What Are the Risks of Buying Property in South America?

Question: What risks should foreign buyers consider when investing in South America?

Answer: Risks include title issues, currency volatility, political changes, taxation, and regulatory differences between countries.

Investing in South America can offer strong returns, but risk levels vary widely depending on country, region, and asset type.

Key markets include Brazil, Chile, Argentina, Paraguay, and Ecuador.

Legal and Title Risks

Incomplete land registries and informal ownership structures require careful due diligence.

Currency and Economic Risks

Exchange rate fluctuations can significantly impact returns and repatriation of profits.

Political and Regulatory Risks

Changes in foreign ownership laws or taxation may affect long-term investments.

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