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Buying Property In Portugal

Buying Property In Portugal

Do you want to buy a house in Portugal? Based on our own experiences, both as property experts in Portugal and as expats ourselves, we have put together some handy guidelines and advice for you, to help you to find the perfect property, from a prestigious, luxury villa to bargain apartments.

It is a dream held by many people to own their own little piece of heaven in the sunshine, a laid back lifestyle away from the hustle and bustle of life back at home. We get asked for advice on all aspects of buying property and living in Portugal on a daily basis, so here is Ideal Homes Portugal’s guide to buying property in Portugal.

 

There are a great many reasons to fall in love with Portugal. We have a fantastic climate, beautiful beaches; lovely, warm people, great food and wine, and more golf courses than you can shake a club at!  All of which makes it a holiday destination which brings people back year after year.

 

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But are these attractions enough to make it a good investment or permanent home?  The UK’s favourite overseas property programme “A Place in the Sun” have said that Portugal is the worlds best destination for buying a property, coming in ahead of other popular holiday spots like Spain, France, Eastern Europe and America. The factors upon which this was based are the affordability, thevalue of the property, the enjoyment to be had from your holiday home and also the value appreciation of property. Portugal also came third in the rankings for A Place in the Sun’s survey of the best places to make money from property. Portugal’s Silver Coast was also declared as the best place to buy in Europe by another programme on Channel 4.

 

Growth, living cost, security, stability and property rates are the factors you need to consider when choosing where to buy your property. Below is a breakdown of these factors as they apply to Portugal.

 

Security and Stability
From the view of security and stability Portugal is a very safe bet as it has a very low crime rate and also it is economically and politically stable.  It also has benefits as regards health, tax and pensions being a member state of the EU.

 

A long term investment

Nowadays many people are focusing on investing in property in Portugal as opposed to speculating on the stock market and other different investing plans.  As property prices, whilst still below previous boom levels, are steadily on the rise, investing in property in Portugal at this time could prove to be a very wise move indeed!

 

 

A short term investment

The Algarve has many different areas which are particularly suited to short term investment, as they return investors a substantial profit in a short period of time.  Areas that are currently showing the best yields are Lagos in the Western Algarve, Albufeira and Vilamoura in the Central Algarve and Fuseta and Cabanas in the East. Also remember that buying off plan has advantages with regards prices and choice of finishings, but however you buy your property, make sure you use a reputable, fully licensed estate agent who not only shows you the properties, but also takes the time to show you the area and facilities available to you.

 

 

Property prices to suit all budgets

Property prices in the Algarve vary greatly depending on where you are looking to buy. The less developed areas of the Eastern and Western Algarve tend to be less expensive than the more popular tourist regions of the central Algarve. Property is also cheaper, as a general rule, the further away from the coast you get, but always bear in mind that the further away from the coast you go, the fewer people will speak English and the fewer facilities will be available. That said, one of the best things about the region is that you are never more than an hours drive from anywhere.

 

Buying to Let

There is a growing trend in the Algarve for people to rent out their property to holidaymakers in order to cover the mortgage or condominium costs. With a strong summer holiday trade and year round golfers there is a 12 market for rental properties and yields can be as high as 10-15%. You should always make sure that your property is looked after by a good rental management company and check out the situation of rental requirements with your estate agent first. Tax on rental income is only 15% and a lot of everyday expenses can be offset against this bringing in much higher net yields than other countries.

 

 

Low cost of living
Portugal has one of the lowest levels of living costs in the EU, a fact very much appreciated by residents and holidaymakers alike. It is one of the reasons the Algarve is so attractive to retired expats, not only is the climate much more temperate, but it also means their pension goes a lot further!

 

Infrastructure and Settling In
There are around 100,000 expats currently living in The Algarve. British, Irish, German and Dutch  are the main nationalities, and as a consequence, there are lots of facilities and services provided to cater for them. Being able to buy products and services that you are used to from home, and being able to converse in your own language, goes a long way to helping you settle into your new country.

 

Convenience and Accessibility
Another reason why The Algarve is so popular with UK buyers and holidaymakers is the abundance of cheap, short flights available all year round from many UK airports. This makes it perfectly possible to nip over to your holiday home just for the weekend, giving you much more opportunity to enjoy your home in the sun.

 

The Buying Process
The process of buying property in any foreign country can e a daunting prospect, and Portugal is no different. Although there are laws in place to protect the buyer it is still difficult to understand both the different procedures and the laws when they’re not in your first language. Howver, with over 250 years combined experience of life in the Algarve between us in the office, we have the experience, the knowledge and the contacts to ensure everything runs smoothly for  you. Here are a few essentials that we can help you with :

  • Local, experienced, English speaking lawyers
  • Rental Management to promote and look after your property and clients
  •  Currency Brokers to make sure you get the most out of your money
  • The best builders, surveyors and architects
  • Great value and great quality furniture packs to suit all budgets
  • Interior designers and soft furnishings
  • Airconditioning and heating providers, including wood deliveries.
  • Gardeners and pool installation and maintenance.
  • Tv and internet providers
  • The assurance that we only work with individuals and companies who match our own, exceptional standards of service.

 

They say it’s not what you know but who you know, and we know a lot of people! We hope you have enjoyed this brief introduction to buying property in Portugal. For more information, please don’t hesitate to contact our team on our freephone number 0800 133 7644, email us atinfo@idealhomesportugal.com, or visit our website www.idealhomesportugal.com

 

You can also download a more in depth guide to buying property in Portugal at :

 

www.algarvepropertyguide.com

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