Buying property in Portugal

Portugal Conveyancing v English Conveyancing

Buying a property in Portugal is very similar to buying a property in England and Wales with the most important decision being choosing your Solicitor carefully!

When selling a property in Portugal employing an Estate Agent can cost you between 5 and 10% of the sale price. You may ask why? They will pick you up in their own transport, take you to look at several properties in a morning or afternoon and then drop you back at home! Some ask you for feedback – others don’t. Typically they will have properties on their books for a minimum of 12 months before they sell it on behalf of clients but during 2018/2019 the market has become buoyant so these timescales have improved. Many French, Dutch and Germans are buying as they can receive their private pensions free of tax for the first 10 years but only if they gain residency.

When buying an apartment or house within a City or Town, the process is fairly straightforward. However buying out in the bush with a ruin in an Ecological Area (similar to a Conservation area in England) can take years due to all of the red tape/architects/builders and an interpreter of course – although there are many English speaking Portuguese lawyers and Estate Agents.

On exchange of contracts, as in England and Wales 10% deposit is the normal amount of deposit to offer but should the Seller in Portugal withdraw after exchange then they have to pay the buyer twice the deposit money so Seller beware!

Before you can move into the property, it has to be signed off by the Town Hall and an Habitation Licence issued so that you can obtain your electricity, gas and water supply to the house.

If anybody is considering buying or selling a property in Portugal or relocating back to the UK then contact us!