5 Legal Steps To Brazil Property Ownership

The process of investing in Brazil property is relatively straightforward. Foreign nationals have the same legal rights as Brazilians and are allowed unrestricted ownership and freehold of land and property. When it comes to legal matters however, there are 5 simple steps that one needs to follow in order to ensure that the investment process is smooth and worry-free.

 

Step 1: Carry Out Property Checks

Once you’ve chosen a property, you should instruct a lawyer to carry out a number of checks on your behalf and compile a report. They should check; the title of the property, whether the seller actually owns the property and if there are any outstanding charges or costs associated with it. You should also ensure that all licenses and permissions are in place and that the terms and conditions stipulated by the vendor are fair and legal.

 

Step 2: Sign The Binding Contract

Having reviewed the lawyer’s report, you will be required to complete and sign a CPCV, locally known as ‘Contrato de Promesa de Compra e Venda.’ This is a legally binding contract of sale that stipulates the details of the Purchaser, Vendor and property together with all conditions, payments and timings that have been agreed between all the parties. At this stage you are also likely to pay your deposit.

 

Step 3: Obtain A Tax Number

Under Brazilian law, any non-resident purchasing property must have a ‘Cadastro de Pessoa Fisica’ or CPF. A CPF is a tax number required for the purchase and any taxation liabilities that you will have in Brazil on an on-going basis. Your lawyer may handle this on your behalf, or you can obtain it yourself. Please be aware that you will have to pay a small fee for this.

 

Step 4: Sign The Deed

At the time of signing the Promissory Contract, both the vendor and purchaser agree a date when the deed of transfer, or ‘Escritoire de Compra e Venda,’ will be signed. You can either attend the signing in person or grant your lawyer power of attorney to attend and sign on your behalf. The Escritoire is signed in the presence of a notary, who ensures that the title deeds have been exchanged, acknowledges that the full payment has been made and incorporated in the title deed.

 

Step 5: Register the Property

Finally, after signing the deed, your lawyer will take a notarised copy of it to the Land Registry Notary for registration and payment of fees. This process can take several weeks, but you should expect your lawyer to handle this on your behalf.

 

As you can see, the process of becoming an owner of a Brazilian property is not hard, though it is really important to go through the above steps in order to avoid any complications. If you have any questions, please let us know in the comments below. If not, browse our properties now!

 

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