Property purchase rescission in São Paulo, Brazil
For buyers of off-plan units and plots who need out of the deal: we recalculate the retention under the rescission statute and negotiate the refund.
5,0 · 18 Google reviewsThis page is for the buyer who wants out of the deal — income lost, mortgage refused — and needs to recover as much of the money paid as possible. It is a different subject from late delivery or defective construction, which sit on claims against developers. The rulebook here is Law 13,786/2018, which amended Law 4,591/1964 and Law 6,766/1979 and capped what a developer or land subdivider may keep.
When rescission comes into play.
- The buyer pulls outThe instalments no longer fit, or the mortgage fell through. The contract is unwound and the statute caps the retention.
- Retention above the statutory capWe check the basis of calculation and the percentage allowed for your type of development.
- Refunds wrongly spread outTiming and form of payment have their own rules, which change depending on whether the estate is ring-fenced.
- Agency commissionIt is deducted as the statute sets out, but there is one situation in which it returns to the buyer in full.
- Seven-day withdrawalContracts signed at a sales stand or away from the developer's registered office carry their own cooling-off period.
- Incomplete summary tableWhere mandatory information is absent, a period to correct it opens and, uncured, gives the buyer cause to rescind.
- Plots in a subdivisionA different regime from off-plan flats, with its own percentages and mechanics.
The figures, taken from the statute itself.
For an off-plan development, art. 67-A of Law 4,591/1964 provides that where the contract is unwound by agreement or for the buyer's absolute default, the buyer is entitled to the sums paid back, indexed as the contract provides, with cumulative deductions of the agency commission in full and a contractual penalty which may not exceed 25% of the amount paid. For the period the unit was available, property taxes, service charges and a use payment of 0.5% of the indexed contract value, pro rata die are added.
Here is the point that changes the outcome and is rarely checked: where the development is subject to the ring-fenced estate regime (patrimônio de afetação), the contractual penalty may reach 50% of the amount paid, and the refund is made within 30 days of the completion certificate (§5). Without ring-fencing, the balance is paid in one instalment within 180 days of the unwinding (§6). Which regime applies is the first thing we check.
For a land subdivision the arithmetic differs. Art. 32-A of Law 6,766/1979 allows a use payment of up to 0.75% of the indexed contract value, a penalty with administrative expenses capped at 10% of the indexed contract value, default charges, taxes and utility debts tied to the plot, and the agency commission where it forms part of the price. The refund may be spread over up to 12 monthly instalments. Note the base: off-plan the cap runs on the amount paid; in a subdivision, on the contract value.
Two details complete the picture. Contracts signed at a sales stand or away from the developer's registered office allow withdrawal within seven days, with the return of everything advanced, agency commission included (art. 67-A, §10). And for contracts predating the statute, Precedent 543 of the Superior Court of Justice remains the reference: where a purchase promise governed by the Consumer Code is unwound, the instalments are returned immediately — in full where the seller alone is at fault, in part where the buyer caused the breakdown.
How we run the case.
- Reading the contract and the summary tableDate of signature, indexation, the termination clause and the information the summary table must carry.
- Checking the regimeA land register search to see whether the development is ring-fenced — it sets the cap and the refund deadline.
- Redoing the arithmeticWe index everything paid, apply the allowed deductions and reach the sum due, with a calculation sheet.
- Proposing rescission in writingMost cases end by agreement. The deed of rescission is reviewed before signature.
- Court proceedings where there is no dealWe seek rescission at the correct percentage and the return of anything withheld beyond the cap.
What to bring to the first conversation.
Documents that speed up the review
With the contract and the payment records we can estimate what should come back and compare it with the offer.
- Contract and amendments
- The contract summary table
- Proof of payments, with dates
- Agency commission receipt
- Any rescission offer
- Land register extract
- Handover record for the keys
- E-mails and messages exchanged
Case review and a written proposal before any step is taken. Informational content under Brazilian Bar Association Rule 205/2021 — it does not replace an assessment of your case.
What clients say on Google.
“From the very start I was looked after exceptionally. The team is attentive and explains every step.”
Amanda M. · Google“Excellent, highly qualified professionals. I highlight the professionalism, the service and the honesty.”
Rita G. · Google“Very polite, patient, always with precise, accurate answers. I recommend them with no reservations!”
Thais T. · GoogleReal client reviews published on Google.
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.
How much can the developer keep if I pull out?
In an off-plan development the contractual penalty may not exceed 25% of the amount paid, rising to 50% where the estate is ring-fenced (Law 4,591/1964, art. 67-A, II and §5). The agency commission and the costs of the period the unit was available are added.
How long before the money comes back?
It depends on the regime. Where the estate is ring-fenced, the refund is made within 30 days of the completion certificate (§5). Where it is not, the balance is paid in one instalment within 180 days of the unwinding (§6). In a subdivision it may be spread over 12 monthly instalments.
I bought a plot, not a flat. Does that change things?
It changes the base and the percentage. For subdivisions, art. 32-A of Law 6,766/1979 allows a use payment of up to 0.75% of the indexed contract value and a penalty with administrative expenses of up to 10% of the indexed contract value — not of the amount paid, as applies off-plan.
I signed at a sales stand over the weekend. Can I still withdraw?
Yes, within seven days. Art. 67-A, §10 gives a right of withdrawal for contracts signed at sales stands and away from the developer's registered office, with the return of everything advanced, commission included. Outside that window the general rules apply.
What does it cost to pursue rescission?
If the matter settles by negotiation, the cost is the fee agreed in writing before any step is taken. If proceedings are needed, court costs on the value of the claim are added. We redo the arithmetic first, and the proposal is put in writing.
Do you act outside São Paulo?
Yes. Negotiation and formal notice are handled remotely, and proceedings elsewhere are followed by local agents under our instruction. Meetings are held at our Avenida Paulista office or by video call.
Have you had the rescission offer yet?
Send the contract and the payment records. We redo the arithmetic under the statute, compare it with the offer and tell you the difference, with a proposal in writing.