How to buy property in Brazil;Basic steps to purchase Brazilian realestate Part 2

Buy property in Brazil. What are the basic steps??

Following on from my blog about Brazilian realestate in the 21rst century;http://brazilbeachhouse-wwwbrazbeachhousecom.blogspot.com/2011/07/information-onbrazilian-property-market.html

You have seen the Brazilian beach property of your dreams,the one that ticks all the boxes,a not to miss investment opportunity in the sunshine and you want to close the deal.You have made contact with the owner/agent passed on your offer and it has been accepted.Action taken, first step completed….

How do you then proceed with payments and paperwork?

To establish the sale, your lawyer or estate agent will make a private purchasing agreement(Contrato de Compra e Venda)between yourselves and the seller in which all the terms and conditions of sale are stated.The format is pretty standard and runs as follows;

PURCHASING AGREEMENT FOR PROPERTY SALE IN BRAZIL

-Personal details of buyer and seller

-Physical characteristics of the property and registration details recorded at the respective notary office

-Price and terms of payment with time period of 30-60days for closing.Down payment between 10-20% and details of where the money should be wired(sellers bank account)

-Legal obligations of buyer and seller including who pays the closing fees(buyer)and what documents are needed to transfer title(seller)

-Consequence of desisting from sale.In case of buyer,loss of deposit.For the seller,return of deposit plus fine

After this agreement is signed,you will be required to transfer the deposit payment to the sellers account(in Brazil or overseas if seller is foreign)

That`s it for now! It`s a done deal and you have just secured the property.All that remains is to get the new deed prepared for transfer of ownership,pay your property taxes/closing fees and pay the balance to the seller.More to come on this final step in the next installment.....

Have you bought property in Brazil before?What was your experience?Are you considering to buy property in Brazil?Do you need advice on any matters regarding selling/buying Brazilian realestate?Please send me your comments and questions....

Mike Smith
Licensed realestate agent in Natal/Brazil
CRECI: 3125