Authored by the expert who managed and guided the team behind the Brazil Property Pack
Everything you need to know before buying real estate is included in our Brazil Property Pack
Brazil's property market attracts thousands of foreign buyers annually, but many fall victim to sophisticated scams that exploit gaps in due diligence processes.
Property fraud in Brazil has become increasingly sophisticated, with scammers targeting foreign buyers who are unfamiliar with the country's complex bureaucratic verification requirements. As of September 2025, property scams cost Brazilian buyers an estimated R$2.4 billion annually, with foreign investors representing nearly 40% of victims due to their limited knowledge of local verification processes.
If you want to go deeper, you can check our pack of documents related to the real estate market in Brazil, based on reliable facts and data, not opinions or rumors.
Brazilian property scams primarily exploit buyers who skip critical verification steps at the cartório registration offices and fail to validate seller credentials through official CRECI and OAB databases.
The most common red flags include sellers pressuring for quick cash payments, refusing in-person meetings, offering below-market prices, and providing unverified documentation that hasn't been cross-checked with official government registries.
| Verification Step | Red Flag to Watch | Official Source |
|---|---|---|
| Title Deed Check | Seller refuses cartório verification | Local Cartório de Registro de Imóveis |
| Tax Status | No current Certidão Negativa provided | Municipal tax office (IPTU) |
| Agent Credentials | Cannot provide CRECI registration number | COFECI-CRECI official database |
| Lawyer Verification | Refuses to show OAB registration | Brazilian Bar Association (OAB) |
| Property Boundaries | Measurements don't match matrícula | Cartório survey records |
| Payment Security | Demands cash or unusual payment methods | Official notarized contracts only |
| Property History | Incomplete ownership chain documentation | Complete matrícula records |
Did you verify the seller actually owns the property by checking the official title deed at the cartório?
The most fundamental step is obtaining the official property registration (matrícula) directly from the local Cartório de Registro de Imóveis, not from the seller.
Fraudsters frequently target foreign buyers with fake ownership documents that look authentic but haven't been verified through official channels. The seller's name must appear as the current owner in the complete ownership chain, which shows every previous transaction for that specific property.
You should personally visit the cartório or hire a Brazilian lawyer to retrieve the certified copy of the matrícula. This document contains the property's complete legal history, including all past owners, any existing liens, mortgages, or legal restrictions that could affect your purchase.
Never rely solely on documents provided by the seller, regardless of how official they appear. Scammers have become sophisticated at creating convincing fake paperwork, and the only way to verify authenticity is through direct cartório confirmation.
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Have you obtained a recent Certidão Negativa de Débitos to verify there are no unpaid taxes or debts?
The Certidão Negativa de Débitos is an official certificate that confirms the property has no outstanding municipal taxes, particularly IPTU (urban property tax), or other debts attached to it.
This certificate must be current—typically issued within 30-60 days of your purchase—because unpaid property taxes and municipal debts transfer to the new owner upon purchase. Scammers often conceal significant tax debts that can cost buyers thousands of reais in unexpected liabilities.
Request this certificate directly from the municipal tax office (Secretaria Municipal da Fazenda) using the property's official registration number. Each municipality has its own system, with major cities like São Paulo and Rio de Janeiro offering online verification services.
Be particularly cautious if the seller claims the certificate isn't necessary or offers to handle this step themselves. Legitimate sellers will readily provide current tax certificates and encourage buyer verification.
Check for any outstanding IPTU, ITBI (property transfer tax), and municipal service taxes that could become your financial responsibility after closing.
Did you confirm zoning regulations and building permits with the Prefeitura?
Zoning verification through the local Prefeitura (city hall) confirms that the property can legally be used for your intended purposes and that all constructions are properly authorized.
Many property scams involve selling buildings or modifications that violate local zoning laws or lack proper construction permits. These violations can result in demolition orders, massive fines, or restrictions on property use that significantly impact investment value.
Visit the municipal planning department (Secretaria Municipal de Urbanismo) to verify the property's zoning classification, permitted uses, construction permits, and habitability certificates. Request the complete building permit history and confirm that all structures match approved plans.
Properties in beachfront areas face additional restrictions, particularly within 100 meters of the coastline where foreign ownership is prohibited. Verify with IBAMA (Brazilian environmental agency) that coastal properties comply with environmental regulations.
Illegal constructions or zoning violations can make properties unsellable and expose you to significant legal and financial risks that scammers deliberately conceal from buyers.
