Buying in Brazil? Add R$27,000 in hidden fees
The 3 charges nobody warned you about
Por Lucas Ribeiro Cavalcante — OAB/CE 44.673
Buying in Brazil? Add R$27,000 in hidden fees
The 3 charges nobody warned you about
Por Lucas Ribeiro Cavalcante — OAB/CE 44.673
You signed the deed, wired the money, got the keys. Then a stranger at the cartorio quotes numbers you have never heard of. That fear is justified.
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In Brazil, the price on the contract is never the final price.
4% to 8%
Extra transaction costs on top of the purchase price. Predictable, but never optional.
On a modest R$500,000 apartment in Sao Paulo, expect roughly R$27,000 in taxes and fees. Three bills, three institutions, three calculations. But each is fully predictable.
ITBI: city tax, ~3%
Escritura: deed, ~1.5%
Registro: registry, ~1%
✘ Mito
Myth: signing the deed makes me the owner
✓ Verdade
Truth: only registry (Art. 1.245) transfers ownership
Dica
ITBI is the single item that most often overcharges foreigners. Cities set the base value themselves, and it can be challenged. Never assume the first quote is correct.
Is a lawyer fee included in these costs?
No. Legal fees are separate, usually 1% to 2%. A title problem can cost your whole investment.
Know your real bill before you close. Protect the biggest purchase of your life.