Everything you need to know when buying a house in Portugal

To buy a house in Portugal, it is important to understand your obligations as a buyer beforehand. Buying a house in Portugal is something you need a real estate agent and a notary public for. There are many houses for sale in Portugal, so it is advisable to spend time buying property in Portugal. Many people think that buying a house in Portugal is an extremely complicated process. However, with the right contacts and partners, in most cases this process is almost the same as in the Netherlands. People often sell houses in Portugal for various reasons. It is wise to find out the reason for this move, so ask.

If you want to own a house in Portugal but have a limited budget, you still have many options. Buying or renting a house in Portugal is among these options. In the south, we saw many people searching for houses for sale in Portugal. Part of the reason is the pleasant weather. That is why Dutch people buying houses in Portugal is very common. In the next section you will read what is involved in emigrating to Portugal.

Check out our properties in Portugal

Emigrating to Portugal

In this paragraph, you will learn about everything that is involved in emigrating to Portugal.
Emigrating to Portugal is not something you do lightly. It is usually thought about and discussed at length. Many people dream about emigrating to a warm country and ConnectHouses is there to make this happen for you.

Our large offer in villas, apartments, townhouses, land and even business premises in Portugal is therefore very wide and diverse.

After having lived in Portugal for more than 3 months, you have to register as a resident of a Portuguese municipality. For this purpose you will have to deregister from the Netherlands or Belgium at your municipality.

If you want to emigrate to Portugal, there are certainly a lot of subjects involved. Our specialists can help you find your way around and take all your worries off your hands.

Buying a villa in Algarve, Portugal

Buying a holiday home in the Algarve is something that has become very popular in recent years. Beyond the fishing nets on the docks, brightly colored fishing boats bobbing in the harbor and quaint buildings faded from the sun, a home in the Algarve offers something even more appealing: charming properties in a fantastic climate with a stable economy. This also makes buying real estate in Portugal very interesting.

The Algarve has traditionally been the most popular area for holiday home owners in Portugal, with plenty to see and do. Known for its beautiful beaches and coastline, fresh seafood, top class golf and natural beauty, the Algarve offers something for everyone.

Easily accessible from other European countries and less than a three hour flight from Schiphol Airport, you can see why the Algarve is so popular. The Algarve is also known for its sunshine. It is generally believed that this area of Portugal has more than 300 days of sunshine per year, making it the sunniest region in Portugal. This makes it the most popular region among the Dutch to buy a house or apartment in Portugal.

The coastline stretches for 160 kilometers with striking sandy beaches, as well as rugged beaches, caves, coves and cliffs. Its beaches are among the best in Europe and many have the internationally recognized Blue Flag. Inland, you'll find lush hilltops, the natural charm of the Monchique Mountains and the Guadiana River, and small villages that seem like a step back in time. The region has a lifestyle in which everyone can completely immerse themselves.

Average property prices in the Algarve range from €150,000+ for a two-bedroom apartment in Portugal, €200,000+ for a two-bedroom townhouse, and €400,000 or more for a multi-bedroom detached villa. Especially in the Algarve region, cooling off in the form of a swimming pool is recommended, especially due to the dry heat that Portugal has, cooling off in a swimming pool is a very pleasant thing. For the sake of convenience, buying a house in Portugal can be divided into 3 classes.

The region can be divided into three main areas, so we have created three profiles to help you find the best places in the Algarve:

Central Algarve: This region of the Algarve is known for its beautiful scenery, beautiful beaches and renowned vineyards. It is home to the famous "Golden Triangle" and is the most desirable (and expensive) area on this coast.

Eastern Algarve: To the east you will discover a part of the coast known for its natural beauty, where picturesque coastal villages sit next to golden sandy beaches, green hills and rugged cliffs. This area has the mildest climate and warmest water in the Algarve.

Western Algarve: Life is slower in the Western Algarve, where you'll discover an old-fashioned, traditional vibe than the more touristy areas. However, infrastructure has improved tremendously over the last ten years, making this region much more accessible

The quintessential Portuguese property is the popular white-painted Algarve villa. No matter how far you travel from your Algarve home, you will be surrounded by vibrant colors, from the clear blue sky and turquoise waters to the lush green grass and white walls of the buildings of the Algarve's old towns . Buying a house in the Algarve means enjoying luxury golf courses, great restaurants and a vibrant nightlife.

