Real Estate Lawyers in Portugal
Get assistance Investing in Purchasing a Property in Portugal with the help of our expert Lawyers
Contact us
To request a free consultation case, please provide us with your contact details below and we will contact you via email or phone.
What’s the Process of purchasing a property?
For most investors, the procedures follows the steps below:
1. Tax and Budget planning:
Taxes and fees are mostly paid by the buyer and vary throughout Portugal’s regions. They typically include the following:
- Property transfer tax that varies from 1% to 8%, depending on the purchase price.
- Stamp duty of 0.8% of the value of the house.
- Notary costs, title deed tax and land registration fee of 1% to 2.5%.
2. Obtain a NIF
Obtaining your Portuguese Tax ID Number and opening a local bank account will simplify much of the process.
3. Search for properties
Our Real Estate lawyers are familiar with the local marketplace and will help you identify the property that you’re looking for.
4. Mortgage terms
If you’re considering applying for a mortgage, only those that are 30 years old or younger can negotiate a 40-year mortgage.
5. Reservation agreement and Letter of Intent
This agreement grants you total control when purchasing the property. For example, it can prevent the seller from continuing to list the property. Our lawyers will draft a Letter of Intent that protects your rights should your’s or the seller’s circumstances change.
6. Perform Due Diligence
An experienced real estate lawyer will make it their priority to ensure the purchase is flawless. They will investigate things like hidden debts, the asset’s quality and explore tax relief. This step also allows for negotiation of the price and other terms.
7. Sign a Promissory Agreement
Make a down payment as a guarantee for both parties.
8. Sign a Purchase Deed
The parties meet to sign the property’s purchase deed at the Public Notary’s Office.
9. Taxes and fees
Once the property is purchased, it’s essential to register the property with the tax authorities, settle all necessary taxes, contract utility bill companies and obtain insurance.
What documents do I need to acquire to buy property in Portugal?
Make sure to have your Portuguese tax number which you or your lawyer can get at the local tax office, in addition, you should make sure you have the following documents:
- A photo ID from both parties.
- The Contrato-Promessa De Compra e Venda (CPCV), if available.
- The property’s energy certificate.
- The Imposto de Selo or (payment of the stamp)
- The Caderneta Predial(land register)
What taxes do I need to pay?
When buying a property in Portugal, several taxes and fees need to be considered. Here is an overview of the main taxes involved:
1. Property Transfer Tax (IMT – Imposto Municipal sobre Transmissões Onerosas de Imóveis)
IMT is a municipal tax paid by the buyer on the transfer of ownership of real estate. The rate varies depending on the type and value of the property:
- Urban properties for residential use: The rates are progressive, varying between 0% and 8%.
- Urban properties for other purposes and other types of properties: A flat rate of 6.5%.
- Rural properties: A flat rate of 5%.
2. Stamp Duty (IS – Imposto do Selo)
Stamp duty is also paid by the buyer and is calculated at a flat rate of 0.8% on the purchase price or the tax value of the property, whichever is higher.
3. Value Added Tax (VAT – IVA)
VAT applies mainly to new properties or properties sold by a company. The standard rate is 23%, but in some regions, there are reduced rates (e.g., Madeira 22%, Azores 18%).
4. Municipal Property Tax (IMI – Imposto Municipal sobre Imóveis)
While IMI is an ongoing tax rather than a transactional one, it’s important to be aware of it as a property owner. It is based on the tax value of the property and ranges between 0.3% and 0.45% for urban properties and 0.8% for rural properties.
5. Other Potential Costs
In addition to the above taxes, there are other costs associated with buying property in Portugal:
- Notary fees: These are variable but can range between €300 and €1,000.
- Registration fees: Approximately €250.
- Legal fees: If you hire a lawyer to assist with the purchase, the fees typically range from 1% to 2% of the property price. We, at Lexidy, can help you with all the process of property purchase, contact us for a free consultation of your case.
- Mortgage fees: If you are taking a mortgage, there might be associated costs such as arrangement fees and valuation fees.
Examples
To illustrate, here’s a simplified example for an urban residential property purchase:
- Property Price: €300,000
- IMT Calculation:
- For the first €92,407: 0% IMT
- For the amount between €92,407 and €126,403: 2% IMT
- For the amount between €126,403 and €172,348: 5% IMT
- For the amount between €172,348 and €300,000: 7% IMT
- Stamp Duty Calculation:
- 0.8% of €300,000 = €2,400
- IMI Calculation:
- If the tax value of the property is €250,000 and the municipal rate is 0.4%, then the annual IMI would be €1,000.
