Buying in South America:One of the hot new places for investors is Brazil, with year-round sunshine and low prices. A Portuguese developer has holiday homes in the country's north-east
BRAZIL is the latest destination to capture the imagination of overseas buyers, especially those who like to get in early and watch their equity grow.
The fundamentals seem good. Year-round sunshine, palm-fringed beaches and inexpensive living costs give Brazil an edge over most competitors. With Irish property prices on a downward spiral, this might be a good home for that SSIA windfall.
Irish company Splash International is handling sales for Quinta da Lagoa, a small five-star resort of 69 studio apartments and villas in Tibau in Rio Grande do Norte, a popular holiday destination in the country's north-east for visitors from the US, Portugal and the UK.
Portuguese developer Beltico is guaranteeing a three-year, five per cent rental return with three months owner-use. Buyers can also opt for a more flexible letting arrangement with the management company. Completions are scheduled from early 2008 onwards.
Prices in Brazil are reminiscent of Eastern Europe a decade ago. Self-contained studio apartments of 32sq m (344sq ft) with 17sq m (183sq ft) terraces are on the market for €45,990.
One-bedroom villas of 67sq m (721sq ft) with 36sq m (388sqof terrace cost from €94,920. Two-bed villas of 95sq m (1,022sq ft) with 55sq m (592sq ft) of terraces are from €165,375.
Three-bedroom villas of 150sq m (1,615sq ft) with 70sq m (753sq ft) of terrace cost from €219,000. Four-bedroom villas of 165sq m (1,776sq ft) with 75sq m (807sq ft) of terrace cost from €236,000.
A complete furniture fit-out can be arranged if required - the agent is quoting under €5,000 for a studio unit. Buyers should add about five per cent to the price for all other costs.
Quinto da Lagoa is developer Beltico's second Brazilian venture and construction is under way in the village of Tibau do Sul. Established developments by the Portugal-based group include the golf resort of Praia D'el Rey on Portugal's silver coast.
The area is one of the world's top surfing destinations, with an array of white sandy beaches. Nearby Pipa is a hippy resort with cafés, hotels, laid-back bars and traditional Brazilian churrascarias.
The traditional-style villas and studios at Quinta da Lagoa will overlook Guarairas lagoon, with tropical gardens and fountains. The site is bordered by rain forest and surrounded by beaches with names like Dolphin Bay, Turtle Beach and Lover's Beach. Shoals of dolphins and turtle communities can be viewed from these white sand beaches.
Included in the purchase price are fitted kitchens, solar energy water heating, air-conditioning and phone, internet and cable television connections. The resort will have a communal pool and larger villas can have a private pool or outdoor Jacuzzi at an additional cost.
Getting there from Dublin involves flying via either Gatwick or Lisbon to Natal in north-east Brazil, which is a 50-minute drive to the resort, according to the agent.
Hiring a car and driver is inexpensive. And owners might employ a nanny and house-maid for the duration of their stay.
Gabrielle O'Malley of Splash International is organising four-day inspection trips to Poussada dos Girassois, an earlier scheme completed by the same developer nearby.
