Money, money, money. It makes the world go round. But have you ever thought about just how much money you spend on the bare essentials?

I managed to band together a few online friends and send them out shopping for 7 different grocery items at their local supermarkets, giving us comparative prices for 10 different countries around the world – the UK, USA, Germany, France, Belgium, Spain, Brazil, Argentina, India and Dubai. All prices converted into £GBP, because I’m nice. Let’s see what we can find out here…

Cigarettes (Marlboro, 20pk)

And thus the reason why I dislike living in the UK makes itself immediately clear. With the huge taxes on tobacco in this country, smoking really does kill. Your bank balance. However the high sales tax actually works to the government’s benefit – even 10 years ago the tobacco industry was generating over £10 billion a year in tax alone (enough to pay for three quarters of the education and employment budget) – as well as the constant price hikes acting as a pretty good reason for smokers to kick the habit. If you don’t want to give up, then move to South America or the Middle East – cigarettes are around 7 times cheaper; and smokes in North America and the rest of Europe will only cost you about half of what they cost me.

For more detailed (and more global) information on the cost of tobacco around the world, check out the WHO’s Tobacco Atlas.

Beer (Heineken, 33cl)

As one of the most exported beers in the world, Heineken was the perfect brand for our little study. European prices vary – for once Belgium outranks the UK in terms of outlandish pricing, though that’s only because there’s a premium on imported beers over there – with Spain and Germany the best places in Europe to get a cheap pint. India, however, sinks the competition with bottles at 37p each – but then again, nothing washes a curry down quite like a nice frosty beer, and according to the stereotype, Indians eat a hell of a lot of curry. Dubai’s prices would be much lower if it wasn’t for their strange laws concerning the sale of alcohol – only hotels and private clubs are allowed to serve alcohol; two locations where one would generally expect there to be a pretty major markup on prices. Interestingly, if you want to buy alcohol to consume at home, you need an annual licence, which has to be obtained from – get this – the CID branch of the Dubai Police department. Still, it’s cheaper than the UK, and I’d imagine Dubai doesn’t suffer from the many problems that the UK endures as a result of alcohol abuse.

Instant coffee (Nescafe, 200g)

Caffeine (the real reason we all drink coffee) is described by Wikipedia as a “xanthine alkaloid compound that acts as a psychoactive stimulant”. Be that as it may, I still prefer the description on my coffee mug, which states that coffee has for many years been allowing us “to do stupid things faster, and with more energy”. If you want proof, check out the effect the stuff has on spiders. As somebody who quaffs 5 or 6 cups of Joe a day, that’s slightly worrying for me, but thankfully I don’t have to build my house every night with a substance secreted from my anal glands.

The most interesting thing to note here is the high price in Dubai, which has thus far been one of the cheaper countries. This is probably due to the fact that it’s a luxury item (as well as a stimulant), has to be imported, and most Arabs will be drinking traditional Arabic coffee (“Kahva”) anyway. European prices are all pretty similar (once again Belgium is enticing), with South America the coffee drinker’s nirvana, just as the Nescafe adverts over the years have portrayed it to be, running their hands seductively through vast sacks of perfectly-formed cocoa beans… oh, sorry, you’re still here?

Chocolate (Mars Bar, 62.5g)

Ah, chocolate: the original luxury foodstuff, and what better to spend your hard-earned cash on than helping you work, rest and play? The notable discrepancies for this item are the higher prices in France and Spain, as well as the much lower prices in Argentina and Brazil. I suppose the latter is probably influenced by the prevalence of the cocoa bean in South America. Belgium again seems to be on the cheap side compared with its European counterparts… Either way, this isn’t one of the more interesting comparisons, other than showing us that you can get 4 Mars bars in Argentina for the price of one in the UK or USA. South Americans should be fatter.