Property on the Silver Coast

Exploring the towns, villages and countryside of this beautiful region will be enough to convince you that buying a property on the Silver Coast is a decision you won't regret. Owning a property on the Silver Coast is owning a property in a unique place surrounded by fragrant orchards and fertile vineyards.

Real Estate in Lisbon

Located on the north bank of the Tagus River, Lisbon's charming city lies in its strong ties to the past. From renovated palaces, beautiful churches and an impressive castle; the real estate in Lisbon reflects the rich cultural heritage of the city. The eclectic mix of neighbourhoods, culture and architecture sets this capital apart from other European cities, making it a fascinating city to visit and making buying a house in Lisbon an attractive investment

Real estate in Lisbon offers investors the best of both worlds - from your Lisbon home you can stroll the narrow cobbled streets of the city and take in the sights, or head to the coast of Lisbon for the great beach experience, which is what this region has to offer. offer!

Real estate in Alentejo

If your reason for investing in foreign real estate is to escape the grind of modern life, but you are not keen on the typical beachfront properties; real estate in Alentejo is for you! Alentejo, also known as the "breadbasket" of Portugal, is a region of vast open countryside with undulating plains and rich fertile soil.

Property in the Alentejo is mostly farm style, with most of the major cities relying on agriculture, livestock, and timber for income. Real estate in the Alentejo does not have to be limited to rural farms, however, as the region varies considerably.

From the rolling plains in the south and the granite hills on the border with Spain in the northeast, to the charming medieval villages in the south and the coastal strip in the west that runs from the port of Sines to the Cape of São Vincente.

Buying a house in Portugal together with a Dutch real estate agent? You can do that at ConnectHouses, more content about the different packages can be found here!

The investment of buying property in Portugal

Planning your finances to buy property in Portugal is something that needs to be looked at carefully. Whether you are moving to Portugal full-time or buying a holiday home in Portugal, there are many things to consider. One of the most important things to plan is how you are going to pay for your home. Especially how much you can afford to spend and how you will finance the purchase of a house in Portugal. You will also need to understand how currency movements can affect your purchase, as well as budgeting for how much you will have to spend on top of the actual real estate price.

Our colleagues from the mortgages & financing department are ready to answer all your questions without obligation. Click here for more information.

The Cost of Buying in Portugal, you may well be considering several ways to finance your property purchase in Portugal. But before you make a decision, it's a good idea to set a firm budget. In addition, it is important to remember that this budget must take into account more than just the purchase price.

There are a number of other costs, often more than you initially think. A good general rule is that you assume that you need to spend another 8-10% on top of the purchase price. Being aware of this can make the difference between a successful purchase and falling in love with a property you can't realistically afford.

Hidden costs of buying a house in Portugal

Brokerage Fee: This can be anywhere between 5-10% of the price of the property. This is, technically, covered by the seller, but you can use an inflated asking price to reflect the fact a fee is paid to the broker.

Real estate transfer tax (IMT): A real estate tax that is based on several factors, including price, location, and whether it is your primary residence. Rates start low for cheap houses in the countryside and go up to a higher rate for expensive houses in the city.

Stamp duty (Imposto do Selo): Just like in the UK you have to pay stamp duty. This is usually 0.4-0.8% of the property price, depending on the type and value of the property.
Wealth tax: There is an additional tax of 0.7% on real estate above €600,000 and 1% on real estate above €1 million. However, this is an individual surcharge, so married couples would only start paying on a jointly owned property worth 1.2 million euros.

VAT (IVA): Newly built homes have an IVA of 23%. This should be included in the purchase price, but check carefully!

Notary and Land Registry Fees: The mandatory services of a notary will usually cost between 1.5-2% of the price of the property.

Independent Notary Fees: The services of a notary will likely cost between 1-3% of the purchase price.

Property Survey Fees: While not common in Portugal, a property survey shouldn't cost more than €1,000 if you want one done.
Send money abroad: Sending money to Portugal to pay for your home will increase the cost of buying your home. Use a currency specialist to get the best deal possible.

Post-purchase costs: Think about the funds needed after your move, which may include local

When you feel that you need support during the purchase process, ConnectHouses purchasing agents can help you. Please feel free to contact one of our colleagues for more information.