Portugal offers a straightforward and transparent process for property acquisition, but it's essential to be aware of the key steps involved and the typical timeline. Let's dive into what you can expect when buying real estate in Portugal:
Research and Planning:
Before diving into the property market, take the time to research different regions, property types, and prices in Portugal. Consider your budget, preferences, and long-term goals. It's also advisable to seek guidance from local real estate agents or property consultants who can provide valuable insights into the market trends and available options.
Property Search:
Once you have a clear idea of what you're looking for, start your property search. You can explore listings on real estate websites, work with agents, or attend property exhibitions and viewings. Take your time to visit various properties, evaluate their suitability, and ask questions about the neighborhood, amenities, and legal aspects.
Offer and Negotiation:
When you find a property that meets your criteria, it's time to make an offer. Negotiation is a common practice in Portugal, so don't hesitate to negotiate the price and terms with the seller or their representative. Once both parties agree on the terms, you can proceed to the next step.
Preliminary Agreement (Promissory Contract):
After reaching an agreement, the buyer and seller typically sign a preliminary contract known as the "Promissory Contract" (Contrato Promessa de Compra e Venda). This contract outlines the terms and conditions of the sale, including the purchase price, payment schedule, and timeline for completion. At this stage, a deposit (usually around 10% of the purchase price) is often paid by the buyer.
Due Diligence and Legal Procedures:
Once the promissory contract is signed, the buyer conducts due diligence on the property, which may involve obtaining a survey, verifying legal documents, and ensuring there are no outstanding debts or encumbrances. Simultaneously, the buyer's lawyer prepares the necessary legal documents and assists with obtaining a fiscal number (Número de Identificação Fiscal) for the buyer, which is required for property ownership in Portugal.
Final Deed (Escritura):
The final step in the buying process is signing the "Escritura" or the deed of sale before a notary public. Both parties, along with their legal representatives, meet at the notary's office to finalize the transaction. The remaining balance of the purchase price is paid, and the property ownership is transferred from the seller to the buyer. The deed is then registered at the Land Registry Office, completing the legal transfer of ownership.
Overall, the buying process timeline in Portugal typically ranges from a few weeks to 3 months, depending on various factors such as property complexity, legal procedures, and the efficiency of parties involved.