Coca Cola (1.5l)

The world’s most popular soft drink can be bought in almost any country in the world. Personally I can’t stand the stuff, because I’ve always thought the taste had a slightly medicinal quality – which made it all the more interesting to find out that the original Coca Cola, invented by a guy called John Pemberton in the 19th century, was originally intended to be a patent medicine – a “temperance drink”. Once again the prices in Argentina and Brazil show that the cost of living in South America really is dramatically less than in Europe and the rest of the world. The weather’s far better, too, and they can actually play football out there. Which leads me to my next question – why am I not there right now?

Bananas (1kg)

16.8 million metric tons of everybody’s favourite curved tropical fruit are exported from India each year, with Brazil their closest competition with an annual output of 6.7 million tons – facts which, while not particularly interesting on their own, go a long way in explaining why a kilo of bananas have cost our Indian and Brazilian shoppers so little compared with everyone else. An unrelated yet appealing (sorry) fact about bananas is Californian preacher Ray Comfort’s attempt to use the fruit to prove that God exists. You see, the modern day banana reeks of intelligent design: it’s easy to hold, its colour is a clear indication of its ripeness, it has a biodegradable and easily-peeled wrapper, and it’s nutritious. However, Comfort soon changed his tune when it was pointed out to him that wild bananas rarely have these characteristics – only the domesticated version which has been selectively grown for hundreds of years because of those reasons. Whoops. Bananas 1, God 0.

Condoms (Durex, 12pk)

From bananas to condoms – I promise you, that was accidental – the humble ‘gentleman’s raincoat’ has helped prevent unplanned pregnancy and STDs all over the world from the time they were made from lamb intestines (no, seriously), to today’s diverse assortment of rubber choices. Two things stand out in our worldwide shopping: firstly, condoms in Dubai are a whole pound more expensive than in the UK – whether they’re trying to encourage reproduction or whether they share the opinion with numerous (sadly ignorant) African countries that condoms are “only for prostitutes”, I just don’t know. Is this why Arabs I meet always seem to have 11 brothers and 8 sisters?

Secondly, Belgium once again destroys its European competition. I don’t know what’s going on with Belgium, but consumables seem to be a lot cheaper over there. India’s low-cost condoms reflect the country’s overpopulation problems, especially as so many are born straight into poverty. To promote safe sex India have recently launched an ad campaign that truly captures the imagination, featuring Indian men singing and dancing in colourful condom outfits – a hilariously silly video with a soberingly serious message.

Conclusion
So then, what have we learned from this whole experience? Well, firstly, this has confirmed to me that the UK is indeed extremely expensive. Belgium seems to thrash the nearby competition in all aspects apart from that of alcohol, being noticeably cheaper for 5 out of the 7 items. Spain comes a near second out of the European countries, offering cheap fags and booze but comparable prices on the other groceries – going a long way to explain why it’s such an established ‘escape route’ for British expats and holidaymakers. The two South American countries that feature in this write-up definitely give you the best bang for your buck – Argentina in particular is in the lowest 3 prices for every single item on the list – while India offers a comparable level of budget living costs.

So then, let’s hand this over to you now – can you recommend the country in which you live for decently-priced goods? Can anybody boast that they pay more for anything on this list than I do? Can somebody please ship me some free coffee?

Many thanks to our shoppers around the world: Yvonne in the USA, Claudia in Germany, Lucille in France, Nolan in Belgium, Jose in Spain, Alexis in Brazil, Nico in Argentina, Rashmiranjan in India and Chris in Dubai.

Paying too much
Not doing enough research
Buying in the wrong areas
Not having secure entry and exit strategies in place

These errors can be avoided with the support and advice of a reputable property investment company. Compass Worldwide Properties (www.compasswp.com) currently helps its client to avoid these mistakes by negotiating good discounts, carrying out extensive due diligence checks and helping people devise a secure investment property strategy.
 
COMPASS WORLDWIDE PROPERTIES – POINTING YOU IN THE RIGHT DIRECTION

Within Bulgaria there is much to draw foreign visitors and investors alike, from 354km of Black Sea coastline, to 37,000km of hiking paths in the mountains, to a ski scene that rivals the Alps in beauty whilst being far cheaper. The World Trade Organisation forecasts that by 2010 the country will be visited by 20 million tourists annually, making it one of the world’s most promising international tourist destinations.

