Property Location
The best residential and commercial property location is in the Lisbon – Cascais – Sintra region.
The second best residential property location is the Algarve, the southernmost region of Portugal, which has a busy airport, several international schools and top quality resorts that attract millions of tourists and retirees from northern Europe.
Recently, the coastal northwestern city of Porto, also served by an important international airport, has been attracting many international investors and the real estate market there is heating up considerably.
Fuelled by the rising influx of tourists and new residents all over the country, the interior regions of Portugal, traditionally overshadowed by the coastal areas, are also attracting investors, motivated by the beauty of the Portuguese countryside combined with the bargain asking prices that may still be found there.
Property Search
In order to conduct your property search, you have two options: you can either do it yourself, starting with an internet search and then contacting the most promising estate agent or hire a specialist Search Agent like Trinity Algarve to do it on your behalf , the main advantages being a deep knowledge of the market and having access to many beautiful unlisted properties.
Property Management
Allow Trinity Algarve to provide property management services, including the following: managing the refurbishment and / or decoration of your property, finding tenants, negotiating rental agreements, checking tenants in and out, collecting deposits and rent; managing property repairs and maintenance, handling utility and service contracts and payments and handling property tax payments.
Management charges vary according to property type, investment legal structure, rental type, etc., and should be negotiated with the agent once everything is defined. As a rule of thumb, the management charges for long-term rentals (> 1 year) will vary between 8% and 15% of the gross income, while those for short-term rentals (< 1 year) will vary between 20% and 40% of the gross property income.
Entrepreneurs, professionals, pensioners or high net worth individuals may take advantage of Portugal’s non-habitual resident (NHR) tax regime, thereby possibly enjoying a life free of income tax. This is in addition to the non-existence in Portugal of wealth tax or of inheritance/gift tax for close relatives.
The Portugal Real Estate Market
Committed to Excellence
Since May 2013 the OECD has listed Portugal as one of the top countries in the world to buy and own real estate.
According to the organisation, Portuguese real estate is undervalued and the price-to-rent ratio makes Portugal arguably the most attractive property market in continental Europe.
The property market in Portugal is highly developed, has a high quality of supply in all sectors and a considerable presence of foreign occupiers. The market is highly transparent and counts various international consultants and agents. Finally, it should be noted that the laws governing rental agreements are quite liberal and that evicting a tenant that fails to pay the rent may be relatively expedite.
Highly Developed
A highly developed and transparent market.
Property Prices
Property prices have been on the rise and the forecast of most specialists is that they will keep increasing at least over the next 2 or 3 years.
Foreign Occupiers
A considerable presence of foreign occupiers.