Vila Velha, Brasil

Vila Velha, Brazil: Top Beach Real Estate Without Rio’s Price Tag

Vila Velha: “Little Rio”

My walk finished, I plop down in a chair at Talismã, my favorite kiosk. The waiter looks at me and raises an eyebrow in question. I nod and mouth, “Coco.”I hear him behind me, hacking the top off a chilled coconut with a machete, and in seconds it’s on the table before me. Slipping a straw in, I take my first sip and can’t help but let out an audible, “Aaaah.”I’m feeling good. I’ve just finished a 45-minute walk, and it’s only 7:30 a.m. But I’m not the only person out getting exercise this morning. There is a steady stream of walkers, joggers, and cyclists, with a few Rollerbladers thrown in for good measure. As I watch the procession, Speedo Man powerwalks past, wearing his trademark black Speedo, white tennies, and nothing else.

I can’t help but smile. It’s good to be back in Vila Velha. This is, after all, where my love affair with Brazil began, way back in 1993. On that first trip, I fell in love with the friendly people and the incredible natural beauty. All these years later, after a new currency, a few new administrations, an economic boom and a subsequent bust, I see that Vila Velha hasn’t changed all that much.

And that pleases me deeply.

Odds are you’ve never heard of Vila Velha, although it’s not far up the coast from Rio—and, in many ways, Vila Velha is reminiscent of the Marvelous City. There is, for example, the broad expanse of beach, watched over by the majestic morros (cones of granite), as in Rio. And the capixabas, as the locals are known, are also a smiling, active people, much like their carioca cousins. I’ve been comparing Vila Velha to Rio for years, and Continue reading

Beachfront Property In Brazil

Strong Dollar Makes Beachfront Property In Brazil A Steal

A Compelling Beachfront Play In Brazil
Plus: Holding Real Estate In A Roth IRA… And Finding Paradise In Mexico

As a real estate investor seeking out property deals in different countries around the world, one of the things that I pay a lot of attention to is the performance of the currency in the market where I’m considering investing. While a currency’s performance is not necessarily a deal breaker, it can transform a good deal into a great deal… if the timing is right and luck is on your side.

All that said, I do not advise you to try to time currency exchange rates when investing in real estate. No one can reliably predict which way exchange rates are going to move. But if you are presented with an investment opportunity in a country whose currency has moved dramatically in your favor, then you should pull the trigger.

One of the real estate markets that has my attention now is Brazil, specifically, the region along the northeastern coast. At the time of this writing, the Brazilian real is trading at 3.59 reals against the U.S. dollar. That is, U.S. dollar-holders have seen their buying power in Brazil increase by almost 150% since 2011.

There may never be a better time to purchase real estate in Brazil.

In fact, we’ve identified an excellent pre-construction investment opportunity along Brazil’s northeastern coast that I believe makes sense from an investment perspective and Continue reading