Buying a home in Portugal is open to foreign buyers with no ownership restrictions, and transaction costs are lower than in Italy or France. What has changed is the incentive layer around it: residential property no longer qualifies for the golden visa, and the old non-habitual resident tax regime has been replaced.
The short version
Can foreigners buy?
Yes, no restrictions
Typical buying costs
About 6-10%
Transfer tax (IMT)
Progressive, up to around 7.5%
Stamp duty
0.8% of the price
Required first
NIF Portuguese tax number
Golden visa
Residential property no longer qualifies
NIF first, everything else second
You need a Portuguese tax number (NIF) before you can buy, open a bank account or set up utilities. Non-EU residents traditionally needed a fiscal representative to obtain one; a lawyer or specialist service handles this routinely and cheaply.
The Portuguese purchase sequence, step by step
The CPCV is the moment of commitment in Portugal, and the penalties are symmetrical.
Reservation with a small holding deposit.
CPCV (contrato de promessa de compra e venda) with typically 10-30% down. Buyer forfeits the deposit on withdrawal; seller pays double.
Escritura publica at the notary, followed by registration and payment of IMT and stamp duty.
What buying a home in Portugal costs
IMT is progressive and depends on price, location and whether the property is your permanent home or a second home. Add 0.8% stamp duty, notary and registration fees, and legal fees if you use a lawyer, which is strongly advised.
Annually you pay IMI, the municipal property tax, and AIMI applies as a wealth-style surcharge on higher-value holdings. Condominium fees apply in apartment buildings.
Figures are typical ranges rather than quotes. Confirm your own numbers with a local notary, lawyer or tax adviser before you commit.
Where the market has moved
Lisbon and Porto prices have risen faster than incomes, and short-term rental licensing in the city centres has tightened. The Silver Coast, inland Alentejo and parts of the eastern Algarve still offer materially better value per square metre, with the trade-off of thinner rental demand outside summer.
Residency after the golden visa change
Residential real estate was removed from the golden visa in October 2023. Buying a home does not create a right to stay. Non-EU owners use the D7 passive income visa or the digital nomad visa for longer stays, both of which have income thresholds and require an address in Portugal.
Portuguese homes on our current list
A live sample from the Algarve, the Silver Coast and inland Portugal.
European Listings is a members-only property list. Every Saturday you get 18 homes across Italy, Spain, Portugal, France and Greece, selected by hand from the local portals most foreign buyers never find. No commission, no agents calling you, no listings we would not look at ourselves.
18 hand-picked listings every Saturday
One email, one list. We read the local portals so you do not have to translate nine of them.
Vetted for foreign buyers
Every home is checked for the things that stop overseas purchases: access, planning history, habitability.
Written in plain English
Real prices, honest descriptions of the location, and what the property actually needs.
Contact the agent directly
We do not sit between you and the seller and we take no commission on your purchase.
Yes. There are no restrictions on foreign ownership. You need a NIF tax number and, for non-EU buyers, often a fiscal representative to obtain it.
What are the closing costs in Portugal?
Typically 6-10% of the price, made up of progressive IMT transfer tax, 0.8% stamp duty, notary and registration fees, and legal fees.
Does buying property in Portugal still give a golden visa?
No. Residential property was removed from the qualifying investment list in October 2023.
Is the Algarve the only good area?
It is the most established for foreign buyers, but the Silver Coast, the Alentejo and the eastern Algarve consistently offer more space for the same budget.
We have carefully selected the information on this page, but we cannot guarantee that every detail is accurate. Please verify any legal, financial, or property specifics independently before making decisions.
