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Property appraisal report (NBR 14653)

The property's market value calculated by engineers and architects under NBR 14653, with an inspection, market research and an ART or RRT, for probate, estate division, taxes and court cases.

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Table in an empty apartment with an inspection clipboard, a laser measure, a tablet showing a map of comparable properties and a bunch of keys, in front of a window overlooking São Paulo buildings

Quick answer

Property appraisal report (NBR 14653) in São Paulo, in a few lines

The property appraisal report is the technical report that estimates market value under the ABNT NBR 14653 standard, with an inspection, research on comparable properties, the calculation and the substantiation grade of the result. Property appraisal is among the activities of engineers and architects, and the report carries an ART or RRT. It is used in probate and estate division, divorce, challenges to ITBI and ITCMD, court cases, expropriation and companies. MTC's engineers and architects inspect the property, research the market and deliver the report under the standard, with an ART or RRT.

Updated on by the MTC technical team, based on the rules cited on this page.

Regulation
ABNT NBR 14653-1:2019 and 14653-2:2011
Source: IBAPE: ABNT NBR 14653, asset appraisal 25 years on (2023)(opens in a new tab)
Who signs
Engineer or architect, with ART or RRT
Source: Confea: Resolution No. 345/1990 (engineering appraisals and expert examinations)(opens in a new tab)
ITBI in SP
The higher of the price or the reference value
Source: São Paulo City Hall (Finance Department): ITBI, questions and answers(opens in a new tab)
Since January 2026
ITBI can be challenged through an adversarial appraisal
Source: Complementary Law No. 227/2026 (art. 38 of the CTN and the ITCMD tax base)(opens in a new tab)

What a property appraisal report is

The appraisal report is the technical report that states what a property is worth on a reference date. It follows the ABNT NBR 14653 standard: the professional checks the documents, inspects the property, researches comparable properties, chooses the method and calculates the value. The result comes with the substantiation grade, which shows the quality of the research, and it is signed by an engineer or architect, with an ART or RRT.

A wrong value is costly. For a donation declared below market value, the São Paulo State ITCMD law sets a fine equal to the tax difference, on top of the tax itself. For ITBI, City Hall charges on the higher of the price and the reference assessed value, and anyone who disagrees must show the market value. In estate divisions and court cases, an unfounded estimate leads to a challenge and an expert examination.

What most often holds things up is a value with no basis: an online listing, the neighborhood average or the IPTU value, which the tax authority, the judge or the other party can challenge. MTC's engineers and architects inspect the property, build the market research, apply the standard's method and deliver the report with detailed calculations and an ART or RRT. When there is a court case, MTC also acts as the party-appointed technical expert, alongside the client's lawyer.

What MTC does

  • Property inspection

    Areas, standard, condition and surroundings checked on site.

  • Market research

    Comparable properties in the area, with the source of each data point.

  • Calculation under the standard

    NBR 14653 method and substantiation and precision grades.

  • Report with ART or RRT

    Signed by an engineer or architect, with detailed calculations.

Understand it in one image

From inspection to value: the stages of the report

  1. 1

    Purpose and documents

    What the report is for, the reference date and the property's paperwork.

  2. 2

    Inspection

    Areas, standard, condition and surroundings, with photos.

  3. 3

    Market research

    Listings and sales of comparable properties, with sources.

  4. 4

    Calculation

    Sales comparison, cost, residual or income method.

  5. 5

    Value and grades

    Value, substantiation and precision grades, ART or RRT.

Report or PTAM? The NBR 14653 report is prepared by an engineer or architect; the PTAM is a real estate broker's opinion.

Illustrative diagram, based on ABNT NBR 14653-1:2019 (general procedures) and ABNT NBR 14653-2:2011 (urban properties), according to IBAPE material. The precision grade applies to the direct market data comparison method.

What a report under NBR 14653 shows

Without these points, the work does not follow the standard.
  1. 01 · PropertyIdentification, inspection and documents used
  2. 02 · MarketComparable data and their sources
  3. 03 · MethodJustified choice and detailed calculations
  4. 04 · ResultValue, reference date and grades
What the report is for:Probate and estate divisionDivorceITBI and ITCMDCourt caseExpropriationCompanies and payment in kind

What do you need the property's value for?

