Real estate agents are individuals who seek out buyers for properties that are up for sale. These individuals are, in general, one of the most dogged sales personnel in the world. This is even much more so in Portugal, as these real estate agents go to great lengths to sell property in the country. One of the ways to entice foreigners and even locals to purchase properties is to offer buying or viewing trips. This is the ploy wherein prospective buyers are invited on a trip to Portugal and view the properties up for sale. This trips last from four to six days and the package includes free airfare, accommodations, meals and inland transportation. With this hefty investment, it is hard not to feel the pressure exerted by the real estate agent when it comes to deciding on and purchasing the properties viewed. The trip becomes a hard sell journey as the real estate does all means to keep you and make you buy any of the viewed properties. The experience often ruins the allure and grandeur of purchasing property in Portugal.
Avoiding the Hard Sell Trap
There are many ways to avoid the pitfalls and schemes of unscrupulous real estate agents in Portugal. Here are some of the recommended countermeasures you can use to make the best and most suited decision for yourself.
Go on the trip yourself.
Make the trip both a scouting trip and a vacation. In this way, you make searching for you new home part of your itinerary. This helps for a more relaxed and leisurely examination of possible residences for you and for your family. You also have the equipment to take pictures of both your vacation and your buying trip. This is important, as you need to compare the possible purchases you have visited and see their condition. When you reach your hotel room, you can make a detailed cost benefit analysis of the homes you wish to visit. For this kind of jaunt, it is best to coordinate with a local agent as to homes you would wish to view. This is important as these kinds of appointments need to be properly scheduled so you would be received by the seller or the representative of the seller together with your agent. The coordination and the scheduling here is key.
By going on your own, you avoid the pressure and the hassle of being hurried along by your agent. You are after all been invested in by the agent so giving you a full perks vacation cum buying trip would necessarily involve an exertion of exceptional convincing and badgering for you to give in to purchase a piece of property that is too much for your requirements and too expensive for your capacity. If you are able to keep your nerve in spite the tactics employed to get your consent, then going on a buying trip sponsored by a property agent is the option for you.
Research thoroughly.
The Internet is a good source of information about properties in Portugal. It is admitted though that no image on the Internet can fully capture the beauty that Portugal offers. Get as many details as you can from online listings of properties, including other pertinent information as road maps and nearby support services. Then coordinate your services with an agent that speaks English and has experience handling expatriate property purchases. This forestalls any language impediments or any lack of knowledge of the special requirements of expatriates.
Check out qualified estate agents.
Portuguese estate agents are under governmental supervision. Practice of the profession is allowed only by licensed individuals (mediador autorizado). Membership in professional association is also one of the qualifications you need to see. The major organizations of highly qualified estate agents are Associacao de Mediadores Imobilarios (AMI), the Sociedad de Mediacao Imobilaria or the Associacao dos Mediadores do Alagarve (AMA). Membership in an international organization like the European Federation of Estate Agents is an added feather in their caps. Also, ask for a copy of their license and verify it. Doing due diligence with the estate agents is a basic practice as there is no insurance indemnity or consumer legislation currently in force and effect in Portugal. Also, this is the way to avoid fly by night agents or cowboy agents that scam many others in these kinds of large amount purchases.
Signing documents with agents.
Signing documents with agents must be done carefully. If you knowledgeable of the language, read through it as it may be written in Portuguese. If you are not conversant of the language, it would be best to have the document made in Portuguese and English so that you can be fully apprised of the provisions included in the document you sign.
The first document you may have to sign is an engagement agreement with the agent. This serves to protect the commission of the agent even if you seek another source for information on properties or try to deal with the owner to bypass the agent altogether. This makes the commission on the sale of the property collectible by the agent regardless of other individual’s participation in the transaction. Many other documents can be signed by the agent later on so long as you duly appoint them as your representative.
Deposits with agents.
Many of the problems that come up with the use of an agent and money is the commixture of personal funds and client’s funds. This happens if you deposit an amount into the individual agent’s personal bank account. With this you lose control over the funds and the money may be lost with the agent. The best way to protect yourself is by depositing the money in a separate bonded account. This way, the money can only be taken out upon your approval for its specified use. This manner of payment can be done not only for deposit amounts, but also for other fees payable for the transaction.
So in dealing with estate agents especially their offered buying trips to Portugal have strings attached to them. You are after all the recipient of their investment and but naturally they would want to earn from their investment soon enough. Thus the employment of wining and dining and even exertion of pressure tactics becomes run of the mill when you go on these buying trips. If you can handle the dogged follow-ups and nagging, then go on one for your purchase requirements. Otherwise, you can go on your own buying trip and find your own property through some bit of research and a bit of coordination.