Buying a home in Portugal from abroad

1. Get a Portuguese tax number (NIF)

Every buyer needs a NIF, the Portuguese tax number. If you live outside the European Union, you will usually need a tax representative in Portugal to get one; a lawyer can arrange both, often remotely.

2. Open a Portuguese bank account

Not always required, but it makes paying the deposit, the taxes and the bills much easier. Portuguese banks also lend to non-residents, usually for a smaller share of the price than to residents.

3. Find the home, and a lawyer

Choose a lawyer early, independent from the seller. They check that the home is legally in order - registration, licences, debts - before you sign anything.

4. The promissory contract (CPCV)

Once the offer is agreed, buyer and seller sign a promissory contract and the buyer pays a deposit, often 10 to 20 per cent of the price. If the seller pulls out, they usually have to return double the deposit; if the buyer pulls out, the deposit is lost.

5. Taxes and costs

Before the deed, the buyer pays the property transfer tax (IMT) and stamp duty (Imposto do Selo, 0.8 per cent). IMT depends on the price and on whether the home will be your main residence. Add the notary or registry fees and your lawyer’s fee. We can show you an estimate of the total cost for any home you are serious about.

6. The deed (escritura)

The final contract is signed in front of a notary or at a registry office. The rest of the price is paid, the home is registered in your name and you receive the keys. If you can’t be there, your lawyer can sign for you with a power of attorney.

7. After the keys

Utilities, insurance, the yearly property tax (IMI) and, if you want to rent the home out, the local rules. We can point you to the people who help with each.