Guide · Foreign buyers

Sending money to Brazil to buy property

How foreign money must enter Brazil for a purchase: authorised exchange institutions, the US$ 50,000 purpose code, non-resident accounts, cash limits.

Checked on against the official sources at the bottom of the page.

In short

Foreign money buying a Brazilian home must travel through an institution authorised to operate in the exchange market; the law (Lei 14.286/2021, art. 14) allows physical cash only up to US$ 10,000 per person. Exchange operations are free of any value cap (art. 2). For an operation above US$ 50,000, the exchange rules require the bank to classify its purpose, and the code for buying property in Brazil is 72911. Keep the proof of the transfer: it supports your cost basis and, for the investor visa, is a required document.

The framework

The Foreign Exchange Law, in force since the end of December 2022 (one year after its publication on 30 December 2021), states that exchange operations “may be carried out freely, without limit on value” (art. 2) and that foreign capital receives “legal treatment identical to that granted to national capital” (art. 9). Freedom is not informality: the entry and exit of national and foreign currency must pass “exclusively through an institution authorised to operate in the exchange market”, which identifies the client and the beneficiary (art. 14).

Practical consequences for a buyer abroad:

  • Wire to a Brazilian account, through an exchange institution. The bank on the Brazilian side converts the money and records the operation.
  • No suitcase of cash. Carrying cash is free up to US$ 10,000 or the equivalent (art. 14, § 1, I); beyond that, under art. 14, § 3, the excess can be seized when the movement is irregular.
  • No legal ceiling on the transfer itself. Banks may apply internal checks on the origin of funds; those are not federal caps and were not read by Payotte.

The purchase-of-property code

Resolução BCB 277/2022 requires classification by purpose for an exchange operation “of value above US$ 50,000.00”. Under the heading “Capitais estrangeiros”, Annex IV lists “Compra e venda de imóveis no País” with code 72911. That is the line for a non-resident buying (or selling) a Brazilian property. Your bank will ask for the purpose and the documents it needs; the sale contract or deposit agreement is the usual supporting document, though Payotte did not read the Central Bank’s list of documents.

Account in reais

Article 67 of the same resolution lets exchange institutions open and maintain deposit and payment accounts in reais for non-residents “under the same conditions” as for residents. For a prepaid payment account, each movement is limited to R$ 100,000, unless backed by an exchange operation (sole paragraph). A foreign-currency account is restricted to listed categories, including a foreigner temporarily in the country, with credits restricted to funds from abroad.

A CPF is required to open the account; see CPF for foreigners.

Do you have to register the investment with the Central Bank?

Resolução BCB 278/2022 governs “foreign direct investment”, defined as the direct participation of a non-resident in the capital of a company in Brazil, or another economic right “whose return depends on the results of the business”. The resolution does not contain the words “real estate” or “property”. Payotte therefore found no text obliging an individual non-resident who buys a home directly to file a declaration in the SCE-IED (the Central Bank’s foreign investment system). That is a reading of the text, not a sentence quoted from it: confirm with the Central Bank or your bank. If the purchase goes through a Brazilian company with a foreign shareholder, it is a foreign direct investment and the reporting rules apply (a code is required in transfers of US$ 100,000 or more).

Why the paper trail matters later

  • Resale. The capital gain of a non-resident is the difference between sale price and documented acquisition cost, in reais; a cost that cannot be proved counts as zero (IN SRF 208, art. 26). Keep the deed, the bank statements and the exchange contracts. See non-resident capital gains tax.
  • Sending the proceeds home. The law sets no cap or prior authorisation, but the transfer also goes through an exchange institution: see repatriating sale proceeds.
  • Investor visa. The documents in art. 3 of Resolução CNIg 36/2018 include a statement from an institution authorised by the Central Bank “attesting the international transfer of capital” for the purchase. See the investor visa guide.

What it costs

Payotte could not establish the IOF rate for exchange operations or the banks’ spreads and fees from the sources it read, so no percentage is given here. IOF is a federal tax; confirm the current rate with the Receita Federal and ask each institution for the exchange rate and any fee before you send funds. For the transfer fee on the originating side, the sending bank in Canada, the United Kingdom or the United States sets its own tariff. The purchase taxes themselves are in the purchase costs calculator.

Which professional to consult

A bank or exchange institution authorised by the Central Bank carries out the transfer and issues the exchange contract. A lawyer registered with the OAB or an accountant can confirm whether your structure (direct or through a company) triggers a registration. The property lawyer page explains how to check a lawyer’s registration yourself.

Frequently asked questions

Is there a limit on how much I can send?

Lei 14.286 says exchange operations are free “without limit on value”. Banks apply their own checks, and an operation above US$ 50,000 must be classified by purpose.

Can I pay the seller in cash?

Payotte read no rule allowing it. The law allows carrying up to US$ 10,000 in cash across the border, but entry and exit of currency must otherwise go through an authorised institution.

Which code applies to a property purchase?

Annex IV of Resolução BCB 277/2022 lists code 72911, “Compra e venda de imóveis no País”.

Do I need a Brazilian bank account?

Payotte read no rule requiring one by law, but a payment to a Brazilian seller is in practice received in a Brazilian account; non-residents may open accounts in reais (art. 67).

Can I convert the price in my currency later for a tax calculation?

Payotte found no rule converting a price paid in foreign currency for a non-resident’s cost basis; the gain is computed in reais. Ask a tax professional.

More guides on foreign buyers

Sources

All guides · Payotte Brazil