Weakening Real makes Brazilian property even more affordable

The Brazilian property market is already riding the crest of a boom, but now even the currency is co-operating with the news that the Real has weakened by over 8% against the dollar in the last month alone. This makes that beautiful beach property even more affordable than ever.

Mid-August this year one Great British Pound would have bought 3.05 Reals. Today it’ll secure you 3.45 of them. This correction is pretty symptomatic of jittery financial markets worldwide, with everything from global investment banks to airlines paying the price of the turmoil. The tightening of credit on the international market has stalled demand for higher yielding but higher risk emerging market assets directly affecting the Brazilian currency, but ask Brazil’s President Lula da Silva what he thinks of the crisis, and his response is, “What crisis? Go and ask Bush about that."

Brazil’s Finance Minister Guido Mantega believes that the exchange rate will continue on its downward trajectory but sees no cause for alarm and still expects Brazil's economy to grow at 5% in 2010 after expanding 4.5% in 2009. Figures many economies, including that of the UK, could only dream of.

Samantha Gore, Head of Sales and Marketing for Brazil experts www.uv10.com comments, “Based on the facts we have to hand we are able to give an objective opinion on Lula’s denial that Brazil will enter into a crisis. Northeast Brazil in particular has an aggressive and sustainable real estate environment with unmatched rental and resale potential. The domestic market is producing some serious home-grown wealth with many nationals keen to get on the property ladder and purchase second homes in popular resorts. In fact, recent current estimates suggest that around 80,000 homes will have to be built in the northeast region alone to cater to the existing demand. Couple this with a huge interest from foreigners and the fact that tourism alone is expected to continue to grow by more than 4% a year for at least the next ten years and you can see that the letting and resale potential in the area is extremely exciting and something our clients are keen to tap in to”.

Samantha continues, “Brazil's state-run oil company Petrobras is breaking all previous records on oil production thanks to huge recent offshore oil discoveries and finally throw in the givens of near-perfect climate and ease of accessibility from both the Americas and Europe and Brazil’s outlook could only be described as secure.”

In property and holiday hotspot Pipa Beach, Pipa Beleza, a boutique development dedicated to outdoor living, sits high up on the russet-coloured Chapadao, the cliff that forms a backdrop to Pipa’s world famous beaches. Verandahs, terraces, private gardens and rooftop solariums all offer a wonderful vantage point on the lush Atlantic Forest and sweeping beaches below.

The apartments, penthouses, detached and semi-detached villas combine Norwegian design with Brazilian rustic charm in an idyllic coastal setting. Built with the finest local materials Pipa Beleza is an oasis of luxury with plenty to occupy the residents including their own Ocean Club. This Spa facility will have swimming and relaxation pools, Balinese baths, yoga, Pilates and rooftop juice bar with incredible views. Elsewhere on-site you will find a unique water-based meditation garden as well as huge pool areas, extensive decking and water features, champagne gazebo, mini-market and stylish restaurant and bar. The developers will also provide full property rentals with an on-site management and administration office ensuring high returns and a carefree ownership experience in an area with an already thriving tourist market.

Off-site, Pipa village is just 1,200 metres away or you could simply take to the beach, the quaintly named Praia do Amor (Love Beach), and stretch out lazily on the sunbeds provided. Other activities include kitesurfing, swimming with the dolphins who live in the bay or beach buggy touring on the dunes. Augusto Severo International Airport is around 80km from Pipa.

Prices at Pipa Beleza start from only £66,700 gbp* for a large two bedroom ground floor apartment with private garden and from £107,000 gbp* for a three bedroom semi-detached house with option for private rooftop Jacuzzi.

*prices fixed in local currency

For more information visit uv10.com