PARAISO BEACH FAQ's
Development Questions
Q) Is the property freehold or leasehold?
A) Freehold.
Q) Is VAT added to the price?
A) No.
Q) What is the building guarantee?
A) 5 Years, this is the usual term in Brazil.
Q) Who are the developers?
A) The developers are, Paraiso Beach Canoa Ltda, who are the
developers behind Banana Residential & Palm Beach. The
developers have been recommended by the State of Ceara
to execute the Masterplan, for the location.
Q) Is the property furnished?
A) Yes this is listed in the brochure and included in the price.
Q) Is air conditioning included?
A) Air conditioning is available in the master bedroom and bedroom 2. Ceiling fans are installed in the lounge and bedroom 3
Q) Is there any heating?
A) This is a tropical climate, heating is not required.
Q) What telecoms will be installed?
A) There will be telephone points installed, which means you
will be able to have internet. The satellite you can have
installed locally, and receive all the American TV channels.
Q) Is there car parking available?
A) Yes, space for 2 cars
Q) Can swimming pools be made bigger?
A) Yes but a cost will be incurred depending on the size required. There is no adjustment in cost if a pool is not required.
Rental Questions
Q) Is the 5% rental guarantee after all deductions, ie in your hand?
A) Yes, however there will be a rental management charge, which is detailed in the brochure.
Q) Who guarantees the 5% net rental, is it 5% for each of the 3 years?
A) Yes it is 5% for each of the 3 years, it is paid by the management rental company, details are in the brochure
Q) What are the likely rentals?
A) Sea front villas near to golf, restaurants, shops, bars, and town etc. will be prime rental, envisaged to be 8% by year 3
Q) How is the gas/electricity paid?
A) Metered, however the rental company requests an amount upfront to enable them to pay these charges on your behalf.
Q) What is tax on rental income?
A) 15%
Q) Why is the 500€ property management taken in one
payment?
A) Bank transfer costs are expensive. The 500€ will cover all
property taxes and expenses for the first year
Q) Is there any personal use available?
A) Yes 4 weeks per year.
Location Questions
Q) Are there any restrictions on the build height?
A) The area is part of the Canoa Masterplan, and any
Buildings have to comply with the environmental and
Building codes, which does not allow any high rise
Buildings on that land. Height restrictions apply from the
Beach to 1000metres back at 2 storey only
Q) How far away are amenities, such as bars and restaurants etc.?
A) All walking distance, 800 metres from the developments, there will also be several golf courses within 6 km, and a new marina, which is 6 km along the promenade.
Q) How far is Fortaleza?
A) Approx 1 and half hours drive
Q) How far is Natal?
A) Approx 3 hours drive
Q) Which is the best airport to fly into, and how long is the flight?
A) Fortalaza is the nearest airport, and flights are approx 6 hours from the USA, 7 hours from Europe and 7 and a half from the UK. Thomsons fly into Fortalaza from the UK.
Q) What is the local area like?
A) The local area is Canoa Quebrada, with a population of 50,000 and is the 2nd most important location for tourists travelling to the state of Ceara. It relies heavily on tourism. It is a beautiful area, and the resort will be upmarket
Q) How cold/warm is the sea, is it suitable for swimming?
A) The sea is suitable for swimming all year round. The weather in North east Brazil is the best in the entire Country with average temperatures 27*
Q) Which plots are facing the sea and setting sun?
A) The sea is north, and behind the overall plot is south,
please refer to the various blocks for positioning
Q) Are any of the plots in a raised elevation or are they all
on the same level?
A) The land naturally rises from the sea offering elevated
rows, but probably not enough to give sea views.
Q) What adjoins the plot in the missing rows?
A) Villas, already sold
Q) What is the shaded bit in front of Corrego Prata?
A) Tennis Court & green area
Q) What is in front of Lagoa Azul?
A) Private villas.
Payment Questions
Q) Are mortgages available in Brazil?
A) Yes, but not available to a non-resident. However this is set to change and Banco Santander is hoping to be able to offer mortgages to all clients from early 2008
Q) Is the deposit of 1,000 refundable?
A) No, the developers have to produce legal paperwork in the clients name from the moment the client pays his deposit and this incurs a fee. The deposit actually pays that fee
Q) Is there any legal protection provided?
A) For clients using the services of Legalex, deposits are held in a client escrow account, and a Due Diligence report has been prepared by the lawyers
Q) Are there are bank guarantees?
A) These are not available in Brazil
Q) What are closure costs likely to be?
A) 7%, of the purchase price approximately; (this includes, land registry, stamp duty, legal fees notaries & Lawyers)
Q) How much would building insurance/contents insurance be?
A) Builders insurance is free for the first 5 years, quotes have been asked for an overall contents insurance for the development which would be at a low cost
Legal Questions
Q) What happens to the payments?
A) Deciding on the payment option you have, all payments are notarized and registered. The payments are for the construction of the villa and records are held at local level and with the Bank of Brazil. The developer has to hold these funds for the construction; otherwise the developer is committing a criminal offence. There are no bank guarantees at present although we are looking into it.
Q) Is the property registration safe?
A) Yes
Q) What is capital gains tax in Brazil?
A) 15%
Q) What is inheritance tax in Brazil?
A) None.
