Brazil property buyers ‘may benefit from interest rate cut’
Brazil’s central bank has cut its interest rate to a record low of 9.25 per cent, which could be good news for Brazilian property investors looking for a good mortgage deal.
Policymakers decided to reduce the target rate, known as the Selic, by one percentage point in a bid to boost consumer spending.
It is the fourth time in as many months that the central bank has reduced interest rates, which stood at 13.75 per cent in October.
"Taking into account that changes in the basic interest rate have effects on economic activity and inflation that accumulate over time, the committee agrees that any further monetary easing should be done in a more parsimonious way," the bank’s monetary policy said in a statement, according to the Financial Times.
The interest rate cut could prove a further incentive to buy Brazilian property, on top of the attraction of accommodation in the areas around the recently-announced host cities of the World Cup.
