When to use the Builder-based model object builder instead of passing parameters?

When you have Builder to create a model object, the build() method is responsible for the creation of this object, in many examples and materials I have seen this creation done in two ways:

public final class Cidade {

    private Integer id;
    private Integer codigo;
    private String descricao;

    private Cidade(final Integer codigo, final String descricao) {
        this.codigo = codigo;
        this.descricao = descricao;
    }

    public Integer getId() {
        return id;
    }

    public Integer getCodigo() {
        return codigo;
    }

    public String getDescricao() {
        return descricao;
    }

    public static class Builder {

        private Integer codigo;
        private String descricao;

        public static Builder create() {
            return new Builder();
        }

        public Builder codigo(final Integer codigo) {
            this.codigo = codigo;
            return this;
        }

        public Builder descricao(final String descricao) {
            this.descricao = descricao;
            return this;
        }

        public Cidade build() {
            return new Cidade(this.codigo, this.descricao);
        }

    }

}

public final class Cidade {

    private Integer id;
    private Integer codigo;
    private String descricao;

    private Cidade(final Builder builder) {
        this.codigo = builder.codigo;
        this.descricao = builder.descricao;
    }

    public Integer getId() {
        return id;
    }

    public Integer getCodigo() {
        return codigo;
    }

    public String getDescricao() {
        return descricao;
    }

    public static class Builder {

        private Integer codigo;
        private String descricao;

        public static Builder create() {
            return new Builder();
        }

        public Builder codigo(final Integer codigo) {
            this.codigo = codigo;
            return this;
        }

        public Builder descricao(final String descricao) {
            this.descricao = descricao;
            return this;
        }

        public Cidade build() {
            return new Cidade(this);
        }

    }

}

For me it is not clear and I would like to know when to use the constructor of the model object based on a Builder instead of passing parameters to it?