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High property prices and low rentals in return?

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  #1  
Old 11-06-2008, 07:24 PM
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Red face High property prices and low rentals in return?

The rental market may have thrived in money terms overseas,but what are the real chances of gaining a monthly rent in Brasil especially with exchange rates at the weakest to buy and the low prices to rent and the added fact of an ever thriving boom in the brasilian market of brasilian buyers.

Who will these properties realistically rent to with air price rise increases going on an upwards and inflation on the rise again??
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Old 14-06-2008, 09:29 PM
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In short, high season Brazilian famillies, low season they wil be empty.
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Old 17-06-2008, 11:09 PM
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Originally Posted by Coqueiro View Post
In short, high season Brazilian famillies, low season they wil be empty.
Well when the new airport opens there will be two high seasons. The winter months (Dec, Jan & Feb) being the Brazillians and the Summer months (June- Sept) being Europe and America. Once infastructure, golf courses etc are in place then there will not really be any kind of down season. I grant you that the spring and autumn will not be as busy but local bars and restaurants will be able to tick over much like Spain used to because of teh golfers in the winter. So in short I think the rental market in Brazil has a bright bouyant future.
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Old 17-06-2008, 11:59 PM
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It depends on where you buy, the rental profile in Pipa is Swedish, Norwegian, Dutch, Danish, Spanish, Portuguese, English and of course Brazilian. Pipa last year managed a 62% occupancy rate, this year is shaping up to be just as good after a poor start (mainly because carnival was the closest to christmas for 20 years).

In ponta negra I have only seen figures for individual developments and they look good with similar nationalities, but there are a lot of towers being built there so you need to be very selective on what to buy if you want rental income from PN.

In the north there are some good developments with decent developers who have got major hotel chains involved so they should perform very well in the next few years.

There aren't many americans around, but considering the number of american investors we have seen buying up big, that may change pretty soon.
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Old 18-06-2008, 02:31 AM
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Foreigners travelling in low season can never fill all the rooms needed to accommodate the amount of Brazilians travelling for high season. Only Brazilians on mass are willing to pay the big money for a weeks stay.

Outside of Brazilian high season its just tick over, with the odd boost, from once again national holidays.

With the stronger Real and higher flight costs, will a new airport make so much difference?

I do not play golf so do not know if its enough of a draw to get people to Brazil on mass, if they are paying high for a long flight on a cramped charter and then dealing with a strong Real on arrival.
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Old 18-06-2008, 09:49 AM
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I do remember a few yrs back when Natal had a lot more visitors than we do at present . It is rocky waters at the moment and business is miserable for the holiday market and very costly too!
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Originally Posted by Coqueiro View Post
Foreigners travelling in low season can never fill all the rooms needed to accommodate the amount of Brazilians travelling for high season. Only Brazilians on mass are willing to pay the big money for a weeks stay.

Outside of Brazilian high season its just tick over, with the odd boost, from once again national holidays.

With the stronger Real and higher flight costs, will a new airport make so much difference?

I do not play golf so do not know if its enough of a draw to get people to Brazil on mass, if they are paying high for a long flight on a cramped charter and then dealing with a strong Real on arrival.
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Old 18-06-2008, 11:14 AM
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I do remember a few yrs back when Natal had a lot more visitors than we do at present . It is rocky waters at the moment and business is miserable for the holiday market and very costly too!
In number, how many visitors are there now compared to a few years ago?
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Old 18-06-2008, 11:21 AM
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In figures no idea ,but in volume on the beaches and in the hotel very few.In the past you would see hotels with more overseas visitors and buggies teaming past.Today that is sadly not the case.
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How many visitors are there now compared to a few years ago?
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Old 18-06-2008, 12:30 PM
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In figures no idea ,but in volume on the beaches and in the hotel very few.In the past you would see hotels with more overseas visitors and buggies teaming past.Today that is sadly not the case.
Considering that the holiday season doesn't really get going until about the 10th of July and May and June are the quietest months of the year I am not surprised it is quiet.
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Old 18-06-2008, 01:01 PM
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If the prices were cheap to get here then you would see possibly more movement ,but having said that it is quite a trek for the average holiday maker and you have to be a beach lover too and not everybody likes to stay on a beach every day.
Hugh investments need to made artistically and culturally to really draw an overseas investor here similar to that of Salvador or Rio.

Ask the average person living here what there is to do in Natal and the response will be go to Midway Mall,the Cinema or the beach.

You will not hear a great show,a great bar,a great museum or even a grand bookstore............
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