Brazilian tenancy law: a practical guide
A map of Law 8,245/1991 organised by question — indexation, penalty, security, holding over, renewal and eviction — with the calculator for each subject.
5,0 · 18 Google reviewsUrban tenancies in Brazil are governed by Law 8,245/1991, the Tenancy Act. Subject to the exclusions in art. 1, three facts from your lease guide the initial assessment: whether it is residential or commercial, whether it is written and for how long, and which security was agreed (art. 37). This guide sorts the answers by question.
What you are trying to solve.
- The tenant is not payingThe landlord's claim to recover the property is an eviction claim (art. 5), which can carry the debt claim. See eviction.
- I want to leave before the endGenerally, the agreed penalty is reduced in proportion to the term already completed, subject to the exceptions in art. 4. Use the termination penalty calculator.
- How much can rent go upRent is freely agreed, though it may not be stipulated in foreign currency (art. 17). The index is the one in the lease — see the rent adjustment calculator.
- The rent is out of line with the marketFailing agreement, a judicial review is available after three years of the lease or of the previous agreement (art. 19).
- I run a business at the premisesProtected renewal requires a written fixed-term lease, at least five years under that lease or consecutive written leases, and three uninterrupted years in the same business, alongside other legal requirements. Proceedings must start between one year and six months before expiry (art. 51). Check the renewal deadline calculator.
- Which security to requireDeposit, guarantor, rent-guarantee insurance or an assignment of fund units — only one per lease, on pain of nullity (art. 37).
- Who pays whatExtraordinary service charges fall on the landlord, ordinary running costs on the tenant (arts. 22 and 23).
- The term expired and nobody said anythingFor residential leases, the written form and the 30-month threshold determine different continuation and repossession rules (arts. 46–47); non-residential leases follow arts. 56–57.
Indexation, penalty and rent review.
Indexation follows the lease index — such as IGP-M, IPCA or INPC — subject to the minimum annual interval under Law 10,192/2001 (art. 2, § 1). Rent cannot be set in foreign currency or linked to exchange rates or the minimum wage (art. 17). Changing the index by negotiation requires agreement (art. 18). The rent adjustment calculator shows the difference.
Under the general rule in art. 4, the early-exit penalty decreases as the lease is performed: multiply the full penalty by the fraction of the term remaining. Without a penalty clause, the court may set the amount. An employer-directed transfer to another location exempts the tenant from the penalty if the landlord receives at least 30 days’ written notice. Built-to-suit leases follow a special rule, with the penalty capped at the remaining rent (art. 54-A, § 2). The penalty calculator estimates the general rule.
A judicial rent review seeks to align rent with the market. Without agreement, it is available after three years of the lease or the last agreement on rent (art. 19); the parties may agree on a new rent at any time (art. 18). Built-to-suit leases may waive review during the term (art. 54-A, § 1). If requested and supported by evidence, provisional rent cannot exceed 80% of the amount sought in a landlord’s claim, or fall below 80% of current rent in a tenant’s claim (art. 68). A technical valuation helps establish market rent.
One warning covers all three: clauses designed to defeat the Act’s purposes are void, including those barring continuation under art. 47 or protected renewal under art. 51 (art. 45). This does not remove exceptions expressly permitted by law. A signed clause is not automatically valid.
What happens at each stage of the lease.
- Signature and securityOnly one type of security per lease (art. 37). A cash deposit is capped at three months’ rent and must go into a savings account, with its benefits accruing to the tenant (art. 38, § 2). Unless the lease provides otherwise, and subject to statutory release rules, security continues until actual return (arts. 39–40).
- During the termIndexation by the contractual index, judicial review from three years, and running costs split between the parties (arts. 19, 22 and 23).
- End of term, residentialA written lease of at least 30 months ends at expiry without notice. Holding over for more than 30 days unopposed creates an indefinite tenancy, terminable with 30 days to vacate (art. 46). Oral residential leases or terms below 30 months continue automatically, with recovery restricted to the grounds in art. 47.
- End of term, commercialGenerally, a fixed-term non-residential lease ends at expiry without notice. Holding over for more than 30 days unopposed creates an indefinite tenancy (art. 56); at that stage, the landlord may terminate in writing with 30 days to vacate (art. 57). Protected renewal and other special rules must still be observed.
- Recovering the propertyThe route is an eviction claim (art. 5). After a favorable judgment, the eviction order generally allows 30 days to vacate, reduced to 15 in the cases under art. 63, § 1; other paragraphs provide special periods.
Where to read on.
The tenancy calculators and the practice pages
Every calculator runs in your browser and shows the result on screen, without asking for your details.
Informational content under Brazilian Bar Association Rule 205/2021 — it does not replace an assessment of your case. Checked against Law 8,245/1991 as published by the Presidency of the Republic.
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Who leads this area.
Founding partner at Falchet e Marques (OAB/SP 428.777). Postgraduate in Real Estate Law (PUC/SP) and Succession Law (PUC-Campinas), she leads the real estate practice and probate matters. She explains every step before the client decides.
Meet Letícia MarquesCommon questions.
Can I require a guarantor and rent-guarantee insurance at the same time?
No. Art. 37 permits a deposit, guarantor, rent-guarantee insurance or fiduciary assignment of fund units, and prohibits combining types of security in one lease, on pain of nullity. A cash deposit is capped at three months’ rent and must be held in a savings account, with its benefits accruing to the tenant (art. 38, § 2).
I left before the end of the term. Do I pay the whole penalty?
Generally, no. The full penalty decreases as the lease is performed, leaving an amount proportional to the remaining term; without a clause, the court may set it (art. 4). Employer-directed transfer to another location carries an exemption with at least 30 days’ written notice. Built-to-suit leases have a special rule under art. 54-A, § 2. The calculator estimates the general rule.
How often can the rent be reviewed?
The parties may agree on new rent at any time (art. 18). Without agreement, a judicial market-rent review requires three years of the lease or the last rent agreement (art. 19), subject to special rules such as a possible built-to-suit waiver. Indexation is different and must respect the minimum annual interval.
The term expired and the tenant is still there. What now?
A written residential lease of at least 30 months expires without notice; holding over for more than 30 days unopposed creates an indefinite tenancy, terminable with 30 days to vacate (art. 46). Oral residential leases or terms below 30 months continue automatically, but recovery requires grounds under art. 47.
What does advice on a lease cost?
Fees are agreed in writing before action and depend on the scope: review, drafting, notice or proceedings. Court fees and expenses follow the relevant court rules and any legal-aid exemption; claim value may form part of the calculation. A written proposal follows the assessment.
Do you act outside São Paulo?
Yes. The Tenancy Act is federal. Claims generally proceed where the property is located, unless another forum has been validly agreed (art. 58, II). We handle proceedings elsewhere with local lawyers under our coordination. Meetings are available on Avenida Paulista or by video call.
Question not covered here?
Send the lease and describe the situation. We will say which article of the Tenancy Act applies and what the route is, with a proposal in writing where there is work to be done.