The metropolitan area of São Paulo comprises 38 municipalities, including the capital city, and, according to IBGE (Brazilian Institute of Geography and Statistics) 2005 census, has a territory of 8,051 km2, an urban area of 2,139 km2, an a population of, approximately, 19.0 million inhabitants. The metropolitan area of São Paulo is the one that has the greatest percentage in Brazilian GDP and the greatest demand for real estate properties in Brazil.
In line with the performance of the sector in the entire Country, the real estate market in São Paulo's metropolitan area has presented a low growth in the last nine years average. According to Embraesp (Brazilian Company of Equity Analysis) data, the PSV in São Paulo's metropolitan area has increased at a compound average rate of 8.5% per year between 1996 and 2005. This performance combines, however, a nominal increase of 10.6% per year in the sales value per square meter of private area with an average decrease of 1.8% per year in the square meter volume launched in the same year.
The table below describes São Paulo's Real Estate Market Evolution, providing inventory, sales and launches information over the last years:
|Ano||Estoque de Unds. Residenciais no Fim do Período (1)||Unds. Residenciais Vendidas||Unds. Residenciais Lançadas||Velocidade de Vendas Média (%)(2)|
(1) Units offered at the end of the period.
(2) VSO = Sales of the month divided by the total of sales of the month + offers at the end of the period.