Brazil’s changes have a positive impact on rental prices
This year Brazil has seen many changes, not only in the political field but also in the economical. South America’s most influential country is experiencing an increase in rental prices in 2019.
Fipezap figures from the 15th of May show that rental prices exceeded experts’ expectations and predicted inflation from January to April in 2019. In the first four weeks, the average rent cost is up by 2,5%. The increase hasn’t only been seen in the price but also in the number of rentals. The rise of rentals is having a massive impact on Brazil’s GDP as tourism increases.
Tourism represents 5% of Ceará’s GDP, according to state numbers. It is expected to carry on growing as Fortaleza is expanding its connections with airlines such as Air France, KLM, and Gol. This expansion will bring people from a new different market which will have an impact on Ceará’s tourism.
Rentals and ROI (Return Of Investment)
In 2018, the number of rentals rose 60% in the capital of Ceará, Fortaleza. This notable improvement was emphasised by the Carnival, achieving the 4th position in the whole country with most rentals. International routes went up from 14 to 47 a week by the end of 2018 which also, has been a key factor in the number of rentals.
The ROI (Return of investment) is one of the most important aspects for investors to consider. “The Live and Invest Overseas Top 10 Property Investment Destinations 2018” emphasised that the coast in Ceará is a really good choice to invest in the property market. This is mainly because of the rental return and its low entry prices.
In addition, luxury properties are much less expensive to buy in Ceará in comparison with most parts of Brazil. From March to April the average price in residential leases rose 0.81 percent above inflation of 0.57 percent.
BRIC Group invested here, specifically in Praia de Guajiru where countless benefits and great opportunities are present for investors. There are many opportunities to invest on The Coral Resort. To see more of this multi-award-winning resort located in the idyllic beaches in Trairi click here.
(Main source: The Rio Times)