Category: South American Property

Country Focus: Brazilian Property

Brazil is a great country to look at for prospective foreign property purchasers.

Brazil is looking to have the third largest tourism economy by 2020 and this means good news for property investors in the country. Being hosts of the 2014 World Cup and 2016 Summer Olympic Games should drive up visitor numbers. 134 million has also been earmarked for international promotion of Brazil by Embratur (The Brazilian Institute of Tourism) and this means that Brazil will be at the forefront of many people’s minds over the coming years.

5.8% growth in Nicaraguan economy drives confidence in property investors

Nicaragua real estate investmentAccording to the Central Bank of Nicaragua, the construction and mining industries are propelling economic growth in the Latin American nation this year with an average annual growth of 5.8% in the first quarter of 2012 as highlighted by the Monthly Economic Activity Index (IMAE).

Marcus Vassiliou, Sales Manager of alternative investment company, EcoInvestments comments, “Nicaragua’s economic growth remains solid with mining continuing to excel and construction booming with an estimated 600 projects running in 2012. Indeed, Nicaraguan officials have expressed a plan to build a $30 billion canal that will rival the famous Panama Canal in the next 10 years and this has generated a wave of interest in the Latin American nation from the likes of Japanese, Chinese, Russian, and Brazilian investors. This project is expected to help drive the economy further and with projects such as this, Nicaragua will go from strength to strength.”

Property Investment Location Focus: Rio Grande do Norte, Brazil

For property investors looking to purchase real estate or property in Brazil, look no further than the state of Rio Grande do Norte in the north east of the country.

According to TheMoveChannel, the state of Rio Grande do Norte is the most sought after areas for property investors in the last 12 months. The name means “Great River of the North” and refers to the mouth of the Potengi River. This river is home to Natal city, one of the most favoured areas for overseas property investors.

Brazilian Property: A Buyer’s Guide

property in brazilDue to recent rapid social and economic development, Brazil is becoming increasingly popular with overseas property buyers. A new progressive government coupled with the country hosting both the FIFA World Cup and Olympic Games within the next decade mean that many real estate investors are scrambling to jump on the Brazil property bandwagon.

Rio de Janeiro is probably the most popular area to buy thanks to 45 miles of beautiful beaches making it a tourist hotspot and therefore an ideal place for rentals. Sao Paolo is also popular, being the financial centre for Brazil, however many real estate investors look more to business lettings rather than residential lettings here. Other areas which garner interest are Natal, which boasts the highest quality of life in Brazil, and the resort of Bahia.

Don’t Buy In Brazil?

“DON’T BUY IN BRAZIL” says AIPP Award-winning agent specialising in Brazil

Brazil specialist agent SPC Overseas has won the coveted AIPP award for Best Small Agent 2011 by warning potential clients not to buy property in the South American country.

Anthony Fernandes, director of SPC Overseas says: “Brazil Buyers Beware! There are a huge number of projects springing up in Brazil and many simply “don’t make the investment grade”.

5 Golden Rules For Buying Land in Brazil

property in brazilInvestors can once again hold confidence in the Brazilian land market as the President of the ADIT (Association for Real Estate and Tourism Development in the north east of Brazil) has dismissed worries over proposed new restrictions on foreign nationals owning land.

Concerns over protection of Brazil’s natural resources led to President Lula da Silva reportedly calling upon ministers to tighten the laws on foreign ownership of land however ADIT President, Felipe Cavalcante, speaking with trade publication, OPP, commented that “these proposals only apply to agricultural land – any changes in the future would have no impact at all on people who have already invested in real estate.”

Sustainable Growth in Brazil

If you are looking for a slightly more exotic place to invest in property than mainland Europe, Brazil may be worth a look.

Brazil has plenty of physical space and good resources needed to keep a sustainable growth in the real estate market therefore any good investments bought in the country are likely to yield good returns in both the short and the long-term.

Land prices in Brazil are starting to grow at a fast rate, partly thanks to the massive interest in biofuels. As land prices increase, so to do property prices and this is why many people are looking to Brazil for their next property investments.