Development of the beach town accelerated in 1999, when a highway opened linking to Trancoso to Porto Seguro, a commercial hub that has an airport.

The federal Ministry of the Environment is currently expanding several National Parks and Natural Reserves nearby with the goal of preserving remaining areas of Atlantic Rain Forest.

In addition, Trancoso is located at the starting point of a state Environmental Protection Area, the APA Caraíva-Trancoso, whose goal is to curtail touristic and economical development in the region, thereby minimizing negative impacts that may harm this biosphere.

In recent years, "snowbirds" such as Canadians, Italians, Portuguese, Dutch, Greeks, Israeli, and other have purchased homes, bed and breakfast, restaurants, and stores here or in other Porto Seguro sections, such as Arraial d'Ajuda and eventually settled down in Trancoso.

The main attractions of Trancoso are the white sandy beaches, most of them are protected by reefs and form natural swimming pools at low tide.

[citation needed] Praia do Espelho is situated about a half an hour from Trancoso, following a winding dirt road that is only accessible during sunny weather.