Friday 22 November 2013

Minha Casa Minha Vida Four Years On


The Minha Casa Minha Vida programme has been an immense success since it was first launched by the previous Brazilian government back in 2009, but is the programme doing what it was designed to do and reduce the country's massive housing deficit.
 

Although expert analysis does vary, it is generally estimated that Brazil still needs another 6 - 10million homes to provide adequate housing for the ever increasing population. In 2005, the Brazilian housing shortage stood at a massive 7.8 million homes, which is equivalent to 14.7% of demand, according to the Sustainable Brazil Housing Market Potential report, drawn up by professional services specialists, Ernst and Young Terco. The 2010 Census broadly agreed with these figures. It stated that Brazil had a housing deficit of about 5.8 million homes. Looking much further ahead, the Brazilian government estimates that to meet current and future demand the country will need another around 24 million homes constructed by the year 2023.

Another factor that will generate more pressure on the country’s need to add millions of homes is the relatively young population. "While deemed very successful, the programme is making limited impact on the country’s housing deficit, estimated at between 6-8 million homes. Given Brazil’s young population and high rate of household formation, this deficit is growing rapidly," Savills’ Spotlight on Brazil explains. In 2013, the median age in Brazil is 30.3 years, which puts it around 100th out of 250 countries, according to the CIA World Factbook.

The need is great, as Ruban Selvanayagam, partner-director at the Fez Tá Pronto Construction System and a commentator on the affordable homes sector in Brazil points out. "Looking at Brazil as a whole, there is a need to build 4,932 new low-income housing units every day until 2022 - the bicentenary of Brazil’s independence - based on an aggregated existing deficit level of 6.7 million homes. However, the situation is evidentially much worse than is often reported when considering the highly inefficient data collection methodologies which invariably include homes with abysmally degraded living conditions as part of the national stock count."

In summary, the Minha Casa Minha Vida programme it working, but the initial housing deficit was so great that it is going to be a number of years before we see any noticeable reductions in the housing deficit.

Friday 1 November 2013

What Is The Possibility of EcoHouse Brazil Bringing Minha Casa Minha Vida to the Mid West

The North Eastern states of Brazil have already seen numerous high quality Minha Casa Minha Vida developments launch over the past 4 years, mainly thanks to the North Eastern state of Rio Grande do Norte being the South American headquarters of Anglo-Brazilian property Giant EcoHouse Group.
Now other states are hoping that EcoHouse will launch more of their superior quality social housing developments throughout the country and with the Brazilian government expected to extend the minha casa minha vida programme for another few years at least this may now be possible.
EcoHouse Brazil are however tight lipped as to where exactly they will launched their next social housing project but the Mid Western state of Mato Grosso do Sul has been a state that has come up in interviews and press releases on a number of occasions. Here's a little more information about the recently founded state.

Mato Grosso do Sul (In English this translates as "thick forest of the south") is an interesting mid-western Brazilian state. It’s unusual because it is so recent, having been founded only in 1977. That was when it was split away from Matto Grosso, its similarly-named and larger neighbour to the north. Mato Grosso do Sul (‘MGS’) is sparsely populated.

It has only two and a half million people, about a third of whom live in the capital, Campo Grande. That’s not very many people for a state with about the same land area as Germany (350,000 sq Km). MGS borders the adjacent countries of Bolivia to the west and also Paraguay to the southwest. This is as well as the other Brazilian states of Mato Grosso, Goias, Minas Gerais, Sao Paolo and Parana which are all next to it

The countryside makes up the vast majority of the land and it’s regarded by the many tourists each year as being both varied and beautiful. For example the popular Pantanal lowlands include forests, savannahs, open pastures and farms. This area is regarded as the largest ‘flooded’ lowland area on earth. In fact the name Pantanal was considered seriously as the name for the new state when it was created 35 years ago, before the decision was made to have a variation of its ‘parent’ state’s name. Another title considered at the time was Maracaju, which refers to the name of the main mountain range which runs from north to south across the territory.

In the so-called ‘Cerrado’ areas, mostly in the south and central regions, most farming people are Brazilians of either Portuguese or German descent, with some ethnic Italians too. Most of Mato Grosso do Sul’s economy is based one way or another on either service industries (46%) or on farming, both large and small scale. This latter mostly consists of crops (soybeans are important) and cattle raising and related occupations. Both of these are helped by the numerous tributaries of the mighty Parana River which criss-cross the state. There’s also an industrial and manufacturing sector which accounts for about one fifth of the state economy. Altogether, though, MGS accounts for only about one per cent of Brazil’s GDP. By the way, the general climate of MGS is mostly humid and warm but occasional variations at both ends of the temperature scale do happen.

The EcoHouse Group have offices in Brazil, the UK, North America, the Middle East, Singapore, malaysia and China. They have been constructing Minha Casa Minha Vida homes since 2009, and are reducing the housing shortage and giving people the chance to make Secure Investments through a secure government run programme.