Bulgaria traces its foundation as a state to 681 AD. After a period of 500 years as part of the Ottoman Empire, Bulgaria became an independent principality in 1878 and a Kingdom in 1908. The Bulgarian People’s Republic was proclaimed on 15 September 1946. Following the demise of the Communist regime in November 1989 and the establishment of democracy, the country has now been restyled the Republic of Bulgaria. The present day Bulgarian economy has essentially been shaped by the industrial network put in place during the communist years when Bulgaria was an integral part of the Council for Mutual Economic Assistance (CMEA) group of nations. This period saw Bulgaria move away from being a country with a primarily agricultural base to being one of the prime producers of chemicals, steel, electrical components and computers.

Within the property market, Bulgaria is turning towards higher quality developments; only granting permission to the highest-quality projects, and taking care to protect the national parks and natural resources which have proven such an attraction. The cost of living in Bulgaria is one of the lowest in Europe.

Sofia: population 1,200,000 capital and main commercial centre. Plovdiv: population 338,300, second most important town. Varna: population 320,670, one of two principal ports. Bourgas: population 209,480, one of two principal ports. Rousse: population 178,440, important town. Stara Zagora: population 167,710, important town Pleven: population 149,180. Dobrich: population 100,000. Sliven: population 136,150, important town. Shumen: population 104,480, important town.

Morocco has many attractions, from the chaotic city of Marrakech to the quiet Berber villages of the Atlas Mountains. The climate is excellent and it is becoming an increasingly popular tourist destination. Marrakech is home to many attractions including the nation’s best golf courses and hotels, and has the Atlas Mountains on its doorstep. Casablanca is the biggest freight port, followed by Tangier.

Morocco’s close association with France (it was ruled by the French from 1912 to 1956) means that it has long been popular with French buyers. As yet though, worldwide buyers are still to discover Morocco’s charms in any great numbers. However, this is changing as increasingly professional practices are beginning to appear and instil a greater confidence in the buying process. Morocco’s popularity as the most exotic short-haul destination available to Western Europeans is starting to have an impact on property prices as well as the tourist industry.

Morocco enjoys financial stability and economic reform is firmly on the Government’s agenda. The Moroccan Government is keen to attract foreign investment and has provided a number of incentives to encourage foreigners to invest. Foreigners may invest in any sector available to Moroccans. The Investment Promotion and Protection Agreement and Double Taxation Agreement allow for the protection of existing and future investments.

Casablanca: population 5,000,000, industrial and trading centre and main seaport. Rabat: population 634,000, capital and seat of the Moroccan Government; its twin, Sale: population 677,000, lies just across the river. Marrakech: population 750,000, is the market town of the south, noted for its carpets. Tangier: population 562,000, commercial centre, and seaport for the northern region. Fez: population 775,000, religious, university and commercial centre, noted for its handicrafts. Meknes: population 623,000 important agricultural market town. Oujda: population 680,000, administrative and commercial centre in the north-eastern region, on the border with Algeria. Agadir: population 603,000, winter tourist centre in the south and important fishing port.

Romania has the majestic castles, medieval towns, great hiking, wildlife, and cheap skiing of much of the undiscovered former Eastern Bloc. The primary focal point is the capital Bucharest which lies on the Wallachian plains, between the Carpathian foothills and the Danube River. The Carpathian Mountains run north-south, almost as far as Bucharest, before turning west. There are fertile plains, gentle hills, prime agricultural land, and numerous vineyards. The Danube delta, rich in fauna and flora, has been designated a special protected area by the United Nations Educational, Scientific and Cultural Organisation (UNESCO). The medieval Saxon towns of Brasov and Sighisoara are of great tourist appeal. Their Transylvanian hill location and association with everybody’s favourite Vampire has put them firmly on the tourist map. Resort towns such as Constanta, Romania’s largest port and second largest city, Mamaia, Eforie Nord, Neptun-Olimp and Costinesti are popular with tourists in the summer months.

