Friend of a friend is after buying up alot of office space and penthouses Sao Paulo. He rarely puts a foot wrong and am trying to find out more about brazil particulary so Paulo. Anybody any experiences?
Know large oil finds were announced just off the coast of Sao Paulo and this can't hurt.
At the risk of overposting ill throw in my advice here as i know sau paulo quite well.
firstly its the financial centre of south america so there is a huge amount of commerce there.
Second the affluent areas such as Villa Olimpia are excellent areas to invest in my opinion. There is a very big demand for apartments in these areas - especially from potential tenants and the turnaround on some buildings if a tenant leaves is usually a day or two.
Im talking about high rise developments inside security gates with pools etc
The rental yields there are huge while you might just pay $50,000 for an apartment you will rent a two bed for $800 a month no problem in the good areas of sau paulo so your talking almost 20% yield.
This kind of yield migh seem a bit unbeleivebale to some, but the mindset of the investor isnt necessarily real estate in Brazil. they are much more risk friendly and 20% is something I feel they consider not huge. You can get 13.5% on your money in a bank in brazil.
There is a massive amount of crime in Sao Paulo, with prison syndicates controlling the favellas and running big parts of the city to some degree. Its not a place Id reccomend living by any means but purely as an investment I dont think the crime affects the real estate too much - there are roughly 20,000,000 people there as far as I know and there are many wealthy brazilians who will always rent in the good parts of town