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Vision Campo Belo - Property Frontiers

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Why Invest in <strong>Vision</strong> <strong>Campo</strong> <strong>Belo</strong><br />

Price Indexation<br />

The National Construction Cost Index (Índice<br />

Nacional de Custo da Construção) or INCC is<br />

applicable to all off-plan property sales in Brazil and<br />

is implemented by the Brazillian government.<br />

Its publication started in February 1985 as a result of<br />

the unification of the older Construction Cost – Rio<br />

de Janeiro Index (ICC-RJ) with the Building Index<br />

series that is geographically more inclusive.<br />

The index is published each month and over the last<br />

year has varied between 4.9% and 7.2%. You can<br />

view the monthly changes via this website http://<br />

www.portalbrasil.net/incc.htm<br />

The index amount will need to be paid at each<br />

transaction stage throughout the off-plan payment<br />

schedule and is calculated using the amount<br />

outstanding on the property.<br />

The table below illustrates how the current listed<br />

price for 1 apartment at <strong>Vision</strong> will be affected by an<br />

INCC rate of 5%.<br />

Payment Schedule 30% 5% 5% 5% 5% 50% Total<br />

List purchase price R$ 80,205 R$ 13,368 R$ 13,368 R$ 13,368 R$ 13,368 R$ 133,675 R$ 267,350<br />

Indexation Payment* n/a R$ 9,357 R$ 8,689 R$ 8,021 R$ 7,352 R$ 6,684 R$ 40,103<br />

Total Paid R$ 80,205 R$ 22,725 R$ 22,056 R$ 21,388 R$ 20,720 R$ 140,359 R$ 307,453<br />

*For illustrative purposes only<br />

<strong>Property</strong> <strong>Frontiers</strong> have negotiated a discount for buyers wishing to pay 100% upfront, considering the high<br />

interest rates n Brazil, we highly recommend this as the by far the most profitable investment strategy.<br />

List Purchase Price: R$ 267,350 Price Included Indexation payments: R$ 307,453<br />

100% Upfront payment: R$240,615 Discount off of total paid after index: 22%<br />

Page 39 <strong>Vision</strong>, <strong>Campo</strong> <strong>Belo</strong>, Sao Paulo, Brazil<br />

<strong>Property</strong> <strong>Frontiers</strong><br />

+44 (0) 1865 202700<br />

info@propertyfrontiers.com<br />

<strong>Property</strong> frontiers

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