In Brazil, aside from the price paid for the real estate, a buyer must also have an additional reserve of up to 5% of the total purchase value, for the following expenditures:
Transfer tax for real estate goods (ITBI) – the average cost is 2.5% of the total real estate value, but it can be over 3%. It is paid to the city hall of the municipality where the urban real estate is located.
Real estate registration tax – between R$ 400 and R$ 3.400, for pieces of real estate valued between R$ 10,000 and R$ 175,000, paid to the notary´s office (responsible for authenticating the purchasing papers)
Navy alienation fee – charged by the federal government only for transactions involving pieces of real estate located in the coastline or up to 80m away from the coastline. Corresponds to 5% of the total real estate value.
Municipal alienation fee – some city halls also charge alienation fees for real estate goods located in certain municipal areas. The average price for this fee is 2% of the total real estate value.
Bank tariffs – if the real estate was acquired through bank financing, the buyer must also be prepared to pay the fees charged by the financial institution, such as real estate evaluation taxes, administrative taxes, credit opening taxes, real estate insurance, life insurance, etc.
Av. Caravelas S/N, Praia do Francês
Alagoas - Brasil
Fones/Fax: (82) 3260-1224 / Tim - (82) 9981-0828 / Claro - (82) 9328-0713 / Oi - (82) 8882-5750 / Vivo - (82) 8139-7473
