Introducing "The Reserve"

 Hello everyone,

As I am sure you know by now, this past Saturday (June 8th, 2024), I hosted a special presentation. Hundreds of people from around the world joined in, and I’d like to extend a special thank you to those of you who spent your Saturday morning with me!

Beyond diving into an investment methodology that has been a staple in my personal portfolio for many years, alongside my partners, I shared an exclusive opportunity that I am thrilled to say was received super well by all of you who joined us live!

Even the attendees who weren’t in the market for an investment property in an emerging market learned something new, and at the very least, I am glad I was able to open so many eyes up to the upside of purchasing an investment property offshore!

It never gets old to hear the reactions of people who, in real-time, come to learn that there is a whole world of accessible opportunities once they escape the mentality of “backyard thinking.”

This past weekend, we went “Beyond The Backyard,” to say the least - we went far beyond the traditional (and oversaturated/costly) offshore investing destinations, like Tulum, for example, and right to a region that I have identified as a hot up-and-coming destination: a destination that is already booming domestically and is just starting to gain notoriety from international tourists and investors alike for its beauty, tranquillity, and, of course, affordability.

So.. without further ado, let’s get into what we discussed…

I am not going to get into too much detail about why Brazil is ripe for investment right now in this edition of Brazil Beachfront as I have already covered that in depth in previous issues; however, there is one specific reason I would like to emphasize again as it is a major reason as to why I am so bullish about investing in this specific region… the growing middle class in Brazil.

While you read this, you may be asking yourself, “As a real estate investor, why does a growing middle-class matter so much to me?”

Well, here’s why…

The growing middle class is so important to us because it means the potential client base of people who will have the financial means to travel for the sake of vacation.

An increase in disposable income directly translates into an increase in travel. This is a fact. As the middle class continues to grow in Brazil, we can expect the demand for our vacation rentals to skyrocket. Plus, when more people are able to travel for the sake of pleasure, the cost of such a luxury increases, too - this means not only will our occupancy rates go up, but the market price we are able to charge on a nightly, weekly, or monthly basis for our vacation rentals will go up, too.

So, to make it even clearer, a growing middle class is going to continue to fuel the boom in domestic tourism that Brazil and, more specifically, this region are already experiencing. And since we have the best rental units on the best beach in the best region… well, you get where I am going with this.

Speaking of the best units, I’d like to introduce you to “The Reserve,” a 50-unit beachfront complex located in Canoa Quebrada, Brazil. 

My partners in this project, IMPAR, have already cleared the land, and construction of the development will start before the end of this month. With a track record of delivering projects on time & without issue for generations, I couldn’t be more proud to be working with the team at IMPAR to share this opportunity with you. I have worked with the team at IMPAR for over three years now, personally own three of the homes they built, and I have full confidence that their latest project is going to be an exceptional investment opportunity. When it comes to building on Brazil’s beachfront, nobody does it better than the team at IMPAR.

“The Reserve” is a two-story project, and all units are created equal. Apart from the ground floor units being walk-outs, all of the units are identical. Of course, if you were to be one of the lucky ones to get one of the few pieces of remaining inventory, you would be able to furnish the unit as you see fit. Historically, most clients of mine have opted to purchase the standardized furniture package so they don’t need to spend the time, effort or mental energy trying to purchase all the things that turn one of these units into a market-ready rental unit. 

“The Reserve” was designed with spacial efficiency at the front of mind… think studio-style living. At roughly 350 square feet per unit, these units weren’t designed with the intention of housing a family of four living here for months on end; they were designed with the short-term vacationer in mind.

As many of you reading this are likely more accustomed to more spacious living arrangements, just for context I’d like to know that the average hotel room is much smaller than this. Plus, with the beachfront views from the balconies, we doubt you or your guests would be spending a whole lot of time indoors anyway. I mean, why choose the couch when you could choose the hammock? 

Inside the development, there is a large communal pool, hot tub and even an entertainment zone for all guests to enjoy when they aren’t relaxing on their balconies or swimming in the crystal clear ocean. Given that some guests may even visit for the purpose of Kiteboarding (this specific region is widely regarded as the top destination in the world for doing so), we have recently decided to build a storage space on the property so you don’t have to worry about guests bringing their boards or bikes inside your unit. 

Now, by this point, if you’re thinking this investment is too rich for your blood, I’d like you to re-shape your idea of real estate investing. As I mentioned above, Brazil is an emerging market, and as such, real estate prices are still incredibly accessible. If you think the cost of investing in “The Reserve” and securing your own unit here is out of reach, you’d be wrong - at just $67,000 USD, I think many of you reading this right now could soon become the owner of a turn-key rental property in Brazil’s Northeast.

There are lots of ways you could spend 67k; however, I’d be willing to bet that the majority of them wouldn’t result in ongoing cash flow or significant capital appreciation. Sure, you could buy a mid-range SUV, renovate your kitchen, or purchase some stocks; however, in most cases, the return on investment of those items is not going to bear the same fruit.

When you invest in a quality investment property, there is only an upside. This asset class doesn’t depreciate; it appreciates, and unlike a new car, the novelty won’t wear off - take it from me, cash entering your bank account every single month from an investment you don’t even need to manage or stress about, doesn’t get old. 

The image above represents the total costs, fees and anticipated returns if you were to secure your own unit at “The Reserve”… that is, if you don’t wait too long to act. To find out if there are still available units available, I highly encourage you to contact my partners right now by sending an email to expat@beachfrontoffers.com

This past Saturday was a sell-out event, and over the span of three hours, we literally sold all the 40 units that were exclusively allocated to me for sale to my community; however, after doing a few of these special presentations, I have come to learn that it is common for a few people to change their mind, and thus, the previously sold units are made re-available for sale. At the time of my writing this, I am unsure how many (if any) units are still available as things have been moving incredibly quickly since Saturday, and I haven’t asked for an inventory count in a day or so.

If you are new to the world of investing in offshore real estate and are one of the many people who still think owning property overseas is something beyond their capabilities, you certainly aren’t alone. I don’t remember much about the first time I purchased a home offshore, but from what I can remember, I was nervous and full disclosure… it could have been much smoother, to say the least.

Luckily, for those of you reading this right now, you wouldn’t have to navigate the waters alone. When you decide to invest alongside my team, you are supported from A-Z. We do not simply sell you a piece of real estate and then leave it to you to determine how to maximize your investment returns. Rather, we are a full-service team that takes you from purchase to profit.

We are active partners that are involved in everything from the construction to, to ownership transfer/titling and even property management. Simply put, you invest and we do the rest.

Here is how simple the journey towards owning real estate offshore is and what you can expect once you make the savvy decision to contact my partners at expat@beachfrontoffers.com

• Information Gathering: We’ll collect essential information such as your name, passport/ID number, address, phone number, and email.

• Agreement Review: The purchase agreement is drafted and sent to you for review and signature.

• Fund Transfer: You’ll then wire the agreed-upon funds within the specified timeframe.

Titling Process: We’ll initiate the documents so the property is officially in your name upon delivery.

It really is that simple, and hopefully, by now, you understand that owning property in a foreign country is not beyond your capabilities. Even if you have never owned property offshore or never even have considered doing so, this is something that you can do. I assure you of that.

Well, I’ve got to get back to work so I am going to leave it at that for now. Again, a big thank you to all of you who joined me this past Saturday, and to those of you who didn’t join me, don’t hesitate to write my partners at expat@beachfrontoffers.com to see if it’s not too late to get in on the action yourself!

Have a lovely week,

Mikkel.