Have you checked condominium association status and verified all fees are current?
Condominium properties require verification that monthly fees and any special assessments are paid in full, as outstanding balances transfer to new owners.
Contact the condominium administrator directly to obtain a certificate showing the property's fee payment status for at least the past 12 months. Unpaid condo fees can result in immediate liability upon purchase, and some developments have significant special assessments for repairs or improvements.
Review the condominium bylaws and recent meeting minutes to understand any pending special assessments, major repairs, or fee increases that could affect your ongoing ownership costs.
Scammers often target units with substantial unpaid fees, hoping to transfer these debts to unsuspecting buyers who haven't verified the complete financial status of the condominium association.
| Condominium Document | What It Shows | Where to Obtain |
|---|---|---|
| Certidão de quitação | Payment status of monthly fees | Condominium administrator |
| Ata de assembleia | Recent decisions and assessments | Condominium management office |
| Demonstrativo financeiro | Financial health of association | Condominium administrator |
| Regulamento interno | Rules and restrictions | Condominium management |
| Orçamento anual | Projected fees and assessments | Condominium administrator |
Did you request the complete ownership history to identify any legal disputes or inheritance claims?
The complete ownership chain (cadeia dominial) reveals any ongoing legal disputes, inheritance claims, or ownership conflicts that could invalidate your purchase.
Obtain the full matrícula history from the Cartório de Registro de Imóveis, which documents every ownership transfer since the property's original registration. Look for any gaps in the ownership chain, disputed transfers, or properties involved in inheritance proceedings that haven't been fully resolved.
Request certificates from the local courthouse (Fórum) showing no pending lawsuits related to the property or its previous owners. Properties involved in inheritance disputes can remain tied up in Brazilian courts for years, making legal ownership impossible.
Pay special attention to properties that have changed hands frequently in short periods, as this can indicate ongoing legal problems or attempts to conceal ownership issues from potential buyers.
Inheritance claims can surface years after purchase, particularly in family-owned properties where not all heirs have formally renounced their rights or where proper succession procedures weren't followed.
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Have you verified that your real estate agent and lawyer are properly registered with CRECI and OAB?
Only properly licensed professionals should handle your property transaction, and their credentials must be verified through official databases.
Real estate agents must hold valid CRECI (Conselho Regional de Corretores de Imóveis) registration, which you can verify at the COFECI-CRECI official website using their registration number. Request to see their physical CRECI ID card, which all legitimate agents carry.
Lawyers must be registered with OAB (Ordem dos Advogados do Brasil), Brazil's bar association. Verify their OAB number through the official OAB database, which shows their registration status, location, and any disciplinary actions.
Fraudulent agents and fake lawyers target foreign buyers who don't understand Brazil's professional licensing requirements. Working with unlicensed professionals invalidates legal protections and can expose you to significant liability.
Both CRECI and OAB maintain searchable online databases where you can instantly verify professional credentials. Never work with anyone who refuses to provide their registration numbers or whose credentials can't be verified through official channels.
Did you obtain official confirmation that the property has no liens, mortgages, or judicial blocks?
Properties with hidden liens, mortgages, or judicial restrictions (penhoras or bloqueios judiciais) cannot be legally transferred to new owners.
The complete matrícula from the Cartório de Registro de Imóveis shows all registered liens, mortgages, and judicial restrictions. However, some judicial blocks may be in process but not yet registered, so additional verification is required.
Request certificates from the local courthouse showing no pending judicial actions that could result in property seizure. Properties involved in debt collection proceedings or criminal investigations may be subject to judicial blocks that prevent legal transfer.
Bank mortgages and financial liens must be fully satisfied and officially canceled at the cartório before transfer. Scammers sometimes attempt to sell mortgaged properties without disclosing existing debt obligations.
Verify with the Federal Revenue Service (Receita Federal) that the property isn't subject to any federal tax liens or seizure orders that could affect your ownership rights.
Have you verified that property boundaries match the deed and physical reality?
Property boundary discrepancies are a common source of disputes and can invalidate property transactions if measurements don't match official records.
Compare the seller's topographic survey with the official measurements recorded in the matrícula at the Cartório de Registro de Imóveis. In Brazil, coordinates should use the SIRGAS 2000 geodetic system, which replaced older measurement standards.
Hire a licensed surveyor (agrimensor) to conduct an independent property survey that verifies GPS coordinates, total area, and boundary markers match the legal description. Acceptable tolerance levels are typically 1-2 meters for rural properties.
