Certain countries feature regularly on the list of best overseas property investment and Brazil is one of them. This year, Brazil stands at the top of two listings, both for Forbes and Live and Invest Overseas. According to both rankings, Brazilian real estate offers excellent value and strong potential for high return.
Live and Invest Overseas, one of the world’s most prominent relocation portals, tips Brazil yet again as the best overseas property investment in 2019. In 2018, the country featured in second place after Panama in the portal’s rankings but in 2019, Brazil rises to top position.
Live and Invest Overseas report that their two investments in Ceará in Northeast Brazil are “yield plays”. The pre-construction property on the coast has projected rental returns “in the range of 18%”. Last year, the portal tipped plots on the Ceará coast, described as “global bargains” as one of its top picks for investment.
Fortaleza market of focus
Live and Invest Overseas favour Fortaleza and Ceará as the best overseas property investment because of its huge tourism potential. “It’s an emerging international tourist destination that is significantly undervalued,” says the report.
It points out that new direct flights to Fortaleza Airport have made the region much more accessible to foreign travellers. The Air France/ KLM/ Gol Airlines flight hub at Fortaleza has significantly boosted passenger traffic and Ceará received a record number of international visitors in 2018.
Domestic tourism is also an important factor when considering property investment in Northeast Brazil. “In-country tourists make up much of this market,” says Live and Invest Overseas, and property development “target local weekend visitors” from cities like Sao Paulo and Rio de Janeiro.
Forbes tips Brazil
In their 4 Best Places to Buy a Second Home Overseas in 2019, Forbes also rank Brazil at the top of the list. The country merits the position as best overseas property investment on the back of the dollar increase over the Brazilian real. Forbes reports that the US dollar saw its value against the real rise by 16.5% in 2018. Furthermore, it has risen by 90% since January 2013.
This makes Brazilian real estate particularly good value for American investors. Forbes also points out that the Brazilian economy is in firm recovery mode. Investors therefore “stand to gain twofold from the recovery of the economy and currency”.
Further incentives for Brazilian property investment are the eVisa introduced for American visitors in 2018. Forbes also highlights the new residency option available for real estate investors. Under the terms of the so-called ‘Golden Visa’, foreigners must invest at least R$1 million in Brazilian property (R$700,000 in Northeast Brazil) and live in the country for 30 days. They then qualify for a 2-year residence visa and have the option to become Brazilian citizens afterwards.
(Source: Live and Invest Overseas, Forbes)