Despite a contracting economy and falling currency, properties in Rio’s priciest neighborhoods are holding on to their high values, at least for the moment. More:The Rise of Brazil's Ultrarich These are the findings of local brokerages, as reported by the Rio Times, which see comparable values between Rio and top-tier cities in America and Europe, even as property prices have begun to drop. "[B]ased on Rio de Janeiro’s most expensive neighborhood, Leblon, where the average square meter costs R$14,000, prices are now comparable to Barcelona,” explains Sven dos Santos, CEO of Agencia Heidelberg, a Rio-based real estate agency. “The average square meter price for a beachfront apartment in Avenida Delfim Moreira in Leblon, the most expensive street in South America, is around R$45,000 BRL and is comparable to Paris,” he adds. According to the bi-annual “Cost of Living Index” produced by the Economist Intelligence Unit, the price of real estate in parts of San Francisco, California, is now equivalent to the upmarket neighborhood of Leblon in Zona Sul (South Zone) in Rio.
It is possible that prices in these affluent areas of Rio will remain steady because, as the publication notes, declining currency values are not only driving greater interest from foreign buyers but also propping up the holiday home market as less Brazilians are choosing to vacation abroad. [The Rio Times]