Oh Rio! The carnival capital yields great rewards for overseas investors
11 June 2013
Brazil is channelling its new wealth into real estate. With rising population figures and demand for property, house prices are escalating rapidly.
Rio de Janeiro may have suffered in previous decades – it lost its capital city status as well as the stock exchange. However the decline has been reversing as a result of governmental changes, and tougher policing has reduced crime in the city, and as a result adjoining neighbourhoods have experienced rapidly increasing house prices.
The average house price in Rio de Janeiro has risen by 189% since the beginning of 2008, and rental growth is up by 129% over the same period.
Now, riding the crest of the wave, Rio de Janeiro is receiving significant investment into the city’s infrastructure in the run up to the 2016 Olympic Games. Such large-scale global events are positioning Rio as arguably one of the premier cities in Latin America and investors are looking to purchase prime real estate in Rio to benefit from current market conditions and massive growth potential.
With the market in Brazil developing fast, more international and domestic investors are particularly attracted to urban areas like Rio due to the relative ease of purchasing in the country. Overseas nationals can buy Freehold, without restriction, and international investors can purchase freely in Brazil, as long as they hold a tax number from the Government.
Economic growth and wealth creation alongside increasing mortgage availability and easing credit conditions have resulted in a booming housing market, making Brazil an extremely investable proposition.
Select Resorts are currently offering for sale a number of prime plots on a development just 1 hour from Rio de Janeiro. Once built, the properties on this 5* gated resort will benefit from sweeping sea, land or mountain views, 24-hour security and luxury facilities such as a spa, fitness centre, bars, restaurants retail shops and mini markets.