Brazil Hotspots
Rio de Janeiro

The marvellous city

Rio de Janeiro is probably Brazil's most famous city and the second largest in Brazil with a population of over 15 million people. It is a city that is bustling with energy and has something for everyone to enjoy. People from around the world visit Rio de Janeiro to enjoy its world famous carnival and to enjoy its best beaches like Copacabana.

The industrial and service sectors are the largest component of its Gross Domestic Product (GDP), which is the second largest in the country. A thriving economy sees many people from all over Brazil coming to Rio de Janeiro seeking better employment opportunities.

Property rental in Rio de Janeiro achieves very high yields, driven by high local demand. This has led to many institutional investors from abroad actively buying up large amounts of Rio de Janeiro's real estate inventory.

Popular areas for buyers within the city include the luxurious districts of Ipanema and Leblon.  Away from the city, many people are looking to the resorts of Búzios and Angra dos Reis, where many excellent quality properties can be found.

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  Copacabana Beach

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  Rio Carnival

Tourism

Christ the Redeemer, the symbol of the city of Rio de Janeiro was voted as one of the 7 new wonders of the modern world. This is one of the many attractions that Rio de Janeiro has to offer, alongside a nightlife that is second to none and some of the most crystal clear beaches you are ever likely to see.

Even with so many wonderful attractions, many government and tourism experts believe that Rio de Janeiro is not achieving its full potential. As a direct result the government is pro-actively investing resources and developing programs to help position Rio de Janeiro as one of the world's premier holiday locations.

These initiatives should start to yield results in the near future, and this should lead to increased tourism revenues and a more buoyant property market.

Rio de Janeiro Investment Facts:

• Strong rental market with predicted rental income in the region of 8-10%
• Shortage of property to match current demand
• Strong local market, providing a direct exit strategy
• Established tourist destination
• The property market is starting to attract institutional investors, bringing in more funds and expertise.

Forecasted Investment Returns (2008)

Description	Amount
Estimated Growth	10%
Estimated Rental Income	8-10%

Why not read:

• Why investing in Brazilian property is a good idea
• The purchase process in Brazil
• Brazilian hotspots - Bahia