Brazil has recently overtaken the UK to become the sixth largest economy in the world. The stabilising of the economy over the past two decades has resulted in better control of inflation, balance of payments and interest rates. Brazil has the fifth largest land mass of any country in the world, resulting in a diverse range of industries including agriculture, aircraft, steel and iron, oil and petrochemicals and motor vehicles, plus a wide range of consumer durables. As the Brazilian economy continues to improve this creates a burgeoning middle class. With more and more native residents joining the consumer class this creates a need for improvements to the infrastructure of the country. The Brazilian government has pledged around R$50billion for enhanced transport links, and has taken steps to tackle the issue of affordable quality housing.
EcoHouse Brazil are one of several private companies who have been invited to join the popular minha casa minha vida social housing scheme operated by the Brazilian government. For eligible low to middle income families minha casa minha vida Brazil aims to provide low cost, high quality homes across various regions of the country. Private building contractors such as EcoHouse Brazil are able to speed up this process by attracting outside investment from overseas. EcoHouse Brazil are part of the UK-based EcoHouse Group. UK investors are able to contribute funds to the newest minha casa minha vida development which enables EcoHouse Brazil to complete these homes without waiting for funds from the government. A typical investment is equal to the cost of building one home, around £23,000. Once enough investments have been procured EcoHouse Brazil are able to begin construction. Over a period of around twelve months hundreds of homes are constructed, which are then sold to eligible families at a capped rate through the minha casa minha vida scheme. Investors then receive their initial investment back plus a substantial return, which at present stands at around 15%.
Overseas investment in property represents one of the lowest risk ways in which to increase returns. Currently in the UK the interest rate on a cash ISA is only 1.74%, a historical all-time low. Stocks and shares are often high risk and the value is just as likely to go down as up. Property investment with companies such as EcoHouse Brazil offers a relatively safe investment opportunity with higher than average returns over a short period of time.