Natal rated 5th best place to invest in Brazilian real estate
Natal has been rated as the 5th best city to invest in real estate in Brazil, according to a recent business survey. This is an extraordinary finding considering that nearly all Brazilian municipalities were studied, out of which the 100 best were shortlisted and ranked.
In the list published by a leading Brazilian fortnightly business magazine – Exame - based on the survey conducted by consulting firm Prospecta Inteligência Imobiliária (Prospects Intelligence Real Estate), Natal was defined as a great place for investment in all types of real estate (residential, hotel and commercial).
Rather than considering the valuation of real estate by taking into account the average price per square metre, which only reflects sold property values, the researchers chose to investigate the demand by tracing future trends. The study used several variables which measured per capita income, education levels and employment, a number of operating companies in the city and the housing deficit.
100 municipalities were compiled showing the potential for real estate investment with Natal ranked the 5th best city in the whole Brazil (the other top 4 positions are dominated by the cities of São Paulo). Thus, in the Northeast region, Natal ranks in the top position, ahead of Maceió (8th) and João Pessoa (10th).
According to an independent real estate investment consultant, Mike Smith (based in Natal) and his blog on this survey, these study findings have already drawn attention of the investor groups onto the advantages of investing in Natal.
Ritz-G5’s Brazilian Director of Marketing, Fernando Lessa, pointed out that Natal is a city with great characteristics and attractiveness, and although it does attract tourists and holidaymakers, it has a very strong migratory pull too. This is because it offers a superior quality of life in Brazil; e.g. faster and shorter commute to work, stunning beaches which are easily accessible and far better quality housing found at much cheaper prices than in the largest cities in the South.
According to data collected by Prospecta Inteligência Imobiliária, Natal has experienced a large increase in purchasing power of the average citizen. The average income of the economically active population (EAP) in Natal has six times the minimum wage (nearly R$ 5,000). The increased purchasing power of the population nearly always translates into the growing real estate demand and prime assets.
In addition, the survey also revealed an interesting fact about Natal; of the top 5 best cities to invest in real estate in Brazil, Natal has the largest housing deficit, standing at 34.18%. The other top four municipalities on the list have: 27.83% housing deficit in São Bernardo do Campo (1st place), 29.24% in Campo Grande (2nd place), 29.71% in Santo André (3rd place), and 33.82% in Osasco (4th place).
Moreover, there is a current opportunity to buy property in Natal at highly discounted prices for overseas investors. In particular, the Brazilian real fall has resulted in a 12-year low against the British Pound, US dollar, Euro and some other hard currencies. Real’s depreciation, which is nearly 55% against the British pound, in combination with the above mentioned factors, makes great timing for overseas buyers to invest in Natal’s property.
Ritz-G5 is an award-winning real estate developer operating in Natal and Northeast Brazil. We invest in all types of real estate: residential, hotel and commercial. Our company presents a number of opportunities to invest in our projects, offering very competitive rates of return.
For more information on Ritz-G5’s and how to invest in our projects, please contact the team on +44 207 183 7565 or visit www.ritz-g5.com.