The Brazilian real estate sector has come out of a long period of stagnation. However, since the 1994 economic recovery plan (Plano Real), macroeconomic reforms and fiscal management has launched Brazil into a path of sustainable growth.

Since 2003, Brazil has experienced record breaking export performance, translating into higher rates of economic growth and job creation. Low inflation, together with falling interest rates and a stronger currency are creating a much more positive environment for investments in the real estate sector. In addition, record tourism has helped improve the image of Brazil not only as a prime leisure destination, but also as a serious country to invest within, committed to fiscal responsibility,democratic principles and rule of law. The recent legislation reform establishing increased lines of credit to the local mortgage market will have a positive impact on increasing demand for real estate property.

KEY FACTS

• Strong economic growth
• FDI encouraged by Government
• Stable Democracy
• 5 million new jobs created in last 4 years
• New infrastructure and Airports being created nationwide
• U.S.A Investment program
• GDP growth of 3.7% in last quarter

RENTAL RETURNS AND TOURISM

With accessibility set to become even easier with the arrival of new International Airports. The Brazilian tourist market is set to eclipse the 11% achieved last year, with tour operators
increasing activity. Rental yields achievable in the Natal region are in excess of 8% per year based on only 40% occupancy, making this coastal city the first choice for buy to let Investors.

CAPITAL APPRECIATION AND THE PROPERTY MARKET

There are alot of sound reasons on which to predict capital growth within Brazil's Real Estate market. This economic sleeping giant is due to wake with the help of investment programs from the U.S.A, which will have a knock on effect to the Real Estate market. If you add this to an almost unrivalled breadth of tourist attractions plus low entry level prices, it is not hard to see why Brazil is a country which has found it's self on most property Investors shopping list's.