The modern state of Romania was formed by the merging of the Danubian principalities of Moldavia and Wallachia in 1859. The state united with Transylvania in 1918. A flourishing period characterised the decades between the two World Wars. On 30 December 1948 the People’s Republic of Romania, which later became the Socialist Republic of Romania, was proclaimed. Following the revolution of December 1989, Romania returned to democracy. Its capital and largest city is Bucharest, the sixth largest city in the European Union (EU). Romania joined NATO on March 29, 2004, and the EU on January 1, 2007. Romania has the seventh largest population and the ninth largest territory in the EU.

Bucharest: population 2,250,000 is the capital and the main commercial and political centre. Constanta: population 348,000, the principal port on the Black Sea. Galati: population 326,000, a major port on the Danube. Iasi: population 341,000. Cluj-Napoca: population 332,000. Timisoara: population 322,000. Brasov: population 322,000. Craiova: population 307,000.

Brazil’s landscape is as diverse as the people who inhabit it. Few tourists venture far from Brazil’s spectacular beaches but a trip into the interior reveals a different Brazil, one with a great deal to offer the visitor. As well as the world’s biggest rainforest in the Amazon, Brazil boasts many wilderness areas including the wildlife rich wetlands of the Pantanal, the canyons and caves of the Chapada Diamentina, and the Mata Atlântica (Atlantic forest) which runs for much of the length of Brazil’s coastline.

NOW FOR THE DETAIL

Brazil covers almost half of the South American continent and it is bordered to the north, west and south by all South American countries except Chile and Ecuador; to the east is the Atlantic. It is the fifth largest country in the world with an area of 8,511,965 square kilometres. Despite its vast expanse of territory, Brazil’s population is concentrated in the major cities of its coast. The population is estimated at over 178 million and around 83% live in urban areas.

The climate varies - winter conditions, from May to October, in Sao Paulo and Rio de Janeiro are similar to those of a British summer.In the southernmost states they are similar to a British Autumn. In the summer (November to April), conditions all over the country are tropical and temperatures can reach 40ºC. In the north, January to April is a season of tropical rains, while in the north-east, around Pernambuco, the rainy season is usually April to July. Most Brazilians take their summer holiday between mid-December to end-February. Business stops for a week either side of Carnival, usually in late February or early March.

The urban sprawls of Rio de Janeiro and Sao Paulo dominate the southern coast. Further north, towns such as Salvador and João Pessoa retain the colonial atmosphere of the early Portuguese settlers. The great interior, much of which is covered by the rainforest basin of the Amazon, remains sparsely settled. Rio de Janeiro remains a major draw due to the long history of tourism and the obvious appeal of the city itself. At 248,000 square Kilometres São Paulo State is about the size of Great Britain. The metropolitan area of São Paulo has a population of around 19 million and comprises some highly industrialised towns São Andre, São Bernardo do Campo, São Caetano do Sul, Diadema and Maua where a large proportion of the country’s automotive industry is concentrated. With some 60,000 companies based there, São Paulo has the largest industrial complex in Latin America. The State of Minas Gerais has the second largest economy in Brazil. It has one of the largest cattle herds and is the country’s main centre for milk production and dairy products. Its other main sectors are mining and steel. The other main area is Bahia on the North East coast. The area has some stunning beaches and a balmy tropical climate. Almost half of Brazil’s territory is covered by the basin of the Amazon River and its tributaries, a region that is one of the world’s largest rainforest ecologies.

Brazil emerged from twenty-one years of military rule in 1985 and has had four Presidents since. The dominant theme throughout this time has been the economy and the issue of hyper-inflation was finally defeated in the 1990’s with the introduction of a new currency, the Real (R$), at parity to the US Dollar.

São Paulo: population 34,000,000. Minas Gerais: population 16,500,000. Rio de Janeiro: 13,300,000. Bahia: population 12,400,000. Rio Grande do Sul: population 9,500,000. Paraná: population 8,700,000. Pernambuco: 7,400,000. Ceará: population 6,600,000.

