Investing in Brazilian


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A guide to Investing in Brazil and Social Housing

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Investing in Brazilian

  1. 1. Investment Options Why Brazil Social Housing The Benefits of Social Housing The Investment Exit Security
  2. 2. Safe but little returns High return but unpredictable timescales High returns but risky Most trusted form of investment
  3. 3. <ul><li>Residential Real Estate </li></ul><ul><li>Commercial Real Estate </li></ul><ul><li>Social Housing </li></ul>
  4. 4. Why Brazil?
  5. 5. <ul><li>Low cost of living and Real estate </li></ul><ul><li>Huge Housing Deficit </li></ul><ul><li>Brazils Government has an estimated a housing </li></ul><ul><li>shortage of between 8 and 10 million, with the North </li></ul><ul><li>East accounting for more than a third of this demand. </li></ul><ul><li>Government dedicated to growing the tourism sector </li></ul><ul><li>Extensive and on-going investment into infrastructure </li></ul><ul><li>and transportation </li></ul><ul><li>Over 300 days of sunshine per year </li></ul><ul><li>Friendly and welcoming people </li></ul><ul><li>More than 3,300 kilometres of tropical beaches </li></ul><ul><li>Unaffected by terrorism or natural disasters </li></ul>Brazil Investment Facts
  6. 6. What is Social Housing ‘ Social housing’ or ‘affordable housing’ is a term used for homes built by a government for families with low incomes. As the economy in Brazil has grown to become the 7th biggest in the world and is continuing to rise, the demand for housing has increased. Property supply simply can’t keep up with demand and, added to this, millions of families in Brazil live in sub-standard housing. In 2009 the government announced the “Minha Casa, Minha Vida” social housing programme. “ Minha Casa, Minha Vida” Overview As a way of reducing the property shortage in Brazil and helping families to buy a home, the government introduced the “Minha Casa, Minha Vida” (My House, My Life) social housing programme in 2009. The programme aims to build 3 million homes in the short to medium term.
  7. 7. <ul><li>Households with a total income of up to 3 times the minimum wage (currently at $465 BRL per month) can access the full allowance without any insurance and notary registration costs to pay; </li></ul><ul><li>Households with a total income between 3 and 6 times the minimum wage can gain income supplements for loans; a discount on the cost of insurance; a 90% reduction of the notary registration cost and access to the guaranteed' fund (which will cover in the case of unemployment, death or other specified circumstances); </li></ul><ul><li>Households with a total income of between 6 and 10 the minimum wage can receive lower costs of insurance, an 80% reduction of the notary registration cost and access to the guaranteed' fund. </li></ul>MCMV Eligibility Criteria
  8. 8. Social Housing program Launched 7 million Homes needed across brazil Government can only produce 3 million by 2015 2009 2010 2010-2015 4 Million Brazilians left without a home although Brazilian government have given them full funding to own their own home
  9. 9. <ul><li>Low Entry level </li></ul><ul><li>Short term </li></ul><ul><li>High returns </li></ul><ul><li>Not reliant on world economies </li></ul><ul><li>Demand is overwhelming </li></ul><ul><li>Government Backed Exit with huge waiting list of end buyers </li></ul><ul><li>Helping a family secure their first home </li></ul>Benefits of investing in Social Housing Sam Zell Real Estate Tycoon $500,000,000+ invested into Brazil since 2007
  10. 10. The Investment <ul><li>£23,000 Investment </li></ul><ul><li>20% fixed Return within 12 months </li></ul><ul><li>Structured via Lawyer operated Lloyds TSB Escrow Facility </li></ul><ul><li>Award winning developer with existing track record in Brazil with completed social housing phases </li></ul><ul><li>Government backed exit strategy </li></ul><ul><li>No currency exposure & full control of funds </li></ul>
  11. 11. Exterior Interior
  12. 12. 2 Bedroom Social Housing Unit
  13. 13. The Launch of the Minha Casa, Minha Vida program in 2009 provides funding for Brazilians to purchase one of our units. As soon as you invest, Your unit ‘s construction begins and it is at this initial stage when a family on the MCMV waiting list is assigned to this unit with funds being provided upon completion which takes 3-4 months. The Brazilian Government are also in charge of setting a fixed sale price of our units which is £30,000 and this is where your return comes from. In Natal alone, there are currently over 60,000 people on the MCMV waiting list. The government is on track to build homes for 20% of these people which is why we are helping with the load. President of Brazil: Dilma Rousseff The Government Backed Exit
  14. 14. FAQ Is my money protected Will my unit sell Your funds are placed into a Lloyds TSB Escrow facility in the UK which is managed by a UK Registered Lawyer. Your funds are protected by set criteria and can only be used on the build of your individual unit and are taken in arrears. No need to worry about sending your money to Brazil We are building social housing units because there is a huge demand for this type of housing in Brazil. The demand is so overwhelming, your Unit is allocated and sold as soon as construction starts within 30-60 days of you investing your money. The sale price is set and fixed by the Brazilian government and not by us which means we know how much each unit it worth before we build it. Security