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Bad news confirmed for Brazilians who live in rented accommodation
If you are one of the Brazilians who live in rented accommodation, Get ready, because the news is not good at all: rental prices continue to rise and, in August, the Residential Rental Variation Index (Ivar) registered an increase of 1,93%, reversing the 0,18% drop observed in July. This increase puts more pressure on tenants' pockets and raises the accumulated total for the last 12 months to 9,97%, according to data released by the Brazilian Institute of Economics of the Getulio Vargas Foundation (Ibre/FGV).
Rents on the rise in major capitals
O brazilian real estate market has shown significant variation between capitals. In São Paulo, for example, Ivar rose significantly from a drop of 1,11% in July to an increase of 2,42% in August. On Rio de Janeiro, although there was a slight slowdown compared to the previous month, the upward trend remains firm, with an increase of 1,07%.
Belo Horizonte, which had registered a drop of 0,71% in July, surprised with a rise of 2,61% in August, while Porto Alegre also followed this line of increase, going from 0,88% to 1,21% in the same period.
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Impact on the 12-month accumulation: concern among Brazilians who rent
Over the course of a year, the numbers show that rents have been rising at a worrying rate for Brazilians who rent. In São Paulo, the annual rate rose from 6,53% to 7,53%, reflecting the increase in rents. In Rio de Janeiro, despite a slight stability, the accumulated rate over the last 12 months was 10,18%.
In Belo Horizonte, the annual increase slowed from 11,08% to 10,83%, but it still remains at high levels. Porto Alegre, which had reached a peak of 12,85% in the annual accumulation in July, also saw a slight but still significant drop, to 11,43%.
The impact on the daily lives of Brazilians
For those who closely follow the Brazilian real estate market, these numbers are a reflection of the country's economic conditions, where demand for rentals remains strong, especially in large capitals. Rising rents directly affect family budgets, especially those already facing financial challenges.
Rising housing costs are leading many to reconsider the option of continuing to rent or seeking alternatives, such as financing their own home.
The alternative of My House, My Life
With the rising cost of living, Many Brazilians who live in rented accommodation are looking for ways to escape this cycle. The Minha Casa, Minha Vida (MCMV) program has gained prominence as an alternative for those who dream of leaving rent behind. According to recent data, demand for MCMV has increased by around 50% in recent months, driven by factors such as economic improvement, the resumption of jobs and easier access to real estate credit.
Aimed primarily at low and middle-income families, the program offers special financing conditions, which makes it an attractive option for those who want to own their own home. Its national coverage, serving both large urban centers and smaller cities, has contributed to reducing the housing deficit in the country.
This bad news confirmed for Brazilians who live in rented accommodation highlights the challenge that many tenants face in a scenario of rising prices. The increase in rents, driven by the behavior of brazilian real estate market, reinforces the need to seek alternatives, such as financing real estate through government programs. The dream of owning a home may be the way out for those who no longer want to suffer with constant adjustments.
So, what did you think of this news about rent increases? How are you dealing with the impact on your pocket? Have you thought about alternatives, such as Minha Casa, Minha Vida? Leave your comment here.
