Financing Property Purchase in Brazil

[BrianC]

I an based in the Netherlands and have decided I wish to buy a property (250k real) in Brazil.

Currently I have 30k in cash which is enough to cover the deposit. I also expect another 150k to come through from an inheritance within the next few months although this could take longer.

I´m reluctant to commit to the purchase until I know I have all the finance covered.

What are my options? Should I try to find finance in NL or is there anything I can do in Brazil?

If it helps, my sister, who I trust implicitly, lives in Salvador and is a Brazilian citizen.

[RalphJ]

You need to show income derived in Brazil to get financing from a bank in Brazil.

[timatthebeach]

Brian i think it is more expensive to get finance in brazil than europe (assuming you can-as ralph said its probably impossible if you dont live and work there).
you should go and spend a few weeks with your sister and use her local knowledge and contacts. there are some great places just north and just south of salvador....... around natal and fortaleza there is alot of buzz (well seems to be but not been up that way myself yet)..... the south between rio and sao paulo is good - places like upatuba... and there is floripa south of sao paulo......... and many other towns and villages.
so many places - all have different things to offer at different prices. since you have family there i think it best to go see for yourself.
and if you cant get enough time off work ask your sis to do some research to line up stuff to see on a visit.

[JMBroad]

What's the old saying: "Money invested later rather than sooner loses out on opportunity, so invest wisely but as soon as possible" - or something to that effect - long day at work and I should be on my way home already so a bit knackered.

I think the person who made up that saying was referring to timeframes years apart, not months. In your case I'd probably suggest that you wait until you actually have your inheritance before buying - a couple of months shouldn't make the risk of losing everything because you can't afford to honour your payments worthwhile.

In other words, use these months you have to fully research where you want to buy, what you want to buy, why you want to buy and how you should buy.

If your sister is in Brazil and speaks Portuguese then you have one up on a lot of other international investors. Use that in your favour but remember unless she works in Real Estate, you have to both interpret what she is told together. Use your common sense and do your own research as well as getting as many opinions as you can.

[numericalexampledotcom]

Since you only need the money for a couple of months you can also go to a ductch bank and try to get a normal loan. Some papers related to the inheritance may help.

[Golfingworld]

I would suggest the opposite, take your time and do not rush into anything..prices are going nowhere so you won't lose out by being patient and really researching what you want to do.

[JMBroad]

Erm GW did you just agree with me on something?

Humm sky is still up in Spain - must be falling somewhere though