Real Estate Bubbles in the Third World? - GoFuckYourself.com

slapass · 03-31-2010, 07:24 PM

Just noticed that a few people have asked if I want to sell my place in Rio. It has gone up about 80% in the 3.5 years I have owned it. The market had been pretty flat for years prior to this. 80% is pretty crazy and I could downsize and rent near this place. Bank the money and live like a king off the difference. World Cup is due here in 2014 then the Olympics in 2016. Sort of seems like the wrong time to get out but shit 80% is not a common move for 4 years.

fatfoo · 03-31-2010, 07:28 PM

80% in 3.5 years. Unbelievable.

Third World Real Estate - the prices must be lower.

However, there are even some $100 houses in Detroit, USA.

Read article here:
http://www.nytimes.com/2009/03/08/opinion/08barlow.html

Barefootsies · 03-31-2010, 10:04 PM

Quote:

Originally Posted by fatfoo

80% in 3.5 years. Unbelievable.

Agreed. Take the money and run.

xmas13 · 04-01-2010, 01:21 AM

Local currency is up

http://www.exchange-rates.org/history/BRL/USD/G/500

andrej_NDC · 04-01-2010, 01:28 AM

I would rent it...there will be still many tourists in Rio, crisis or not. And overcharge during the big events, of course.

slapass · 04-01-2010, 06:28 AM

Local currency is up so I am actually up over 100% if I turn it back to dollars. I wouldn't so that is not part of the deal.

Rents are the crazy part of it. They are about .5% of the properties value. I live in a very nice area. A Louis Vuitton store is 3 blocks away. So in nicer areas rents tend to be a lower % of value but this is really low. So then renting to tourists gets you to 1.5 but there are costs and I am not in Rio 100% of the time etc.

Good news is nothing is on the horizon to change it today but I need a plan.

SGS · 04-01-2010, 06:42 AM

Take the money and run like the fucking wind!

03-31-2010, 07:24 PM	#1
slapass Too lazy to set a custom title Join Date: Nov 2002 Location: Earth Posts: 14,625	Real Estate Bubbles in the Third World? Just noticed that a few people have asked if I want to sell my place in Rio. It has gone up about 80% in the 3.5 years I have owned it. The market had been pretty flat for years prior to this. 80% is pretty crazy and I could downsize and rent near this place. Bank the money and live like a king off the difference. World Cup is due here in 2014 then the Olympics in 2016. Sort of seems like the wrong time to get out but shit 80% is not a common move for 4 years.

03-31-2010, 07:28 PM	#2
fatfoo ICQ:649699063 Industry Role: Join Date: Mar 2003 Posts: 27,763	80% in 3.5 years. Unbelievable. Third World Real Estate - the prices must be lower. However, there are even some $100 houses in Detroit, USA. Read article here: http://www.nytimes.com/2009/03/08/opinion/08barlow.html __________________ Send me an email: [email protected]

04-01-2010, 01:21 AM	#4
xmas13 Confirmed User Join Date: Dec 2004 Location: GFY Posts: 5,176	Local currency is up http://www.exchange-rates.org/history/BRL/USD/G/500 Last edited by xmas13; 04-01-2010 at 01:22 AM..

04-01-2010, 06:42 AM	#7
SGS Confirmed User Industry Role: Join Date: Dec 2002 Location: Mallorca - Nottingham Posts: 5,176	Take the money and run like the fucking wind! __________________ See sig...

04-01-2010, 01:28 AM	#5
andrej_NDC Registered User Industry Role: Join Date: May 2004 Posts: 7,760	I would rent it...there will be still many tourists in Rio, crisis or not. And overcharge during the big events, of course.

04-01-2010, 06:28 AM	#6
slapass Too lazy to set a custom title Join Date: Nov 2002 Location: Earth Posts: 14,625	Local currency is up so I am actually up over 100% if I turn it back to dollars. I wouldn't so that is not part of the deal. Rents are the crazy part of it. They are about .5% of the properties value. I live in a very nice area. A Louis Vuitton store is 3 blocks away. So in nicer areas rents tend to be a lower % of value but this is really low. So then renting to tourists gets you to 1.5 but there are costs and I am not in Rio 100% of the time etc. Good news is nothing is on the horizon to change it today but I need a plan.