Dubai is the fastest growing city of the modern world, equalled only by the large Chinese cities. The phenomenal evolution of the city of Dubai is unprecedented.

One of the seven realms that make up the United Arab Emirates, Dubai is an important tourist destination and port (Jebel Ali). It is developing as a hub for service industries such as IT and finance, with the new Dubai International Financial Centre (DIFC).

Having expanded along both banks of the Creek, Dubai is divided into two parts - Deira on the northern side and Bur Dubai to the south. Each has its share of stunning public buildings, shopping malls, hotels, office towers, banks, hospitals, schools, apartments and villas. Dubai is blessed with golden sunshine and silvery beaches, world class golf facilities and an upcoming Sports City.

The Dubai government has set up industry specific Free Zones throughout the city including;

• Dubai Internet City, now combined with Dubai Media City as part of TECOM (Dubai Technology, Electronic Commerce and Media Free Zone Authority) is one such zone whose members include IT firms such as EMC Corporation, Oracle Corporation, Microsoft, IBM, and media organisations such as MBC, CNN, Reuters, ARY and AP.

• Dubai Knowledge Village (KV) is an education and training hub set up to complement the Free Zones other two clusters, Dubai Internet City and Dubai Media City, by providing the facilities to train the clusters’ future knowledge workers.

The property boom is driven by mega projects, such as The Palm, The World, Dubai Marina, the Burj Dubai Complex, Business Bay and Dubailand. The government’s decision to diversify from a trade based but oil reliant economy to one that is service and tourism oriented has made real estate more valuable, resulting in the property boom.

Using an Agent

A good agent is important when you buy a property in Brazil. Being the fifth largest country in the world, local knowledge can be invaluable. In addition they can recommend all related professional services you will require to make a safe, reliable purchase.

Making an Offer

When you have decided upon a property in Brazil a verbal offer will need to be made through the agent and often some negotiations will follow. At this stage a lawyer should be appointed by you to formalise your final agreed price and to oversee purchase proceedings, including deposit or reservation payments. You may also decide to have a survey undertaken depending on the age and condition of the property or to determine the size of the plot. With off-plan purchases, the price is often fixed and dependent upon the current phase of construction. The buying procedure may vary slightly according to which developer you are purchasing from so when buying on a new development, you will need to ask for specific procedures relating to the development.

Appointing a Lawyer

It is wise to appoint a lawyer who is fluent in your language so that you fully understand all the legalities and proceedings. A good lawyer will carry out all necessary checks on the property or land in Brazil and fulfil the legal requirements of the sale.

Your lawyer will:

• Check the current owners have the correct title to the property
• Check for any charges and liabilities still owed on the property
• Check your contract and advise you on the obligations for both parties
• Help you through the payment / funds transfer
• Ensure the property is registered in your name
• Deal with the land registration

The property registry system in Brazil is well developed and safe and real estate registration in Brazil is carried out by private notary publics. All property is registered at one single registry, which records details of the entire commercial history and the physical identification of each property. It is obviously very important to ensure that any property you buy has a clear title. Access to registry information is available to the public and includes relevant details on ownership, mortgages and other pending debts.

Brazilian ID number

You will need a Brazilian ID number called a CPF in order to buy property. This can be obtained through any Brazilian consulate, certain banks, your lawyer, or through a reputable estate agent. You will normally need to provide a copy of your passport and an officially translated copy of your birth or marriage certificate.

Costs

Total transaction costs including stamp duty, fees etc can average at between 3 to 9% of the purchase price. These costs may differ according to location, type of property and the area/state you buy in. If it takes a significant amount of work to establish title and ownership, the costs could amount to more.

Funds are sent directly from your own bank to the seller’s bank account in Brazil, via the Central Bank of Brazil. The bank records your funds entering into the country and in order to release the funds, the seller must present the contract to the bank. There are generally no limitations to returning funds overseas provided they were originally registered with the Central Bank at the time of purchase.

