After the severe economic crisis of 2008, which was preceded by a decade of sustained growth (2000-2008), the constructor Mexican real estate market is in a cyclic exchange positive growth rates are expected to be higher to 4.5% in the year 2011 (over the growth of its economy in general), whose main thrust is due to the upturn in the housing market and civil works. Since the third quarter of last year 2010, the Mexican real estate market has constructor initiated a turnaround led mainly by public investment, which has been used to mitigate the effects of credit and economic crisis of 2008, when housing sales slumped dramatically.
As in Spain, the 2008 Financial Crisis plunged the housing market, builder of the country into a deep depression, after nearly a decade of sustained growth, which culminated in 2009 most obvious effect of which resulted in the granting of loans for home purchases and sales, which fell sharply especially in the case of housing middle and upper class (around 22%). The recessionary cycle began to change in the third quarter of 2010 due to advances in the general economy of the country and improvement of the financial market, which represented a rebound in lending for home purchases and sales and increased confidence in potential buyers. Also, the sharp drop of the new work began in 2009, 30% less than last year, has been partially corrected in 2010 mainly in the housing market for the middle classes, growing stronger the lower class, (Social Housing driven by the Mexican Government through aggressive and effective benefit plans), where many private sector companies have found a refuge to the crisis.
Although it is expected that credit to the normalizing go along this year, the housing market, builder seems to be polarized in the market further boosted by the government (Social Housing Civil Works), which have seen a more regular and more smoothly, and housing markets for middle and upper classes, which will undergo a qualitative change to meet the changing needs of the population, basically redirected to second homes and quality smaller units, located in prime locations and with a higher quality construction. Keep in mind that more than 25% of housing developed in the previous cycle is uninhabited and deteriorating conditions or bad situation, which has led to a surge in housing prices of second hand placed in a better areas, precisely because of the lack of supply of new buildings in the same and the excess of new houses located in peripheral areas with poor communications, lack of basic services, lack of security and away from the workplace; poor development and construction conditions that have prevailed in the previous cycle will be the foundation for growth in the housing market in the centers of major cities, with units lower surface, the greater quality of construction and development generally vertical.
Subsequent comments go into detail in the most optimal for the development of real estate investments in the country, in order to stabilize the sector this year and strong growth expected in 2012.
MBQ Group
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Arima 