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Lower interest rates prompt mortgage lending boom

Overview

Economic stability and lower interest rates have prompted a significant increase in mortgage lending in Brazil. After nearly a decade of stagnation in the mortgage market, the increased availability of credit is prompting a boom in demand, which is fuelling expansion in the construction of new properties.

Brazil's state-controlled savings bank Caixa Economica Federal has a virtual monopoly on lending to lower income borrowers, but as interest rates decline, private banks are...

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