Guide to Buying Property in Portugal
by Vendici Properties
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Buying property is a big undertaking. Buying property in the Algarve, where you are perhaps not totally familiar with the language, laws and ways of doing business, even more so. You owe it to yourself to learn as much about the process and steps involved as you can, so that you can plan and budget based on realistic information.
Working with a professional and trustworthy local real estate agent can give you access to the information you need. Not just about the specific property you are interested in, but the bigger picture too – what the surrounding area is like, if there are any tax incentives that are applicable to your circumstances, potential rental income and owner costs, about schools and healthcare in the area, etc.
Vendici Properties is a successful real estate company, operating in the area known as the Golden Triangle of the Algarve – Quinta do Lago, Vale do Lobo and Vilamoura. They are hyper-local agents with outstanding in-depth knowledge of this area, the developments, the history of projects and properties, and opportunities that are coming to market. The information they provide to potential buyers is current and realistic, both essential factors in achieving successful outcomes for buyers and sellers.
VENDICI PROPERTIES BUYERS GUIDE
See the original Buyers Guide
The bureaucratic steps to buying property in Portugal are the same for all properties and for all areas of the country. However, it is the steps taken beforehand, and the information garnered then, that makes all difference in achieving a successful outcome.
Any property buying journey begins with the search for the right property. Vendici works closely with their clients to understand their wish list, their budget and to match this information with available properties. With a very specific focus on the Algarve’s Golden Triangle, Vendici know exactly what properties are on the market, what a fair valuation is, and what potential opportunities are due to arise.
Local Area Guides
Within Vale do Lobo and Quinta do Lago there are many different areas and developments. Vendici has created detailed Local Area Guides that help their clients gain a better understanding of each specific area, the facilities and infrastructure there, the current market value and potential rental income of properties in the area. There are Vendici guides to Dunas Douradas, Martinhal Quinta, Vale do Lobo, Varandas do Lago and several more.
See the Vendici Local Area Guides
In addition to the Local Area Guides, Vendici has a series of Factsheets available covering topics such as:
- purchasing costs
- local services contacts (legal, financial)
- running costs projections
- rental yield projections
- private ownership and corporate ownership
- property tax and tax incentives
The Buying Process
Having found the perfect property, these are the next steps:
- Agree the purchase price, terms and conditions
- Price and currency
- Contents less any specified personal items
- Target Date for Deposit payment
- Target date for completion
- Is financing required, i.e. Mortgage
- Vendici will provide a deal sheet to buyer and seller
- Request that the property is taken off the market
Due Dilligence and Legal Services
- Obtain Portuguese tax idendifier number (NIF) and open Portuguese bank account
- Appoint a fiscal representative
- Survey property
- Lawyer reports on proposed transaction, correct title, free of debt, legal owner etc.
- Habitation licence
- Decide if you wish to appoint lawyer as legal power of attorney, helpful if you cannot travel easily to Portugal
- Deposit paid (normally 10%), non refundable, legally binding
- If buyer pulls out they forfeit deposit, if Vendor pulls out they pay 2 times the deposit as compensation to
- KYC documents completed for Money Laundering compliance under Portuguese Law
- Date agreed for completion
- Inventory agreed as to contents and any value for same in contract
- Consider any currency conversion that is needed
- Position funds ready for transfer on completion
Transaction Completion - Escritura de Compra e Venda
- Transfer purchase monies to Vendor
- Accompany lawyer to Notary office where purchase and “escritura” are
- Pay any outstanding costs to the notary
- Confirm that your name is lodged at the land office and local tax office
About Vendici Properties - experts in property in the Algarve’s Golden Triangle. They offer outstanding customer service and vital local knowledge of Quinta do Lago, Vale do Lobo, Vilamoura and beyond, using innovative marketing and technology such as 3D to help obtain positive outcomes for their clients.
Find out more about Vendici Properties
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