It’s advisable to consult with a legal expert or tax advisor familiar with Portuguese property laws to ensure compliance and accurate calculation of all taxes and fees associated with the purchase. Contact us now for a free consultation on your case!
Ready to begin your property purchase process in Portugal? Our team of experienced real estate lawyers is here to help. Don’t navigate the complex application process alone. Contact us today to receive personalized guidance, ensure your documents are in order, and increase your chances of a successful outcome. Let us handle the legal aspects while you focus on your plans for Portugal. Reach out now to schedule a consultation with our dedicated team.
How can a lawyer help me with the Property Purchase Process?
A lawyer can help you by providing legal advice and guidance throughout the application process. Some ways a lawyer can assist you include:
A real estate lawyer in Portugal can be a valuable asset in helping you with property transactions by:
Legal due diligence: They will verify that the property is free of legal issues, such as debts, encumbrances, or zoning restrictions, ensuring a secure transaction.
Reviewing contracts: A lawyer will review and negotiate the purchase agreement or rental contract to protect your interests and ensure the terms are clear and favorable.
Handling paperwork: They manage all legal documentation, such as deeds, tax declarations, and registration, ensuring the property transfer is correctly filed with Portuguese authorities.
Navigating local laws: A lawyer ensures that your property purchase or rental complies with Portuguese real estate laws, including taxes, permits, and fees.
Representing you: If you’re not present in Portugal, a lawyer can represent you in the property transaction, ensuring the process proceeds smoothly and legally.
Resolving disputes: In the case of disputes over property, boundaries, or contracts, a lawyer can mediate or represent you in court if necessary.
If you’d like, we can discuss your specific situation in more detail to assist with your real estate needs in Portugal.
Our team of experienced lawyers is ready to assist you and guide you through the entire application process. Let us help you make your dream of living and working in Portugal a reality.
Life
Work
Quality Life for You and Your Family
Why Portugal?
Working and living in Portugal offers numerous advantages. Firstly, it opens an opportunity to live in one of Europe’s most captivating countries, with its vibrant cities, stunning coastline, and rich cultural heritage. Secondly, the visa enables access to Portugal’s thriving digital and tech ecosystem, fostering networking opportunities and professional growth. Lastly, you will immerse in the warmth of Portuguese hospitality, savor its delectable cuisine, and explore its diverse regions while maintaining a flexible work-life balance.
Cultural immersion
Experience the rich Portuguese culture.
Location
Explore Portugal without visa restrictions.
Stable economy
Portugal has a stable and growing economy
Delicious cuisine
Taste world-renowned Portuguese food and wine.
Affordable living
Cost of living is lower compared to other European countries.
Healthcare access
Access to high-quality healthcare facilities and services.
Skilled workforce
Portugal has a highly skilled and multilingual workforce.
Travel Opportunities
Explore diverse regions within Portugal.
Frequently Asked Questions
Can foreigners buy property in Portugal?
Foreigners can buy property in the country if they have all of the necessary papers.
Do expats pay taxes in Portugal?
Non-residents in Portugal are simply taxed on their Portuguese income, whereas residents must pay an international tax. If you live in the same place for 183 days or more in a row, you are considered a resident.
How much deposit do I need to buy a house in Portugal?
A 20% down payment is required. A minimum deposit of 20% of the value of the property is normally required for a Portuguese mortgage, because borrowing varies from 60% to 80% of the price or valuation price, depending on the lender, with loans available at variable or fixed rates.
Do I need a lawyer when buying a property?
While it’s not mandatory, hiring a lawyer when buying property in Portugal is highly recommended to navigate legal complexities, ensure proper documentation, and protect your interests throughout the transaction.
Our Team
For us, Lexidy is a way of life and what excites us the most is to be able to deliver the happiness and satisfaction of a successful immigration process. We want to help you achieve your goals and dreams, whether it’s residence in Spain or simply an investment.
Visit us: Rua Joaquim António de Aguiar n.º 43, RC Esq, Lisbon, 1070-150 (Portugal)Write us: info@lexidy.com – Call us: +351 210 200 969
© 2025 LEXIDY -
MAKING LAW SIMPLE. ALL RIGHTS RESERVED.
