I thought I understood the concepts of currency exchange rates when I first started buying property abroad. But the reality of what they can do only hit home when I experienced a dramatic rise in my cost of living in Uruguay… and a windfall profit when I sold my house in Brazil.
My annual property taxes in Uruguay were about 54,000 pesos. In dollar terms, this amount was US$2250 when I arrived in 2006… and went up to US$2900 in 2011 due to a weakening dollar. Continue reading