Portugal

5 min read

How Does the Buying Process Actually Work in Portugal?

Buying a property in Portugal follows a fairly consistent path, even though every purchase has its own details. Here's a practical, step by step walkthrough of how the process actually works, from your first brief through offers, the promissory contract, and the deed, to picking up the keys.

Before You Make an Offer

Start With a Clear Brief

• Tell us what you're looking for: We start every search with a brief, understanding your budget, whether you'll be financing or paying cash, the areas you're interested in, what matters most to you day to day, and any must haves or deal breakers. If you'll need a mortgage, it also helps to start the pre-approval process early, since knowing your real borrowing capacity shapes the whole search. A clear brief from the start saves everyone time and helps us focus on properties that actually fit.

The House Hunt and Viewings

• Visits and shortlisting: From there, we shortlist properties and arrange viewings. This is often an ongoing process, seeing a few properties, refining what you're looking for, and going back for second viewings on the ones that stand out. Depending on the property type and how competitive the area is, this stage can take anywhere from a few weeks to a few months, until you find the one you want to make an offer on.

Making an Offer

What Goes Into a Clear Offer

• Be specific: A clear offer sets out the price, your timing, whether you're a cash buyer or will need financing, your intended downpayment, and any special requests, such as furniture included or a particular completion date. It also helps to be ready to move quickly, since well priced properties in sought after areas can attract more than one offer. The more specific and well prepared the offer, the easier it is for the seller to say yes.

Offers Are Non-Binding

• Nothing is final yet: In Portugal, an offer is not binding on either side. It's a starting point for negotiation, not a commitment, and there's no deposit involved yet. The offer only becomes real once it's accepted and you move on to the next steps, due diligence and the promissory contract, which is where a deposit and real commitment come in.

From Accepted Offer to Deed

Due Diligence and the Promissory Contract (CPCV)

• Check before you sign: Once your offer is accepted, due diligence comes first, checking the property's legal and registry documents (caderneta predial, land registry, any liens or mortgages on the property) before anything is signed. Only then do you sign the CPCV, the promissory contract, which sets out the agreed terms. Signing the CPCV usually means paying a deposit, commonly somewhere between 10% and 20% of the price, though this can vary. From this point it's a real commitment: if the buyer backs out, they typically lose the deposit, and if the seller backs out, they're usually required to return double. The CPCV also sets the window before the final deed, typically 30 to 90 days.

Bank Valuation, Surveys and the Deed Date

• If you're financing: If you're using a mortgage, the bank will carry out its own valuation, and it's worth making sure the CPCV includes a condition that this valuation needs to be at or above the agreed price. You can also request a survey or extra due diligence in certain cases. Beyond the purchase price itself, budget for the additional costs due around the deed, property transfer tax (IMT), stamp duty, and notary and registration fees, which commonly add up to several percent of the purchase price on top. Exact rates depend on your situation, so it's worth confirming the figures with your lawyer or accountant. The CPCV sets the date for the deed, the final signing that completes the purchase.