How to Own Property in Portugal

[The Answer Man]

The Answer Man says:

In the early days, purchasing property anywhere in Portugal was a nightmarish experience. The government saw that these archaic processes have become hindrances to the development of the region. Now, the process has been streamlined to make it a rather simple transaction nowadays.

1. Engage the services of an advogado. An advogado or lawyer can serve as your representative in the negotiations with the property owner as well as your advocate in governmental processes. These specialists have a keen understanding as to the paperwork and other requirements that would be required in the purchase of the property. You can either engage one online or upon the recommendation of other expatriates you know of that have used their services for their own purposes.

2. Execute a Power of Attorney. This is a document that is executed to grant power and authority upon the named person to exercise specific duties and responsibilities for and on your behalf. This grant provides the lawyer the personality to sign necessary papers that would prove to be too expensive to either ship or travel to Portugal every so often. Also, if there is any issue that comes about in your absence, the lawyer can easily address these in order not to forestall or otherwise hamper the consummation of the sale.

3. Draft and finalize contracts and other documentation. These are the documents that essentially detail the transaction of purchase and sale as duly confirmed by both parties. This binds the purchaser and seller to an agreement on the terms and conditions of the sale. Another contract that is also quite important is the engagement agreement between you and your lawyer, as well as the final deeds or Escritura. These important documents provide proof of transfer of ownership for consideration paid to another and are duly annotated in the issuance of new titles over the property in the name of the purchaser the lawyer represented.

4. Payments for the purchase price. This can be done by wire transfer as well as financing from a bank or financial institution. Your lawyer can arrange to find a mortgage over the property to assist you in your financial considerations in the purchase. You need to consider the actual property price, cost of transfer of title, taxes, publication and attorney’s fees in the final billing for the property. After the checks are cleared, you can then move into your new abode in the most beautiful places in Continental Europe.

Okay?

[Jose Maria]

So it is not that easy to own property in Portugal. I need to have lots of cash for that.

Are there any places where I can look and see and hopefully bargain about property purchases?

I looked at Alentejo and it is very appealing for me. Any offers?

[Kevin Hill]

If you are planning to purchase a house, it is best to engage the services of a licensed agent. The licensing body for these individuals is the INCI and their AMI license is the best proof of capacity and legality of their profession.

There are many agents online, so it is best you communicate with them first before formally signing anything and giving them money.