FOREIGN INVESTOR’S GUIDE TO BRAZIL Chapter 1 ·
8 Mistakes to Avoid When Buying Property in Búzios

Búzios makes you fall in love. When a place makes you want to stay, it is easy to start looking for property before you are clear about what you really need. In my work helping buyers, I see the same mistakes repeated. Here are eight of them, along with my advice on how to avoid them.

1. Buying without defining your goals, needs and budget

Before looking for property, you need to understand what you want it for. Will it be your home? A place for holidays? A source of rental income? Or a property to buy, renovate and resell?

Some buyers are looking for a place to retire, so investment returns become a secondary concern. Comfort, accessibility, surroundings, personal preferences and finding a property that fits their plans for life matter more.

Every buyer has different needs. That is why we first need to understand your profile and then define the kind of property that suits you.

Your budget should also be clear from the outset: how much you can spend on the purchase and how much you need to set aside for costs and improvements. This helps focus the search and recognise a good opportunity when it comes along.

2. Buying on impulse

Building on the previous point: when you are not clear about what you are looking for, it is easier to let your feelings during a viewing guide your decision.

A spectacular view, a swimming pool or a house near your favourite beach can win you over. That is natural. But before deciding, you need to analyse the market and understand what you are paying for.

Comparing prices per square metre by neighbourhood is a starting point, but it is not enough. Plot size, built area, condition, documentation, access, views and the individual features of each property also affect its value.

Two properties of a similar size can have very different values for reasons that are not apparent in a listing.

Professional guidance is essential to understand why one property costs more, why another has been on the market for a long time, and whether an attractive price is a genuine opportunity or a sign of future costs and difficulties.

3. Overlooking additional costs

It helps to keep two separate budgets: the cost of completing the purchase and the cost of getting the property ready for your needs.

For a purchase involving a property duly recorded at the Real Estate Registry, commonly called the RGI, you should allow for ITBI (property transfer tax), the escritura (public deed) and registration, as applicable. Foreign buyers may also incur apostille, sworn translation and document registration costs, depending on their circumstances.

As an initial planning estimate, you can allow around 5% of the purchase price for acquisition costs, but the amount must be calculated for each transaction. This is neither a single tax rate nor a guaranteed percentage.

A property bought as a renovation opportunity needs a separate budget. You need to calculate labour, materials, transport, technical advice, equipment and a contingency for unexpected expenses.

The purchase price may be attractive, but the opportunity should be assessed against the total cost and the time needed to get the property ready.

4. Buying remotely without an independent inspection

Buying remotely is not my preferred recommendation. A video call helps you get to know a property and rule out unsuitable options, but after that first look I always recommend an in-person viewing.

Some details do not come across well on a screen: smells, damp, noise, slopes, the condition of access routes or the feel of the surrounding area.

If you cannot travel, try to arrange for a trusted friend or acquaintance to visit. Their perspective can help, although it does not replace a technical inspection when one is needed.

Get to know the neighbourhood as well as the house. Look at local services, travel times and how the location fits your routine or your intended use of the property. You are also choosing where you will live, relax or welcome guests.

5. Contacting the owner directly to “save the commission”

This mistake often starts with a misconception: that contacting the owner directly will save the buyer a commission they would otherwise have to pay separately.

In Brazil, commission is usually paid by the seller, according to the agreement for the transaction. Bypassing the agent therefore does not guarantee a discount or a financial advantage.

You also lose the support of someone who already knows you, understands what you are looking for and can help you assess the property, negotiate and move forward with better information.

My work goes beyond showing you a property. It includes raising questions, asking for clarification and supporting you throughout the process. I also make my legal team available to review the documentation.

Before trying to save on commission, understand how it has been agreed and what services you are receiving.

6. Assuming that buying in Brazil works the same way as in your home country

This misunderstanding can bring a purchase to a standstill. Many people arrive with previous experience and explain how things work in their own country. Listening is part of my job: it helps me understand their concerns and expectations.

I also need to explain that Brazil has its own legal framework, Civil Code and procedures. What you know from another jurisdiction does not necessarily apply here.

Documents, stages, rights and obligations must be assessed under Brazilian rules and in light of the specific circumstances of the property.

That is why support from an experienced real estate agent who understands the local process and works with legal professionals makes a difference. It helps you understand what you are signing, what still needs checking and how to proceed.

7. Thinking you already know everything

We have two ears and one mouth: listening more can also help you buy better.

Having made successful investments abroad or bought several properties does not mean you know every detail of the Búzios market.

Experience is valuable, but it can become an obstacle when it stops you from asking questions, listening or reconsidering an idea. Sometimes people are so convinced of how a transaction should work that they stop paying attention to how it actually works.

You do not need to arrive knowing everything. You need to be able to ask questions, check the answers and rely on qualified people.

Making a good decision also requires a willingness to learn.

8. Not choosing your real estate agent carefully

Research the professional as carefully as you assess the property.

Before getting in touch, search for them on Google and review their social media, references and professional background. Check their CRECI registration with the regional real estate council and observe how they work: whether they listen, know the area, explain things clearly and can justify their recommendations.

Social media is a starting point. Then pay attention to the quality of their advice and the resources they have to support you.

Sometimes, difficulty finding a property or completing a transaction is also linked to choosing a professional who lacks the tools, contacts or team your search requires.

Choosing the right person to guide you is part of choosing the right investment.

Buying property in Búzios starts with understanding what you want, how much you can invest and who will help you make that decision.

Looking for an investment, a home to enjoy or a place to retire? Get in touch, and let’s start by understanding your needs.