In Brazil, property sales surged by 29.2% from January to November 2023, showing a robust real estate market. Identifying prime cities for investment has become crucial.
We have ranked the top cities for property investment, focusing on factors like average income, job opportunities, and economic activities.
The FipeZap index, which tracks property price appreciation, reveals the top performers over the last five years:
1. Itapema, SC: +86.35% nominal growth (+41.30% adjusted for inflation)
2. Vila Velha, ES: +82.08% nominal (+38.06% real)
3. Itajaí, SC: +81.65% nominal (+37.74% real)
4. Balneário Camboriú, SC: +80.22% nominal (+36.65% real)
5. São José, SC: +74.54% nominal (+32.35% real)
6. Vitória, ES: +68.13% nominal (+27.49% real)
7. Goiânia, GO: +60.88% nominal (+21.99% real)
8. Maceió, AL: +60.32% nominal (+21.56% real)
9. Florianópolis, SC: +57.40% nominal (+19.35% real)
10. São José dos Campos, SP: +57.12% nominal (+19.14% real)
Santa Catarina and Espírito Santo dominate the list, with Itapema leading due to its significant price appreciation.
Coastal cities with scarce and highly valued land have experienced substantial price growth.
Proximity to state capitals, like Vila Velha’s closeness to Vitória, adds to their appeal as investment locations.
However, past performance doesn’t guarantee future results. Markets may plateau, making it vital for investors to consider long-term cycles and economic forecasts.
For those eyeing financed properties, understanding market volatility over the loan term is essential.
Investments in residential properties, especially in sought-after coastal cities, can yield natural appreciation due to their unique features and limited availability.