Brazil Home Prices Drop in November on Poor Economy

Brazil Home Prices Drop in November on Poor Economy

The FINANCIAL -- Brazil's home prices dropped for the fourth consecutive month in November, as the country's economic recession damaged consumer confidence, according to Nasdaq.

Home prices fell 0.05% in November, according to the FipeZap index, which tracks house prices in the country's 20 largest cities. The index is produced by a think tank affiliated with São Paulo State University.

For the 12-month period ended in November, home prices rose just 1.66%.

By comparison, the country's annual inflation stands at 10.28%. Brazil's statistics bureau will publish inflation figures for November and for the 12-month period in the next week.

The combination of the country's poor economic activity, high inflation and interest rates is discouraging buyers from making big-ticket purchases. Brazil's economy is expected to contract more than 3% this year, according to economists.