Check for any neighbor encroachments or disputes that might affect property boundaries. Visit the property personally and walk the perimeter to identify any physical inconsistencies with the legal description.
Properties with boundary disputes or measurement discrepancies can become tied up in lengthy legal proceedings that prevent clear title transfer and expose buyers to neighbor lawsuits.
Did you cross-check the property's matrícula number with all seller documentation?
The matrícula number is the unique identifier for every Brazilian property and must match consistently across all official documents.
Verify that the matrícula number on the seller's documentation matches exactly with the official registration at the Cartório de Registro de Imóveis. Any discrepancies could indicate document fraud or attempts to sell a different property than what's being shown.
Cross-reference this number with municipal tax records (IPTU), utility accounts, and any condominium documentation to ensure all records refer to the same property. Fraudsters sometimes mix documentation from multiple properties to conceal problems.
Request the complete certified copy (certidão de inteiro teor) from the cartório using the matrícula number to verify all information matches what the seller has provided.
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Have you calculated all closing costs in advance to avoid financial surprises?
Brazilian property purchases involve multiple fees and taxes that can add 6-9% to your total purchase cost, and scammers often conceal these expenses until closing.
ITBI (property transfer tax) ranges from 2-4% of the property value and varies by municipality. Calculate this tax based on either the sale price or municipal assessment value, whichever is higher.
Additional costs include notary fees (emolumentos) for the escritura (public deed), registration fees at the Cartório de Registro de Imóveis, and lawyer fees. Some properties may also be subject to laudêmio (2-5% federal fee for certain beachfront properties).
Obtain written estimates for all fees before signing any agreements. Legitimate sellers and agents will provide detailed closing cost breakdowns and never surprise buyers with hidden fees at the last minute.
| Cost Type | Typical Rate | Payment Timing |
|---|---|---|
| ITBI (Transfer Tax) | 2-4% of property value | Before deed registration |
| Notary fees (Escritura) | 0.5-1% of property value | At deed preparation |
| Registration fees | 0.5-1% of property value | At cartório registration |
| Lawyer fees | 1-3% of property value | Throughout process |
| Survey costs | R$2,000-R$8,000 fixed | During due diligence |
| Laudêmio (if applicable) | 2-5% of property value | Before transfer |
Did you insist on a written, notarized contract instead of accepting verbal promises?
Brazilian property law requires all agreements to be formalized through written contracts and ultimately registered as public deeds (escrituras) at notary offices.
Verbal promises, handshake agreements, or simple "reservation" deposits provide no legal protection under Brazilian law. Only written contracts that are properly notarized and registered at the cartório create enforceable ownership rights.
The contract must specify all terms including price, payment schedule, delivery dates, and conditions for transfer. Include penalty clauses for non-compliance and ensure all parties' identification documents are attached.
Scammers often pressure buyers to make payments based on verbal promises or simple receipts, claiming formal contracts will be "handled later." This tactic allows them to collect money without creating legal obligations.
Every payment must be documented with proper receipts and tied to specific contract milestones. Never make payments outside the formal contract structure, regardless of the seller's explanations or urgency claims.
Have you spoken directly with neighbors to verify the seller's story and property history?
Local neighbors often possess valuable information about property history, ongoing disputes, or seller credibility that doesn't appear in official documents.
Visit the neighborhood and speak with adjacent property owners, local businesses, and long-term residents who can confirm the seller's story and identify any red flags about the property or transaction.
Neighbors can reveal important details about previous ownership disputes, construction problems, environmental issues, or community conflicts that could affect your property value or enjoyment.
This verification step is particularly important for rural properties or properties in smaller communities where informal disputes or land use conflicts may not be officially documented.
Ask specifically about any boundary disputes, noise issues, planned developments, or community problems that could impact your investment decision.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Brazilian property scams have become increasingly sophisticated, but following this comprehensive verification checklist will protect you from the most common fraud schemes.
Remember that legitimate sellers welcome thorough due diligence and will readily provide access to all verification documents, while scammers typically pressure for quick decisions and resist official verification processes.
Sources
- Oliveira Lawyers - Property Records Verification
- TheLatinvestor - Brazil Title Deed Verification
- Brazil Counsel - Real Estate Buying Guide
- Chambers - International Fraud Guide Brazil
- TheLatinvestor - Brazil Property Pitfalls
- Brazil Counsel - Lawyer Verification
- The Brazil Business - Property Buying Guide
- ICLG - Brazil Real Estate Laws