Emerging Economies

Prime Land brokers is actively seeking out investment opportunitiesin multiple diverse emerging economies throughout the world. Whilst there are many developments taking place at any one time not all are of the standard demanded by our high quality control thresholds.

The global credit crunch sent property prices reeling in developed markets from the United States to Spain, but it appears to have done little to slow the land, property and real estate sector in places like Brazil and Russia, countries still thriving on a commodities boom and increased access to mortgage financing.

Growing urbanization and rising incomes are fuelling property demand in the countries with the four largest emerging economies: Brazil, Russia, India and China, known as BRIC.

Low interest rates in countries whose currencies are pegged to the dollar, like the United Arab Emirates, and a shortage of homes and offices are keeping real estate values there at records, too.

Unlike their counterparts in developed economies, banks in most emergingmarkets are largely unaffected by the liquidity squeeze set off last year by huge sub-prime mortgage defaults in the United States.

Various reports indicate that home builders in the BRIC economies were supported by rising home affordability and economic growth and the fact that the

credit crunch has very limited relevance to many emerging markets. Not only are the banks in these economies in good shape, but we are also witnessing that these markets have households that are, by and large, not overextended.”

The ratio of household debt to gross domestic product in the BRIC countries ranges from 5 percent to 10 percent, compared to more than 100 percent in Britain and 90 percent in the United States.

Because of the foregoing factors and many others besides, other regions outside the BRIC nexus also present themselves as attractive for foreign investment in relation to land, property and real estate.

For instance Croatia, Slovakia, Turkey, South Africa and various countries in the South East Asian region are presenting themselves as more than worthy of investigation.

Due diligence takes time and we know that by adhering to our internal checks and balances we will fulfil our primary mission statement of bringing only the best and most profitable opportunities to our clientèle.