Mortgages

The mortgage market is underdeveloped in Brazil and as yet foreigners cannot obtain a mortgage in Brazil. Buyers usually arrange alternative financing in their own countries. In 2005 about 50,000 mortgages were granted to Brazilian nationals but at high rates. However it is fair to expect mortgages to become more readily available in the future, as banks continue to develop their products. Some developers of new-build and off-plan developments offer instalment plans from 1 to 9 years. The charges applicable vary according to developer and repayments are usually index linked.

Saint Lucia’s climate is tropical, although moderated by north east trade winds. The dry season extends from January to April, with a rainy season from May to August, the average temperature varies from 25°C to 29°C. The island has a population of approx 152,000, one third of whom live in the capital city of Castries. Saint Lucia gained independence from Britain in 1979. The official language in Saint Lucia is English although a French based patois is commonly spoken.

The perfect white beaches, lush backdrop and inviting climate have made Saint Lucia a popular wedding destination with an average of 10 weddings a day on the island every year. In 2006 at the World Travel Awards it was also named the number one honeymoon destination in the world. Both these facts highlight just what a fabulous destination Saint Lucia is.

Apart from the sun worshipping, there are a myriad of activities which can keep you and your family entertained for weeks. Golf, watersports, health clubs, spas, restaurants, shopping to name but a few. If you are still not convinced that Saint Lucia is the place for you, consider these additional nuggets of information; Tourism numbers are growing every year with over 700,000 visitors passing through in 2006, which is good news for the economy and excellent news if you wish to rent out your property.  The government is stable and there is no VAT, no capitals gains tax and no estate duties, affording the island almost tax-haven status.

If you fall in love with Saint Lucia, your heart and head will both be satisified!

Q1. Can foreign nationals own property in Brazil?
 
A. The simple answer is YES

Now for the small print!

Foreign individuals or foreign-owned companies can purchase property in Brazil under the same conditions applied to Brazilian nationals or companies. However, for the purchase of property located near the coast or national frontiers, special conditions may apply to foreigners or to foreign owned companies.

Q2. Why should I buy in Brazil?

A. Brazil shares a border with nearly every other country in South America and covers almost half the continent. It is the fifth largest country in the world with an area of 8,511,965 square kilometres. Despite its vast expanse of territory, Brazil’s population is concentrated in the major cities of its coast. The population is estimated at over 178 million and around 83% live in urban areas. Along with India, China, Russia, Brazil will become a world leader over the next 10 to 30 years both economically and politically. It is predicted that by the end of 2008, Brazil will be energy independent. Brazil also is one of the most ecologically sound countries on the planet.

Now for the fluffy stuff!

Brazil offers stunning natural features and a rich and vibrant culture that never fails to attract visitors. The conditions for investment in property in Brazil have never been better. Brazil’s economy is reassuringly stable and the country boasts unlimited investment possibilities for those who buy property in Brazil now, while prices remain low. Increased investment in the tourism sector will ensure that your property purchase is a profitable one in the future.

Q3. What is the economic and political situation?

A. In the year of his election in 2003, President Lula made some valuable reforms and has drastically decreased inflation to a current all-time low of around 5.7%. Under the new economic programmes put into place by the current president, Brazil’s economy is beginning to boom to unprecedented levels. Politically, after decades of dictatorship and military control, Brazil was ruled by its first directly elected president in 1992. 

Q4. What is the approximate flying time from Europe to Brazil?

A. The Northeast of Brazil is closest at about 8hrs flying time, this can increase up to about 11 hours for some destinations in Brazil. Air travel to Brazil is well developed from most European airports.

Q5. Is a visa required to enter Brazil?

A. Foreigners are allowed 3 month visas or a maximum stay of 180 days per year. If you wish to apply for a permanent visa, one of the following conditions must be met; you are married to a Brazilian; you have a child with a Brazilian; you invest 250.000 US Dollars or Euros in Brazil; you have reached the age of retirement (50 years) with a pension. NB. There are various other visas required if you are to work in Brazil. You will need to apply to your nearest Embassy.

Q6. Where would you recommend we buy in Brazil?

A. Two regions spring to mind; Natal & Salvador de Bahia