Promise of Sale vs Definitive Deed: Registration Guide

Context Note: This content describes Brazilian legal, notarial, and real estate registry procedures under Brazilian Law.

Title: Promise of Sale vs. Definitive Deed: When to Register Each Instrument

FAQ

What is the difference between a promise of sale vs. definitive deed?

A promise of sale creates an obligation to perform and, if registered on the property's folio, establishes a real right of acquisition against third parties. A definitive deed is the final translativo title that, once registered at the Real Estate Registry, transfers full property ownership.

When should you register a promise of sale at the Real Estate Registry?

You should register a promise of sale at the Real Estate Registry immediately after signing a contract involving future payment or long-term installments. Registration prevents the seller from reselling, incurring debts against, or mortgaging the property with third parties during the payment term.

When is a definitive deed mandatory to transfer property title?

A definitive public deed executed before a notary public is mandatory for all real estate transactions valued above thirty minimum wages. Full property ownership is transferred only when this definitive deed is duly registered at the Real Estate Registry.

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