For those considering investing in Brazilian property, 2013 could be the ideal time to pick up a bargain. According to the latest global house price index, real estate prices are likely to stagnate next year, continuing the current trend for slow and marginal growth.

The report revealed that overall house prices in mainstream residential markets increased by just 0.1 per cent in the three months to the end of September and by one per cent in the last 12 months. Although Brazil recorded the highest annual increase in prices, up 15.2 per cent year-on-year, the figures show that growth is slowing.

Mainstream global property prices stand just 5.2 per cent above the level experienced in the second quarter of 2009 during the financial crisis. According to Knight Knox, this is unlikely to change any time soon.

However, competition for Brazilian property is likely to remain high, as overseas investment in the country continues to be strong. Knight Knox claims that prime land plots are now the perfect investment for any portfolio and with the economy likely to grow at an annualised rate of four per cent or above for 2013, the country is proving itself to be a safe bet for investors.

Mike Sefton, property consultant at Knight Knox International, stated: "Land plots in Brazil are the perfect example of an investment opportunity that has a great potential for capital appreciation. Great locations, amazing price points and more importantly – planning permission, are all important factors when purchasing land, which is why we have only sourced projects that we are confident will deliver strong returns for our clients."

Interest in Brazil is being driven by the 2014 World Cup and the 2016 Olympic Games, consolidating the country as a major player on the international stage. With the eurozone crisis causing buyers to turn away from traditional European investment spots, the future is certainly looking bright for this country. Kate Everett-Allen,from International Residential Research at Knight Frank, stated: "With the Eurozone now in its second recession in three years...it is no coincidence that all the bottom 12 rankings for annual growth are occupied by European countries this quarter."

source: http://www.propertyshowrooms.com/brazil/property/news/brazilian-property-prices-stagnate-2013_312557.html

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