The Central Bank of Brazil has recorded that £30.1m of personal money from the UK arrived in Brazil for property-related purposes in 2009. In 2004, just £4m was sent to Brazil from the UK for the same reason. Here is further evidence, then, to suggest that Brazil, one of the world’s foremost economies (and still growing rapidly) is in no immediate danger of losing its reputation as a fantastic location for investment. Not only is Brazil developing at a rate of knots, it is also about the enter a period of what is sure to be enhanced development – particularly economically – as two major worldwide sporting events – the 2014 Football World Cup and the 2016 Olympics – are fast approaching. In the past these events have proven to be massive economic and tourism-based boosts for their host nations and cities, and these events will be no different.

Ten reasons to invest in Brazil
1 Booming economy – one of the leading BRIC economies, the future of Brazil is looking bright with the UN Economic Body for Latin America forecasting economic growth rates of 7.6 percent in 2010 and 4.5 percent in 2011.

2 Foreign Direct Investment welcomed – FDI is actively encouraged in Brazil, and alongside the ADIT is designed to promote and facilitate working partnerships between the most reputable Brazilian companies and foreign investors.

3 Top tourism destination – Not only popular with international visitors but domestic tourists alike, Brazil aims to attract 11 million foreign tourists by 2020.

4 Easily accessible – Direct flights operate from Europe and the US to key cities including Rio de Janeiro, Sao Paulo and Natal in the north east which can be reached in just under seven hours.

5 Host of 2014 World Cup and 2016 Olympics – As host nation of these two global sporting events, vast levels of FDI are expected as well as a rise in visitor numbers and tourism revenue generated.

6 Year round tropical climate – Only a few degrees from the equator, the north east in particular boasts an average annual temperature of 27˚C, sunshine most days and warm waters.

7 Affordable real estate – As an emerging market, Brazilian land and real estate remains affordable, especially compared to Europe and the US.

8 Growing middle-class – Through economic prosperity there has been a marked increase in the numbers of middle-class Brazilians who enjoy regular holidays as well as owning second properties within Brazil.

9 Strong demand for rental accommodation – Increases in tourism have created strong demand for rental accommodation particularly in the north where stock is in short supply.

10 Straightforward buying process – Land and properties in Brazil can be purchased freehold and the buying process is straightforward, with investors able to take advantage of the favourable exchange rate when purchasing.

Guide to buying property in Brazil
There are very few countries in the world which are experiencing the economic growth currently being enjoyed by Brazil. For those who are looking for overseas properties to buy, Brazil is increasingly on the radar, and prices are still very attractive. But how easy is the actual buying process and what are the steps to take for a hassle-free purchase?

Work with reputable partners
The key to buying property in Brazil successfully is to work with reputable partners – agents, lawyers and currency providers who can be trusted. Once you have identified your dream property, with regards to the actual buying process, it is very similar to that of the UK and other European countries (Brazilian law is based on Portuguese law). The appointed lawyer controls and leads the process overall and carries out the necessary due diligence such as checking title deeds, planning permission etc.

Obtain a CPF
Any foreign citizen who buys in Brazil has to obtain a CPF (Cadastro das Pessoas Fisicas) number. This is similar to a National Insurance number and ensures that the buyer has a legal identity in Brazil. It is not required to reserve a property but is needed at the stage when deeds are signed. If the buyer is married, the spouse must also apply for a CPF number. This number is obtained from any office of the Brazilian Internal Revenue Service, at any Brazilian consular office or Brazilian Embassy abroad (or by visiting www.receita.fazenda.gov.br). A lawyer would normally obtain this on behalf of their client for a fee.

Budget for additional fees
The buyer is liable for a number of other fees and taxes (around seven – eight percent of the purchase price) when purchasing in Brazil and these vary by state and by legal firm. Notary fees (2 – 2.5%) are paid upon completion for the registration of title deeds at the Land Registry. Also payable on completion is Transfer Tax (around three percent). Legal fees (around 1.5 – 2 percent) are usually paid in two stages and the amount paid depends on the price of the property.

Appoint an experienced lawyer
Lawyers should be familiar with the Portuguese language and the legislation surrounding property in Brazil, and must be licensed to practice in the relevant Brazilian State – it is advisable to appoint a lawyer who has been personally recommended.

Where to invest?
The hottest present destination, not only in terms of temperature but also property performance, is Natal. Known as the City of the Sun, Natal is the capital and largest city of the Rio Grande do Norte state, located in northeast Brazil. Over 1.2 million people call the safest capital city in the country (IPEA, Brazil) home and they are lucky enough to breathe in the cleanest air in the world according to NASA as well as enjoy over 3,000 hours of sunshine each year.

Natal is Brazil’s closest major city to Europe with direct flights from Lisbon taking just seven and a half hours. International as well as domestic (who account for 90 percent of visitors) tourism levels to the region are steadily rising with the new airport, just 30 minutes from Natal city, currently under construction and expected to serve up to five million visitors annually.

The rapid growth of Natal is a reflection of the overall positive standing of Brazil. Escaping the worst effects of the global recession, the South American BRIC nation has become an economic success story with ex-President Lula da Silva leaving a legacy of progressive fiscal policies, a rising middle-class and a GDP growth rate forecast at an impressive 7.5 percent for 2010 according to the latest IMF World Economic Outlook report, considerably higher than the global average of 4.8 percent.

The future of Natal looks promising too as it has been selected to be a World Cup host city in 2014. Home already to three football teams, Natal will see construction of the R$300m, 45,000 capacity Arena das Dunas stadium complete with shopping centre, offices, hotels and an artificial lake to surround the stadium. Improvements to infrastructure are also underway including a new light rail network due for completion in 2013.

Information provided by Experience International (www.experience-international.com) and Moneycorp (www.moneycorp.com)