Real estate in Portugal is interesting from several sides. Firstly, it is an investment in a country that attracts millions of tourists every year, and secondly, it is a quiet country on the edge of Europe, where you can settle permanently.
Advantages of buying real estate in Portugal
You can buy property in Portugal on the secondary market with a good discount. The local climate allows you to keep even houses from the 1950s to 1970s in acceptable condition, but before buying it is better to carefully check everything, especially the supply of communications.
Here are the main advantages:
- Affordability. Real estate prices in Portugal are lower than in neighboring countries, especially on the secondary market.
- Simplicity of the transaction. Foreigners buy housing without unnecessary permits, you only need a passport.
- Profitability. Selling residential real estate in Portugal or renting it out brings 4-6% per annum.
- Choice. The secondary market is rich in houses and apartments in historical areas, on the ocean coast, on the islands and on the mountain plateau.
Key features of buying property in Portugal
The buying process is simple. To buy Portuguese real estate, you need a passport. The contract is signed at a notary, registration takes 1-2 days. The property transfer tax (IMT) is 2-8% of the cost - it depends on the price of the property. In the case of secondary housing, only IMT is paid, and when buying housing in new buildings - VAT 23% (but it is included in the price). State duty - € 200 - € 300.
Foreigners freely buy apartments and houses in cities. For rural land, a permit is required, but this does not apply to secondary real estate in Portugal. Documents are drawn up in Portuguese and the language of the buyer.
Real estate prices in Portugal
You can buy a home in Portugal for an average of € 2,000 - € 2,500 per m². On the secondary market, the cost starts from € 1,800 per m². A 30 m² studio on the secondary market costs €60,000–€80,000, a 50 m² apartment – €100,000–€140,000; houses with an area of 100 m² – from €180,000. Average cost of housing in Portugal:
| Housing type |
Average price per m² (EUR) |
Approximate price (EUR) |
| Studio (30 m²) |
2000–2500 |
60,000–80,000 |
| Apartment (50 m²) |
2000–2600 |
100,000–140,000 |
| House (100 m²) |
1800–2400 |
180,000–240,000 |
| Resale in small towns |
1500–2000 |
50,000–70,000 (30–40 m²) |
Popular cities in Portugal for buying property
Resale property in Portugal is popular in the larger cities. Here are the key locations:
- Lisbon. The capital with a wide range of properties. While new buildings are often built on the outskirts or in promising but remote areas, secondary housing can also be found in the center.
- Porto. An industrial center with affordable housing (especially in residential areas) at lower prices than in the capital.
- Faro (Algarve). A resort region with houses, apartments and villas. Prices here are not the lowest, which is why the city is more suitable for investment in rental property.
- Coimbra. A university city with inexpensive secondary housing and the prospect of subsequent renting of housing to students.
