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Registration is an essential step to ensure legal security and increase the value of the property
Construction registration is a step often overlooked by property owners in Brazil, but it is essential to guarantee the legality of the work, avoid legal complications and allow future transactions without obstacles, according to real estate sector experts.
Construction registration: what it is and why you can't skip this step
Second article of Examination, the construction registration is the procedure responsible for updating the registration of a property with the registry office, formalizing any significant physical modification — such as new constructions, extensions or renovations. This registration is essential for the property to be legally recognized in its current configuration. Without it, the construction remains “invisible” to the legal system, which can have serious consequences.
In addition, the process requires documents such as a building permit, “occupancy permit” and, in some cases, negative certificates from the INSS. After gathering these documents, the owner must file the request at the corresponding property registry office. The procedure has a variable cost and can take a few days, depending on the complexity of the work and the location.
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Construction regularization avoids fines and headaches
Failure to register a construction can generate a series of obstacles, as pointed out by the specialized portal Real Estate Channel. One of the main risks is the impossibility of selling or financing the property, since financial institutions and buyers require up-to-date and regular documentation. Failure to register the property may also result in legal sanctions, such as fines, embargoes and, in extreme cases, demolition orders by municipal authorities.
Another critical point is the collection of taxes. Without registration, the IPTU value may be out of date in relation to the physical reality of the property, which can lead to both payments above what is fair and retroactive collection of taxes when the situation is regularized.
Valuation and security: the benefits of construction registration
Legalizing the construction through registration not only protects the owner against legal problems but also adds value to the property. For the market, a property with an up-to-date registration represents security and transparency. And this has a direct impact on the sale price, the speed of negotiations and obtaining credit from banking institutions.
According to the Examination, this type of formalization is increasingly required in the real estate market, especially in urban areas where inspection is more intense and the number of negotiations is constantly growing.
