Negotiating a Rental Contract

Take care and do not make any deposit before visit the apartament and sign the contract.

I’m brazilian lawyer and I know a lot of frauds when you do not rent by a rental company.

this kind of site really have very good offers that are real and others that are a fraud.

just check everything before send any money

06/14/23 @ibdegen. Congratulations on your find. I concur with what @Vivimore said about inspecting the apartment before any money changes hands. I would also have an attorney review the contract, highlight anything that seems to diverge from the usual local practice, and anything that puts unequal responsibilities on you whether they conform to local practice or not, so you'll at least be aware of them. One question is whether the deposit(s) being requested are standard, or excessive.

As for negotiations, you can try to negotiate anything, of course. You may have some luck with the rent, depending on the market. You can certainly ask for the rent to remain fixed for a longer period; make sure that you understand the escalation formula for rent increases, and that it makes sense to you. You probably won't be able to negotiate the Condominium Assessment away, you might have better luck with any Special Assessments -- "Cotas Extras". Those enhance your landlord's investment, but don't do much for you.

Every time you're in the apartment, note any damage. On your final walk-through with the agent, take pictures of any damage, share them with the landlord and the agent, and make sure to keep them yourself. You don't want to be charged for any pre-existing damage when you move out.

Best of luck to you!

After six months, I received approval of my retirement visa but haven't yet received the documents. Now that I know my stay is relatively permanent, I want to rent an apartment ASAP. I found an apartment I like in Charitas, Niteroi (across the bay from Rio). It is a Zapway listing I found on VivaReal. I am now reviewing the 13 page contract. I assume it is pretty much boilerplate.
Still, even though I am a retired lawyer from the US, I readily admit that I know nothing about Brazilian law and business customs. Are there any specific pitfalls, traps or clauses to look out for? Should I engage a Brazilian lawyer to advise me? Can any of the fees (rent, condominium, etc) be negotiated? I am grateful for any help.
-@ibdegen

1.Negotiating rates.... You certainly can negotiate the rental rate. Granted it is a buyer's market. Not sure how Niteroi is faring thus far.

You cannot negotiate Condo Fees or Property Tax Dues ( IPTU) nor get a waiver on either.  Landlords in Brazil do not absorb those.  You are liable for these fees.   

2.Representation.  An attorney for a rental contract might be an overkill, nonetheless, you are often seeing boilerplate contracts riffled with legalese.  Sometimes a plain speaking local might not do, as contracts are terse.  My best suggestion is that you follow the standard guideline on how  residential leases are enforced and written. 

Just because it is in a contract, it does not mean it is enforceable, and a judgement for ill faith written contracts might sway your way in civil litigation.   

What you should expect...1

1.Leases up to 30 months, although you can break the lease after 12 consecutive elapsed months without incurring into a penalty.

2.Payments here are not in arrears. You are paying for your past moth's rent. Always at the 1st of the upcoming month.

3.Upon selling a property, you are entitled to the right of refusal, meaning before it is offered to anyone, you are allowed to bid to purchase your rental unit.  The period might be 30 days from the notice.

4.Utility bills, unless otherwise noted, are on you.

5.Dogs and cats  at  landlord's discretion.

6.Lease rate increases are due every 12 months, and are to be indexed to the inflation figures. At this point, you might have some haggling to do.  The Index the landlord picks might make a whole lot of difference on rate increases.  Watch for what Index it is picked on the contract.  This is not a set in stone line item.

7.Security Deposit. The law states you can chose either one but not any more than one option....

a.Security Deposit, which cannot exceed 3 month's worth of rent ( excluding condo due and tax installment ).

b.Insurance Premium.  Granted the Carrier can sign you up. That premium is renewable every year.  This is not fire insurance, which can be levied in addition. This is Renter's Insurance. It covers the landlord liability for lost rent, and damages to the property.   All premiums paid are not recoverable.

c.A Bond ( aka Titulo de Capitalizacao ) .  The Insurance Company, could deny you a rider, then they might counter offer with a bond. The amount covered is returned to you if you meet the stipulations set forth in the lease contract ( paying rent on time, not causing damage to the property, contract being void ).   Now, in the case of a bond, it is up to the landlord to stipulate how many months it can be tacked on the issued bond.

D.Co-signer. You can get one, if one is willing, and the landlord is willing to accept a co-signer.

I would avoid modifications on the property, unless necessary. You might incur into violating the convenants of the lease contract.

8.Eviction Notices. The law change. You are no longer afforded the luxury of a second notice. One notice,and you have 15 days to leave Dodge. 

Also with the law change the rules on Cosigners. You no longer need to keep the same co-signer throughout the contract's tenure.  You can switch co-signers, thus letting the prior off the hook, provided some notice to the parties is given. 

I should point that condo units are tricky. There are the condo bi-laws that can be a pain in the arse.  I would suggest a walkup, or a row house/town house if you can. 

For that matter, avoid portals  ( Loft, Viva Real ,Quinto Andar )like a plague.  Just plug them into Reclameaqui.com.br a gripe portal, and you will see all the pitfalls they bring into the deal.   

Every town has that retailer or grocer, or taver keeper who has some investment in real estate.  Often times, you can strike a deal with them and score a nice and affordable rate.

A few extra pointers.....

1.Security deposit cannot be used to cover ongoing due rent. You still have to make your rental payments from day one and until the last month on your lease. The Security Deposit must be deposited into an interest bearing account.

2.Application processing fee is borne by the landlord. 

3.Landlords must pay the broker's fee.  Which is likely to be one month's rent.  Tenants do not cover for broker's fee. Neither you should expect to pay for showings.  At most, you can cover cab fare for the scheduled showing,s if your broker does not own a car.   A broker who charges for showings is gouging you. 

4.Watch for any tell tales of bad faith.  Be prepared to walk away if you feel there is ill will. 

Last ones ,  a must read...

1.Landlords are not obligated to provide you with appliances. If they do so, it is because it was left behind, or a sign of good will.   So if it breaks, then you are liable for repairs. 

2.Landlords have no obligation to provide storage ( closets mostly, ). Again, good will.   

|it means,  fridge, oven, range, exhaust, a sink disposal processor are not must have itens.  Nor a washing/dryer.  Chalk the above items as nice to have in it.   

Heating in the unit, Fugedabouit.  You will buy a space heater.

And often, rental units, unless previously inhabited by the landlord, will often have that tacky laminate floors or worse, ceramic floor on bedrooms and parlors ( eeeeewwwwwhh ).   They do so, because tenants bring dogs, and parquet or board hardwood flooring is pricey to replace and service.

And as for apartment buildings, check the condo super. Sometimes, that RVSP function hall ain't free. Things like BBQ Grill, might be under this rule.  Most often, swimming pool and Gymn use is free of charge. 

That's Brazil , folks