What Are The Risks Of Buying Real Estate In Brazil?
Brazil is currently experiencing strong economic growth at the same time its credit markets are opening
. This is putting a great deal of upwards pressure on real estate prices.
But if you are a foreigner buying real estate in Brazil, what are the risks? What legal services do you need to buy property in Brazil?
The legal process of property titles in Brazil is a similar process to that of most developed countries with two important differences.
1.Speed. Everything moves slowly in Brazil. It is important you have the services of a law firm that keeps pressure on the system to ensure that it doesnot simply fall asleep as is often the case in Brazil. Investment Services Brazil (ISB) prides itself on the attention to the process and continued communication with clients. ISB regularly receives clients who have grown frustrated with a lack of results from traditional firms and seeks a more progressive firm to resolve the situation.
2.Faults. The system in Brazil is subject to numerous faults. An experience Brazilian lawyer such as LyaMelo from Investment Services Brazil is well aware of these weak links and ensures all checks and processes bear them in mind at all times. Many law firms in Brazil carry out due diligence as if the legal title and verification system in Brazil is perfect (knowing full well that it is not). This leaves many potential traps open for a foreign buyer. Investment Services Brazil ensures all typical checks are carried out and in addition executes several additional checks to ensure that the system has not left a crack in the foundations unchecked. This may be at first appearance alarming to foreigners buying real estate in Brazil. However with the correct and diligent checks carried out by an attentive law firm like Investment Services Brail, Fortaleza, and these risks can be managed.
As well as correct legal representation within Brazil, you will also need to carry out some administrative tasks. These are normally carried out by your lawyer to facilitate the process.
You will need a tax registration number in order to register property in your name and you will most likely grant your solicitor a Power of Attorney so that they can execute certain (restricted) actions on your behalf.
At the time of writing this article Investmentservicesbrazil.com advises that certain legislative changes are taking place in the Cartorio offices (Notaries) in relation to foreigners and purchase of real estate documentation. If you are considering purchasing a property in Brazil and would like information on legal processes then Investment Services Brazil can advise and assist you with your investment to ensure your capital is protected.