The standard requires the report to state its purpose, such as estate division, taxation, payment in kind or compensation. Each one leads to a different path:

  1. 1Probate or division of an inheritance

    A report with the market value on the date of death, for the division and for ITCMD. If the tax authority sets a different value, the report is used in the challenge.

  2. 2Divorce or end of a common-law partnership involving property

    A report to divide the assets by the same value. Whoever keeps more than their half may owe tax on the excess.

  3. 3The ITBI reference assessed value came out above the transaction price

    A special appraisal request at the Finance Department, with the report as evidence. If the tax has already been paid, the request is filed together with a refund request.

  4. 4Court case with an expert examination of the value

    A party-appointed technical expert, who follows the expert examination and submits an opinion on the court expert's report.

  5. 5Expropriation with an offer from City Hall or the State

    A report to check the offer, which can be accepted or refused within 15 days, and a party-appointed technical expert in the lawsuit.

  6. 6Property being contributed to a company's capital

    A report on the property's value. For a corporation, the law requires a substantiated report, with the criteria and the comparison data.

A loan secured by the property, payment in kind and balance sheets also call for a value with a reference date. MTC checks with whoever will receive the report, whether a judge, a bank or the tax authority, what it needs to contain.

Source: IBAPE: appraisal of urban properties under NBR 14653 (purposes, methods and grades)(opens in a new tab)

Why get the report

From a guessed value to a value that holds up

Tap a problem to see how it is solved.

How a value with no basis becomes a problem

The problem starts when the property's value is set without a method. It shows up later, with the tax authority or in court, when fixing it costs more.

  1. 1

    Value with no basis

    A listing, the neighborhood average or the IPTU value used as market value.

    What can be done

    A report under NBR 14653 before declaring the value.

  2. 2

    Tax calculated incorrectly

    ITBI on a reference value above market, or ITCMD declared below it.

    What can be done

    Special appraisal for ITBI or market value for ITCMD.

  3. 3

    Arbitrated value and fine

    The tax authority sets the value; for a donation below market, a fine equal to the difference.

    What can be done

    A challenge backed by a report signed by a licensed professional.

  4. 4

    Court expert examination

    Once the estimate is challenged, the judge appoints an appraiser and the division waits for the report.

    What can be done

    A party-appointed technical expert to follow the expert examination.

Beyond the tax: what a wrong value costs

In the family

  • Unequal divisionOne person receives more than they should.
  • Agreement stuckDisagreement over the value of each property.

Out of pocket

  • Overpaid taxITBI on a value above market.
  • Fine and interestDifference charged later, with surcharges.

In court

  • Expert examinationTechnical evidence with deadlines and fees.
  • Report left unansweredWithout a party-appointed technical expert, there is no counterpoint.

Have probate, an estate division or a tax to calculate? Contact MTC before declaring the value.

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What the report brings you

  • Defensible value

    Method, data and calculations that explain themselves.

  • Tax on a technical basis

    Market value for ITBI and ITCMD.

  • Balanced division

    Everyone starts from the same figure.

  • Support in the case

    Report and party-appointed technical expert alongside the lawyer.

  • Reference date

    Value on the date the purpose requires.

  • Technical responsibility

    Report with ART or RRT.

When it is needed

  • Probate, full or simplified
  • Divorce or end of a common-law partnership involving property
  • ITBI reference assessed value above the transaction price
  • Donating a property during your lifetime
  • Court case over the property's value or an expert examination scheduled
  • Expropriation, property contributed to a company's capital or payment in kind

Documents that help you get started

You do not need all of them. The team will tell you what is missing.

  • Updated property record
  • IPTU bill or IPTU registry data certificate
  • Plans, Habite-se or permits, if any
  • Contract, deed or ITBI payment slip, as the case may be
  • Tax authority notice or court case documents, if any
  • Access to the property for the inspection

How we handle your case

  1. 1

    Purpose and documents

    What the report is for, the reference date and the paperwork.

