Investing in property within Portugal comes with its own unique benefits. There are several good reasons to buy in Portugal such as the beautiful landscape and great weather, but some lesser known benefits include low cost of living and tax breaks for retirees especially with private pensions.
Portugal's property market has remained stable over recent years and the country's economy has recently seen a resurgence, so investing in property within the country is undoubtedly a good move financially. Whilst Portugal has long been a favourite with the British, it is now proving to be popular with many other Europeans.
Possibly one of the country's best kept secrets, The Non Habitual Tax Resident Scheme (NHR for short), is a scheme devised by the country's government to attract temporary and permanent residents to the country.
The NHR regime allows for someone with a private pension to be considered eligible to avoid tax, making this scheme ideal for those seeking to retire to Portugal.
This scheme is one of the reasons why Portugal is becoming so popular with not only British citizens but other European countries in particular Sweden, Germany, Belgium, France, Finland and Italy. Click for more information.
Now, non-EU citizens can look forward to fast-track immigration to Portugal, thanks to this new program. This special residence permit, also called Golden Visa, will be offered to investors, who fulfil certain conditions. Click for more information.
The low mortgage rates within Portugal are a huge part of the appeal for foreigners looking to move to the country.
If you wish to purchase your dream home in Portugal and require a mortgage, these are offered by all the major Portuguese lenders to private individuals purchasing a property with a habitation license.
The banks offer loan terms of up to 50 years for residents and 30 years for non-residents. The maximum age upon maturity of the loan is 70 or 80, depending on the lender.
The maximum borrowing for non-residents is 70% of the purchase price/valuation price, again depending on the lender.
The cost of buying a property in Portugal comprises of the purchase price and closing costs. These costs include your lawyer's fees, transfer tax, stamp duty, notary & deed fees. They should not exceed 8 percent of the purchase price. The buyer does not pay any estate agent fees - the seller pays this.
Once you have decided to buy in Portugal you should find a lawyer (advogado) or solicitor (solicitador) to look after your interests in the purchase process. In Portugal there are many that speak English.
There are two stages to the buying process. The first is the Promissory Contract between buyer and seller. This is a legally binding contract, prepared by your lawyer.
The deposit is agreed between seller and buyer but is typically between 10-20 percent of the purchase price.
Once the Promissory Contract has been signed and deposit paid, should the seller pull out of the sale, he/she is required by law to repay twice the deposit amount to the buyer. Should the buyer default they would lose their deposit.
The second part of the transaction is the final deed (Escritura), this is the point at which the property ownership is transferred to the buyer. As with the promissory contract, it is signed in front of the notary. (insert link on buying in Portugal)
For any further information and advice regarding buying in Portugal, contact Buy Portugal today on: 01925 414422
Our team are ready to help and advise you on buying and selling property within Portugal.
Well presented villa close to the historic town of Estoi and less than 25 minutes (20kms) to Faro airport & beaches and walking distance to a local café bar. Outside there are landscaped gardens with mature shrubs and citrus trees, set around an attractive swimming pool. Ref:LV5493
Top floor apartment with a lift, on Marina Park Development, a short walk to the centre of Lagos, marina, train station, Meia Praia beach and large supermarket. This is a lovely, well maintained complex which has both adult & children's swimming pool, snack bar and tennis courts. Ref:GA461
SMALL CONDOMINIUM OF 4 HOUSES WITH SWIMMING POOL & GARDEN. Modern villa in an excellent location just a few minutes walk to restaurants, cafes and mini market. It has 3 en suite bedrooms, garage, gas central heating and double glazing throughout. Superb location. Ref:AV2219
Plot of land next to Vale do Lobo golf resort. Private and tranquil setting, 500 metres from Garrao sandy beach. Either build a detached villa or 4 linked villas. It is south facing and has a sea view. Build the house of your dreams. Ref:PP3678
Large plot 50 metres from Obidos lagoon. In a stunning nature setting in Nadadouro close to Foz do Arelho. Permission has been granted to build a property. The plot has good access via a tarmac road. The main town of Caldas da Rainha is 5 minutes away. Ref:AP270
TOURISM OPPORTUNITY. Extensive plot of land with a project to build a low rise 4 star hotel with swimming pool and a separate two storey restaurant with dining area. It has an unrivalled beach front location overlooking the sea. Large plot of land. Ref:ASP342
BEACHFRONT villa split into 2 apartments, unbeatable beach front location, fishing village of Burgau, two separate entrances, large sunny terrace overlooking the sea, roof terrace with sitting areas, close to trendy bars and restaurants, unrivalled setting. Ref:GV667
Existing building in the sought after Misericordia area, in need of demolishing or to rebuild and create 3 luxury apartments with swimming pool. In the heart of Lisbon, in a popular and attractive residential area, 10 minutes to Lisbon airport. Ref:ASV328
Build your own villa. Good countryside elevated location with far reaching views, most sought after location of Foz do Arelho, less than 1 hour from Lisbon airport, close to the beach and lagoon. Two plots available. Good views over the village. Ref:AP268
Extensive plot of land, permission for restoration of two existing ruins plus 2 new villas. This is a magnificent location, 2 minutes drive from Lagos, overlooking the beach. An investment opportunity not to be missed. 4km from golf courses, plots can be sold separately. Ref:GP024
Building plot in the heart of the village of Torre, 10 minutes drive from Caldas da Rainha, close to the Silver Coast beaches, sought after location, possible to build more than one property. Good local amenities within walking distance. Ref:AP267
Charming renovated stone villa, elegantly presented, popular town of Amarante, additional plot of land which has building permission, countryside views over the mountains, games room, 45 minutes to Porto, multi car garage, 6 en suite bedrooms. Ref:ASV275