New Home Sales Up 10 Percent in Lima and Callao

New home sales in Lima and the port city of Callao totaled 23,743 units last year, an increase of 10 percent, according to real-estate consulting firm Tinsa.

“In 2012 we continued to see an important dynamic in the real estate market, although more moderate than in 2011, but with important growth above 10 percent, which on the world level continues to be outstanding,” said Tinsa executive director Jose Borbolla.

Tinsa is estimating that this year the sales of new homes in Peru’s capital city will be 26,000 units, which would be an increase of about 9 percent.

Peru’s growing middle class has been driving the demand for new apartments and homes. “The growth of the middle class in the country and its purchasing power, all of this very much tied to better access to mortgages, are the factors that are driving the demand for new homes,” Borbolla said.

Along with the greater demand, there has also been a jump in real-estate prices. The surge in prices has led some analysts to voice concerns of a possible bubble.

This week, risk agency Sentinel said there has been a significant increase in the number of borrowers that are having difficulty making their mortgage payments.

Leave a Reply

Your email address will not be published. Required fields are marked *