Improvements in the economy plus the new flight hub look set to be major factors behind a boom in the market for second homes in Ceará. This area of Northeast Brazil is, according to market analysts and professionals from the sector, about to experience burgeoning interest in second home purchase. Supply remains tight, however, as investors and buyers flock to the coastal parts of Ceará.
According to estate agents and constructors operating in the state, the next six months will register a sharp rise in interest for buying second homes in Ceará. With the local economy improving steadily – Ceará is growing at almost double the national rate - and prospects for Brazil improving generally, second home buyers have Ceará firmly on their radar.
Big interest in holiday homes
Professionals interviewed in the Diario do Nordeste broadsheet report optimism in the sector, particularly among developers who are building in prime beach positions on the Ceará coast. Interest in frontline beach complexes is reportedly stronger than ever.
According to Lopes Immobilis based in Fortaleza, the current stock of second homes in Ceará in the area immediately around the capital (Fortaleza, Aquiraz and Caucaia) stands at 388 units with a total value of R$310 million. The agency considers this supply to be low and points out that in July last year it was 7.6% higher.
In the five months to May this year, 47 second homes were sold in Aquiraz alone. The highest number ever for this period of the year. The intense activity so far in 2018 along with improved economic conditions leads analysts to expect a “boom” in the market for second homes in Ceará between July and December. Lopes Immobilis forecasts more new development taking place at the end of the year as the supply drops.
An indication of the market heating up comes in the big interest in sales of hotel rooms at the Hard Rock Hotel, some 90km north of Fortaleza. According to hotel sources, three times more rooms were sold during the pre-sales period than expected.
Reasons behind second home boom
Better economic conditions throughout Brazil are one of the main factors behind the big interest in second homes in Ceará. Lower interest rates also contribute to better buying conditions among Brazilians.
The arrival of the Air France-KLM flight hub at Fortaleza Airport has played a fundamental role too in putting Ceará second homes on the investor map. The airport has upped its game considerably this year with the addition of several new direct flights to international destinations plus numerous extra domestic services. The air hub along with major expansion work on the airport itself has, according to Lopes Immobilis, made a huge difference to investor outlook.
“The new flights have increased movement within the property market, particularly in the second home sector,” said Ricardo Bezerra, quoted in Diario do Nordeste. “Those coming to visit Ceará aren’t looking for a permanent home; they want a second home.”
Interest is firmly on Ceará for second home property investment. Several development companies including BRIC Group are currently building high-end holiday complexes on the stunning coastline, famed for its beaches and relaxed ambience.
Preferred type of second home in Ceará
As well as a beach location, holiday home buyers want a second home on a complex that offers good facilities. Onsite sporting activities are another must-have, particularly among those who practise water sports such as kite surfing.
Buyers are looking for striking architecture too. And they value sustainable developments where construction fits into the landscape and respects its surroundings.
(Source: Diario do Nordeste)
