This is the first edition in BMI's new series of reports on real estate sectors around the world. We have sought to incorporate data and insights from our reports on infrastructure and commercial banking - as well as our own forecasts for the economies of the various countries that we survey. Key issues - Chile We suggest that the following are the key issues to monitor for the real estate sector in the coming year or so: The loan/deposit ratio of commercial banks. Bank lending is a constraint in a country such as Chile, where the absolute size of the construction sector is small. A slight decrease in the loan/deposit ratio is expected through the forecast period. However, if even a small rise were to occur, this would lead to a significant increase in the amount of finance available to the Real Estate sector. Real estate prices. The comparative stability of housing prices over the last year or so is one sign that, so far, Chile has been largely free of the excesses and problems evident in other countries. Sharp moves in either direction would be a cause for concern. Continued development of bank lending at a rate that is broadly in line with growth in nominal GDP. Any clear sign of improvement in the bureaucratic and legal systems. These conclusions are based on our proprietary Real Estate/Construction Business Environment Rating (RECBER), the component factors of which we discuss in detail. The conclusions are also set against recent conditions in the commercial office market - for which we have used office rents in major cities as a proxy, and in the residential real estate market - for which we have used housing prices as a proxy. A major trend throughout all our real estate reports is that, mainly due to the global financial crisis, access to funding will be more important than usual. Accordingly, we have incorporated overviews of conditions in the commercial banking sector, both globally and in the region of each country. We have also looked at the issues that will drive the fortunes of Real Estate Investment Trusts (REITs) over the coming months.
For more information or to purchase this report, go to:
- http://www.fastmr.com/
About Business Monitor International
Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets. BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports. Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports. View more research from Business Monitor International at http://www.fastmr.com/
About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.
For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
