The right-wing opposition had accused Lula of buying an apartment through bribes from the Petrobras corruption scandal.
The judge overseeing the corruption case in state-run oil company Petrobras released a report Thursday clearing former president Luiz Inacio Lula da Silva of any charges.
According to allegations by federal police, Lula was the mastermind behind the state-run oil company Petrobras corruption scheme and directly benefited from an apartment in Guaruja and a farm in Atibaia, both in the state of Sao Paulo.
But Judge Sergio Moro has been forced to acknowledge that Lula and his family do not own property that investigators thought belonged to the politician, dashing claims they were bought with money allegedly obtained through illegal contracts with Petrobras.
The court heard the testimony of businessman Fernando Bittar on Wednesday, who confirmed he is the real owner of the Atibaia farm involved in the case. The owner of the apartment complex located in Guaruja, Nelco Warken, also testified against Lula owning the premises.