Purchase route Portugal

Buying process

When you have found the house you want to buy then the whole process of buying in Portugal starts. Below are the different steps of the process

Once the house is found then the first step is to agree on the price. Keep in mind that there are quite a few cowboy-type types operating as real estate agents who are very adept at pressuring a buyer to just agree to a purchase price and make a down payment as quickly as possible. Don’t be pressured and don’t fall into the trap of making a down payment to the real estate agent right away.

Start the application process well in advance. You may already be able to cut corners by submitting the application as soon as possible. See “APPLICATION PROCESS.

In doubt about the structural condition of the house? Then have a building inspection performed. Contact Mortgage & Abroad for advice on this.

Buyer and seller choose a notary. There are thousands of notaries throughout Portugal. Note that the role of the notary in Portugal is different than in the Netherlands. See also: GOOD PREPARATION

When the purchase price has been agreed upon, then it is time to instruct your attorney to begin his work. It is very unwise to buy a house in Portugal without the assistance of a lawyer. We can put you in touch with a good Dutch-speaking lawyer.

We can assist you in arranging a notarized power of attorney to complete the purchase from the Netherlands. We have contacts with a Dutch notary where the process of making the power of attorney can be arranged “remotely” (via video call).

The initiation of a purchase agreement is usually done by the selling broker. Get advice on the content from your attorney.

The condition precedent for financing is not common in the Portuguese sales contract. Contact Mortgage & Abroad to discuss how to set up a sale without the risk of losing the down payment.

The outcome of the mortgage application process is the receipt of the unconditional loan offer. After accepting the loan offer, the bank is ready to release the mortgage funds.

When the sale is imminent, your home should be insured for fire (and theft). Hypotheek & Buitenland has contacts with parties who can provide competitive quotations for this purpose.

Having a Portuguese bank account is indispensable when you own a home in Portugal. Mortgage & Abroad can help you open a bank account.

The actual purchase must be ratified by a Portuguese notary. He will legalize the bill of sale with his signature and formal stamp. Then the title deed can be registered in the Portuguese land registry, after which the buyer has officially become the owner. Notary fees are fixed and range from €500 to €1,000. Through the notary, a notarized power of attorney can also be drawn up after which the remote purchase can be made

How long the buying process takes depends on what delaying elements are involved. Some trajectories last 1½ months some 4 months. A trajectory of new construction is obviously longer.