Emerging Market Picks Part I: Latin America

After almost 2 whole years in the doldrums, emerging market property investment is picking up in support once again, thanks in no small part to the massive acclaim of Brazil, which has grown into one of the world's highest profile markets.

Thus, we have decided to conduct our first review of which emerging markets around the world, starting with Latin America. No, it's not just to get another tuppence worth in on Brazil, but because Latin America is very much becoming a centre for emerging market growth, with many hot markets and we wanted to lay out what markets we feel are offering the biggest potential for growth.

Brazil

We would love so much to have been different, to have been able to be controversial in saying Brazil wasn't one of the hottest emerging markets in Brazil, or the world, but we just can't do it. Brazil has so many strong sectors, as do many Latin American economies, but then Brazil has also discovered oil.

Brazilian agriculture is in the top 5 in the world, in terms of volume of production and head of cattle. Then you have the booming services sector, fuelled by leaps in budget aviation and technical and administrative outsourcing over recent years. Then you have the discovery of oil, which will add millions of dollars in revenues as it is tapped and exploited.

All this is fuelling phenomenal economic growth, which is increasing employment and affluence within the Brazilian population. As such the demand for affordable housing to buy and rent is growing massively. The north east, and especially cities like Natal and Sao Paulo have been found to be leading this growth in terms of percentages.

Availability can be a problem for foreigners, but we have just brought on the Edifício Dr. Geraldo Furtado development in Natal. The development is specifically targeted at the local market, which means low prices to foreign investors.

Panama

You don't hear much about Panama these days but that doesn't mean it lost all the growth potential it had in 2006, 07 and 08. While many markets crumbled at the hands of the crunch, and developments were postponed and cancelled, the construction boom in Panama continued, as the economy has continued to grow by around 5% per annum.

The economy is forecast by both the World Bank and International Monetary Fund to grow by over 4.5% this year (4.5% and 5% respectively).

Then there is the expansion of the Panama Canal. 5% of global shipping cargo passes through the canal, but it has grown outdated and too small for the larger super-freighters that now rule the seas. The multi-billion dollar expansion will add to Panama's economic growth.

Panama property is not the cheapest in the world, but it is very competitive. We have a development of luxury apartments in a resort on the Caribbean coast at prices starting from £55,000.