bring the total regional stock to just over 7,380 units.
Of the three months, March stands out for both sales and average price increases. Sales of flats and apartments in Ceará rose by 49% during March compared to those in February. Second home sales increased by 10% and developers report a general rise in interest in properties at the higher end of the market.
Ceará property values went up all round in March when the average sales price stood at R$759,100. The rise in the value of second homes increased by 22%. “March was a marvellous month,” said Ricardo Bezerra, Managing Director of Lopes Immobilis, one of the largest estate agents in Fortaleza.
In an interview with the Ceará newspaper O Povo, Bezerra pointed out that developers have reduced their discounts from 24% in February to just over 16% in March. He believes this proves that the market is warming up. Over 17% of developers in Ceará sold more than five units during March.
“Discounts are set to gradually go down, he said. “Buyers who want to buy now are making the most of a window of opportunity that’s about to close.”
Developers ready for good year
Although they have reduced discounts on property they sell, developers are also reportedly expanding the range of available offers in the bid to attract more buyers. The general aim is to increase sales from May onwards on the back of the excellent figures for Ceará property in Q1.
According to the Ceará civil construction union, Sinduscon-CE, the state-wide objective is to sell 7,000 units by the end of the year. Current market optimism underlines this possibility, which is reinforced by the path of Brazilian interest rates so far this year.
The latest cuts by the Brazilian Central Bank brought the rate to 11.25% and analysts believe that below 9% is more than likely by the end of the year. This translates to better credit conditions for Brazilian property buyers. “We’re definitely seeing high expectations and confidence,” said Carlos Fiuza, Director of Diagonal, a Ceará property developer, also interviewed in O Povo. “We can see clients clearly keen to buy.”
“Figures for Ceará property during Q1 this year show a remarkable performance,” says Dies Poppeliers, Managing Director of BRIC Group. “The surge in sales of second homes in the area is particularly interesting and shows that demand for high-end properties remains high. At The Coral, we’re looking forward to an excellent year.”
An investment company specialising in global real estate opportunities, BRIC Group is currently developing The Coral resort, in Northeast Brazil, a luxury beachfront resort. BRIC Group also offers US real estate investments including turnkey properties in Florida and Houston, and land plots in Florida. BRIC Group has been creating wealth for its clients since 1996 and has offices in Brazil, Dubai (consulting office), Hungary, Spain and the US.
(Sources: O Povo, Diario do Nordeste)