The US Real Estate Bubble has moved to Brazil. hope lies in Brazil where the bubble has not even gotten close to popping. As a matter of fact it is filling up at quite a rapid and healthy pace now.
gringoes.com
The US Real Estate Bubble has moved to Brazil.
By Richard Conti
Yes, as many, many knowledgeable people have forecasted it has all but popped in many areas in the US. Some say the market is doing better but for the average person this has little or no effect on their lives as many do not have the knowledge, the know how, or the stomach to chance making a few dollars in that arena. People are selling homes short, quite short of what they had anticipated selling them for and others who seem to be holding on and continue to ask for their price, and trying to achieve their once expected gains, are having to throw all kinds of extras into their sales price in order to move their properties.
There is much welcomed hope though for those believers in real estate as an investment. The hope lies in Brazil where the bubble has not even gotten close to popping. As a matter of fact it is filling up at quite a rapid and healthy pace now. Brazil offers many, many properties that are sound investments for retirement homes of the future which can offer you rental income until that time arrives and a great vacation place meanwhile with low taxes and upkeep. A place where you can still enjoy the luxury of domestic help as well at extremely reasonable prices.
Brazil's North East Coast, in the João Pessoa area especially, has an abundance of properties yet to be discovered and developed at prices that are fractional compared to prices here. However, these same properties offer as much or more to investors. Brazil is a safe place for real estate investors to do what they once enjoyed here. Foreigners have the same rights as Brazilians and there are even American title companies now offering international title insurance on properties there to ease those fears of buying in a foreign land.
Many other areas once thought of as good places to invest in income producing and or retirement properties have now become saturated to the point where the prices are no longer as reasonable as they once were, making them less and less attractive to investors as they were in the recent past. Others have been taken off the list of possible places to invest and retire in due to terrorism problems, especially for Americans.
Not unlike Brazil at one time financing and mortgages in Mexico and other locations were not available to foreign buyers. Since the availability of mortgages to foreigners to use and buy land and or homes became more and more available prices have doubled and tripled for properties there. Brazil once like Mexico and these other places still remains a fantastic bargain in a safe and friendly country. Now is the time to get in as I believe in a few short years they will be following these other places in regards to availability of mortgages. Once this happens and the banks and finance companies here realize the potential for gains in the real estate market mortgage area there, no doubt the prices will begin to increase dramatically as they have in other areas, and good properties will be just as difficult to find at reasonable and bargain prices.
While prices in some areas have gone through the roof in some other countries, fears of terrorism have all but taken others off the list of possibilities for many as it has done for me. Places once considered such as Spain, England, Italy and other countries now prone to terrorist attacks, especially in areas frequented by Americans. Others are just as unattractive due to problems within their governments and future prospects of economical problems within those countries. Brazil is healthy and alive and placed in a much better position these days then most with many looking towards this country for investment possibilities as well now.
Even in areas here in the States, such as many areas in Florida once thought of as bargains, they have now become expensive due to price increases and taxes, not to mention rising maintenance costs, condominium fees and assessments imposed due to damages sustained by recent hurricanes which are predicted to continue by experts for at least the next ten years. Brazil does not have hurricanes and areas such as João Pessoa experience the same if not better summer like conditions year round.
Part 2 next week...
Richard is an American born and raised in New York City in the shadows of the once towering World Trade Center. He now lives in beautiful Boca Raton, Florida. He is presently doing design work and general contracting, but his dream is to complete his private community in João Pessoa, Brazil, and to move there with his Brazilian girlfriend. Once there he wants to devote time to building many many more projects with Americans and Brazilians in mind. In his spare time he wants to write many many more enjoyable articles for Gringoes.com for you all to enjoy. If you want to contact Richard by email then send to guyfrmbk@adelphia.net.
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