Property Buying Process
Purchasing a property in Portugal is a straightforward process when you have the right team beside you. Below is a step-by-step guide to help you understand what to expect at every stage of your journey.
Property Buying Process
in Portugal
01
Get Prepared
Set Your Budget
In addition to the purchase price, plan for extra costs — typically around 6–10% — to cover taxes, legal fees, and other expenses.
Build Your Support Team
It's highly recommended to work with a local real estate agent, independent lawyer, and mortgage broker (if needed) — especially if you're purchasing from abroad.
Get Your NIF
A Portuguese tax number (Número de Identificação Fiscal) is required for any financial or legal transactions. If you're not a resident, a fiscal representative can assist.
02
Finding the Right Property
Partner with a Licensed Agent
A knowledgeable agent will help you understand the market, arrange viewings, and guide you through the process from start to finish — saving you time and avoiding costly mistakes.
03
Making an Offer
Negotiating Terms
Your agent can help you negotiate the price and conditions of the sale to secure the best possible outcome.
Optional Reservation Agreement
To secure a property, it's common to pay a reservation fee — typically between €5,000–€10,000, though this may vary by property.
04
Promissory Contract (CPCV)
Legal & Technical Checks
Your lawyer will carry out due diligence — reviewing ownership, debts, licences, and planning permissions. A survey may also be arranged at this stage.
Signing the Agreement
This legally binding document — the Contrato de Promessa de Compra e Venda — outlines the agreed terms and conditions of the sale.
Paying the payment
A 10–20% deposit is standard. If the buyer withdraws without legal grounds, it is non-refundable. If the seller withdraws, they must return the deposit plus an equal amount in compensation.
05
Mortgage & Financing (If Applicable)
Financing for Non-Residents
Most Portuguese banks offer mortgages of up to 60–70% of the property's value, depending on your financial profile and circumstances.
Bank Valuation
If financing your purchase, the bank will carry out an independent valuation of the property before confirming the mortgage offer.
Required Documents
Generally includes proof of income, identification documents, tax returns, and other financial documentation as required by the lending institution.
06
Final Legal Checks
Final Verification
Your lawyer will confirm the property is legally clear of all debts, liens, or other encumbrances — ensuring there are no surprises before you sign the final deed.
07
Signing the Deed (Escritura)
Final Payments
The remaining purchase balance, taxes, and any outstanding fees are settled at this stage before signing.
Deed Signing at the Notary
The final purchase contract (Escritura) is signed in the presence of a Portuguese notary, making the sale legally complete.
Property Registration
Once the deed is signed, the property is registered in your name at the Land Registry — you are now the official owner.
08
After the Purchase
Set Up Utilities
Transfer electricity, water, gas, and other services into your name to ensure everything is running smoothly from day one.
Home Insurance
Consider arranging comprehensive home insurance to protect your new property and provide peace of mind for the future.
Budgeting Your Purchase
Typical Costs to Expect
IMT
Property Transfer Tax
Up to 7.5%
Stamp Duty
Imposto de Selo
0.8% of purchase price
Notary & Registration
Fees
Approx. 1–2%
Legal Fees
Solicitor / Lawyer
Generally 1–2%
Total Estimated Costs
On top of purchase price
6–10%
be ready
What Documents
Will You Need?
- Passport or valid ID
- Portuguese NIF (Tax Number)
- Proof of address
- Income documentation (for financing)
- Marriage certificate (if applicable)
Expert Guidance
Why Work With
a Real Estate Agent?
Local Market Knowledge
Navigate the property market with expert guidance from professionals who live and work in the Algarve.
Efficiency
Save valuable time with coordinated viewings, paperwork support, and skilled negotiations on your behalf.
Got Questions?
Frequently Asked Questions
Can non-residents buy property in Portugal?
How long does the buying process take?
What are the ongoing property costs?
Ongoing costs include IMI (Municipal Property Tax) — typically 0.3–0.5% of the property’s taxable value annually — plus utilities, maintenance, and condominium fees where applicable.
Find Your Property in the Algarve
Browse our portfolio of properties across the Eastern Algarve and let us help you find the right one.