Wealthy Brazilians reportedly have found a new place they consider "the safest place to invest": Miami, South Florida. Due to the unstable economy at home, they have discovered that Florida is a viable place to pour in their money for real estate investment.
According to STL Today, the Miami market has exploded since last year, as Brazil market worsened. Brazilians have bought real estate properties even if they cost them 50 percent more in dollars.
In line to this real estate phenomenon, Anthony Graziano, executive director at Integra Realty Resources, explained that, "There really is no other place to put money. Stocks are getting hammered. Bonds are getting high. What is the equity play if there's an ultra-high-net-worth investor? Buy one-of-a-kind luxury real estate."
This explains why wealthy Brazilians consider South Florida, or Miami in particular, as the safest place to put their money in for business investment. The equity-based profit can be higher in this place than in their home country. South Florida is profitable to make money grow through real estate.
Meanwhile, CNBC reported that not only Brazilians but also wealthy people from other countries consider this place as the best for investment. According to the report, more Colombians, Argentinians, Mexicans, Venezuelans, French and Turks are fleeing their home countries and booking a direct flight to Miami.
On the contrary, Ned Murray, associate director of Florida International University's Metropolitan Center, said: "We're not seeing the benefits of that income being disposed of in the local economy. That impacts local businesses, and we're losing opportunities to create year-round housing for our workers. They're moving out," he said.
The influx of wealthy people from other countries can cause the local Miamians to lose grip on house cost. There would be fewer housing options for the local folks, as a result.