  2. 2

    Inspection

    Areas, standard, condition and surroundings, with photos.

  3. 3

    Market research

    Comparable properties in the area, with sources.

  4. 4

    Calculation

    NBR 14653 method and data treatment.

  5. Report

    Value, substantiation and precision grades, ART or RRT.

Important
  • The report gives the value on a reference date; whoever receives it may ask for an update.
  • Area differences between the property record, the IPTU and the site are noted in the report as a caveat.
  • The tax authority decides the tax; the judge or the parties decide the division.
  • The legal side of probate, divorce or the court case is handled by the client's lawyer.

Questions about the property appraisal report (NBR 14653)

The questions that come to the team and show up in searches most often, with the answer and the source.

See all questions

It is the report, with technical and scientific grounds, that estimates the value of a property on a reference date, prepared under the ABNT NBR 14653 standard. The standard lists the minimum: purpose, identification of the property, documents used, market data, chosen method, calculation record, result with the date and the signature of the technical manager.

Source: IBAPE: main changes in ABNT NBR 14653-1:2019 (appraisal report) (opens in a new tab)

An engineer or architect registered with CREA or CAU. The laws of both professions include appraisal among their activities, and Confea Resolution 345/1990 requires an ART for the work to be fully valid. Architects register the report with an RRT at CAU.

Source: Confea: Resolution No. 345/1990 (engineering appraisals and forensic investigations) (opens in a new tab)

The appraisal report follows NBR 14653, is signed by an engineer or architect with an ART or RRT and states the degrees of substantiation and precision. The PTAM (Parecer Técnico de Avaliação Mercadológica, a market valuation technical opinion) is a real estate broker's opinion of value, regulated by Cofeci under the law that allows brokers to give opinions on the sale of properties. Each recipient, such as a judge, a bank or the tax authority, decides which document it accepts.

Source: Cofeci: Resolution No. 1.066/2007 (Parecer Técnico de Avaliação Mercadológica, the market valuation technical opinion) (opens in a new tab)

It depends on the case. In court probate, the judge may appoint an expert to appraise the assets, but the appraisal is waived when the parties are legally capable and the tax authority agrees with the declared value. In summary probate (arrolamento), if someone challenges the estimate, the judge appoints an appraiser. A report commissioned by one of the parties serves to declare a value on a technical basis from the start.

Source: Code of Civil Procedure, Law No. 13.105/2015, arts. 465, 477, 630, 633, 664 and 870 to 873 (opens in a new tab)

Through a request for a special assessment at the Finance Department, before paying, or through a refund request combined with a special assessment, if the tax has already been paid. The official form accepts appraisal reports as evidence that the reference value does not reflect the market value. The request does not apply to ITCMD or to registry office fees.

Source: São Paulo City Hall (Finance Department): ITBI special assessment, form Modelo 4 (opens in a new tab)

The market value on the date of death or of the gift, never below the IPTU assessed value (valor venal). If the tax authority does not agree with the declared value, it opens an assessment of the tax base (arbitramento), which the taxpayer can challenge. For a gift declared below market value, the fine equals the difference in unpaid tax.

Source: State Law No. 10.705/2000 (ITCMD), arts. 9 to 13 and 21 (opens in a new tab)

NBR 14653 requires the report to state the result and its reference date: the value applies to that date. Because the market changes, whoever receives the report may ask for an updated value.

Source: IBAPE: main changes in ABNT NBR 14653-1:2019 (appraisal report) (opens in a new tab)

The degree of substantiation (I, II or III) measures the quality of the data and of the analysis in the report. The degree of precision applies to the comparative method and measures the value's range of uncertainty: up to 30% is degree III, up to 40% is degree II and up to 50% is degree I.

Source: IBAPE: appraisal of urban properties under NBR 14653 (purposes, methods and degrees) (opens in a new tab)

Legal basis and sources

Informational content, reviewed on November 11, 2026. The rules may change; the analysis of each case considers the rule in force on the date of the application. MTC is a private company, not affiliated with government agencies.

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