Residential Real Estate Market in Brazil Market Trends

Statistics for the 2023 & 2024 Residential Real Estate Market in Brazil market trends, created by Mordor Intelligence™ Industry Reports. Residential Real Estate Market in Brazil trend report includes a market forecast to 2029 and historical overview. Get a sample of this industry trends analysis as a free report PDF download.

Market Trends of Residential Real Estate Industry in Brazil

This section covers the major market trends shaping the Brazil Residential Real Estate Market according to our research experts:

High-end Segment Growing in the Country

Brazilian real estate has had a good year, with strong demand in all of the country's major markets in 2021. However, one industry fared extraordinarily well in 2021, far beyond projections. In both Sao Paulo and Rio de Janeiro, luxury property sales and launches increased by double digits.

One of the reasons that luxury property in Brazil experienced such strong growth in 2021 was the significant rise in demand. Affluent Brazilian families want more space, quality, and comfort in their homes, and as a result, interest in the high-end sector rose considerably.

The country's two main luxury markets, São Paulo and Rio de Janeiro, have seen a large uptick in demand for properties worth over BRL 2 million (USD 392,102.66). Luxury apartments have been the preference among affluent buyers in both of Brazil's largest cities. In São Paulo, sales of apartments priced over BRL 2 million (USD 392,102.66) went up by 3.2% in the year to June 2021. In Rio de Janeiro, the increase was even higher, with transactions rising by 10%.

In the lower price echelon (over BRL 1.5 million (USD 291828.75)), the figures were even more impressive. The Brazilian Association of Developers (ABRAINC) reported that sales of this type of property rose by 43% in Sao Paulo between January and September 2021. The luxury and super-luxury segment in Sao Paulo, from January to September 2021, totaled 4,217 units, which was an increase of 129%. In tandem with solid sales was the giant leap in the number of launches of luxury properties in Brazil. In Sao Paulo alone, they went up by 232% in the first nine months of 2021. In Rio de Janeiro, the increase in the region was 35%.

Brazil Residential Real Estate Market : Number of new housing units for sale, in thousands, Brazil, Q1 2020 to Q1 2021

Fortaleza Leading the Market

Brazilians began looking for larger and nicer homes in 2021, with more space for workplaces and homeschooling. In 2021, they were also able to take advantage of low mortgage rates. As a result, the property market saw one of its busiest times on record, with Fortaleza leading the Brazilian real estate market. In 2021, sales in Ceara's capital increased by over 86%.

The city of Fortaleza had the busiest real estate market in 2021, according to figures from the Brazilian Property Registry. It achieved the largest sales rise between January and November and for the entire year ending in November 2021. In the first eleven months of 2021, there were 12,981 property sales in Fortaleza. The figure represents an increase of 86.8% over the same period in 2020. Ceará's capital grew by far the most in the country, outpacing its nearest competitor, Florianópolis, by 60.2%. With a 44.1% increase in sales, Sao Paulo came in third.

The statistics from the Brazilian Mortgage Lenders Association (ABECIP) showed an increase of 124% in 2021. It is the biggest rise since recordkeeping began. In terms of national rankings, Ceará saw the third-highest increase in loans after Rio Grande do Norte and Para. While sales of mid- to high-end new property in Fortaleza started slowly in 2020, they picked up by the end of the year. The value of sales of luxury homes in Fortaleza increased by 11% compared to 2019, taking the high-end sector to levels last seen in 2015.

Brazil Residential Real Estate Market : Annual housing records, units in thousands, Fortaleza, 2019-2021

Brazil Residential Real Estate Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)