Rule change by central bank in Brazil fuels foreign investment
May 02, 2012
A new rule from Brazil’s Central Bank that has doubled the amount of cash Brazilians can send aboard through brokerage firms and banks is good news for the south Florida US market. Transactions as large as $100,000 (up from $50,000 in 2011) are now permitted, which is further driving up the country’s global buying habits—including for property.
Florida—specifically the Miami market—is a popular destination for wealthy Brazilians looking to purchase property outside the country. Further fueling foreign investment is the stability of the Brazilian real and strength against the US dollar (currently trading at 1.88), making it easier for Brazilians to plan for longer term investments.
“Brazilians are among the top buyers and investors for Florida real estate and particularly for Miami and South Florida – and they are among our favorites," says Teresa Kinney, CEO of the MIAMI Association of REALTORS®. "With increases in cash that can be sent abroad, there will be even more Brazilian buyers and even higher price points – and we are strengthening our listing exchange and referral network with our partner organizations there. Now what we need is for Brazil to be included in the [US] Visa Waiver Program.”
According to a report in Forbes by a São Paulo foreign currency broker, there is a great deal of pent up demand due to previous limitations on the amount Brazilians could send overseas. There is some expectation the cap will be raised further—perhaps to $200,000.
In Brazil, agents and developers affiliated with Fenaci
are WorldProperties.com agents.